Corporate Sustainability Reporting Directive (CSRD) and Freight Forwarders : Reaching Full Compliance

Abstract Purpose – The purpose of this thesis is to enable a freight forwarder to comply with the Corporate Sustainability Reporting Directive (CSRD), by assessing the current level of compliance readiness and identifying key barriers in reaching full compliance. The outcome will be a set of suggestions that can enable a freight forwarder to meet CSRD requirements. To fulfill the purpose, three research questions were created: RQ1: What is the state of CSRD readiness of freight forwarders? RQ2: What are the barriers in reaching CSRD compliance for freight forwarders? RQ3: How can freight forwarders reach full compliance of CSRD? Method – The thesis is a single case study of a freight forwarder that is obliged to comply with CSRD. 6 semi structured interviews, 5 document reviews and questionnaire have been conducted. Findings – Despite the growing awareness of freight forwarders, full CSRD compliance hasn’t reached yet due to barriers such as lack of knowledge, low prioritization of sustainability, lack of resources, complexity of the directive, customer demand etc. In addition to barriers, readiness of freight forwarders, current state and CSRD requirements were identified. Further suggestions were provided to fill the gaps between the current state and CSRD requirements. Implications – The thesis did not contribute to any new theories, however, it deepened knowledge in specific areas. For example, it provides suggestions for action to take to reach compliance, which provide a base for future research. Additionally, this thesis provides valuable insights for the policy makers (such as the EU), to understand how to improve the directive, based on the companies’ current perception of it. Limitations – Two categories of limitations were encountered: limitations due to data collection restrictions, and due to external parties. Data collection limitations concern language biases and availability of internal documents. The second set consists of the lack of previous academic research on the topic, dependence on consultancy agencies for relevant information, and the Omnibus decision to postpone the CSRD implementation deadline. Keywords – CSRD, EU, SMEs, Sustainable Development, Freight Industry, Reporting,Compliance Barriers