Appendix 1 – Reading Guide

The Corporate Sustainability Reporting Directive (CSRD) is a regulation issued by the European Union that imposes rigorous sustainability reporting requirements on large companies starting in 2024 and 2025, with listed SMEs required to comply by 2027.

European Sustainability Reporting Standard (ESRS). A set of 12 standards developed by EFRAG. CSRD requires all companies subject, to use them with the purpose of having a standardized sustainability reporting approach for all companies within the EU. It covers the aspects of environmental, social and governance disclosure requirements and datapoints (EFRAG, ESRS workstreams, 2023).

Peppol (Pan-European Public Procurement Online) is an enabler business processes by standardizing structure of data / information and how it is exchanged. This allows any business to make trades with each other, assuming they are a “Peppol-enabled” business, anywhere in European Economic Union and potentially anywhere in the world. (Peppol Org, ND)

Peppol BIS (Business Interoperability Specifications) delivers a set of specification which empower communication of electronic Procurement information through the so called “Peppol Network”. The specifications empower all organizations to transfer information electronically, which complies with legal and business processing requirements within the European Union. (Frømyr, Forsberg, Rasmussen, & Lennartsson, 2014)

Environmental, Social & Governance (ESG). These are the areas the companies subject to CSRD are required to report on. The purpose of the ESG is to create a representation of the non-financial opportunities and risks latent to a company’s operations. Investors use these metrics to evaluate whether an investment qualifies as “responsible”.

Life Cycle Assessment (LCA) is a method to evaluate the potential environment, climate impact and material/resource use of a product or a service. There exist a variety of system boundaries when it comes to LCA’s. The most common are:

·       Cradle-to-gate: this approach includes the life cycle of a product or service from raw material extraction phase (cradle) to when the product leaves the producer/manufacturing site (gate)

·       Cradle-to-grave: this approach includes the entire life cycle of a product, from the raw material extraction phase (cradle) to when the product has been disposed of (grave).

(World Resources Institute & World Business Council for Sustainable Development, 2011)

The Product Environmental Footprint (PEF) is a science-based method for assessing environmental impacts. It ensures clarity, quantifiability, and consistency within Life Cycle Assessment method. (European Commission, Environmental Footprint Methods, ND)

Greenhouse Gas (GHG). The greenhouse gas effect is a natural process for earth to heat itself. So, greenhouse gases refer to the gases emitted from earths’ natural processes and human-made activities that imprison heat in the atmosphere, due to the heat from the sun. Greenhouse gases literally function as a sponge for sun radiation.

Carbon Dioxide equivalent (CO2e), is a unit of measurement used to compare the impact of greenhouse gases.

European Financial Reporting Advisory Group is a private institution established in 2001 mandated by the EU commission. It is responsible of developing and maintaining the public interest of financial and sustainability reporting. (EFRAG, ND)

Electronic Documents (eDocuments) refers to different digital and exchangeable eletronic documents. These documents are as following: eInvoice, eCatalogue, Orders, Order Response/Confirmations, eReceipt and Despatch Advice.

Refers to an electronic document containing a broad pile of information on a product(s), provided by a supplier. It is typically used to inform the customer about the specifications of the product and used by the customer before the order takes place.

Refers to an electronic invoice that can be sent to a customer based on e.g. the OIOUBL or Peppol standard, through a system that ensures the invoice is delivered in the correct format to the customer. The eInvoice is the ask of payment from the supplier to the customer. The document itself contains information about the product or service provided, payment due date, the payment amount and payment terms. (Erhvervsstyrelsen, ND)

Refers to an electronic document which is sent from a supplier to a buyer, that contains information about: a description of the product, the quantity of products there will be shipped and the type of product. Further, the document can include information/ a declaration on how the product(s) is delivered and packed, and when the product(s) is expected to be delivered. (OpenPeppol, ND)

European Union

Electronic Freight Transport Information (eFTI), is a regulation issued by EU which purpose is reduce administrative burdens. Also, it allows freight transport information to be shared in an electronic format (European Commision, ND).

A widely recognized framework/standard for measuring and managing greenhouse gas emissions It is mainly recognized for the following standards:  

·       ​Corporate standard - which helps companies with Greenhouse gas emission inventory, accounting and reporting.

·       Corporate Value Chain (Scope 3) Standard – which helps companies to assess their supply chains GHG emissions (outside the reporting companies’ control) to identify which activities pollutes the most.

 

Refers to the processes that happens in the early stages of a products life cycle, before it enters the undertaking’s supply-chain.  (World Resources Institute & World Business Council for Sustainable Development, 2011)

Refers to the processes that occurs after the undertaking has sold a product​.  (World Resources Institute & World Business Council for Sustainable Development, 2011)

Direct emissions from owned or controlled sources. (WRI & WBCSD, 2004)

Indirect emissions from purchased electricity, steam, heating, and cooling (upstream activities) (WRI & WBCSD, 2004)

All other indirect emissions that occur in a company’s value chain – outside a company's ownership or control divided into both upstream and downstream activities. (WRI & WBCSD, 2004)

 

Inline eXtensible Business Reporting Language is an open technical standard to digitize business information into structured and machine-readable information (XBRL, ND)

United Nations Standard Products and Services Code is a global classification system used to classify product and services in eDocuments or e-trade. It is a 8 digit code, which consists of 4-level hierarchy referring the proper segment, family, class and commodity.

 

Example:

Product: Notebook computer

UNSPSC Code: 43211503

 

Segment name: Information technology Broadcasting and Telecommunications (43)

Family name: Computer equipment and Accessories (21)

Class Name: Computers (15)

Commodity Name: Notebook computers (03)

(U.S.A. Government Open Data, 2025)

A regulation that aims to improve e.g. energy performance and circularity when producing, using and disposing products. (European Union, 2024)

Datapoints refers to a unit of information. Datapoints can both be narrative (text or words) or a number describing a specific object. Datapoints should always be unique, free from biases, easy to understand and use.

Data reflects one or more values which represent a concept or object. Values can both be text/narrative or numbers. Data is collected to be investigated, considered and used to help decision making.

Refers to a type of assurance which is used in financial statements, where auditors perform comprehensive procedures, in terms of multiple reviews of data and statements. Test of data is also performed to determine if the statements have been constructed correctly. (Shannon, 2024)

A wholesale company refers to a business who buys larger batches of raw materials, producers, or distributors, and resells them (B2B).