MarTech Series – by Elaina Shekhter and Shamilka Samarasinha
Today, it is not only assumed but expected that businesses contribute to or implement sustainable practices. Socially responsible and environmentally minded investors use a model called ESG (Environmental, Social and Governance) to measure the sustainability and ethical impact of an investment. The ‘E’ specifically examines a business’ performance as a steward of the natural environment, focusing on areas such as resource depletion, greenhouse gas emission and deforestation. Considering a recent U.N. global climate science report, along with the workforce shifting away from Baby Boomers to Millennials and becoming more female, corporations will experience both external and internal pressure to change.
How Should Corporations Invest in ESG Strategies?
SR (corporate social responsivity) initiatives help companies build a positive brand image by publicly displaying their environmental and social sustainability work – however, it is ESG criteria that make those efforts measurable. Regrettably, there is often confusion around the uneven consistency of ESG factors used by mainstream investors, with much of the focus placed on ‘E’ over ‘S’ and ‘G.’ Nevertheless, corporations take CSR very seriously. Many have dedicated departments committed to sustainability, highlighting the necessity for standardized reporting practices in their ESG efforts through quantifiable metrics.
To read the full article, click here: ESG Should Be More Than a Set of Specific Short-Term Goals (martechseries.com).
To learn about ESG at EPAM, click here: Corporate Responsibility at EPAM | EPAM