Organizations of all sizes must make commitments to the ESG Agenda, improving relationships in the business environment and with society as a whole
Anyone who is part of the business environment has certainly heard of ESG, an acronym for Environmental, Social and Governance, or environmental, social and governance, in Portuguese. In practice, the term refers to environmental, social and governance practices adopted within companies, governments and Third Sector organizations.
When these actions are integrated and rooted in the organizations’ strategy, it is possible to map future needs, risks and opportunities for both the organizational environment, the environment and society. Thus, it is a way to generate shared value and oriented towards prosperity.
As is a trend, many organizations view ESG as something difficult to implement. But it is necessary to demystify this idea: with simple practices, you can align yourself with what is trending and contribute to social and environmental development. Check out the tips:
A practical and simple way to adopt the ESG agenda is to save energy and eliminate waste within the company. This includes everything from using LED lamps to installing solar energy panels. Not to mention the simple fact of turning off the lights when they are not in use.
Another tip is to avoid wasting fossil fuels. All of these practices bring a variety of benefits, such as reducing greenhouse gas emissions, reducing energy demand and reducing costs, for example.
Both to improve the climate within the company and to enable the social and economic development of a community. Furthermore, the activities contribute to improving the self-esteem of employees, who will feel more satisfied and motivated to generate more value for the company.
According to experts, companies that have more diverse people record greater revenue from innovation than those with below-average diversity. Especially when minority groups such as women, black people and LGBT people occupy leadership positions.
Furthermore, diversity and inclusion are highlighted in the ESG agenda also in the social pillar. This is because these groups not only face prejudice when entering the job market, but also have less access to professional qualifications and have a below-average income.
This topic is the most focused on governance. The practices are already adopted by many organizations, focused on both legislation and company risk analysis.
The issue became even more important after shareholders, investors and customers started paying more attention to ESG. With the ease of access to information via the internet, especially in the case of governments and Third Sector organizations, transparency is increasingly required.
Practices include the creation and public disclosure of a comprehensive compliance, transparency and anti-corruption policy. Furthermore, there must be clear internal communication of how these policies will be put into practice.
Other recommendations are to create a zero tolerance statement by leadership and establish a public commitment to support and protect employees who refuse to act unethically.
One of the most remembered topics when talking about ESG and care for the environment is the production and disposal of waste. When resources are used intelligently, cost savings are generated and the production cycle is more efficient.
Tracking and reducing waste generation is at the heart of this type of program, as is team engagement, which is essential for the initiative to be successful. In addition to educational campaigns for intelligent use of resources, minimizing waste, it is necessary to correctly allocate waste, focusing on recycling and reuse.
When it comes to ESG, the range of possibilities is enormous. For an organization to put this agenda into practice, the first step is to carry out an internal assessment, analyzing what can be resolved and improved in existing processes. Especially before grandiose actions and practices.
It is also necessary to recognize practices that have already been adopted and that must be intensified. Since its creation, 64 years ago, Ramacrisna has implemented actions linked to the
