The reporting scope establishes the framework for data collection and reporting by defining the boundaries within which sustainability data is gathered. It specifies the relevant sustainability metrics and measures to be collected across the organization, as well as the applicable organizational hierarchies and entities. As such, the reporting scope forms the basis for subsequent data collection workflows and the configuration of data entry forms.
The reporting scope is structured into the following sections:
- Header
This section defines the name, description, and validity period of the reporting scope, as well as the primary organizational hierarchy used for data collection. It also allows for referencing the materiality approach applied to determine the scope (for example, double materiality).
- Organizational Boundary
This section specifies the organizational entities included in the data collection process by selecting the relevant nodes within the defined leading organizational hierarchy.
- Scope Items
This section determines which metrics are to be collected by the previously defined organizational units. Metrics are automatically translated into corresponding measures. Scope items are organized according to sustainability topics and disclosure references as defined in the metric master data.
Organizations may define a single reporting scope for enterprise-wide data collection or establish multiple scopes to address different data requirements across various organizational units. The reporting scope enables the collection of all defined scope items across all entities within the specified boundary, including their subordinate units. At a later stage, the relevance of specific items can be assessed at the level of individual organizational entities.
The Manage Reporting Scope application supports the full lifecycle management of ESG reporting scopes.
Creating Reporting Scopes
Note
- The valid from date specifies from when the reporting scope starts to become active.
- The valid to date can be any date in the future to limit the validity of the reporting scope.
Following initial creation, the reporting scope is assigned the status "Not Released", allowing unrestricted editing. Once finalized, the scope can be released. Depending on the defined validity start date, the status will transition to either "Released" or "Active".
Versioning reporting scopes
SAP Sustainability Control Tower supports reporting scope versioning which is a way to track how your ESG reporting boundaries evolve over time without losing historical accuracy. Instead of overwriting a scope when something changes, the system creates a new version of that scope.
Deleting reporting scopes
Reporting Scopes that are in released or active state cannot be deleted as data may have been collected by it, hence instead of deleting reporting scopes when they are not needed any longer, they can be removed from active use and are shown in 'Withdrawn'.