ENVIRONMENTAL, SOCIAL & GOVERNANCE
Risk exists in every stage of the business and throughout the environments in which we operate. Our capabilities in risk management help us to successfully implement our strategic priorities, and develop a robust and sustainable business that can respond to a constantly changing environment. ESG establish the framework for assessing the impact of the sustainability and ethical practices of a company on its financial performance and operations. ESG Framework gains recognition due to attention of government, and a stronger public awareness on the environmental and social influence of companies.
Environmental issues basically cover use of energy, waste generation, level of pollution produced, resources utilization etc. which the company can assess. Company’s should have the ability to mitigate various risks that could harm the environment. Company should comply with all national/state/local regulatory requirements.
Social issues basically focus on the labour related issues, company’s relationships with other businesses and communities etc. companies must comply with all the social related requirement and maintain relationships with business partners and communities affected by the company’s operations.
Governance issues basically focus on the business ethics, relationship with employees and shareholders etc. Proper governance policy can help avoid conflicts of interest between the company’s shareholders and can help to attract and retain talented employees.