Materiality Assessment
The strategic foundation for your sustainability management
Materiality analysis is a structured process that companies use to identify which sustainability issues are relevant to them. It forms the basis for sustainability management and reporting. The aim is to identify, evaluate and prioritise the material issues. This enables companies to target their sustainability efforts.
The perspectives of double materiality
The analysis considers two perspectives:
Inside-Out: This focuses on the company’s environmental and social impact. The aim is to identify the areas in which the company has a significant impact, both positive and negative.
Outside-In: This perspective examines how external sustainability factors affect the company itself. The goal is to identify relevant opportunities and risks that could influence the company’s economic success and long-term resilience.
Using climate as an example: the analysis considers both the greenhouse gas emissions generated directly by the company or along its value chain (Inside-Out), as well as opportunities such as developing new business areas through climate adaptation, or risks arising from more frequent extreme weather events (Outside-In).
The materiality matrix
A commonly used output of the analysis is the materiality matrix, which maps topics along the two key perspectives: impacts on environment and society (Inside-Out) and financial risks and opportunities (Outside-In). It helps visualize the breadth of relevant topics but does not replace a thorough assessment of materiality.
Important: Topics located in the “top-right corner” of the matrix are not the only ones considered material. According to the ESRS, a topic with significant impacts but limited financial relevance may still be subject to reporting requirements. The matrix is therefore a visualization tool—not a standalone decision-making basis.
A well-founded materiality analysis offers several key benefits:
- Systematic analysis and strategic integration of sustainability topics in your company’s specific context
- Clear focus and prioritization for efficient resource allocation
- A solid foundation for meeting regulatory requirements for non-financial reporting (e.g., OR 964, CSRD, etc.)
- Greater transparency and enhanced credibility of your sustainability strategy
- Structured involvement of internal and, if needed, external stakeholders to incorporate diverse perspectives and expectations
How SuCo supports you
We support you in laying the foundation for your sustainability strategy and reporting through a well-founded materiality analysis. Our clear, structured approach helps you identify relevant impacts, risks, and opportunities and prioritize the topics that matter most.
Our services Include:
- Context analysis, including benchmarking with competitors
- Analysis of your value chain
- Integration of relevant topics from recognised standards (GRI, ESRS) and company-specific topics if needed
- Facilitation of workshops for topic evaluation and prioritisation
- Engagement of internal and external stakeholders
- Detailed documentation of the process and outcomes
The right approach for your company
Using our proven and efficient methodology, we create materiality analyses that are individually tailored to your company. Whether you need an initial pragmatic analysis of the impact of your business activities, an update of an existing materiality analysis, or a comprehensive double materiality analysis in accordance with CSRD, we will work with you to develop the right approach. This ensures that the scope and depth of the analysis are precisely aligned with your strategic goals, regulatory requirements and company resources.
Single materiality assessment
Focuses on your company’s impacts on people and the environment (Inside-Out perspective). It is a pragmatic first step and offers a strong entry point.
- Perspective: Inside-Out
- Topics covered: Based on GRI standards
- Stakeholder involvement: Optional
- Special feature: Lean approach with strong informative value
Ideal for: SMEs taking their first ESG steps and establishing a solid foundation for their sustainability strategy and reporting.
Double materiality assessment
Incorporates both Inside-Out and Outside-In perspectives, linking sustainability issues to business risks, opportunities, and strategic goals.
- Perspective: Inside-Out and Outside-In
- Topics covered: Based on GRI and ESRS standards
- Stakeholder involvement: Topic-specific interviews
- Special feature: In-depth value chain analysis and comprehensive benchmarking against competitors
Ideal for: companies reporting under OR 964 or CSRD, or those taking a holistic and strategic approach to sustainability.
Our three-step approach
1. Foundation & Context Analysis
We begin by analyzing your company within the context of its current operating environment. This includes reviewing relevant internal documents, mapping your value chain, and considering external factors such as applicable regulations. The insights gained are aligned with the sustainability standards relevant to your organization and benchmarked against key industry peers. The result is a company-specific longlist of potentially material topics — based on your company’s impacts on people and the environment (inside-out) as well as financial risks and opportunities (outside-in).
2. Assessment & Prioritisation of Topics
In the second step, we assess and prioritize the identified topics in workshops with key internal stakeholders such as sustainability managers, executive leadership, controlling, or risk management. To ensure a comprehensive perspective, we complement the internal view with expert interviews or stakeholder workshops. Based on all gathered insights, we collaboratively define clear thresholds that determine when a topic is considered material.
3. Validation & Reporting
In the final step, you validate the prioritized topics for your organization. We compile the decision-making basis in a clear and concise format and present the results directly to the relevant governance bodies if needed. Following validation, you receive complete documentation of the process and outcomes – including ready-to-use text modules for your sustainability reporting in line with the selected standard. These can be integrated directly into your reports with minimal additional effort.
What you'll get from us
- Prioritization of the sustainability topics that are most material to your organization, providing a strategic foundation for your sustainability management
- Company-specific materiality matrix
- Guidance throughout all phases of the analysis and facilitation of stakeholder workshops
- Comprehensive documentation, including ready-to-use text modules describing the process and outcomes of the materiality assessment, which can be directly integrated into your sustainability reporting
Project Examples
Book a free initial consultation.
We invite you to acquaint yourself with us – with no obligation and tailored to your specific requirements.