The CSRD stands out from other ESG frameworks due to its regulatory nature and its focus on double materiality.

Unlike voluntary frameworks such as GRI or SASB, CSRD is mandatory for companies that fall within its scope, which means compliance is not optional.

This directive requires companies to report on both the financial impact of sustainability issues on the company and the company’s impact on the environment and society.

Another key difference is the level of standardisation CSRD brings. The directive aims to create a common reporting framework across the EU, ensuring that all companies provide comparable and consistent data. This contrasts with other frameworks that, while widely adopted, can be customised by companies, leading to varying levels of disclosure and comparability.

For companies already familiar with other ESG frameworks (ie GRI, SASB), the transition to CSRD may require adjustments in how data is collected and reported. However, CSRD’s alignment with existing standards like GRI means that companies can often build on their existing reporting practices.

More information on how CSRD interacts with other frameworks can be found through the European Commission.

Find more answers to common CSRD questions in our free CSRD guide.

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