Organizations are increasingly focused on environmental, social and governance (ESG) factors to drive sustainable growth. ESG software has become essential for managing these aspects efficiently. Whether you're searching for the best ESG software to streamline operations or exploring ESG compliance software to meet regulatory demands, choosing the right platform can make all the difference.
This guide breaks down 14 key features that every ESG software solutions provider should offer, helping beginners understand how these tools work and why they matter.
We'll structure this as an educational guide with practical tips, short paragraphs, and bullet points for easy reading. By incorporating these features, businesses can automate processes, ensure data accuracy, and achieve better outcomes.
At Tekmon, our ESG & Sustainability Software exemplifies many of these capabilities, allowing users to perform materiality assessments, collect data smarter, report across frameworks, and set ESG targets—all in one platform. Let's dive in.
Power Up ESG Data Collection with the Best ESG Software
Effective data collection is the foundation of any ESG strategy. The best ESG software simplifies gathering information from multiple sources, reducing manual effort and errors. Here, we'll cover features that automate and streamline this process.
1. Automated Data Sourcing from Multiple Systems
Top ESG software should integrate seamlessly with existing systems to pull data automatically. This eliminates manual entry and ensures real-time updates.
Why it matters: Manual data handling is time-consuming and prone to mistakes, leading to unreliable insights.
Actionable tip: Look for platforms that connect with ERP, HR, and IoT systems. Test integrations during a demo to confirm compatibility.
Tekmon excels here by auto-sourcing data from ERP systems, BMS systems, HR systems, APIs, spreadsheets, batch files, automated OCR for utility bills, SCADA systems, and IoT platforms.
2. User-Friendly Data Submission Templates
ESG software solutions need pre-built templates for submitting data, supporting frameworks like GRI and ESRS.
Why it matters: Standardized forms make it easy for teams to contribute without needing expert knowledge.
Actionable tip: Choose software with no-code builders for customization. Train data owners on using these to boost participation.
In Tekmon, users get verified, pre-built templates for GRI, ESRS, GHG, and more, plus a no-code ESG form builder and support for document attachments.
See Tekmon’s ESG Software in Action
Ready to streamline your ESG data management and achieve smarter sustainability decisions? Book a demo with Tekmon today to explore how our ESG data management software can automate data collection, ensure compliance, and drive your sustainability goals forward.
3. Tools to Engage Data Owners
The best ESG software includes features for reminders and notifications to keep everyone involved.
Why it matters: Timely submissions prevent bottlenecks and improve data flow.
Actionable tip: Set up automated alerts via email or mobile. Monitor progress through centralized dashboards.
Tekmon offers personalized workspaces, granular data management, automated reminders, email and mobile notifications, and in-platform messaging.
4. Built-In Data Validation and Quality Checks
ESG compliance software must validate data to catch errors like missing info or incorrect units.
Why it matters: High-quality data leads to trustworthy reports and better decision-making.
Actionable tip: Implement approval workflows. Regularly review audit trails for ongoing improvements.
Tekmon provides embedded validation rules, automated checks, approval workflows, visual warnings, and audit trail tracking.
5. Centralized Data Consolidation
Every ESG software platform should organize data into a unified model aligned with standards.
Why it matters: This ensures consistency and audit compliance across the organization.
Actionable tip: Use tools that maintain transparency. Map your corporate taxonomy early in setup.
Tekmon consolidates ESG topics into a centralized model, ensuring accuracy, validation, audit trails, and traceability.
6. Easy Migration of Historical Data
Reliable ESG software solutions allow uploading past records to build a complete history.
Why it matters: Digitizing old data provides context for trends and long-term tracking.
Actionable tip: Prepare files in batches for upload. Verify data integrity post-migration.
Tekmon simplifies this with seamless uploads, consolidation of historical data, and digitization of past records.
Discover 25 Essential ESG KPIs for Your Sustainability Strategy
Unlock actionable metrics to measure and improve your ESG performance. Read Tekmon’s article, “25 ESG KPI Examples: Key Metrics for Environmental, Social, and Governance Reporting,” to learn how to set and track impactful KPIs with our ESG data management software.
Simplify ESG Reporting Using ESG Compliance Software
Reporting is where ESG data turns into actionable insights. ESG compliance software should handle calculations and frameworks effortlessly, saving time and ensuring accuracy.
7. All-in-One Tracking of ESG Metrics
The best ESG software tracks qualitative and quantitative metrics across categories like environmental and social.
Why it matters: A single platform reduces silos and simplifies oversight.
Actionable tip: Customize views for different teams. Use it to calculate KPIs regularly.
Tekmon covers environmental metrics, indirect emissions, social impact, governance indicators, economic measures, and supplier performance.
8. Automated GHG Emissions Calculations
Essential for ESG software, this feature computes Scope 1 and 2 emissions using preloaded factors.
Why it matters: Accurate carbon accounting is key for net-zero goals and regulations.
Actionable tip: Update emission factors annually. Integrate with energy data sources.
Tekmon automates GHG calculations, uses accredited libraries, allows custom factors, calculates intensity rates, and provides pre-built dashboards.
Achieve Net-Zero with Tekmon’s ESG Tools
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9. Comprehensive Scope 3 Emissions Management
ESG software solutions must map and track supply chain emissions.
Why it matters: Scope 3 often represents the bulk of emissions, impacting overall sustainability.
Actionable tip: Equip suppliers with tools for reporting. Automate data gathering workflows.
Tekmon enables mapping across supply chains, supplier tools, granular data capture, automated workflows, and reporting dashboards.
10. Support for Multiple ESG Frameworks
Top ESG compliance software includes pre-built standards like GRI and SASB.
Why it matters: It keeps you compliant with evolving regulations without custom coding.
Actionable tip: Select frameworks relevant to your industry. Review updates quarterly.
Tekmon offers GRI, ESRS, SASB, TCFD, CBAM, and on-demand custom frameworks.
11. Streamlined Materiality Assessments
Every ESG software should facilitate stakeholder surveys to identify priorities.
Why it matters: This focuses efforts on what matters most, enhancing strategy.
Actionable tip: Design simple questionnaires. Analyze responses to generate matrices.
Tekmon helps with tailored questionnaires, distribution, response gathering, and materiality matrix generation.
Simplify ESG Reporting with Tekmon
Overwhelmed by ESG reporting? Tekmon’s ESG & Sustainability Software streamlines data collection, validates inputs, and aligns with frameworks like GRI and ESRS. Take control of your ESG performance with our user-friendly platform.
Improve Your ESG Performance with ESG Software Solutions
Beyond collection and reporting, the best ESG software drives continuous improvement through goal-setting and monitoring.
12. Goal Setting and Tracking Capabilities
ESG software solutions allow defining measurable targets aligned with priorities.
Why it matters: Clear goals motivate teams and track progress toward sustainability.
Actionable tip: Use custom dashboards for visualization. Set milestones with reminders.
Tekmon lets you set ESG goals, track progress, and use custom BI dashboards.
13. Dynamic Action Plan Creation
Reliable ESG software includes task assignment for reducing impacts like emissions.
Why it matters: It promotes accountability and turns plans into actions.
Actionable tip: Assign owners and deadlines. Review plans in monthly meetings.
Tekmon supports creating action plans with targeted tasks for environmental reductions.
14. Performance Monitoring and Benchmarking
ESG compliance software should offer drill-down analytics and comparisons.
Why it matters: Benchmarking reveals strengths and gaps against peers.
Actionable tip: Compare internally first, then industry-wide. Adjust based on insights.
Tekmon tracks progress, enables drill-downs, and benchmarks against similar enterprises.
Conclusion: Why Choose Tekmon as Your ESG Software Solution
In summary, the 14 eatures outlined here are crucial for any ESG software platform to deliver value. From automating data collection to advanced analytics, these elements make ESG management accessible and effective. If you're looking for the best ESG software that incorporates these, consider Tekmon ESG & Sustainability Software. It automates data collection, ensures regulatory reporting, and helps set and track net-zero targets.
Why Tekmon? It frees up resources, reduces costs, ensures data reliability, and maintains compliance with evolving frameworks. Ready to elevate your ESG strategy? Visit Tekmon to learn more and get started.