How ESG creates value for businesses and organisations
Tuesday 10th August 2021
Leadership teams have quickly recognised that a strong ESG proposition can create significant competitive advantage adding value to their business. Hence, there is a growing need to deeply embed environmental, social, and governance (ESG) approaches as part of their organisations processes and behaviours.
With COP26 only 3 months away and COVID-19 having had a profound impact world over, pressures over the last 18 months have mounted. Increasingly governments around the world are creating new regulations to start mandatory disclosures on an organisations ESG practices over the next few years.
This article will help you learn about the current landscape of sustainability data challenges and how digital tools and cloud-based platforms like myConsole help embed sustainability across your business processes.
What are the individual elements of ESG
- E in ESG is Environmental criteria: which includes the energy your company takes in and the waste it discharges, the resources it needs, and the consequences for living beings as a result. Not least, E encompasses carbon emissions and climate change. Every company uses energy and resources; every company affects, and is affected by, the environment.
- S in ESG is Social criteria: which addresses the relationships your company has and the reputation it fosters with people and institutions in the communities where you do business. S includes labour relations and diversity and inclusion. Every company operates within a broader, diverse society.
- G in ESG is Governance: which is the internal system of practices, controls, and procedures your company adopts in order to govern itself, make effective decisions, comply with the law, and meet the needs of external stakeholders. Every company, which is itself a legal creation, requires governance.
What you will now have to deliver
Not only will business's need commitment to a broad range of stakeholders, including customers, employees, suppliers, communities, and, of course, shareholders but their processes and tools must:
• communicate the company's performance to different stakeholders.
• Link and report the connections between sustainability, operational and financial performance
• demonstrate credible accountability through coherent commitments, actions, and performance.
• Show continuous improvement through real-time measurement, management and reporting
• Demonstrate that leadership is managing ESG issues most material to the business
Key challenge to ESG success is Quality Data
Quality data remains one of the most challenging roadblocks to evaluating and integrating sustainability and ESG considerations with integrity, transparency and accountability. Given the value of sustainable practices is directly linked to the accuracy and consistency of data, C-suite will now have to raise their organisations efficiency and effectiveness in how data is captured analysed and reported.
CFO's, CSO's, and sustainability managers are leaning on comprehensive digital tools with real-time access to BI insights to gain control of their ability to keep up with the evolving ESG disclosure requirements, trends, and stakeholder requests for information.
The myConsole platform empowers companies to stay in control by capturing ESG data, strategy and autogenerating reports. The technology is designed to offer real time aggregated views of sustainability performance across all projects, programmes, initiatives, and portfolios.
How myConsole helps you stay in control of you ESG strategy, data, and reporting.
myConsole simplifies adoption of ESG in your organisation because it is ESG aligned and ready to go.
It provides a set of integrated tools in one single all-in-one platform so will help ESG appointed managers easily prepare and address the forthcoming ESG regulatory requirements. Our digital transformation technologies help companies manage their sustainability performance within one single digital transformation solution.
Deliverables and Benefits of myConsole
myConsole provides real-time aggregated insights of your ESG and sustainability performance including:
1. Real-Time data management and analytics:
We enable consolidation of your company's ESG data in one place for easy collaboration and quality control. Advanced BI dashboard and automation deliver data-driven insights for decision-making.
2. Connected views to sustainability strategies and implementation progress:
Our scalable platform supports every step of your sustainability journey, across all workflows, from strategy, monitoring, reporting and feedback. We support the execution of your ESG objectives and improvements across all your projects programmes initiatives and portfolios.
3. ESG reporting and disclosure:
To support the execution of your ESG objectives and improvements we can integrate access to global frameworks and standards, best practices, processes for materiality assessments, reporting guidance, as well as enabling communication to internal and external stakeholders for reporting and feedback.
Now is the time to gain control over the baseline of your business; the fundamentals of ESG and output reports, to turn on the ignition to drive real-time results and disclosure.
Contact the team for a demo with one of our experts
Ref: McKinsey Article | Five ways that ESG creates value November 14, 2019*