Which primary driver's influence on sustainability metrics is often assessed?

Regulatory changes are a significant primary driver of sustainability metrics because they establish the legal framework and standards that organizations must adhere to in their sustainability practices. These regulations can dictate mandatory reporting requirements, emissions targets, and sustainability criteria that businesses must meet. As governments and regulatory agencies increasingly focus on sustainability, compliance with these regulations becomes essential for companies looking to avoid legal penalties, improve their public image, and align with global sustainability goals. This influence often leads organizations to develop corresponding sustainability metrics that track compliance, assess risks, and demonstrate accountability to stakeholders, making it a fundamental aspect of sustainability accounting.

Financial market shifts, technological advancements, and customer preferences also play important roles in shaping sustainability practices and metrics, but regulatory changes typically provide the foundational guidance and accountability that drive measurable actions within organizations.