INTEGRATED APPROACH TO EVALUATING THE EFFECTIVENESS OF THE REPORTING MODEL AND KEY METRICS

This article develops a management-oriented framework for selecting and operationalising ESG metrics within integrated reporting. Building on the logics of the Integrated Reporting Framework, IFRS S1/S2, and ESRS, it`s articulated an interoperability-ready design that links material sustainability topics to value creation, risk appetite, and capital allocation. The core artefact is the ESG-EIM index, aggregating five outcomes: economic benefit, cycletime reduction, strategic integration, reputational trust, and compliance readiness. Methodologically, it`s combined robust normalisation, data-driven and judgment-based weighting (entropy, PCA/FA, regression elasticities, AHP), and a controllable aggregation (geometric/CES with threshold penalties for non-substitutable domains). Outlined a mapping of metrics across ESRS/ISSB/SASB/GRI/TNFD and proposed a double materiality procedure that yields a concise, investor-relevant KPI set aligned with regulatory disclosure. Assurance-by-design is embedded through evidence trails, data lineage, and control activities consistent with ISSA 5000/ISAE 3000 (Revised). Using stylised applications, it`s demonstrated interpretability, sensitivity robustness, and governance usability of the index, and show how RAS triggers translate into KPI targets and board dashboards. The paper advances current debates on commensuration by preserving ethical salience while enabling comparability and decision usefulness. Practical implications include a reduction of reporting burden, improved auditability, and clearer links between sustainability performance, financing conditions, and risk limits. The contribution is a coherent blueprint that turns ESG reporting from a symbolic compliance exercise into an actionable management system suitable for assurance and capital markets communication in emerging and developed contexts, including Ukraine. Additionally, it`s specified phased implementation, data architecture requirements, and role delineation across finance, sustainability, risk, and internal audit, yielding a repeatable template for issuers and assurance providers. Limitations and future research relate to cross-sector calibration, longitudinal validation, and integration with digital tagging and AI-enabled controls.