Operationalising materiality. Applied guidelines on how to identify and monitor the evolution of sustainability-related material issues

These guidelines aim to unveil how to identify and monitor the evolution of sustainability- related material issues. The materiality principle is acquiring increasing importance especially in the context of sustainability reporting. Great attention has been paid to this principle by the main standard setters and regulators, who in recent months are publishing important documents aimed at regulating future sustainability reporting. However, this evolution is only partially associated with an adequate guidance on the “operationalisation” of this principle in the context of (sustainability) reporting as well as in other business areas in which the identification of material issues appears to be of fundamental importance for developing a sustainable corporate strategy. These guidelines aim to fill this gap by providing practical recommendations on the evidence needed to make sound materiality judgements, and on the best practices in terms of the related governance processes.