Scope ESG, a subsidiary of European credit ratings provider Scope Group, has enhanced its performance score to present a ‘3D view’ of companies’ sustainability efforts, adding strategy analysis to impact and risk assessments. Designed for firms of any size, the solution looks to respond to heightened pressure from investors and regulators to maximise long-term value. According to Scope, there is a lack of all-round assessments of the double materiality of impacts and risks, and of the systems and strategies companies have in place to mitigate those. Scope’s analysis shows stakeholders how they can create value sustainably, and how they can align with ESG disclosure requirements such as the EU’s Corporate Sustainability Reporting Directive and Sustainable Finance Disclosure Regulation. Scope assessed firms in Germany’s DAX40 benchmark index, ranking them through three core sustainability indicators. Deutsche Telekom led the company rankings with a weighted average of 81.1, ahead of Deutsche Borse (70.9), Infineon (69.9) and Allianz (67.5). “[A] double materiality approach requires integrating assessments of a company’s impact on the environment and society and the risks to the business from ESG factors, [but] we go a step further with our 3D approach,” said Wendy Fernandez, Director at Scope ESG. “What is vital is analysis of how companies manage those impacts and risks – in essence, their sustainability strategy – hence the extra value of ESG Performance Score to sustainability managers, investors and other corporate stakeholders.”
