Table of contents
What is an ESG Audit?
An ESG audit evaluates the company’s operations, policies, and strategy from the perspective of environmental (E), social (S), and governance (G) criteria. It determines how well the company aligns with sustainable development goals and uncovers areas for improvement. ESG audits are valuable for companies aiming to meet stakeholder expectations, satisfy due diligence demands, or position themselves as responsible business partners.
Why Understanding Business Processes Is Key to ESG Implementation
Effective ESG transformation starts with a clear understanding of the company’s existing operations. ESG data used for sustainability reporting under ESRS must be grounded in day-to-day business processes. This means examining how the organization functions in practice—not just strategy documents. Mapping the actual workflows (“as-is”) enables accurate identification of ESG-relevant areas, such as emissions, supplier ethics, or anti-corruption practices. This forms the foundation for ESG planning and integration.
Example: A property management company initiated an ESG audit to clarify who is responsible for energy and water usage data—landlord or tenants. The audit revealed opportunities for quick sustainability wins through minimal investments, such as optimizing water usage and expanding green areas.
What Are the Key Stages of an ESG Audit?
- Kick-off training to introduce ESG concepts and audit goals
- Business Process Maturity Assessment (BPM Maturity)
- Mapping processes critical for ESG transformation
- Final report with KPI system and improvement roadmap
The process begins with training sessions—online or on-site—to build awareness among staff. Then, we assess ESG-related process maturity using internal workshops and map out the company’s real operational structure. This step identifies the most influential processes for ESG impact.
The audit ends with a report summarizing findings, ESG impact areas, KPI proposals, and action plans to guide ESG integration into business strategy.
Benefits of Conducting an ESG Audit
- Clarity on how your business model aligns with ESG principles
- Identification of gaps and recommendations for change
- Support for strategy alignment with ESG frameworks
- Informed budgeting for sustainability transformation
Risks Related to ESG Auditing
ESG audits pose minimal external risk since they are internal exercises and not mandatory reports. However, challenges may include change management and data availability. Successful implementation requires company-wide buy-in and transparency in operations and documentation.
How Long Does an ESG Audit Take?
On average, an ESG audit takes about 2 months. The timeline depends on:
- The availability and quality of process maps
- The complexity of the company’s operations
- The number of employees and departments involved
Initial training usually begins within 2 weeks of contract signing. BPM maturity assessment and process mapping take around 1–2 months, followed by report preparation and KPI development in the final stage.
