Article
From data to reporting: A guide to leveraging ERP analytics to track ESG performance
July 21, 2025 · Authored by Cindy M. Bratel
Organizations are facing increasing pressure from investors, customers, employees and regulators to demonstrate their commitment to sustainable and responsible practices. Achieving success in a world that demands transparency and accountability requires robust technology and strategy. That’s where enterprise resource planning (ERP) systems enter. ERP platforms are becoming primary tools to track, analyze and communicate environmental, social and governance (ESG) efforts and serve as a lens through which organizations can understand their true impact, make informed decisions and demonstrate their commitment to creating value. Technologies like IFS Cloud have made ESG performance tracking accessible to businesses, offering unmatched flexibility, real-time data processing and data integration capabilities.
Q: How does an ERP platform support an organization’s ESG goals?
A: Enterprise resource planning (ERP) systems serve as data ecosystems capable of capturing, analyzing and reporting ESG metrics. These systems allow businesses to not just measure their ESG efforts, but to understand and improve their environmental and social impact. These systems provide a toolkit for quantifying ESG performance across various areas, including the following:
Environmental
- Carbon emissions tracking and calculation
- Resource consumption monitoring
- Waste management and reduction analysis
- Energy efficiency measurement
- Sustainable procurement tracking
Social
- Workforce diversity analytics
- Labor practice compliance monitoring
- Supply chain ethical sourcing
- Human rights and fair labor practice assessment
Governance
- Risk management frameworks
- Regulatory compliance monitoring
- Ethics and anti-corruption tracking
- Financial transparency tools
