An interesting event occurred at Accountex last week, which has encouraged me to write this blog post.
As a speaker, I needed to leave the event unexpectedly last Wednesday morning (I’ll write about this soon and it will amaze you – I promise), leaving a gap available at 4 for someone to step in and take my place on ‘Exit Planning’.
I’m told the unrehearsed presentation was about ESG, which didn’t inspire those ‘business advisors’ to stay, clearly either knowing all about ESG already, or simply not interested in the topic.
So, why is a policy on ESG good for business?
It is a framework for managing sustainability, ethical practices, and conscious consumerism. ESG policies can help businesses attract investors, build customer loyalty, improve financial performance, make operations sustainable, and gain a competitive edge.
Here are some of the other benefits of having an ESG policy:
- Attract investors. Investors are increasingly looking to invest in companies that are committed to ESG. This is because they believe that ESG-focused companies are better positioned to succeed in the long term. A study by Morgan Stanley found that companies with strong ESG ratings outperformed the market by an average of 10% over the past five years.
- Build customer loyalty. Customers are also more likely to do business with companies that they believe are committed to ESG. A study by Nielsen found that 66% of consumers are willing to pay more for products and services from companies that are socially responsible.
- Improve financial performance. ESG policies can help businesses improve their financial performance in a number of ways. For example, by reducing costs, improving efficiency, and increasing innovation. A study by the World Economic Forum found that companies with strong ESG performance are more likely to be profitable and have higher valuations.
- Make operations sustainable. ESG policies can help businesses make their operations more sustainable. This can lead to a number of benefits, such as reducing costs, improving efficiency, and mitigating risk. A study by the McKinsey Global Institute found that the transition to a low-carbon economy could create up to 28 million new jobs by 2030.
- Gain a competitive edge. ESG policies can help businesses gain a competitive edge by differentiating them from their competitors. This can lead to increased sales, market share, and profitability. A study by the Boston Consulting Group found that companies with strong ESG performance are more likely to be leaders in their industries.
Overall, there are a number of benefits to having an ESG policy. These benefits can help businesses attract investors, build customer loyalty, improve financial performance, make operations sustainable, and gain a competitive edge.
How can Risk Dashboard help?
Risk Dashboard’s unique software for advisory, provides the critical data that set’s the internal strategic pathway for new services and solutions, such as ESG.
Which is why we have recently launched new and updated modules on ESG to support ‘advisory’ in creating more sustainable and profitable operations, internally and for your clients.
For the person that stood in for me, thank you, and I trust you managed to find a number of supporters within your audience who appreciates the value in what you are looking to deliver.
Special thanks go to Mark Walker and Sean Farnell – not all super heroes wear capes…..
If you would like to know more about how Risk Dashboard can help deliver a policy for ESG internally and for clients, please contact Neil Campbell, Commercial Director at Risk Dashboard on info@riskdashboard.co.uk