The context

Most EU countries transposed the European Corporate Sustainability Reporting Directive (CSRD) into their national laws in 2024. The directive requires large companies to regularly report on their social and environmental impact and to share information on how they operate and manage environmental, social and governance issues. In 2025, the reporting obligation for certain large companies was postponed by two years, and legislative changes regarding sustainability reporting are also expected in 2026.

What is the challenge?

Due to the topic being new and multilayered, many companies find it difficult to navigate their effort toward sustainability and understand the specific requirements of the ESG reporting.

Our solution

In cooperation with public and private sector organizations from Estonia, Finland, Latvia, and Lithuania we are developing an international web platform and digital tool to support the sustainability journey for small and medium-sized and large companies.

Our solution - the ESG Tool is a free-of-charge digital platform designed to help businesses navigate the complexities of sustainability standards and prepare for reporting.

However, our project goes beyond providing a tool.it actively educates both the public and private sectors. We offer tailored educational content to demystify sustainability concepts and practices, enhancing understanding of ESG principles across diverse audiences. By engaging stakeholders with informative materials, we foster a culture of sustainability and corporate responsibility. This approach equips businesses and communities with the knowledge and skills to integrate ESG principles into daily operations and decision-making. Thanks to wide range of dissemination activities we communicate to diverse group of stakeholder and transfer knowledge to them. 

How it works

ESG Tool, which is being worked out as a result of the sustainability reporting methodology developed in accordance with the EFRAG standards and guidelines, enables companies to assess the impact of their operations on the environment, social welfare, and economic sustainability. It will allow companies to map and analyze their position in ten sustainability-related areas: climate change, pollution, water and marine resources, biodiversity and ecosystems, resource usage and circular economy, labor force, employees in the value chain, affected communities, consumers and end-users, and business conduct. The analysis conducted using the tool will provide recommendations to the company for achieving its sustainability goals.

In addition to the tool, the web platform includes descriptions of sustainability reporting standards, general sustainability guidelines, educational videos, examples of best practices, and references to useful web materials.

The platform provides recommendations for next steps, making reporting easier and more efficient while increasing the quality of the reported data.

The ESG Tool is available in English, Estonian, Finnish, Latvian, and Lithuanian languages, and it will be freely accessible to all.

Current state of affairs

We started by conducting extensive research to identify key ESG metrics and benchmarks relevant to small and medium-sized businesses. Engaging directly with our target group, we collected best practices through surveys, interviews, and workshops, ensuring their experiences and needs shaped our approach.

This collaborative process allowed us to integrate real-world insights and practical solutions into our tool. By combining academic rigor with practical input, we've created a methodology that not only measures but also enhances sustainability practices, driving meaningful and impactful ESG outcomes.

In creating the tool, we collaborate with a leading development company.

Throughout the development process, we are actively seeking feedback from our target groups, ensuring their insights and needs drive our design and functionality. Regular consultations and focus groups are an integral part to our approach, allowing us to refine and optimize the tool based on real-world usage and feedback. This iterative process guarantees that the final product is user-friendly, effective, and aligned with the sustainability goals of small and medium-sized businesses, fostering widespread adoption and impactful ESG practices.

From April to May 2025, we piloted the ESG Tool by partnering with a select group of businesses in Estonia, Latvia, Lithuania and Finland.

In the pilot phase, we tested the tool's features in real-world scenarios, providing participants with hands-on training and support for seamless integration. We collected detailed feedback on usability, effectiveness, and impact to make necessary adjustments. 

By collaborating with early adopters, we ine-tuned the ESG Tool to meet diverse business needs and drive meaningful sustainability outcomes.

To introduce the ESG Tool, a free webinar was held on 10 September. The session offered a guided tour of the tool’s key features, a practical step-by-step demonstration on how to assess a company’s ESG profile, and expert advice to support businesses on their sustainability journey.

In September and October, two on-site seminars were held in Estonia, Finland, Latvia, and Lithuania. These seminars aimed to facilitate hands-on learning and support the practical application of the ESG Tool.

Our vision

Our project contributes directly to the green transition and fosters a more environmentally friendly and sustainable business environment.

We aim to simplify ESG knowledge  and empower businesses to make more sustainable decisions. By offering actionable insights and educational resources, we strive to drive positive environmental, social, and governance impacts, creating a more sustainable and equitable future for all.