• Gustavo Bernal Torres

5 Ways To Separate Real ESG Leadership From Greenwashing

How can people better identify greenwashing and help reinforce the growing sense of accountability for ESG standards? Look for these factors.

  • ESG is strategic: Sustainability is made a priority from the top down, with boards and C-suite accountable for material ESG risks and opportunities.

  • ESG is integrated: It sits in strategy, risk, reporting and board oversight—and the effectiveness of these processes relies on business leaders adopting a data-driven and digitally-enabled approach to get a complete overview of emerging risks and opportunities.

  • ESG is cash rich: Budget is not assigned to marketing, but is assigned to activities that improve the business model.

  • ESG is included in audited financial reporting: The company has processes to determine material ESG risks and opportunities and includes this in its financial statements.

  • ESG is made specific: Companies explain which issues matter most and why—and where they sit in the value chain.

Source: https://www.fastcompany.com/90662145/5-ways-to-separate-real-esg-leadership-from-greenwashing


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