
In this blog, I will be outlining how we can set-up qualitative metrics by their ESG area in SAP Sustainability Control Tower(SCT) from both ESRS (European Sustainability Reporting Standards) and BRSR (Business Responsibility & Sustainability Reporting) framework perspective.
As part of March 2025 release, SAP has released a new feature to create "Qualitative Metrics" by their ESG area. We can assign applicable sustainability matter and define disclosure references based on the applicable reporting standard version. Reference type Narrative, Semi-Narrative, or Boolean can be used to determine the form that the reporting should take.
My Business use case for Qualitative Metric:
From ESRS framework perspective, I have considered the disclosure requirement S1-14:Health and Safety Metrics - The undertaking shall disclose information on the extent to which its own workforce is covered by its health and safety management system and the number of incidents associated with work-related injuries, ill health and fatalities of its own workforce.
From BRSR framework perspective, I have considered Essential Indicator - 4 : Whether the Extended Producer Responsibility (EPR) is applicable to the entity`s activities (Yes/No). If yes, whether the waste collection plan is in line with the extended producer responsibility(EPR) plan submitted to Pollution Control Boards? If not, provide steps taken to address the same, from Section-C, Principle-2 : Business should provide goods and services in a manner that is sustainable and safe.
Let us first understand the master data management to establish qualitative metrics from ESRS and BRSR framework perspective.
Master Data Management:
Disclosure Requirement:
Reporting Standard:
Sustainability Matter:
Reporting Standard Version:
Data Point:
Data Point for ESRS S1-14, AR 81
BRSR Section-C,Principle-2, Essential Indicators 2a,2b,3 & 4
Now, let us create Qualitative Metric for ESRS ,S1-14 : Health and Safety Management System for own workforce.
Use "Manage Metrics" application to create a qualitative metric.
Specify the Metric ID, Metric Name, ESG Area, Sustainability Matter, and Metric Description.
Specify the Disclosure References : Reporting Standard, Disclosure Requirement, and Data Point.
Specify the Assurance parameters.
Specify the Reference Types Definition and save the metric.
Now, let us use "Manage Qualitative ESG Data" application to upload the data for the qualitative metric that we have created, i.e., "Occupational health and safety management system".
Use " Add Data" option to provide the disclosure information.
Choose the metric id and select the period from the dropdown value and provide the disclosure narrative to report out.
Now, let us create and provide disclosure information for BRSR (Business Responsibility and Sustainability Reporting) Qualitative Metric : Section-C, Principle-2, Essential Indicator - 4 : Whether the Extended Producer Responsibility (EPR) is applicable to the entity`s activities (Yes/No). If yes, whether the waste collection plan is in line with the extended producer responsibility(EPR) plan submitted to Pollution Control Boards? If not, provide steps taken to address the same.
Use "Manage Metrics" application to create qualitative metric - Specify the Metric ID, Metric Name, ESG Area, Sustainability Matter, and Metric Description.
Specify the Disclosure References : Reporting Standard, Disclosure Requirement, and Data Point.
Specify the Assurance parameters.
Specify the Reference Types Definition and save the metric.
Now, let us use "Manage Qualitative ESG Data" application to upload the data for the qualitative metric that we have created, i.e., "Extended Producer Responsibility (EPR) is applicable to the entity`s activities (Yes/No)".
Select the Metric Id and period from the dropdown values and provide the disclosure narrative to report out.
The summary of Qualitative Metrics published for a specific period.
😊This brings me to the end of process walkthrough on "Manage Qualitative Metrics" in SAP Sustainability Control Tower (SCT). I hope my blog proves useful to Sustainability Control Tower team. I believe that this qualitative metric management brings a significant value addition to the business, especially when adopting sustainability frameworks, such as ESRS , BRSR etc.
If you want to keep up with the key aspects of SAP Sustainability Control Tower(SCT), SAP EHSM : Environment Management, as well as their seamless integration, check out my SAP Blogs mentioned below.
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Yours Sincerely,
Pardhasaradhi Reddy.C
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