ESG Reporting • Carbon Accounting • Sustainability Planning
ESG Explained
Now is the time to act. Amid the ongoing climate crisis, Environmental, Social, and Governance (ESG) issues are playing an ever-increasing role in companies’ decision-making processes. ESG has moved to the forefront of everything from talent acquisition to brand-enhancement and innovation, to market positioning.
What is ESG?
Environmental, Social, and Governance (ESG) are simply a set of standards for a company’s operations that stakeholders can use to evaluate an organizations position, direction and commitment in those specific areas. Often potential investors consider ESG ratings as part of their analysis – but in reality ALL stakeholders from consumers, to suppliers, to partners, to potential employees consider these ESG metrics in their decision process.
Environmental
The environmental element emphasize a company’s sustainability and influence on the environment and ecosystem. Some examples of environmental metrics that investors may research include:
- Compliance with government standards regarding the environment
- Use of sustainable energy compared to nonrenewable resources
- Management of trash and wastewater
- Use of energy-efficient technology
- Carbon emissions from company operations
- Impact on ecosystems through pollution or deforestation
Social
The environmental element emphasize a company’s sustainability and influence on the environment and ecosystem. Some examples of environmental metrics that investors may research include:
- Compliance with government standards regarding the environment
- Use of sustainable energy compared to nonrenewable resources
- Management of trash and wastewater
- Use of energy-efficient technology
- Carbon emissions from company operations
- Impact on ecosystems through pollution or deforestation
Governance
The environmental element emphasize a company’s sustainability and influence on the environment and ecosystem. Some examples of environmental metrics that investors may research include:
- Compliance with government standards regarding the environment
- Use of sustainable energy compared to nonrenewable resources
- Management of trash and wastewater
- Use of energy-efficient technology
- Carbon emissions from company operations
- Impact on ecosystems through pollution or deforestation
Increasing Focus
With the focus on environmental and social issues intensifying, the importance for an organization to disclose its position on, and actions towards, ESG issues is paramount. What was once thought to be a nice to have, is now considered a must-have, as organizations are now regularly being evaluated on these non-financial ESGmetrics alongside the more traditional financial ESG metrics.
The good news is that a company with a well thought out and integrated Environmental, Social and Governance program will not only be able to thrive in the present but will also be able to future proof itself as well.
Where to Begin?
At GHG Environmental, we recognize that ESG analysis can be complex there is no one size fits all strategy. Our goal is to take the complexity out of the process with involve a few simple and logical steps and help your organization move forward – no matter where you may be on your current ESG journey.
- We assess your current ESG program
- Identify weak spots
- Assess risks
- Develop an action plan that integrates and aligns your ESG goals, carbon reduction roadmap, and overall business strategy
There is overwhelming evidence that indicates a strong ESG program is directly proportional to financial performance. Furthermore, firms that have successfully implemented sustainability and ESG strategies tend to outperform the other top global companies.
Call today and let GHG Environmental help you and your organization set the ESG foundation for long term success.
take charge of your climate journey
From data collection, to analytics, to reporting and disclosing, GHG Environmental can help you craft and implement an ESG Reporting Program, a Carbon Reduction Strategy, and a Climate Initiative plan that will set your organization apart from the competition, create value for your stakeholders, and lead your organization to long term sustainable growth.
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