This article is for Requesters and and explains CDP’s approach to parent-subsidiary reporting and framework, including how to select the correct entity, how requests are handled within hierarchies and how company relationships are managed within CDP.
Requesters have flexibility in choosing which entity to request. In most cases, CDP encourages Requesters to direct the request to the specific entity they are engaging directly with, however there are instances where requesting their parent company will be more appropriate.
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Parent-subsidiary reporting frameowrk
For Disclosers, the preferred approach is for parent companies to respond on behalf of their entire group by submitting a consolidated response which includes all subsidiary data. This approach is aligned with internationally recognized reporting frameworks, including the Greenhouse Gas (GHG) Protocol and the International Sustainability Standard Board’s IFRS S2 standards. For further information please see our parent-subsidiary reporting guidance article for Disclosers.
While parent-level reporting is preferred, CDP recognizes that it is not always feasible or appropriate, thus parent companies have the option to disclose a consolidated response or one independent response from their subsidiaries, and they can choose to respond for as many or as few of their subsidiaries as they wish.
In CDP’s Portal, requested parent companies have complete visibility and control over all requests sent to them or any of their subsidiaries. This allows them to assess which requests should be included in their own response and whether consolidation is appropriate. Parents do this at the organization level, which merges all requests of each selected subsidiary as well as all requests from the subsidiary’s subsidiaries.
Until the parent actively merges the request from the subsidiary, the subsidiary will be able to begin their response without having to reach out to CDP. Before a parent company grabs their subsidiary’s request, the parent will be informed that any progress the subsidiary has made on their response will be lost, but if the request was merged in error, the progress previously lost can be recovered by contacting your Account Manager (if applicable) or our Customer Support Team. More information can be found in our previously linked article aimed at Dislcosers.
Guidance on requesting the correct entity
In most cases, CDP encourages Requesters to direct requests at the specific entity with which they are engaging, which may be a subsidiary company. This allows the requested entity to respond while still giving the parent company visibility and the option to take over the response if needed.
However, you may choose to request the parent company directly, for instance if the parent company is a known Discloser or if you wish to request multiple subsidiaries of the same parent company. In such instances, we encourage you to inform the parent company of the entity or entities you engage with, so they can include them in their response and respond accurately to the questionnaire.
In some cases, CDP may suggest moving a request from the subsidiary to the parent company and may ask for your cooperation in adjusting your Request list. This may be because the parent company has no requests of their own and is therefore unable to view and merge their subsidiaries’ requests. Please contact your Account Manager for support and refer to the add organizations section of our creating, managing and submitting your Request list article.
Parent-subsidiary mapping (DUNS numbers)
CDP continually improves its database of company hierarchies, using DUNS numbers and Dun & Bradstreet data to link parent and subsidiary companies and help direct requests to the right entity.
Nonetheless, some company relationships in the CDP database may be missing, incorrect, or out of date. If you notice any issues with company relationships, please inform your Account Manager (if applicable) or contact our Customer Support Team using the ‘Contact Support’ button at the bottom of this article. This will take you to our My Support page in the CDP Help Center and pre-populate the case category and subcategory relevant to your situation.
Note: You need to be signed in to be able to access the CDP Help Center. Further guidance can be found in our how to raise a case in the CDP Help Center article.
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