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.