Independent Third Party Reviews

What is an independent third party assurance or review?

The European Federation of Accountants defines assurance as

the provision of confidence or certainty by an independent assurance provider to a party or group of persons in relation to certain subject matter.”

What does all that mean?

  • The provision of confidence or certainty” is usually in the form of a statement (assurance statement) about the accuracy of information.
  • An independent assurance provider” is a person or organization that has no interest in seeing information presented either favourably or unfavourably but rather is neutral.
  • Certain subject matter,” for purposes of this module, is all or part of the sustainability report.  However, it could refer to an information system, environmental management system, or reporting according to a certain standard.

Therefore, a corporation usually engages an independent neutral third party or parties to perform a review and then to make a statement as to the accuracy of the information provided or the adherence to some standard.