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Unlocking the Power of ESG with Integrated Data Insights

How To
January 27, 2025
5 min read
Unlocking the Power of ESG with Integrated Data Insights
Matt Browning
VP Marketing
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The ESG data management landscape today presents a number of complex challenges, opportunities, and evolving requirements that organizations must navigate with increasing sophistication. As we enter 2025, the exponential demand for ESG data has outpaced many organizations’ ability to effectively collect, process, and report on sustainability metrics, creating a critical need for simplified yet robust management approaches. Key challenges stem from:

  • Proliferation of reporting frameworks including CSRD, GRI, SASB, and emerging regulations
  • Increasing demand for real-time ESG data from stakeholders and investors
  • Growing complexity in data collection across global supply chains
  • Rising concerns about data quality, consistency, and comparability

Organizations currently face a fragmented ecosystem of data sources, collection methods, and reporting requirements. Many rely on manual processes and disconnected systems, leading to inefficiencies and increased risk of errors—approximately 70% of organizations struggle with data consistency and validation.

The financial sector has emerged as a primary driver of ESG data management evolution, with investment decisions increasingly tied to sustainability performance. This has spurred the development of sophisticated data management solutions, like Keboola, though implementation remains uneven across different sectors and regions.

At Keboola, we’re seeing a market in rapid transition, with more and more organizations recognizing that traditional approaches are no longer sufficient to meet the demands of modern sustainability reporting and analysis. Our customers benefit from powerful features to simplify ESG calculations, including those for complex areas like Scope 3 emissions. By automating these calculations, Keboola customers reduce manual effort and enhance data accuracy. Real-time data visibility is provided through dashboards, enabling data-driven decision-making. This capability is particularly crucial for responding quickly to new regulatory requirements and stakeholder expectations, helping businesses stay agile and proactive in their approach to ESG.

Key Challenges and Pain Points

As organizations strive to meet growing stakeholder demands for transparency and accountability in their ESG performance, these challenges have become increasingly pronounced in 2025. Here are the top 10 challenges that we see:

  1. Data Fragmentation: ESG data often resides in multiple systems, spreadsheets, and databases, making a single source of truth difficult to maintain
  2. Data Quality and Consistency: Inconsistent data collection methods and varying definitions lead to reliability issues
  3. Manual Processing: Heavy reliance on manual data collection and validation increases errors and resource requirements
  4. Framework Proliferation: Multiple ESG reporting frameworks can create confusion and duplicate effort
  5. Resource Constraints: Limited expertise and dedicated resources for ESG data management
  6. Technology Integration: Difficulties in connecting legacy systems with modern ESG data management solutions
  7. Real-time Monitoring: Establishing continuous data collection and monitoring capabilities poses challenges
  8. Stakeholder Requirements: Meeting diverse information needs of different stakeholder groups
  9. Cost Management: Balancing investment in ESG data management with other organizational priorities
  10. Change Management: Overcoming resistance to new data collection and reporting processes

The impact of these challenges extends beyond operational inefficiencies. Organizations risk reporting errors, missed regulatory deadlines, and potential greenwashing accusations due to data inconsistencies. Financial implications are equally significant, with many organizations spending excessive resources on manual data processing and validation.

Data Integration: The Heart of ESG Mastery

Data integration isn’t just a technical necessity; it’s the foundation of ESG strategy in 2025. By breaking down silos and fostering a unified data environment, you can make informed decisions that align with your sustainability goals. It starts with identifying the right data sources—everything from energy consumption reports to employee welfare statistics. These sources feed into an integration framework that normalizes and cleanses data, ensuring consistency and accuracy.

Data integration isn’t just a technical necessity; it’s the foundation of ESG strategy in 2025.

The real magic happens when this unified data is run through advanced analytics. Insights become both comprehensive and predictive—you can forecast trends, anticipate risks, and uncover opportunities that would otherwise remain hidden. Tools and platforms like Keboola simplify this process, turning a potentially overwhelming task into an intuitive experience.

Empowering Through Self-Service Analytics

One of the most transformative aspects of integrated ESG data is the shift toward self-service analytics. This isn’t just a buzzword; it’s about giving every relevant team member across the organization the ability to explore ESG data without waiting on specialized data teams. Self-service analytics fosters a culture of informed decision-making and agility.

Empowering teams with self-service analytics transforms ESG data into a catalyst for innovation.

How to get started? It begins with intuitive, user-friendly platforms that enable individuals to create their own dashboards and reports. Training and support are crucial to build confidence and break down barriers to data literacy. The result is a workforce empowered to leverage data insights, driving continuous improvement and innovation.

What Next?

Transforming your ESG strategy with integrated data is both achievable and imperative. Begin by establishing an integration framework, foster a culture of data literacy and access, and watch the pieces of your ESG puzzle come together.

Get Gartner® Insights

The Gartner® Market Guide for ESG Reporting and Management Software provides a roadmap to tackle ESG challenges and build a robust reporting strategy. Download a complimentary copy today to understand best practices and gain deeper insights.

Complete the form below to get your complimentary copy.
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