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Challenge
The company was at the very beginning of their ESG and sustainability journey and lacked a structured approach to sustainability management and reporting.
Solution
By applying global frameworks and standards like ISAE 3000 and GRI, RSM enhanced the credibility of the client's sustainability reporting.
Success
RSM helped the client transition to an organised and comprehensive sustainability approach. This framework provided a clear roadmap for future sustainability initiatives and helped embed sustainability into the business.
Client overview:
RSM’s client in Spain is a company in the cleaning industry, specialising in cleaning towels and other items used in hotels. They operate in three countries: Spain, Mexico, and the Dominican Republic.
Background:
The company was at the very beginning of their ESG and sustainability journey and lacked a structured approach to sustainability management and reporting, especially for their operations in Mexico and the Dominican Republic. There was no dedicated person responsible for sustainability initiatives within the organisation. RSM was approached to help the client establish clear ESG and sustainability reporting structures and processes.
Our project objectives:
- Establish a structured approach to ESG and sustainability management.
- Improve understanding of sustainability reporting requirements.
- Enhance data collection and control processes across all three countries of operation.
- Provide assurance services for sustainability reporting.
Our approach:
RSM adopted a structured approach to achieve the project objectives:
- Initial assessment: RSM carried out an initial assessment to understand the client's current sustainability practices and reporting capabilities. By applying Instituto de Contabilidad y Auditoría de Cuentas (ICAC) guidelines and ISAE 3000 standards, RSM helped the client to introduce a systematic framework for sustainability management.
- Knowledge building: By referencing GRI standards, RSM provided detailed explanations and interpretations of reporting requirements and offered concrete examples of how the client should report on specific sustainability indicators. RSM’s guidance helped the client understand the scope of reporting, including the need to include data from all three countries of operation.
- Global and local standards: By applying rigorous assurance methodologies based on established standards, RSM enhanced the credibility of the client's sustainability reporting. RSM utilised the ICAC guidelines for sustainability assurance, applied ISAE 3000 standard for identifying risk areas and focusing verification efforts, and referenced GRI standards for specific reporting requirements.
- Standardised data collection: RSM identified weaknesses in the client's data collection methods, particularly in Mexico and the Dominican Republic. RSM’s approach included recommending the implementation of standardised data collection tools and processes across all operations, emphasising the importance of cross-departmental communication and data verification, addressing issues such as inconsistencies between HR and finance data.
Challenges:
- Understanding reporting requirements: To help with the lack of understanding of sustainability reporting requirements and limited awareness of sustainability beyond environmental aspects across, RSM conducted comprehensive training sessions for key personnel, explaining the nuances of sustainability reporting requirements.
- Data quality and availability: The client struggled with an absence of data control systems (especially in Mexico and the Dominican Republic) and inconsistent data collection and reporting processes across departments. RSM developed standardised reporting templates and schedules to ensure consistent data collection across all locations and worked with staff to incorporate sustainability responsibilities into their roles, providing necessary training and support.
How success was measured
- Enhanced understanding of sustainability reporting requirements: By providing comprehensive training and simplified interpretations of complex regulatory language, RSM significantly improved the client's grasp of sustainability reporting, enabling the organisation to more accurately and confidently report on their sustainability efforts.
- Improved management of KPIs: RSM helped the client develop and implement more robust systems for tracking and managing key sustainability metrics, particularly carbon footprint and water consumption, allowing the organisation to track progress more effectively and make data-driven decisions to reduce their environmental impact.
- Strengthened data control and verification processes: By implementing standardised data collection tools and processes across all operations, including those in Mexico and the Dominican Republic, RSM helped the client achieve more reliable and consistent sustainability data, enhancing the credibility of their reporting.
- Establishment of a sustainability framework: By introducing structured processes and guidelines, RSM helped the client transition from ad-hoc sustainability practices to a more organised and comprehensive approach. This framework provided a clear roadmap for future sustainability initiatives and helped embed sustainability considerations into various aspects of the business.
Creating a unique offering
By implementing this comprehensive approach, RSM in Spain not only met the immediate project objectives but also laid a strong foundation for the client's long-term sustainability journey. The improvements in data management, reporting processes, and overall understanding of sustainability issues positioned the client for more effective ESG performance and reporting in the future.
