Technique 2.95 ESG
Introduction
Environment, Social and Governance (ESG) is a technique to help identify areas that need improvement and/or create a sense of urgency. Overlapping with ESG is technology.
Environment
Understanding the interaction with the physical world and covers topics like climate change, carbon emission, waste, pollution, energy efficiency, water scarcity, resource depletion, etc
Social
Understanding the interaction with different stakeholders including community, employees, officials, customers, suppliers, etc; human rights ( refugees, slavery, child labour, etc); health and safety; conflict; diversity, etc
Governance
Understanding ethical behaviour around policies, strategies, processes, etc; reward systems; bribery and corruption; Board's independence; staff's responsibilities and accountabilities.
NB Investigating how your organisation handles these issues can help your organisation improve itself and lay the foundations for change
