EU Taxonomy Software
What EU taxonomy software needs to do
The EU taxonomy is a classification system that determines which economic activities can be considered environmentally sustainable. Companies within the EU, in particular financial market participants and large public interest entities, are obliged to report on the sustainability of their activities. Existing software solutions do not cover this area at all or only inadequately and are not adapted to the specific challenges of recording, checking and processing non-financial targets and key figures. In order to assess their business activities according to the EU taxonomy, companies must analyze the extent to which their activities contribute to the six defined environmental objectives and cause no significant harm (DNSH) to other objectives. This assessment is complex and requires a detailed examination of various business areas and processes, which can only be mastered through the use of structured software solutions, especially for larger companies. Dedicated EU taxonomy software offers several advantages that make it much easier to comply with the regulation and control the achievement of objectives.
Collaborative working
Collaboration between various stakeholders
Assessing sustainability according to the EU taxonomy is not a task that a single employee or department can handle alone. It requires the collaboration of various stakeholders within a company, including sustainability officers, financial experts, compliance managers and often external consultants. EU taxonomy software makes it possible to clearly define and manage the roles and responsibilities of these different actors. It can provide workflow management functions to ensure that each task is handled by the right person at the right time. Access rights and editing privileges can be customized according to the role of each stakeholder to ensure data integrity and confidentiality.
Mapping your corporate structure
Administration of complex company structures
For conglomerates operating in different sectors, the assessment according to the EU taxonomy can be particularly challenging. Each business activity must be assessed individually and the criteria for sustainability can vary from sector to sector. Good EU Taxonomy software can map complex corporate structures and enable companies to manage their diverse business activities efficiently. The software can help to understand the specific requirements of each activity and collect, assess and analyze the relevant data.
Simplification of the audit procedure
Workflows and predefined test steps
Good EU taxonomy software maps the complex regulations of the EU taxonomy, CSRD and other regulations you require in the form of structured workflows and test steps. In this way, the software enables you to ensure a uniform audit process and a minimum quality level in the assessment according to the criteria of the EU taxonomy. In this way, clarity is maintained throughout the entire audit process and you receive auditable results that can be included in your annual report with a clear conscience.
Basic functions of EU taxonomy software
Adjustable Multi Level Logic
Agile and flexible thanks to no-code technology
Dashboards
Reporting
Data integration from source systems
Corporate branding
Deviation monitoring
Future-proof
Data collection and reporting
Conclusion
EU taxonomy software is an indispensable tool for companies that have to deal with the challenges of EU taxonomy reporting obligations. It not only facilitates collaboration between different stakeholders and the management of complex corporate structures, but also helps to keep track of compliance with DNSH criteria. At a time when sustainable business practices are increasingly coming into focus, such a software solution can provide a decisive competitive advantage and help to boost investor and customer confidence.
hfp Impact Manager - the EU taxonomy software
Simply implement EU taxonomy - Software and consulting from hfp
hfp not only offers comprehensive advice on the EU taxonomy, but also an all-in-one software solution that supports you in implementing your sustainability reporting within the framework of the EU taxonomy, CSRD, ESG and other regulations. Contact us now without obligation and find out whether hfp solutions could be suitable for your company.