Navex Global VP Karen Alonardo has worked in the ESG space for decades. She has a simple message for companies just beginning to report: Start small and focus on what matters.
Environmental, social and governance (ESG) is finally in the spotlight with the recent increase in investor interest. According to the 2020 biennial “Report on U.S. Sustainable and Impact Investing Trends,” from the US SIF: The Forum for Sustainable and Responsible Investment, ESG investments now account for one-third of total U.S. assets under management, and sustainable investing has increased 42 percent since 2018.
Now that momentum is increasing, regulatory bodies are likely to begin requiring businesses to report on their ESG efforts, and stakeholders of all kinds are already demanding companies prioritize ESG initiatives. To prepare, corporations must determine a way to track, manage and report on their investments in ESG and to prove that their efforts are both rooted in truth and being acted upon.
NAVEX Global’s recent ESG survey revealed that 88 percent of publicly traded companies in the U.S., the U.K., France and Germany have ESG initiatives already in place, further demonstrating that ESG is here to stay. To be successful, corporations need to understand how ESG fits into their broader enterprise risk management…
