ESG Reporting & Compliance: Core Concepts

ESG: Beyond Profits – What Really Matters?

Investors, customers, and regulators care about more than just your bottom line.

1. Environmental (E): Your Impact on the Planet

• Emissions: How much carbon do you produce? (Scope 1, 2, 3)
• Resources: How much water or raw materials do you use?
• Waste: How do you manage waste and pollution?
• Why care? Climate change risks, resource scarcity, regulatory fines.

2. Social (S): Your Impact on People

• Employees: Fair wages, safe conditions, diversity, inclusion.
• Customers: Product safety, data privacy.
• Community: Local impact, philanthropy.
• Why care? Reputation, talent attraction, consumer loyalty.

3. Governance (G): How You Run Your Business

• Board: Independent directors, diversity, clear responsibilities.
• Ethics: Anti-corruption, fair executive pay.
• Transparency: Open and honest reporting.
• Why care? Trust, investor confidence, long-term stability.

Why Report?

• Attract Investors: Many funds now screen for ESG.
• Meet Regulations: New laws are coming.
• Build Trust: With customers and employees.
• Manage Risk: Identify and mitigate non-financial risks.

Golden Rule: ESG is not just a trend; it’s a fundamental shift in how business success is measured.