Materiality and Risk
The word ‘materiality’ has been borrowed from the world of finance, and this process gets to the bottom of what matters most to your business. The materiality review is a structured process which helps to identify which of the challenges facing an organisation present the greatest risks or opportunities. Risks typically manifest as financial or reputational and both of these categories are explicitly explored. In parallel the process also identifies areas of opportunity where an organisation’s social, environmental and governance performance can be used positively.
Business planning inevitably has a strong financial component but environmental and societal considerations are less familiar to many organisations and so are often not covered to the same extent. Green Knight can take you through a structured facilitated process to get to the priority areas, even those ‘black swans’ (see here) that are far from obvious, and can also support your teams in addressing the issues that the process identifies. If you don’t already have a structured process for managing disruptive financial risks, those can be included too.