26 February 2018: A study assessing corporate reporting on the SDGs concludes that most of the world’s biggest companies are not reporting the business case for taking action on the Goals. The KPMG study reviews corporate SDG reporting from the world’s 250 companies, based on nine SDG reporting quality criteria.
The study titled, ‘How to report on the SDGs: What good looks like and why it matters,’ finds that in 2017, 40% of companies acknowledged the Goals in their corporate reporting, with 84% of those identifying the SDGs they consider most relevant to their business. However, less than one in ten reported a business case for action on the SDGs, or set specific and measurable business performance targets related to the Goals.
The analysis was based on a review of public reporting in annual financial accounts, websites, corporate responsibility and sustainability reports and standalone SDG reports published between 1 July 2016 and 30 June 2017. Key findings from the study include the following:
- The SDGs most commonly prioritized by companies are SDG 13 (climate action), SDG 8 (decent work and economic growth) and SDG 3 (good health and wellbeing).
- The SDGs least commonly prioritized are SDG 15 (life on land), SDG 2 (zero hunger) and SDG 14 (life below water).
- Of companies that report on the SDGs, 75% discuss the impact their business has on the goals. However, reporting is unbalanced, with most companies discussing positive impacts, but not negative.
- Almost 40% of companies that report on the SDGs include the Goals in their CEO and/or Chair’s message.
- Only one in five reporting companies reports on any of the 169 SDG targets.
The study also aims to help companies report on the SDGs, including with information on where to start and what good SDG reporting looks like. It proposes criteria for SDG reporting related to understanding prioritization and measurement.
KPMG, a global network of professional services firms providing audit, tax and advisory services, operates in 154 countries and territories. [KPMG Press Release] [Report Landing Page] [Publication: How to Report on the SDGs: What good looks like and why it matters]