Step 5 · Materiality matrix

Two lenses, depending on the regime that will read your report. Under IFRS S1 (ISSB) the test is single — financial materiality: an issue is material if its omission or misstatement would influence the decisions of investors and creditors. Under the EU CSRD and the ESRS, the test is double — financial materiality plus impact materiality (the firm's impact on people and the environment, regardless of financial return). Slide importance (to stakeholders, the impact lens) and impact (on your business, the financial lens) for each item — items in the upper-right quadrant drive the disclosure plan for both regimes. Carbon is split per the GHG Protocol (Scope 1+2 own operations, Scope 3 outsourced fleet and last-mile) and ISO 14083:2023 for transport accounting. Beyond emissions and governance, ESG-mandate investors increasingly weigh the social-justice dimension — road accidents from imprudence or negligence, and the downstream environmental and health impact of the operation on the communities it touches.