MatchZINE – The CSRD and ESG Magazine
irst of all: You are not alone. Almost all medium-sized European companies will have to deal with ESG regulations and sustainability reporting. Here you will find a guide to choose CSRD software so that you start with the right tool and integrate excellent reporting processes. We also share with you our know-how from over 150 matchings for companies of different sizes and offer you a software comparison according to your individual criteria.
Are you already familiar with the main topics of sustainability reporting and would like to receive suggestions on the CSRD software providers that are right for your criterias?
Last update: February 15, 2024
The requirements regarding reporting obligations and ESG compliance will be with you constantly over the next few years. The main reason for this is the European Union’s Corporate Sustainability Reporting Directive (CSRD). It is no longer enough to simply have good intentions; companies must be transparent about their sustainability efforts and comply with legal requirements.
There are many hurdles to overcome on the way to a CSRD-compliant sustainability declaration: Lack of time and personnel, lack of data and data sources, being overwhelmed by the complex regulatory framework etc. – the list is long. CSRD reporting tools support companies in structuring their activities, collecting and analyzing data and creating well-founded reports. These tools and software solutions are not mandatory for most companies in the overall context of a CSRD software stack (i. e. all technical solutions for the sustainability sector), but in most cases they are a must. So much in advance: Meticulous creation of Excel sheets will not get you where you want to go with this topic.
Structured introduction to reporting
Many companies are facing a huge mountain of challenges with the new obligations. Many providers support the process with a software onboarding and/or by providing efficient advice until the first CSRD report. This structured support is one of the most important factors – especially for CSRD beginners!
Increased efficiency and cost savings
Manual CSRD reporting is time-consuming and error prone. Reporting tools automate processes by aggregating data, performing analyses and generating user-friendly reports. Especially in the case of annually recurring processes, you save a huge amount of time and resources that a sustainability manager can put to better use elsewhere.
Consistent data
By using CSRD software, you minimize the risk of human error in data collection and processing. The automated processes ensure consistency and accuracy of the data, resulting in reliable CSRD reports. In some cases, tools start the process as soon as individual documents are being scanned.
“Up to date” in terms of reporting standards
In the coming months and years, the CSRD standards will be successively adapted by various institutions and authorities (keyword: Set 1 of the European Sustainability Reporting Standards ESRS). You can assume that any necessary adjustments to reporting requirements will be incorporated directly into the system by properly selected software providers.
Transparency and external trust
Sustainability is an important factor for a company’s image. It can be assumed that “green KPIs” will become increasingly relevant for purchasing decisions. Transparent, standardized reports give stakeholders, investors and customers a constant insight into a company’s sustainability efforts. The consistency and uniform structure of the reporting strengthens trust and increases credibility.
Choosing the right CSRD tool provider is crucial for your future sustainability reporting. The first reporting will be a challenge. Both the software and the partner’s team will have a big impact on how efficiently your processes are set up. Here are some key criteria you should consider when choosing a suitable provider:
Pre-filter references/use cases
Providers of CSRD solutions have different focuses in terms of industries, company sizes, report types etc.. Filter out those providers that have already implemented reporting processes or an onboarding with companies similar to yours in order to draw on existing expertise for your challenges.
Data, visualisation and data protection
CSRD tools should be able to capture, manage and analyze large amounts of data/data points. In addition, dashboards to visualize the aggregated data will provide you with an important status quo. Speaking of data: Pay attention to the GDPR!
Integration/interfaces
The integration of the CSRD tool into existing systems such as Enterprise Resource Planning (ERP), Customer Relationship Management (CRM) or ESG software that you already use (such as LkSG software – Act on Corporate Due Diligence Obligations in Supply Chains) should be an important criterion for the CSRD tech stack. Seamless data transfer and synchronization between different platforms simplifies the workflow and avoids redundant work. This also includes the integration of your various Excel sheets.
Compliance/reporting standards
As CSRD reporting is associated with specific legal requirements, the selected tool should ensure that its provider complies with legal requirements. In particular, check whether the software meets the current and upcoming reporting standards and offers audit trail functions.
Competence/vision
It is this criterion that we would like to emphasize at this point. Until now there is no valid CSRD reporting. The decision for a software and its provider will (have to) largely consist of trust that the service provider you have selected will master future challenges with its software solution and its team. Take this into account in your discussions!
To help you to identify those providers that fit your requirements, we ask about key criteria in our match assistant for CSRD reporting tools at the end of this article
The costs depend very much on the size of the company (employees and number of locations) and the areas of application (e. g. special features in the real estate or financial sector). The costs for a basic package from recommended providers start from as little as 190 euros per month. More complex solutions, especially with an all-encompassing ESG suite, can cost up to > 5,000 euros per month.
Example: Costs for a company with a CSRD reporting obligation for 2024
The evaluation from our previous matchings for different sized companies (revenue from 150 million euros to 12.1 billion euros; as of November 2023), in which we excluded strong downward and upward swings, shows a range of investment from 9,000 euros to 35,000 euros in the first year. In most cases, this budget includes an initial consultation and personal support from the provider for onboarding. Pure software license costs are calculated at between 7,000 euros and 25,000 euros per year.
TIP! For a non-binding budget estimation, simply fill out our CSRD provider comparison (see below)!
To answer this question, let’s start with a quick fact: The Corporate Sustainability Reporting Directive commits companies to prepare reports that include around 1,150 data points (!) in accordance with the twelve European Sustainability Reporting Standards (Set 1 of the ESRS, ESRS software). For this reason, you should immediately put the “options” arround Excel sheets aside.
The use of CSRD tools and software solutions is quasi the key to meet reporting and compliance requirements efficiently. It doesn’t matter whether you see CSRD as an obligation or whether you want to take advantage of the opportunity to position yourself better than your competitors through sustainable measures. However, one thing is certain: Sustainability will be of great importance for all companies in the future.
As you can see from this article, we at Matchilla are working very intensively on the topic of CSRD reporting tools and are successively and carefully screening the provider market for our platform users. Thereby we consider hard and soft factors such as functions, reporting standards, interfaces, consulting and industry expertise, pricing, etc. of every single CSRD reporting software provider.
You can now benefit from this market overview and our expertise from over 150 CSRD and ESG matchings (mainly for SMEs and corporations): We are happy to help you from the CSRD software criteria catalog to the final provider selection and save you a lengthy market research.
Gone are the days of time-consuming research for you, gone are the days of creating a longlist combined with the resulting detailed analysis and correspondence, gone are the days of unnecessary expenditure of resources! We use our matching service to identify the three providers of reporting solutions in a clearly structured shortlist (we call it matchboard) that best suit your company. You only have to invest a few minutes. If your challenges are more complex, we will provide you with an extensive catalog of criteria so that you can make an even more detailed selection.
This comparison of CSRD tool providers is non-binding, free of charge and anonymous towards the providers.
Would you like to know which CSRD solution best suits your requirements? Simply fill out the match assistant.
The search for a suitable software application is simple and super-fast via Matchilla. Contact was made, specifications formulated and the results were there within a few days. This way, we also got information about software that we hadn't heard of before. A real added value. Thank you Matchilla.
Why should you use Matchilla to select CSRD software?
In this article, we have explained in detail how dynamically the CSRD software market is developing. The resulting lack of transparency makes the research of the options and of the selection process complex and complicated.
We have already successfully completed the structured matching process for over 150 companies (SMEs and corporations). We have the best maintained database of CSRD software solutions thanks to our many discussions with companies and relevant providers. With this market overview and our personal expertise, you will gain an immense knowledge advantage that will save you weeks of research work and lead you to the right provider in a structured process.
What does it cost to create a matchboard with a comparison of CSRD software providers?
Matchilla’s service is free of charge, non-binding and anonymous to the providers. The individual determination and the supply of extensive background information in order to select the best CSRD software for you is financed by the providers’ platform fees. In general, we do not have a paid contractual relationship with you and you can terminate the matching at any time.
How do I start CSRD matching?
Simply start by filling out the Match Assistant for CSRD software. This will give us an initial insight into your requirements. We will contact you personally if further specifications are required. Finally, we sharpen the selection criteria and add further individual factors to the matching process in addition to the standard data. From the aggregated information, we create the matchboard on our platform with the three CSRD tool providers most relevant to you.
Can the results from the matching be used in procurement?
In the next step, you can use Matchilla for a CSRD software tender and directly request presentations and price offers from those providers that meet your compliance regulations. Using the invite function, you can share the offers not only with procurement, but also with all decision-makers in your company.
How can I be sure that Matchilla selects the right software for our CSRD reporting?
Our selection process is based on an efficient interplay of data, algorithms and a good dose of personal expertise. No matchboard is released without the input of one of our CSRD experts.
Think of Matchilla as a neutral sparring partner in this software selection process. We would like your company to use the services of the Matchilla platform for many more searches for service providers in the future. That is why we are keen to ensure that you won’t only have access to an excellent procurement process, but that you ALWAYS find the best possible providers through us.
Try it/us out without obligation: We look forward to matching you!
Ulli Theves is Head of CSRD and ESG Reporting Matching at Matchilla and an expert for technical solutions in the field of sustainability. He shares his expertise in MatchZINE and regularly publishes news and interesting facts about ESG.
Match me if you can!
