Event Details

Quarterly ESG Program: How to Create a High-Value Materiality Matrix

November 19, 2021 9:00 AM CT
Virtual

A materiality matrix clearly conveys which ESG factors matter most to your company’s management and its multiple stakeholder groups. But how do you go about creating a materiality matrix that informs both strategy and reporting strategy – on a possibly tight budget?  ESG expert Mike Wallace of climate accounting platform firm Persefoni and Tammy Perry, director of corporate sustainability and former IRO for Edwards Lifesciences, will provide their insights and experiences with materiality matrices, as well as answer your questions during this interactive virtual session, which will be followed by an informal roundtable discussion. This is our second quarterly ESG session designed to keep you informed about the ever-changing ESG landscape. 

Speakers
Mike Wallace, Senior Vice President, Strategic Market Engagement, Persefoni
Mike Wallace is an internationally recognized expert with nearly 30 years of experience in sustainability, ESG reporting/compliance, and managing social and human capital. At Persefoni, Wallace oversees key partnerships to help with the integration and application of the company’s climate accounting platform. Previously, Wallace was a partner at global sustainability consultancy ERM; served as interim executive director for the Social & Human Capital Coalition, a World Business Council for Sustainable Development (WBCSD) project. Prior to ERM, he was a director for the Global Reporting Initiative (GRI). where he worked on foundational initiatives such as the International Integrated Reporting Council (IRRC), the European Commission proposal on corporate ESG reporting, and the UN Sustainable Stock Exchange Initiative (SSEi) on ESG listing guidance.

 

Tammy Perry, Director of Corporate Sustainability, Edwards Lifesciences
Tammy Perry leads corporate sustainability at Edwards Lifesciences (NYSE: EW), a global medical device company based in Irvine, California. Perry sets the company’s global sustainability vision and goals, structures sustainability programs and initiatives, and advises leadership on corporate sustainability measures and best practices. Previously, based on her more than 20 years of communications and investor relations experience, she delivered value-added services and creative solutions in IR and corporate communications for micro- to large-cap companies, pre- and post-IPO, in a variety of industries including media, manufacturing, software technology, healthcare and oil & gas, including the IR departments of Edwards Lifesciences and Fluor Corporation.

 

Quarterly ESG Program: How to Create a High-Value Materiality Matrix

November 19, 2021
9 -10 a.m. - Program
10 - 10:30 a.m. Networking 

Materiality Matrices of Select Chicago Companies (PDF)
Edward Lifesciences Materiality Assessment (PDF)

 

KEY TAKEAWAYS

When you develop an initial materiality index, Mike Wallace emphasized the importance of benchmarking the materiality indices of your company’s U.S. and global peers. In addition, the questions to ask your stakeholders, choices of reporting frameworks (GRI, SASB) and materiality rankings should be specific to your company – and the importance of issues (e.g., DEI) ebb and flow over time. See Materiality Matrices of Select Chicago Companies (PDF). Obviously, the materiality matrix then needs to inform both company disclosures and actions. Wallace recommends that companies conduct a materiality assessment every two to three years and suggests automated tools (e.g., Datamaran) to “keep tabs on it.” 

Additional news, context and resources: 
GHG Protocol: https://ghgprotocol.org/about-us and https://ghgprotocol.org/ghg-emissions-calculation-tool 
Glasgow Financial Alliance for Net Zero (GFANZ): https://unfccc.int/news/new-financial-alliance-for-net-zero-emissions-launches 
IFRS Foundation Announces International Sustainability Standards Board: https://www.ifrs.org/news-and-events/news/2021/11/ifrs-foundation-announces-issb-consolidation-with-cdsb-vrf-publication-of-prototypes/
Partnership for Carbon Accounting Financials (PCAF): https://carbonaccountingfinancials.com/about 
Sustainability Accounting Standards Board (SASB) and International Integrated Reporting Council (IIRC) merge: https://www.fm-magazine.com/news/2020/nov/sasb-iirc-merging-to-simplify-corporate-sustainability-reporting.html 
Task Force on Climate-Related Financial Disclosures (TCFD): https://www.fsb-tcfd.org/about/#history2015 

 

 

Tammy Perry explained how her company, Edwards Lifesciences, approached its initial materiality assessment in 2015 and how this three- to six-month process has evolved over time. Management supports the investment as ESG has become more important to employees, investors and other stakeholders. The assessment is led by the company’s ESG council, which includes 15 representatives from investor relations, legal, operations, patient engagement, R&D/innovation, environmental, human resources, public affairs, etc. to ensure a broad perspective across the business that supports the corporate strategy. To help manage the workload, internal partners (e.g., legal) can develop questionnaires and conduct internal interviews. Stakeholder interviews and online surveys by the company and its consultants in 2015 and 2019 led to a significant refresh of Edwards’ materiality matrix and ESG disclosures over time. The current matrix is displayed as an interactive graphic at https://www.edwards.com/sustainability/our-approach/materiality-stakeholder-engagement/ (scroll down to click on the tabs in the table).