With the Implementation of the Corporate Sustainability Reporting directives and the European Sustainability Reporting Standards (ESRS), micro, small, and medium-scale (SME) industries face a dilemma. Increasing demands from partners or clients, who are subject to mandatory reporting standards, have heightened indirect pressure on these businesses to disclose their sustainability practices. However, SMEs find it challenging because they often lack expertise, resources and clarity to what to report and how. In response to this gap, our study presents the development of a user-friendly Chatbot to assist the MSME’s in navigating through the Voluntary Sustainability Reporting Standards for the Non-Listed SME’s (VSME) metrics, issued by EFRAG. This study examines the importance of sustainability practices and disclosures and explores how enterprises can position themselves competitively by highlighting their sustainable initiatives. The chat-bot, built using the Botpress platform and driven by a natural language processing (NLP) framework, simplifies the complex reporting requirements in-to conversational guidance. It offers step-by-step support in understanding key performance indicators (KPIs) and aligning with ESG expectations. This paper outlines the regulatory background, identifies the practical obstacles of the SME’s face, and how this intelligent conversational tool simplifies access to sustainability reporting and practices. The result reveals a promising out-come for digital sustainability reporting and emphasizes scalable ESG adoption across Europe’s MSME’s sectors.

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Development of a Chatbot for ESG Reporting for Micro, Small, and Medium-Scale Enterprises

  • Tejas Suresh Bane,
  • Teja Raghu Varma Alluri,
  • Maxim Mintchev

摘要

With the Implementation of the Corporate Sustainability Reporting directives and the European Sustainability Reporting Standards (ESRS), micro, small, and medium-scale (SME) industries face a dilemma. Increasing demands from partners or clients, who are subject to mandatory reporting standards, have heightened indirect pressure on these businesses to disclose their sustainability practices. However, SMEs find it challenging because they often lack expertise, resources and clarity to what to report and how. In response to this gap, our study presents the development of a user-friendly Chatbot to assist the MSME’s in navigating through the Voluntary Sustainability Reporting Standards for the Non-Listed SME’s (VSME) metrics, issued by EFRAG. This study examines the importance of sustainability practices and disclosures and explores how enterprises can position themselves competitively by highlighting their sustainable initiatives. The chat-bot, built using the Botpress platform and driven by a natural language processing (NLP) framework, simplifies the complex reporting requirements in-to conversational guidance. It offers step-by-step support in understanding key performance indicators (KPIs) and aligning with ESG expectations. This paper outlines the regulatory background, identifies the practical obstacles of the SME’s face, and how this intelligent conversational tool simplifies access to sustainability reporting and practices. The result reveals a promising out-come for digital sustainability reporting and emphasizes scalable ESG adoption across Europe’s MSME’s sectors.