MANAGEMENT APPROACH

Disclosures should also be accompanied by a management approach which

describes the
management of material sustainability issues. This includes explaining how the
organization (1)
avoids, mitigates, or remediates negative impacts to the economy, environment, and
society, and
enhances positive ones, and (2) addresses its climate-related issues. The
management approach
also includes an assessment of material risks and opportunities associated with
sustainability,
management and oversight of such opportunities and risks at the highest level of the
organization
and performance assessment, using key performance indicators. These approaches
can be in the
form of organization policies, commitments, goals and targets, responsibilities,
resources,
grievance mechanisms as well as processes, projects, programs, and initiatives. See
GRI 103 for
more guidance on the management approach.
Reporting organization should report on the management approach for each material
issue
with the following information:
a. An explanation on the materiality of the topic;
b. The boundary for the material topic, which includes a description of where the
impacts occur,
and the organization’s involvement with the impacts.
c. An explanation of how the organization manages the topic and the objectives.
Management Approach Components
When reporting on the management approach for a material topic, the reporting
organization should ideally include a description of the following components, when
applicable:
i. Policies.
Summary or link to the publicly available policies relevant to the topic.
ii. Commitments.
Intent of the organization to manage the impacts related to the topic (e.g., for
regulatory
compliance, compliance with international standards).
iii. Goals and targets
Highlights of the following: (i) baseline and context; (ii) expected result (quantitative
or qualitative);
and (iii) expected timeline for achieving each goal and target.
iv. Responsibilities.
Assigned responsibility for managing the topic and whether the responsibility is linked
to
performance assessments or incentive mechanisms. 33
v. Resources.