How ESG Will Matter to Every Organization Now

ESG (Environmental, Social and Governance) will lead the development and growth of every organization hereafter and assess the risk for every stakeholder in terms of its economics and value proposition.

Organization that will Adopt robust ESG reporting framework from the 17 SDGs (sustainable development goals- agenda 2030) will have better chances of succeeding in business (Over 80%) through benchmarking in revenue growth, cost reduction, productive human resource, attractive asset value and attracting favorable investors. It also gives the organization a better public face and stakeholder confidence.

ESG activities are extended to emissions, water conservation, Stewardship of the land, data privacy, stakeholder engagement and transparency, Risk management, community commitments, diverse engagement in workplace and human capital management.

By considering ESG factors, investors get a more realistic view of the companies they back, which can help mitigate risk and identify opportunities and result in better fund raising.

To begin with, it’s important that top leadership focus on essential ESG actions by developing a team and assessing the necessary data and resources to analyze the cost and benefits.

Then, a good risk assessment through ESG rating should be backed with a strong management commitment and should be fair and transparent.

Also, it is essential to follow all guidelines, principles, laws, and methods that are applicable nationally and globally while pursuing ESG assessment and ratings.

Lastly, Choosing the right ESG materiality assessment partner and ESG standards to do so is equally important.

The whole world is focusing on addressing issues of climate change, biodiversity, deforestation, waste, pollution, health and safety, human rights, community relations, corruption, fraud, and data security etc to create a better future for times to come.

Whether its ESG investing or ESG funding, both have considerable impact from ESG planning of organizations, implementation, and its anticipated business outcome.

In present the ESG topic at the recently concluded G20 summit and in the New Delhi Leaders ‘declaration’ made decisive progress on ESG issues like greenhouse innovation center, clean energy capacity and global biofuel.

For more information on ESG, visit www.dateyourplanet.com