Takeaway

Key Concepts: Indicators and Narrative Discussion

Look for quantitative indicators that measure the company’s progress in accomplishing sustainability objectives. However, also read the narrative discussion for interpretation of the indicators.

Quantitative indicators: These are similar to the instrument panel lights in an automobile, but the warning lights cannot always explain a problem completely. A mechanic might need to do more investigation to solve the problem.

Narrative discussion: Qualitative information is similar to the mechanic that does the further analysis. It helps with a deeper understanding of the indicators. It can explain why a trend is occurring or what an organization is doing to ensure a positive trend or to change a negative trend in the future.