GRI Data Collection & Measurement Techniques 5 — Questions and Answers
Question 1: Under GRI 2 (General Disclosures 2021), which entities must be included when an organization reports on its value chain impacts?
- Only direct (Tier 1) suppliers with contracts exceeding $1 million
- Upstream and downstream actors whose activities are linked to the organization's significant impacts (Correct answer)
- Subsidiaries in which the organization holds more than 50% equity
- Any entity that provides goods or services to the reporting organization
Correct answer: Upstream and downstream actors whose activities are linked to the organization's significant impacts
GRI 2 requires organizations to consider upstream and downstream value chain actors when those activities contribute to significant economic, environmental, or social impacts.
Question 2: An organization collects air emissions data for GRI 305 but lacks monitoring equipment for NOx at one plant. Which approach is GRI-compliant?
- Exclude that plant and note it is not material
- Use engineering calculations or emission factor models and disclose the estimation method (Correct answer)
- Report zero emissions for that plant to avoid overstating impacts
- Delay reporting until monitoring equipment is installed
Correct answer: Use engineering calculations or emission factor models and disclose the estimation method
GRI 305 allows calculated estimates using emission factors or engineering models when direct monitoring is unavailable, provided the calculation method is disclosed.
Question 3: What is the primary purpose of establishing a 'base year' in GRI environmental data reporting?
- To comply with international carbon trading regulations
- To provide a fixed reference point for tracking performance trends over time (Correct answer)
- To align with the organization's fiscal year for financial consolidation
- To satisfy external auditor requirements for historical data
Correct answer: To provide a fixed reference point for tracking performance trends over time
A base year provides a stable benchmark against which progress on environmental targets (e.g., GHG reduction goals) can be consistently measured over time.
Question 4: When collecting occupational health data, GRI 403 requires organizations to distinguish between which two categories of work-related injuries?
- Minor injuries and serious injuries only
- Recordable injuries (including fatalities) and high-consequence injuries (excluding fatalities) (Correct answer)
- Lost-time injuries and medical-treatment cases
- Injuries to employees and injuries to contractors
Correct answer: Recordable injuries (including fatalities) and high-consequence injuries (excluding fatalities)
GRI 403 requires separate disclosure of high-consequence injuries (life-altering or requiring extended recovery, excluding fatalities) and all recordable injuries including fatalities.
Question 5: A multinational organization collects anti-corruption training data under GRI 205. Which workforce segment must be tracked for this disclosure?
- Senior management and board members only
- All employees in governance, operations, business development, and legal functions (Correct answer)
- Employees in high-corruption-risk countries as defined by Transparency International
- All employees and business partners who have signed anti-corruption policies
Correct answer: All employees in governance, operations, business development, and legal functions
GRI 205 requires anti-corruption training data for employees in functions exposed to corruption risks, not limited to leadership or geographic risk tiers.
Question 6: Which GRI guidance recommends using the 'equity share' approach for GHG consolidation in joint ventures?
- GRI 305 mandates equity share for all joint venture emissions
- GHG Protocol Corporate Standard, which GRI references as the basis for consolidation method selection (Correct answer)
- The UN Global Compact reporting framework integrated with GRI
- SASB industry-specific standards linked to GRI sector supplements
Correct answer: GHG Protocol Corporate Standard, which GRI references as the basis for consolidation method selection
GRI 305 refers reporters to the GHG Protocol Corporate Standard for guidance on consolidation approaches, including the equity share method for JVs.
Question 7: What does 'data normalization' mean in the context of GRI workforce disclosures across multiple countries?
- Converting all salary data to USD using purchasing power parity
- Applying consistent definitions and calculation methods so that data is comparable across different locations and legal contexts (Correct answer)
- Removing statistical outliers from headcount and turnover figures before reporting
- Standardizing reporting periods so all regions use the same fiscal calendar
Correct answer: Applying consistent definitions and calculation methods so that data is comparable across different locations and legal contexts
Normalization ensures that different jurisdictions apply the same definitions (e.g., 'employee,' 'full-time equivalent') so aggregate workforce data is meaningful and comparable.
GRI Data Collection & Measurement Techniques 5
Under GRI 2 (General Disclosures 2021), which entities must be included when an organization reports on its value chain impacts?