Reporting for Impact: Preparing the workforce for mandatory climate reporting in Australia

Mandatory climate-related reporting is revolutionising the business landscape, pushing organisations towards a net-zero future. This initiative goes beyond mere compliance and disclosure; it's about embedding climate considerations — both risks and opportunities — into core business strategies, decision-making processes, and risk management frameworks. By reshaping behaviour and investment priorities, this reporting empowers businesses to make smarter, more sustainable choices that foster long-term value creation. 

In Australia, the introduction of the Australian Sustainability Reporting Standards (ASRS), aligned with the IFRS Sustainability Disclosure Standards, represents a significant shift in how entities manage and disclose climate-related risks and opportunities. These standards require companies to integrate climate considerations across various business functions, establish new accountabilities, and ensure robust governance oversight from boards of directors. Enhanced performance measurement is also crucial, helping organisations transparently report on their climate impact over the short, medium, and long term. 

To successfully navigate these transformative changes, organisations must invest in developing new workforce capabilities across multiple business functions. This involves upskilling senior executives, identifying necessary skills across teams, and fostering the right capabilities throughout the organisation. Success hinges on having the right talents in place, ensuring that companies not only comply with new standards but also leverage them to create additional value and drive sustainability.