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Now more than ever, How and Why matter as much as What we do.
Companies are organizations with tremendous power and responsibility, not only expected to be profitable but to listen and share their success with their stakeholders.
In the past, stakeholders were owners and employees; nowadays, also customers suppliers: communities, investors, media, trade unions, or government agencies are within this circle.
An example of how this is not just ethical but also economically efficient is when customers make their decisions based on their supplier philosophy and values. Financial institutions are also more and more taking into consideration transparency practices as a metric to analyze creditworthiness. And it has been demonstrated that talent is attracted to organizations with inclusive practices and respect for the personal sphere of the employee.
To strategize about your ESG practices is moving towards a more positive impact space and a way to contribute to society and to be regarded as a forward-thinking leader.
Environment
The assessment of environmental risks and opportunities in daily operations should be integrated into the entire company’s objectives. To this group belong the goals related to clean water and sanitation, clean energy, protection to the planet, life below the water and on the land, or sustainable cities and communities.
To this category of goals belong the contributions to good health and well-being, to eradicate hunger and poverty, to create a culture where quality education and gender equality are essential, and to promote decent work and economic growth through supporting industry and infrastructure.
Social
Governance
Ethical management values are related to transparency and independence of decision-making, identification, management of conflicts of interest, promotion of accountability, open communication and fair complaint management, and ensuring gender and racial equality.