PROFESSIONAL DISCIPLINE. CLEAR CRITERIA. CREDIBLE EVIDENCE.
Credible advisory and assurance work requires:
Clear scope
Defined criteria
Competent assessment
Appropriate evidence
Professional judgment
Transparent reporting
OUR PROFESSIONAL FOUNDATION
INDEPENDENCE
Maintain professional objectivity and appropriately manage conflicts of interest.
COMPETENCE
Engagements should be undertaken by appropriately qualified and experienced professionals.
CLEAR SCOPE
Define exactly what is being assessed.
EVIDENCE
Support findings with appropriate information.
MATERIALITY
Focus attention on matters relevant to stakeholder decisions.
RISK AWARENESS
Identify risks that may affect quality, performance or credibility.
TRANSPARENCY
Clearly communicate scope, criteria, findings, limitations and conclusions.
RELEVANT INTERNATIONAL REFERENCE POINTS
Depending on the engagement, HSD may consider:
GRI Standards
IFRS Sustainability Disclosure Standards / ISSB
TCFD-related principles
SASB Standards
CDP
UN SDGs
UN Global Compact
Applicable IAASB assurance standards
ISAE 3000, where formally applicable
Relevant AA1000 principles and standards, where applicable
AN IMPORTANT DISTINCTION
A FRAMEWORK IS NOT AN ASSURANCE OPINION.
Referencing a framework does not automatically mean that an organisation or initiative has been certified, verified or assured against it.
HSD distinguishes between:
REFERENCE
A framework informs an assessment.
ALIGNMENT
Practices are considered against relevant principles.
ASSESSMENT
Performance is evaluated against defined criteria.
VERIFICATION
Specified information or claims are independently examined.
ASSURANCE
A formally defined assurance engagement is conducted under applicable professional requirements.
CLEAR CRITERIA. CLEAR CONCLUSIONS.
Before an engagement, HSD seeks to establish:
SUBJECT MATTER — What is being examined?
CRITERIA — What is it measured against?
SCOPE — What is included and excluded?
EVIDENCE — What information supports the assessment?
METHOD — How will the work be performed?
CONCLUSION — What can responsibly be concluded?