Process for financial materiality
The Sustainability Accounting Standards Board (SASB) has carried out a process of analysis and international consultation to construct standards by industry. In the company’s materiality analysis, the standards established by this initiative for those sectors in which Grupo Lamosa is active were used: construction products and furniture; and multi-line and specialized distributors and retailers. Additionally, important aspects of the operations (such as main revenue streams and main inputs for value creation) and the operating environment (economic, regulatory, operating and business environments) were reviewed, in order to identify additional indicators not identified in the previously-mentioned standards, as well as to exclude indicators identified within the standards that do not apply to Grupo Lamosa. These elements were then integrated into the methodology for obtaining the socio-environmental matrix.

Process for socio-environmental materiality
Using the four-step process that the Global Reporting Initiative (GRI) recommends for carrying out materiality analyses, potentially relevant topics were identified by analyzing the main risks and opportunities of the sectors in which Grupo Lamosa operates. Specific references were used in the management of ESG issues, such as the S&P/SAM Sustainability Yearbook 2021 for construction materials, to mention just one example. Once the potential material topics for the company were identified, interviews, focus groups and surveys were conducted with senior management and the company’s diverse stakeholder groups (employees, customers, distributors and suppliers), in order to prioritize these topics. The activities carried out led to the creation of a two-axis matrix and the determination of the material topics.

Senior management validated the 16 material topics identified internally.