Lately, three letters have been blooming everywhere whenever conversation revolves around sustainability reporting: ‘ESG’. The concept of ESG first appeared in 2001, as such, the topic is not new, prescient concepts such as social, ethical, or environmental issues (SSE), or socially responsible investment (SRI) were already reported by different industries and businesses in the preceding decades. The letters alone might not mean much, but together they represent an entity’s behavior on environmental issues, its engagement with society, and the strength of its governance.
Future of ESG reporting: Aligning with the ultimate customer to out-run the bear
The emphasis in ESG reporting is usually on the ‘E’. The ‘G’ is also getting some attention with transparency and diversity also becoming focal points on boardroom agendas. However, post-pandemic the future of ESG reporting must lie with the ‘S’ and particularly with stakeholder engagement.
By elevating ‘S’ on the ESG agenda, we might just get close to squaring the circle through the adoption of a more holistic understanding of “value”. Embracing a longer-term time horizon and broadening the scope of metrics used to measure success would alleviate concerns associated with pressures organisations face for short-term returns. The real challenge is to find the right balance between harmonising social reporting requirements alongside the flexibility needed to effectively address local needs.
Looking into the crystal ball of what the future holds for ESG reporting
ESG reporting has surged in prominence amid a growing realisation among investors and financial institutions that sustainability risk is investment risk. The devastating impact of COVID-19 has further accelerated interest in companies’ ESG disclosure and sustainability performance. But with ESG performance soaring to the top of the agenda, the nascent industry of ESG reporting appears destined for change.
ESG reporting: finding the approach that fits your goals, and following through with success
Stakeholders are no longer focused on financial data alone, and organizations today face increasing market pressure to meet new criteria – especially with the emergence of European regulations like the Tertiary Decree, MEES (Minimum Energy Efficiency Standards), the Dutch Building Decree, etc.
A unified standard needed to take ESG to the next level
Since COVID-19 hit the world in an unexpected way, it has demonstrated to corporates that the easily neglected ‘non-financial’ factors are indeed equally important to long-term sustainability of businesses. The concern on ESG issues is higher than ever before.
Data Collection for ESG Reporting and its role in creating Smarter and more Sustainable Cities
The impetus towards ESG reporting and accountability has largely been led by investors. However, reporting is about more than just meeting targets and succeeding on benchmarks. The data collected as part of the ESG reporting process can be used to enhance the customer experience for tenants, making real estate assets more attractive.
ESG reporting is a fundamental component of the entire ESG value chain. As an important communication channel with stakeholders including shareholders and investors, it serves as one of the major sources of ESG data and functions. With the growing demand for quality ESG data, tightened regulations towards ESG reporting have been applied in many Stock Exchanges around the world to ensure listed companies provide decision-useful data.
Paving The Road Ahead: Outlining the Strategic Direction of the GRESB Assessment
Our shared future success depends on our ability to drive more sustainable outcomes across more assets faster, and to do this at a global level. Our new organizational structure is ready for this challenge. We have the right people in GRESB BVs Management Board, while the establishment of the GRESB Foundation is now well underway. […]
