ESG and SAP – No Action Without Data

The number of companies subject to the European sustainability reporting requirements according to the CSRD is steadily increasing. However, without a consistent and reliable data foundation, ESG reporting becomes an overwhelming challenge. The Knauf Group has recognized this need and therefore decided to conduct the ESG Preparation Analysis with IBIS Prof. Thome AG to assess the readiness of their existing data infrastructure and determine whether SAP-based ESG reporting, with the same transactional traceability as in the financial business report, is realistically achievable.

In recent years, Knauf has consolidated the group's former 15 to 20 SAP systems into two central systems. This consolidation enabled group-wide, uniform data management, providing a solid basis for ESG reporting. “Our goal was to determine whether our existing data from the ERP core systems are usable and audit-proof for ESG purposes,” explains Torsten Höhn, IT Solution Architect at Knauf. It was particularly important to identify existing data sources and assess whether they ensure long-term audit-proof data quality.

The IBIS Prof. Thome AG, known for its SAP utilization analyses, developed the ESG Preparation Analysis, a web-based tool that analyzes data quality and flows and identifies weaknesses. The process runs almost fully automatically and involves minimal effort, as Höhn confirms: “The data collection was associated with minimal effort for us and allowed us to obtain preliminary results in a short time.” The prepared data can then be viewed in detail—down to the plant level—via a web-based dashboard.

A central aspect of the project focused on energy and waste documentation. The results showed that only 12% of the plants systematically record their energy data—a clear indicator of the need for action. “While we have defined globally uniform processes, they have not yet been implemented across the board,” Höhn further explains. The global energy procurement process, introduced just a year and a half ago, especially requires more time to be adopted across all organizational units.

In the area of waste management, the analysis also revealed potential for optimization. Knauf currently uses the General Ledger Account “Disposal to waste” for booking disposal costs. While these financial records show that there is a process, they do not capture all necessary data. The IBIS application identified additional SAP functions to specifically adapt the process for ESG reporting data.

The analysis confirmed to Knauf that the goal of transactional ESG reporting is achievable since many fundamental data such as energy are already captured in the system. In terms of audit-proofing, however, the uniform use of global processes across all organizational units remains a significant challenge.

Knauf continues its committed effort to build a fully integrated ESG reporting system. The support of IBIS Prof. Thome AG provided a rapidly implementable solution that enables a comprehensive analysis of SAP-based processes and data. Concrete action recommendations and a strategic approach to digitalization in the context of sustainability are now the next steps. The analysis results clearly highlight where gaps exist and what measures are necessary to secure data quality for long-term ESG reporting. The task now is to anchor the insights gained within the organization and ensure that globally defined standards are consistently implemented.