This directive seeks to streamline corporate sustainability reporting and due diligence obligations while reducing administrative burdens for businesses in the EU. The scope is narrowed to large companies with over 1,000 employees and €450 million in revenue to limit compliance costs. More flexible audit standards and voluntary reporting frameworks are introduced to support implementation. Due diligence requirements are focused on direct business partners to ease corporate responsibilities. The political goal is to balance transparency, competitiveness, and feasibility in sustainability regulations.