Which statement best describes the recommended form of SASB target disclosure?

• A. Targets should be vague and non-timed.
• B. Targets should be reported only at year-end without baselines.
• C. Targets should be kept secret from stakeholders.
• D. Targets should be time-bound with baselines, accountability, and progress disclosure.

Answer: (D)

The key idea is that SASB target disclosures should be concrete, measurable, and transparent to investors. The best practice is to present targets that are time-bound, anchored to a baseline, with clear accountability, and with regular progress disclosures. A baseline establishes where you started, so you can quantify change. A specific deadline creates a clear time frame and enables comparisons across periods. Accountability assigns responsibility for meeting the target, and ongoing progress disclosures keep stakeholders informed and allow them to track performance over time. For example, stating that energy intensity will be reduced by a certain percentage by a future year, from a defined starting point, with an appointed owner and annual progress updates, makes the target verifiable and decision-useful. In contrast, vague or non-timed targets, reporting only at year-end without baselines, or keeping targets secret, undermine transparency and the ability to assess performance.