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A Structured Approach to ESG Audits for SMEs
We offer a structured ESG audit process designed to help SMEs understand their environmental, social, and governance (ESG) performance. Our methodology ensures that businesses not only meet ESG compliance standards but also create actionable roadmaps for improvement.
Each audit is informed by a materiality assessment, ensuring that the topics covered are relevant to your specific business model. From high-level ESG internal audit to detailed ESG reporting, our approach aligns with GRI Reporting, SASB Industry Standards, and ESRS disclosure guidelines for CSRD/CSRDD compliance. The GHG Protocol underpins all reporting to capture both upstream and downstream emissions.
Understanding the ESG Audit Process
An ESG audit requires a structured approach to collecting and analysing business data. We use a workbook format to organize information, making it easier to track ESG compliance and performance over time. *Some key data points include:
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Energy Consumption: Electricity/gas kWh usage, solar energy and fleet fuel card reports
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Waste Management: Waste stream data (kg) and disposal methods
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Water Usage: Reports from Water provider
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Employee Information: Staff training & development, health & safety data and incident reporting, staff turnover and absenteeism data
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Business travel & employee commuting information: Number of flights per year/Distance and mode of transport to/from work
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Building Information: Building sizes, storage requirements, lease agreements, biodiversity in and around the building
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3rd Party products and services: Purchase data, payment terms and supplier evaluation processes​
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Business Conduct: Information about ethics, company culture and prevention methods for corruption and bribery,
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Governance: Information on policies that relate to sustainability practices and the legislation requirements of the business, as well as business management processes around quality e.g approach to risk management and corrective action.
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We also conduct an on-site observation day to validate data and assess behavioural patterns influencing sustainability practices.
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*Not all data points are included.. For example purposes only.
Aligning ESG Audits with Regulatory Frameworks
With increasing regulatory demands, SMEs must align their ESG strategies with global standards. Our audits adhere to:
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GRI and SASB for structured and transparent ESG reporting
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ESRS disclosure guidelines for businesses under CSRD/CSRDD requirements​
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GHG Protocol to ensure comprehensive carbon accounting
By following these frameworks, your organisation gains clarity on ESG audit requirements, reduces risk exposure, and improves stakeholder trust.
Transforming Audit Insights into Sustainable Action
The final ESG audit report isn’t just a compliance document—it’s a roadmap for meaningful change. The report includes:
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Carbon contribution data with reduction strategies
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Policy recommendations for improved governance
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A sustainability action plan with clear, achievable targets
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A baseline workbook template to track ESG performance over time
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By implementing these recommendations, businesses can make tangible progress toward sustainability and ESG compliance.
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What is a materiality assessment?A materiality assessment helps businesses identify the most important ESG topics that impact their operations and stakeholders.
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How does an ESG audit benefit my business?An ESG audit provides a structured evaluation of your sustainability performance and ensures compliance with industry standards and regulations.
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Why is ESG compliance important?Compliance with ESG regulations ensures that your business meets sustainability goals, attracts investors, and builds trust with stakeholders.
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How can Towards Sustainability help SMEs?We provide expert guidance, data-driven insights, and actionable roadmaps to help SMEs integrate ESG sustainability into their business practices.