Skip to the disclosure focus
Courses

ISSB Training Partner IFRS S1 · General Requirements for Disclosure of Sustainability-related Financial Information · Paragraph 44(a)

Processes for sustainability-related risks

s1-44-a · mandatory · narrative disclosure

This disclosure explains the processes and related policies used to identify, assess, prioritise and monitor sustainability-related risks, including inputs and parameters, scenario-analysis use, assessment of the nature, likelihood and magnitude of effects, prioritisation relative to other risks, monitoring and changes in the processes.

Legal status

IFRS S1 and IFRS S2 were issued in June 2023 and are effective for annual reporting periods beginning on or after 1 January 2024.

Start preparing ↓ Official IFRS Foundation source ↗

Disclosure focus

This LRA educational guidance supports disclosure preparation. For the exact requirements, always refer to the official IFRS Foundation source.

Prepare

What to collect before drafting

Tick each field as the evidence lands. Owners are the teams that usually hold the source files.

  • Processes and related policies

    Sustainability reporting / relevant process owner

    Identify, assess, prioritise and monitor sustainability-related risks.

    Evidence Current approved records and review evidence supporting processes and related policies.

    Watch for The published response for processes and related policies is incomplete or does not match the supporting records.

  • Inputs and parameters

    Sustainability reporting / relevant process owner

    Data sources and scope of operations covered.

    Evidence Current approved records and review evidence supporting inputs and parameters.

    Watch for The published response for inputs and parameters is incomplete or does not match the supporting records.

  • Scenario analysis

    Sustainability reporting / relevant process owner

    Whether and how scenario analysis informs identification.

    Evidence Current approved records and review evidence supporting scenario analysis.

    Watch for The published response for scenario analysis is incomplete or does not match the supporting records.

  • Assessment of effects

    Sustainability reporting / relevant process owner

    How nature, likelihood and magnitude of effects are assessed, including qualitative factors, quantitative thresholds or other criteria.

    Evidence Current approved records and review evidence supporting assessment of effects.

    Watch for The published response for assessment of effects is incomplete or does not match the supporting records.

  • Prioritisation relative to other risks

    Sustainability reporting / relevant process owner

    Whether and how sustainability-related risks are prioritised relative to other types of risk.

    Evidence Current approved records and review evidence supporting prioritisation relative to other risks.

    Watch for The published response for prioritisation relative to other risks is incomplete or does not match the supporting records.

  • Monitoring

    Sustainability reporting / relevant process owner

    How sustainability-related risks are monitored.

    Evidence Current approved records and review evidence supporting monitoring.

    Watch for The published response for monitoring is incomplete or does not match the supporting records.

  • Changes in processes

    Sustainability reporting / relevant process owner

    Whether and how processes changed compared with the previous reporting period.

    Evidence Current approved records and review evidence supporting changes in processes.

    Watch for The published response for changes in processes is incomplete or does not match the supporting records.

Before you start

  • Can we explain the processes and related policies and all six specified information areas? Are changes described as process changes? Are inputs, scope, scenario use, assessment criteria, prioritisation and monitoring supported by evidence?
＋ Show s1-44-a sub-elements (LRA working checklist)

How to prepare it

Map identify/assess/prioritise/monitor processes and related policies.
Document inputs, data sources and scope.
Determine whether/how scenario analysis informs identification.
Document assessment of nature, likelihood and magnitude of effects.
Document prioritisation relative to other risks.
Document monitoring.
Compare processes with prior period.
Separate integration under 44(c).
Verify evidence and connected information.

Request the data

Request the disclosure evidence

Translate the disclosure into an internal business question — then adapt it to your organisation's own language.

Please provide the current processes and related policies used to identify, assess, prioritise and monitor sustainability-related risks, including inputs/data sources and scope, scenario-analysis use, assessment criteria for nature/likelihood/magnitude of effects, prioritisation relative to other risks, monitoring and changes since the previous reporting period.

Use the organisation's own role and document names, but preserve the defined IFRS / ISSB terms and the scope described above.

Better request

Please provide the current processes and related policies used to identify, assess, prioritise and monitor sustainability-related risks, including inputs/data sources and scope, scenario-analysis use, assessment criteria for nature/likelihood/magnitude of effects, prioritisation relative to other risks, monitoring and changes since the previous reporting period.

Draft your disclosure

Notes that turn data into a disclosure

LRA training templates — adapt them to your organisation, and check the official source before sign-off.

Method note

Describe processes and related policies; inputs and parameters; whether and how scenario analysis informs identification; assessment of nature, likelihood and magnitude of effects; prioritisation relative to other risks; monitoring; and process changes since the previous period.

Context note

Apply IFRS S1.44(a) using the exact paragraph scope and cross-references stated in the official IFRS source.

Download Centre

Preparation tools & forms

Download preparation tools for s1-44-a with free verified email access for 24 hours. Source-report links remain public.

Free · Email access
01XLSPrep & Assurance workbookDatapoints, risks, evidence to check, owner and evidence pack.Get it free ↧ 02XLSData-request packRequest email, message template, response fields and sign-off structure.Get it free ↧ 03PDFLibrary CardPrintable one-page summary of this disclosure card.Get it free ↧

Check

For each claim, check the evidence

  • Processes and related policies cover identify/assess/prioritise/monitor.

    Risk The published response does not support this human-reviewed assurance check.

    Evidence to check Trace the statement to current approved records and the official IFRS source.

  • Inputs/data sources/scope are explained.

    Risk The published response does not support this human-reviewed assurance check.

    Evidence to check Trace the statement to current approved records and the official IFRS source.

  • Scenario-analysis use is explained.

    Risk The published response does not support this human-reviewed assurance check.

    Evidence to check Trace the statement to current approved records and the official IFRS source.

  • Nature/likelihood/magnitude of effects assessment is explained.

    Risk The published response does not support this human-reviewed assurance check.

    Evidence to check Trace the statement to current approved records and the official IFRS source.

  • Prioritisation relative to other risks is explained.

    Risk The published response does not support this human-reviewed assurance check.

    Evidence to check Trace the statement to current approved records and the official IFRS source.

  • Monitoring is explained.

    Risk The published response does not support this human-reviewed assurance check.

    Evidence to check Trace the statement to current approved records and the official IFRS source.

  • Process changes are explained.

    Risk The published response does not support this human-reviewed assurance check.

    Evidence to check Trace the statement to current approved records and the official IFRS source.

Evidence pack to prepare

Common reporting gaps

  • Related policies omitted.
  • Identify/assess/prioritise/monitor stages incomplete.
  • Data scope listed without sources.
  • Scenario analysis treated as mandatory or omitted without explaining whether/how used.
  • Assessment concerns risk score rather than effects.
  • No comparison with other risk types.
  • Monitoring described as target monitoring.
  • Changes concern risk list rather than processes.
✓ Knowledge Hub AI Assistant · Human-in-the-loop
Dr Ross Kurinko

Ask the Knowledge Hub AI Assistant about this disclosure

Get practical answers for your reporting context.

Try How do I prepare s1-44-a? What data do I need to collect? What mistakes should I avoid?

Framework references

Relevant IFRS / ISSB requirements and related disclosures

IFRS / ISSB

s1-44-a

within IFRS S1: General Requirements for Disclosure of Sustainability-related Financial Information

Open official source →

Guides that settle this question

Are IFRS S1 and IFRS S2 Mandatory? →Can One Climate Dataset Support UK SRS S2, IFRS S2, ESRS E1, TCFD and CDP? →Can One Dataset Support IFRS S1/S2, ESRS, GRI and CDP? →Choosing topics and metrics under IFRS S1 and S2 →

Related & explore

Fair presentation →Materiality →Reporting entity →Connected information →Core content architecture →Browse all disclosures →

More in IFRS S1 →Browse full catalogue →Search all disclosures →

How this library is built 1,211 published reports indexed 315,012 pages with page-level citations 272 published cards in the active catalogue
/en/knowledge-hub/disclosure-cards/s1-44-a/