Identifying impacts and risks related to nature and disclosing thisinformation is crucial as it ensures organizational accountabilityand transparency, which can build trust among stakeholders andconsumers. It enables companies to proactively addressenvironmental challenges, mitigate risks, and adapt to changes,thereby securing long-term sustainability and resilience.Furthermore, such disclosures support informed decision-makingby investors and other financial actors, who increasingly seek tosupport businesses that demonstrate environmentalresponsibility and align with global sustainability goals. Bodiessuch as the Taskforce on Nature-related Financial Disclosures(TNFD) and the Science Based Targets Network (SBTN) providemethodologies to assess nature-related issues.
However, the methodologies presented are difficult forcompanies to use due to the large amount of different data, toolsand techniques used. Deloitte has developed a dashboard thatallows organizations to assess nature-related issues in alignmentwith the TNFD LEAP approach and to present key informationrelated to dependencies, impacts, risks and opportunities (DIROs)in a simple and easy-to-understand format.
The tool is designed to identify and assess dependencies, impacts, risks, and opportunities in nature, and offers adashboard visualization option to present the high-level results of the analysis. It can be used by a variety ofcompanies seeking to define their DIROs according to the method proposed by the TNFD, namely the LEAP approach.This approach consists of four phases: Locate, Evaluate, Assess and Prepare.
The developed dashboard helps to identify, evaluate, and manage nature-related risks and opportunities, thereby integrating ecological considerations into financial and strategic decision-making processes
Ivan Kukhnin
Partner, Deloitte NL
The TNFD has introduced a framework known as the"LEAP" approach to guide organizations in reportingand acting on nature-related risks and opportunities."LEAP" is an acronym that stands for the four keyphases of the approach: Locate, Evaluate, Assess, and Prepare.
By employing the LEAP approach, companies can notonly manage risks but also contribute to globalefforts to halt biodiversity loss and promote thesustainable use of natural resources. The tool coversthe first three steps of the LEAP approach and can beused as a basis for the Prepare phase.
The document “Guidance on the identification andassessment of nature-related issues: The LEAP approach”is available here: Guidance on identification andassessment of nature related issues
The Dashboard is based on Power BI and allows a company to evaluate its activities in a semi-automatic mode, usingdatabases developed in Excel. The results of the assessment are displayed in a convenient dashboard. Thedashboard provides a visual representation of all company locations that have been assessed, showing key indicatorsfor each location such as the type of operation, biome classification, and an evaluation of natural sensitivity.Additionally, it enables users to compare DIROs or individual locations or show results for the company overall. TheDashboard contains filters that allow you to evaluate information for a specific location or country, as well as for aspecific operation.
To conduct a DIRO analysis during the database population stage, we use the TNFD recommendations as well as datasourced from various external tools and databases. These sources help assess the environmental conditions atspecific locations and understand the interaction between industrial sectors and nature.
The tool also provides an opportunity to analyze the statistical information that was used for the visualization. Thesepages can easily be customized for a specific company, and various indicators can be placed on the statistical pages. Various graphs and infographics can be added for strategic decision making.
To discuss any of the themes of this article, or for help with your own nature reporting, please contact us or your usual Deloitte contact.