Embracing ESG: Setting Your Strategy

Are you satisfied with your understanding of your business’ Environmental, Social, and Governance (ESG) risks and opportunities? If not, you are not alone.

Although many companies may be facing minimal formal government regulations or none at all, many businesses are beginning to step up their ESG activities. As a result, organisations may miss out on opportunities to position themselves as a market leader to gain or protect market share, even when not subject to specific ESG reporting requirements.

For example, companies may be asked about their ESG policies by business partners, investors, or other stakeholders. A large international company may select its vendors based on the maturity of their ESG efforts, and those vendors may in turn demand the same level of ESG effort and reporting from their own suppliers, on down the line to the smallest companies in the supply chain. As a result, in the near future, small private companies should at least be prepared to implement ESG policies as robust as those followed by much larger organisations.

Learn more in the Environmental, Social, and Governance Insights Report

What is the best way to get started?

The first step in creating your ESG roadmap is gaining a full understanding of where your company stands today. It may be a complicated process.

At a minimum, companies should begin by identifying which issues are relevant to them, what person or group is in charge of the departments involved, and what ESG-related activities are underway. It may be helpful to organise a ESG work group that includes representatives from different departments. With the right information and guidance, it is easier to set targets, develop the basic ESG policy, collect ESG data, and review the progress of ESG implementation.

According to David Papa, Partner and ESG Specialist at Bentleys SA/NT, “I think what makes ESG so exciting is that it represents both an obligation and an opportunity for our firm to make a significant societal impact through our work with clients. It challenges us to take responsibility and ensure that we are all doing our part to build a better future”.

Want to know more about how Bentleys can help your business?

Our team is ready with expert advice to get you started on the ESG path and help you along the way. Talk to us today.

Disclaimer: This information is general in nature and should not be relied on as advice. It does not take into account the objectives, financial situation or needs of any particular person. You need to consider your financial situation and needs and seek professional advice before making any decisions based on this information.