RSMUS.comStarting in 2025, several rules will require businesses to report their activities that create greenhouse gas emissions. Initially, large companies will be mandated to submit these reports directly. As part of this process, they will also need to gather data from their upstream suppliers and downstream customers. If your business is part of another company’s value chain, you should expect to receive requests for data beginning this year.
RSM will offer insights into both existing and upcoming Microsoft ESG solutions to ensure your company has the right tools for effective ESG reporting and can provide the data that other companies will request from you. With the 2024 release wave 1, Business Central will enable organizations to manage their environmental impact through its integrated sustainability management feature, with additional features expected in future releases.
The initial release is designed to assist businesses in tracking, measuring, and managing their greenhouse gas (GHG) emissions. The solution supports more informed decision-making and fosters sustainable operations by providing detailed reports on an organization’s carbon footprint. Users can collect emission data through sustainability journals or purchase documents, converting this information into CO2 equivalents using predefined calculation methods or manual inputs. Whether configuring emission factors, using sustainability journals, or managing carbon credits, this tool streamlines the management of complex environmental data.
Business Central’s sustainability manager is designed to align with environmental, social, and governance (ESG) standards, addressing emissions across three scopes: direct emissions (Scope 1), indirect emissions from energy use (Scope 2), and a wider range of upstream and downstream activities (Scope 3). In addition to tracking emissions, the system allows businesses to calculate internal carbon fees, record carbon credit purchases, and generate detailed sustainability reports. By integrating these features, Business Central not only supports compliance but also facilitates goal-setting through scorecards and performance comparisons. This offers a valuable opportunity for businesses looking to adopt sustainability while utilizing Microsoft’s trusted business management solutions.
If you have any questions about the regulations your company may be subject to or the solutions that can effectively meet your needs, please reach out to Paul Duckworth, paul.duckworth@rsmus.com
Trevor Bottom
D365 Business Central Delivery Consultant