Yes, CDP (formerly the Carbon Disclosure Project) is a leading global environmental disclosure system widely considered a key framework for Environmental, Social, and Governance (ESG) reporting. It focuses heavily on the "Environmental" aspect, requiring companies to disclose data on climate change, water security, and deforestation.
👉 Takeaway: CDP scores = transparency & impact (and a window into management quality). ESG scores = window into financial risk. Different tools, different purposes — at least until policy and progress more fully level the playing field, making what's good for the planet also good for investors.
CDP is a popular voluntary reporting framework that companies use to disclose environmental information to their stakeholders (investors, employees and customers). Reporting is completed on an annual basis, with the portal opening in April every year and submissions due in July.
ESG reporting frameworks are used by companies for the disclosure of data covering business operations and opportunities and risks that are related to the environmental, social and governance (ESG) aspects of the business.
CDP, formerly known as the Carbon Disclosure Project, is an international nonprofit organization that provides an environmental impact disclosure system for use by both the private and public sectors.
CDP is pleased to commit to the following codes of conduct focusing on the provision of ESG ratings and data products, and outline how we comply with these where they apply to our activities: Japan Financial Services Agency's Code of Conduct for ESG Evaluation and Data Providers.
The "Big 4" in ESG standards generally refers to the leading, complementary frameworks: GRI (Global Reporting Initiative) for broad stakeholder impact, SASB (Sustainability Accounting Standards Board) for investor-focused financial materiality, TCFD (Task Force on Climate-related Financial Disclosures) for climate risks, and CDP (formerly Carbon Disclosure Project) for environmental performance disclosure, often used together for comprehensive reporting, with newer ISSB standards gaining prominence.
The three pillars of ESG (Environmental, Social, Governance) are the core criteria used to evaluate a company's sustainability and ethical impact: Environmental (planet impact), Social (people impact), and Governance (how the company is run). These pillars assess a company's performance beyond just financials, looking at its effects on the planet, its stakeholders (employees, customers, communities), and its internal structure, ethics, and accountability.
As a unified data source, the CDP enabled businesses to activate personalized marketing, orchestrate journeys and measure outcomes with far greater accuracy. Today, CDPs still deliver significant value in several core areas.
ESG, the 3 dimensions for a sustainable future
In 1987, the Brundtland Report (“Our Common Future: The World Commission on Environment and Development”) introduced the three pillars or principles of environmental, social, and economic sustainability, also known as ESG (Environmental, Social, Governance).
The CDP (formerly known as the Carbon Disclosure Project) is an investor-minded global not-for-profit that encourages businesses to voluntarily report on various climate, supply chain, and environmental indicators every year.
CDP (formerly the Carbon Disclosure Project) is an international non-profit organisation based in the United Kingdom, Japan, China, Germany, Brazil and the United States that helps companies, cities, states, regions and public authorities disclose their environmental impact.
GRI provides the global common language for organizations to report their environmental, social and economic impacts – the GRI Standards. CDP is the global independent disclosure system for companies to measure and manage their environmental impacts.
CDP is a well-recognised framework to report sustainable targets including carbon, forestry, and water. It covers governance, strategy, and results, with an overall annual grading of 'A' to 'F'.
The core of ESG is Environmental, Social, and Governance, but some frameworks add a fourth pillar, often Disclosure, Transparency, or even Economic Performance, to create a holistic view of a company's long-term sustainability and responsibility beyond just profits, covering planet, people, and ethical practices.
Sustainability aims to balance economic, social, and environmental aspects for the long-term well-being of present and future generations. While ESG is a specific framework used to assess the environmental, social, and governance performance of companies, investments, or projects.
However, environmental, economic, social, and human sustainability focuses on preserving future generations and improving the quality of life. We're exploring the link between these pillars and climate change, and how effectively incorporating them into our processes can help combat the climate crisis.
A CDP enhances personalization through advanced data management, while a CRM helps teams maintain strong, ongoing relationships. Combining both allows businesses to create a seamless, customer-centric experience.
A customer data platform (CDP) keeps track of the key customer data you need to gain deeper understanding of you customers' life cycle; where they come from, what interactions guide them to becoming customers, and what leads them to deepen their investment & relationship with your business.
Four popular ESG reporting schemes that complement each other
Typically, ESG reporting frameworks include a range of ESG performance measurements, including board diversity, greenhouse gas emissions, and DE&I. They also guide on: What ESG metrics you should track and report. How to structure your ESG report.
The 5 Ps of ESG are People, Planet, Profit, Purpose, and Process. Together, they guide businesses to focus on sustainability, ethical practices, and meaningful growth while delivering value to all stakeholders.
The 3 P's for ESG are People (Social), Planet (Environment), and Profit (Governance), balancing sustainability and business performance together.
ESG frameworks provide overarching principles and structure for sustainability reporting. They guide organizations on what to disclose and how to present the information. Frameworks tend to be broad and adaptable across sectors and regions. ESG standards, by contrast, specify the exact disclosures and metrics required.
An ESG checklist is a useful tool for evaluating an organization's environmental, social and governance practices and the risks associated with each of these areas. ESG audits can be internal or external and typically support current compliance requirements as well as other pieces of your risk management strategy.