The maturity assessment is the starting point for meeting the expectations of different stakeholders or launching strategic improvements and compliance with different ESG-related regulatory requirements. This is all assessed against a set of criteria based on the company’s needs, such as the requirements of an ESG rating agency or compliance with various reporting standards and regulations. The process includes an overview of the company’s ESG setting, goals in these areas, and how they align with its long-term business goals. Using the results, the company identifies and understands its activities and performance through the three dimensions of ESG in a structured assessment conducted by KPMG, and we help determine the development areas by formulating recommendations for improvement. This assessment allows the company to implement structured actions to achieve its strategic goals in the ESG areas.
KPMG generally recommends that companies conduct comprehensive ESG due diligence in the following cases:
- various regulatory compliance assessments, such as the EU Taxonomy Regulation and entities that fall under the scope of the CSRD and its local implementation of the Hungarian ESG legislation;
- prior to designing or developing an ESG strategy;
- as a first step towards preparing for ESG rating;
- in conjunction with a (double) materiality assessment prior to developing a sustainability or ESG report;
Taking the process as a whole, we review and assess environmental, social and governance aspects and activities based on internal and external stakeholder inquiries, and a review of internal policies, strategy and operational documents. We examine each of the relevant sub-areas of the three ESG dimensions, tailored to the company’s regulatory and market expectations, industry operations and objectives. The analysis can be supplemented with competitor benchmark analyses as well as with market and regulatory compliance.
