An ESG strategy is an organizational approach that affects a company’s environmental, social and governance practices to make it more sustainable.
Today, more than ever, the success and the growth of a company is directly linked to a solid ESG strategy.
A good ESG strategy is based on a number of sustainability factors, such as the effort to reduce a company’s carbon footprint, go green, encourage diversity, and introduce employee welfare programs. An ESG strategy provides long-term value without producing negative effects on the environment or society.
Recently, there’s been a lot of discussion around ESG, ESG goals and how to integrate them into a company’s framework.
The good news is that if you’re here, you’ve already done the first two things you need for ESG alignment. The first is to get interested in the topic and the second is to find and create purpose behind your work. What do we mean by purpose? The reason why: why do people want to work for you? Why does your company exist in the world?
70% of employees today want purposeful work. They no longer want to just punch the clock, but they want their company to take a strong position on social issues. Even consumers are making market choices increasingly based on goals, values, and sustainability.
Companies must do everything they can to rise to the occasion, through their actions, commitments, and metrics. Those that don’t do this will be left behind in the market.
Benefits for Businesses
Here are 5 main benefits businesses will gain by implementing an ESG Strategy:
Competitive advantage
Companies that are committed to improving working conditions, promoting diversity, giving back to the community, and taking a stand on socio-economic issues gain a competitive advantage and strengthen their brand.
Attracts investors and lenders
Investors and lenders are highly attracted to organizations that invest in ESG and take sustainability efforts.
Improves financial performance
Small efforts toward sustainability can improve a business’s bottom line and ROI, such as going paperless, recycling, or making energy-efficient upgrades.
Builds customer loyalty
Today’s consumers are socially aware and are willing to pay more for brands that are aligned with their values and treat people well.
Sustainable company operations
Companies that correctly integrate ESG principles into their business can have opportunities for savings and enjoy lower energy consumption, reduced resource waste and an overall reduction in operating costs.
Conclusion
We know that aligning corporate culture to ESG reporting can be challenging. In fact, this is one of the main drivers behind our AWorld Engagement Platform.
Our main goal is to help people live sustainably in the modern world.
We enable our users to embark on a journey that allows them to see the difference in adopting sustainable habits, like biking to work.
We optimize ESG and SDG content specifically for our corporate partners’ needs and deliver them to their employees in an organic and gamified way. Moreover, we introduce them to new habits that will produce an “impact score” of savings in CO2, Water, Electricity, and Kindness (because none of this happens without kindness to ourselves and our planet).
And you can include it directly in your ESG reporting without having to do anything internally except engage AWorld.
If you would like to know more about the opportunity and the advantages of creating a more sustainable business, read this article now.
