Top 10 Best ESG Reporting Software: Tools Guide 2025

What is ESG Reporting Software?

In today’s rapidly evolving business landscape, ESG reporting software has become a critical tool for organizations aiming to demonstrate their commitment to sustainability and social responsibility. These platforms simplify the collection, monitoring, and reporting of Environmental, Social, and Governance (ESG) metrics, ensuring compliance with global standards and stakeholder expectations.

Definition and Purpose

ESG reporting solutions are designed to manage and streamline the tracking of ESG metrics, allowing businesses to align with frameworks like GRI, SASB, and TCFD. Using a centralized ESG data management platform, companies can effectively track performance, identify areas for improvement, and maintain transparency with investors, customers, and regulatory bodies. ESG Reporting Software Market size was valued at USD 0.70 billion in 2022 and is poised to grow to USD 2.64 billion by 2031, at a CAGR of 15.90% as per a research done by SkyQuest.

Global Trends in Sustainability Reporting (1993-2022)

Source: Global survey of sustainability reporting 2022 (Link)

Core Features of ESG Compliance Software

• Data Integration and Collection: Gathers information from multiple sources using robust ESG data collection software.
• Automation and Analytics: Provides real-time insights and reduces manual intervention for enhanced decision-making.
• Compliance and Reporting: Ensures adherence to ESG frameworks and simplifies the preparation of regulatory reports.
• Monitoring and Tracking: Enables businesses to track sustainability goals using advanced ESG monitoring software.

 

The Role of ESG Software Solutions in 2025

As ESG continues to shape the future of investments and business strategy, using the right ESG software solutions is no longer optional. Companies that fail to adopt these tools risk falling behind in ESG compliance and losing investor trust. Effective ESG tracking software enhances transparency and supports long-term resilience and value creation. Refer our guide on what are ESG metrics, to understand more about it.

Benefits of Using ESG Reporting Software

The adoption of ESG reporting software has become a game-changer for businesses seeking to enhance their sustainability strategies, meet regulatory requirements, and build stakeholder trust. These tools offer numerous advantages beyond compliance, helping organizations achieve operational excellence and long-term growth.

1. Streamlined ESG Data Management

ESG data management software simplifies the process of gathering, organizing, and analyzing vast amounts of ESG data. This eliminates the inefficiencies of manual reporting and ensures accuracy, saving time and reducing the risk of errors.

2. Enhanced Regulatory Compliance

With global standards like GRI, TCFD, SASB, GHG Protocol, etc. becoming increasingly critical, ESG compliance software helps businesses align with these frameworks. Automated compliance checks ensure that reports are accurate, up-to-date, and aligned with evolving regulations.

3. Data-Driven Insights for Better Decision-Making

By leveraging the analytics capabilities of ESG monitoring software, companies can gain actionable insights into their performance. These insights enable better decision-making, helping organizations identify areas for improvement and set realistic sustainability goals. With the help of advanced ESG data collection software, businesses can consolidate vast amounts of data, enabling deeper analysis and more actionable insights. Learn more about the benefits of ESG reporting. 

4. Improved Stakeholder Communication

Transparency in ESG reporting builds trust with investors, customers, and employees. Using an ESG data management platform ensures that businesses can effectively communicate their progress and commitments, highlighting the importance of an ESG communication strategy.

5. Long-Term Value Creation

Effective ESG tracking helps businesses mitigate risks and positions them as leaders in sustainability. This has a direct impact on their market reputation and valuation, as discussed in how ESG impacts valuation.

6. Scalability and Flexibility

Modern ESG reporting solutions are scalable, catering to businesses of all sizes. Whether it’s a startup or a large corporation, these tools can be tailored to meet specific needs and grow with the organization.

Incorporating these benefits into your ESG strategy will ensure that your business stays ahead in the sustainability journey while meeting stakeholder expectations.

Risks of Not Using ESG Reporting Software

Failing to adopt ESG reporting software can have significant repercussions for businesses, especially as sustainability and accountability take center stage in corporate strategies. Without the right tools, organizations risk falling behind competitors and facing challenges that could impact their reputation, operations, and financial performance.

1. Compliance Failures and Penalties

Regulatory bodies are increasingly enforcing strict ESG compliance standards. Companies relying on manual processes or outdated systems may struggle to meet these requirements, leading to fines, penalties, or legal action. ESG compliance software ensures adherence to these frameworks, minimizing compliance risks.

2. Data Inaccuracy and Inefficiency

Manual methods for ESG tracking are prone to errors, resulting in inaccurate reporting. These inaccuracies can mislead stakeholders and erode trust. Without an ESG data management platform, businesses may find themselves spending excessive time and resources on rectifying data issues. In addition, the absence of a reliable ESG data management software can lead to fragmented data and inconsistent reporting.

3. Reputational Damage

Investors, customers, and partners expect transparency in ESG reporting. Inconsistent or incomplete reports can tarnish an organization’s reputation, making it harder to attract stakeholders. Failure to implement ESG tracking software may signal a lack of commitment to sustainability, affecting brand loyalty and trust. A 2021 PwC survey revealed that 49% of investors are willing to divest from companies not taking sufficient action on ESG issues, and 59% would likely vote against executive pay agreements in such cases.

4. Missed Investment Opportunities

ESG-conscious investors prioritize businesses with robust reporting practices. Companies that do not use ESG solutions risk being overlooked for investments, especially in sectors where ESG plays a critical role in valuation. Learn more about the ESG impact on valuation.

5. Ineffective Stakeholder Communication

Without tools like an ESG reporting tool, businesses may fail to effectively communicate their progress. Poor communication can lead to stakeholder disengagement and reduce the credibility of ESG initiatives. This highlights the importance of an ESG communication strategy.

6. Falling Behind Competitors

In today’s ESG-driven marketplace, companies leveraging ESG monitoring software have a competitive edge. Organizations without these tools may struggle to keep up with industry leaders who use data-driven insights to refine their strategies and enhance their sustainability goals.

Addressing these risks by adopting the right ESG software solutions is crucial for businesses to maintain compliance, build trust, and secure their long-term success. Organizations adopting cutting-edge ESG solutions gain a competitive edge in refining their strategies and achieving sustainability milestones.

Top 10 ESG reporting reporting software

1. Snowkap

• Overview: Snowkap is a comprehensive sustainability management platform that centralizes ESG data collection, analysis, and reporting, driving organizational sustainability efforts.
• Key Features:
  • Centralized ESG Data Management: Consolidates ESG data for streamlined reporting.
  • Supply Chain Assessments: Evaluates vendor ESG performance effectively.
  • Framework Alignment: Complies with BRSR, PCAF, CBAM, GHG Protocol, and more.
  • Real-Time Dashboarding: Tracks emissions and compliance metrics live.
  • AI-Powered Data Validation: Ensures accurate, audit-ready ESG data.
  • Scope 3 Emissions Tracking: Simplifies vendor data collection and reporting.
  • Customizable KPI Tracking: Monitors KPIs aligned with ESG goals.
  • Anomaly Detection & Alerts: Flags risks for proactive decision-making.
• Pros: User-friendly interface, robust supply chain assessment capabilities, and comprehensive framework alignment.

• Cons: May require customization for specific industry needs.
• Best For: Organizations seeking an all-in-one ESG reporting solution with strong supply chain assessment features.
• Learn more about Snowkap’s sustainability software

 

2. Plan A

• Overview: Plan A specializes in carbon accounting and ESG reporting, offering TÜV-certified methodologies for compliance with the GHG Protocol.
• Key Features:
  • Automated data collection for carbon and ESG metrics.
  • Tools to comply with the GHG Protocol and global frameworks.
  • AI-powered insights for sustainability strategies.
• Pros: Strong focus on carbon reporting.
• Cons: Limited governance features.
• Best For: Companies focused on carbon accounting and decarbonization.

 

3. Workiva

• Overview: Workiva provides a cloud-based platform for connected reporting and compliance, integrating ESG metrics with other financial and regulatory data.
• Key Features:
  • Support for multiple ESG reporting frameworks like GRI and SASB.
  • Real-time collaboration and data linking.
  • Automated reporting workflows.
• Pros: Simplifies reporting across teams and frameworks.
• Cons: Higher costs may deter small businesses.
• Best For: Large enterprises needing an integrated ESG and financial reporting solution.

 

4. Novata

• Overview: Novata focuses on private markets, enabling general partners and portfolio companies to seamlessly collect and report ESG data.
• Key Features:
  • Customizable ESG data collection templates.
  • Benchmarking tools for industry comparisons.
  • Insights for decision-making across portfolios.
• Pros: Tailored for private equity needs.
• Cons: Limited applicability for public companies.
• Best For: Private equity firms and portfolio management.

 

5. IBM Envizi ESG Suite

• Overview: IBM Envizi offers a comprehensive solution for capturing, managing, analyzing, and reporting ESG data with deep integration capabilities.
• Key Features:
  • Advanced analytical tools for ESG performance tracking.
  • Integration with frameworks like CDP and SASB.
  • Real-time ESG data management.
• Pros: Powerful analytics and seamless integration with IBM ecosystems.
• Cons: Best suited for IBM infrastructure users.
• Best For: Enterprises needing advanced analytics for ESG reporting.

 

6. Salesforce Net Zero Cloud

• Overview: Salesforce Net Zero Cloud combines emissions management with automation and integration features, leveraging Salesforce’s robust CRM ecosystem.
• Key Features:
  • Scope 1, 2, and 3 emissions tracking.
  • Automated data collection and reporting.
  • Integration with other Salesforce products for operational insights.
• Pros: Intuitive design and integration-friendly.
• Cons: Requires Salesforce expertise for optimal use.
• Best For: Companies already using Salesforce products.

 

7. Emex

• Overview: Emex offers an enterprise-level ESG and EHS platform, providing comprehensive emissions management and user-friendly reporting capabilities.
• Key Features:
  • Detailed emissions tracking and reporting tools.
  • Tools for health, safety, and environmental compliance.
  • Automated data workflows.
• Pros: Robust, enterprise-grade solution.
• Cons: May be too complex for smaller companies.
• Best For: Enterprises seeking ESG and EHS integration.

 

8. Diligent ESG

• Overview: Diligent ESG centralizes data collection and offers tools to manage and report on ESG risks and commitments effectively.
• Key Features:
  • Risk management integration.
  • Customizable dashboards for ESG performance tracking.
  • Streamlined reporting for compliance with evolving regulations.
• Pros: Governance-focused features.
• Cons: Requires training for effective use.
• Best For: Companies focusing heavily on governance metrics.

 

9. Metrio

• Overview: Metrio is a platform designed to streamline ESG management with data tracking, insights, and reporting tools.
• Key Features:
  • IT-supported data tracking and insights.
  • Integration with global frameworks.
  • Pre-configured templates for streamlined reporting.
• Pros: Intuitive interface and excellent IT support.
• Cons: Limited scalability for enterprise-grade use.
• Best For: Small to medium-sized organizations managing ESG data.

 

10. Persefoni

• Overview: Persefoni specializes in carbon reporting, focusing on Scope 3 emissions from suppliers and providing tools for actionable decarbonization plans.
• Key Features:
  • Comprehensive carbon footprint analysis, including Scope 1, 2, and 3.
  • Benchmarking tools and actionable insights.
  • Support for decarbonization planning.
• Pros: Excellent for carbon-focused strategies.
• Cons: Less emphasis on governance metrics.
• Best For: Companies prioritizing comprehensive carbon reporting.

 

How to Choose the Best ESG Reporting Software for Your Company?

Selecting the right ESG reporting software is critical for ensuring accurate data management, seamless compliance, and effective communication with stakeholders. Here’s a step-by-step guide to help you identify the best ESG solution for your organization.

1. Assess Your Organization’s Needs

Start by evaluating your company’s specific requirements:

• Industry-specific Needs: Does your sector have unique reporting requirements (e.g., carbon-heavy industries or finance)?
• Frameworks and Standards: Identify the global frameworks you need to comply with, such as GRI, SASB, TCFD, or CDP.
• Company Size: Ensure the software can scale with your business, whether you’re an SME or a large enterprise.

Example: If your business operates in manufacturing, you may need an ESG tool with strong carbon accounting capabilities like Persefoni or Plan A.

2. Identify Key Features to Look For

Different software platforms excel in various areas. Here are the must-have features to prioritize:

• Data Integration: Can the software pull ESG data from multiple sources like IoT devices, financial records, or operational logs?
• Automation: Tools like Snowkap and Workiva offer automated workflows to save time and reduce errors.
• Customizable Dashboards: Real-time tracking and visualization of ESG performance are vital for actionable insights.
• Reporting and Framework Alignment: Look for compatibility with frameworks you’re required to report against.

 

3. Evaluate Usability and Scalability

Your ESG software should be intuitive and adaptable as your organization grows:

• User-Friendly Design: Ensure the interface is easy to navigate for non-technical users. Tools like Greenly excel in this aspect.
• Scalability: Platforms like IBM Envizi and Emex are designed to scale with large, complex organizations.

 

4. Consider Integration Capabilities

The best ESG reporting solutions integrate seamlessly with your existing systems:

• ERP and CRM Integration: Tools like Salesforce Net Zero Cloud provide strong integration capabilities with Salesforce products.
• Cross-Department Collaboration: Ensure the tool allows different teams (HR, finance, sustainability) to collaborate efficiently.
• Modern ESG solutions seamlessly integrate with existing ERP and CRM systems, enabling holistic sustainability management.

 

5. Analyze Cost and ROI

Budget is an essential consideration, but so is the return on investment:

• Pricing Tiers: Many tools like Metrio and Diligent ESG offer tiered pricing to cater to businesses of different sizes.
• Long-Term ROI: Evaluate how the software will save time, reduce errors, and enhance decision-making in the long run.
• Scalable : Investing in a scalable ESG data collection software ensures long-term cost savings by minimizing manual errors and optimizing resource allocation.

 

6. Test Through Demos or Free Trials

Before committing, request a demo or trial period:

• Hands-On Experience: Understand how well the tool fits your organizational processes.
• Customer Support: Assess the availability and quality of technical support during the trial.

 

7. Evaluate Security and Compliance

Given the sensitivity of ESG data, ensure the software adheres to robust security protocols:

• Data Security: Check for certifications like SOC 2 compliance.
• Regulatory Updates: Platforms like Emex and IBM Envizi provide automated updates to meet evolving regulations.

 

8. Factor in Vendor Reputation

Research the software provider’s track record:

• Customer Reviews: Look for real-world user experiences and case studies.
• Longevity: Established tools like Workiva and EcoVadis have proven reliability in the market.

 

Checklist for Selecting ESG Reporting Software

• Does it align with your industry-specific needs and reporting frameworks?
• Can it scale with your organization’s growth?
• Does it offer automation and integration features to reduce manual effort?
• Is the pricing structure transparent and aligned with your budget?
• How effective is the customer support and user community?

Choosing the right ESG reporting tool can significantly enhance your company’s sustainability efforts while ensuring compliance and boosting stakeholder trust. Take the time to carefully evaluate your options to find the platform that best aligns with your goals.

FAQs About ESG Reporting Software

Here are some of the most common questions about ESG reporting software to help you make an informed decision.

1. Why is ESG reporting software important for businesses?

An ESG reporting tool ensures businesses can track and report their ESG performance accurately, enhancing transparency and stakeholder trust. ESG reporting software helps businesses track, manage, and report on their Environmental, Social, and Governance metrics efficiently. These tools ensure compliance with global frameworks like GRI, SASB, and TCFD, streamline data collection, and provide actionable insights. They also help organizations enhance transparency, build stakeholder trust, and attract ESG-conscious investors.

2. How do I determine the right ESG software for my company?

Choosing the right software depends on your specific needs, such as industry requirements, company size, and the frameworks you need to comply with. Look for features like data integration, automation, real-time reporting, and scalability. Tools like Snowkap offer all-in-one ESG management solutions, while others like Persefoni excel in carbon-specific tracking.

3. Can ESG software help small businesses, or is it only for large enterprises?

ESG software is beneficial for businesses of all sizes. Many platforms, such as Metrio and Greenly, offer tiered pricing plans and features tailored to small and medium-sized enterprises (SMEs). These tools simplify ESG tracking and reporting, making them accessible and cost-effective for smaller organizations.

4. Does ESG reporting software ensure compliance with all global standards?

Most ESG tools support major frameworks like GRI, SASB, CDP, and TCFD. However, confirming that the software aligns with your specific compliance needs is important. For instance, Snowkap, IBM Envizi and Workiva provide comprehensive support for multiple frameworks, while others like Salesforce Net Zero Cloud focus more on emissions management.

5. How does ESG reporting software improve business performance?

By automating data collection and analysis, ESG tools reduce manual errors, save time, and provide insights for better decision-making. They help identify areas of improvement, track sustainability goals, and align ESG strategies with overall business objectives, ultimately driving long-term value creation.