CSRD
What is the CSRD?
To address the growing demand for transparency on sustainability risks and the impact of business activities on environmental, social, and governance (ESG) factors, the EU introduced the Non-Financial Reporting Directive (NFRD) in 2014. However, it was seen as insufficient which led to the introduction of the Corporate Sustainability Reporting Directive (CSRD).
To achieve more standardized and detailed sustainability reporting, the European Financial Reporting Advisory Group (EFRAG) developed the European Sustainability Reporting Standards (ESRS), which form the technical basis for reporting under the CSRD.
The CSRD, along with the ESRS, introduces stricter reporting requirements and aligns with the EU Green Deal and the EU Taxonomy, a system that helps companies assess whether their activities are environmentally sustainable. SAP’s 2024 Sustainability statement is prepared using ESRS standards.
Materiality
Materiality Assessment
To identify sustainability topics for our Integrated Report, in 2024 we conducted a double materiality assessment (DMA) following the new European Sustainability Reporting Standards (ESRS) under the Corporate Sustainability Reporting Directive (CSRD). Under the DMA, sustainability topics are evaluated from both financial (risks and opportunities) and impact (positive and negative impacts) perspectives; a single impact, risk, or opportunity (IRO) triggers materiality for an entire topic.
Sustainability Strategy
Our Sustainability Strategy
At SAP, our mission is to "help the world run better and improve people’s lives" by embedding sustainability into the core of our business and the businesses we serve.
Our strategic approach to sustainability focuses on three pillars—climate action, circular economy, and social responsibility—with dedicated programs and initiatives to drive positive change. We pledge to achieve net-zero emissions along our value chain by 2030, in line with a science-based 1.5 °C future.
Additionally, we aim to operate free of single-use plastics, strive towards zero e-waste in our operations, and respect and advance human rights across our value chain. Our efforts include fostering an equal, inclusive, and healthy workplace, powering equitable access to economic opportunity, education, and employment, and safeguarding ethical AI use, data protection, and privacy.
To support our customers on their Sustainability journey, we offer a comprehensive suite of SAP Sustainability solutions. Our cloud-based, AI-enabled solutions are designed for companies of all sizes and industries, helping them embed sustainability into every aspect of their operations. Key offerings include SAP Sustainability Control Tower, SAP Sustainability Footprint Management, SAP Sustainability Data Exchange, SAP Responsible Design and Production, SAP Sustainability solutions for social responsibility, SAP Green Ledger, and SAP Business AI.
| Topic | # | Sub-Topic | Source |
| Environmental | 1 | Climate change | View the Integrated Report section |
| 2 | Pollution | This topic is not material for SAP | |
| 3 | Water and Marine Resources | This topic is not material for SAP | |
| 4 | Biodiversity and Ecosystems | This topic is not material for SAP | |
| 5 | Circular economy | View the Integrated Report section | |
| Social | 6 | Own Workforce | View the Integrated Report section |
| 7 | Workers in the Value Chain | View the Integrated Report section | |
| 8 | Affected Communities | This topic is not material for SAP | |
| 9 | Security, Cloud Compliance, and Data Protection and Privacy | View the Integrated Report section | |
| 10 | Responsible AI | View the Integrated Report section | |
| 11 | Geopolitical Uncertainty | This topic is not material for SAP | |
| Governance | 12 | Business Conduct | View the Integrated Report section |
Further Content
Key Performance Indicators
KPIs included in the Integrated Report that we find particularly important are featured on the Environmental and Social Performance pages. For KPIs not included in the Integrated Report which are nonetheless monitored, such as water consumption, please refer to the Report Data Hub.