No matter the size of your organisation or the industry it operates in, ESG (Environmental, Social and Governance) is an area of priority for three key reasons — social awareness and public pressure, investor expectations, and regulation. As the social and political zeitgeist has shifted in recent years, awareness has grown of how our decisions as individuals and at a company level impact the environment and supply chains.
Why ESG Needs to be Prioritised by Your Organisation
According to recent analysis from the Boston Consulting Group, 72 per cent of consumers prefer products sold in environmentally friendly packaging. Similarly, almost half of consumers say they now prioritise choosing eco-friendly products over their preferred brands. This is an important shift and demonstrates how people’s buying behaviour is changing. Companies that are aware of and act based on this shifting behaviour will be well prepared for the growing ESG expectations from consumers and investors alike.
Growing awareness of the issues that must be addressed in an effective ESG system naturally creates public pressure for companies to demonstrate their commitment and ability to being a part of the solution on ESG issues. It’s no longer enough to state ESG is important. Companies need to be able to demonstrate they have effective systems in place. Without these systems, organisations increase their risk of being unable to meet the potential for more burdensome reporting and other challenges such as attracting talent and investor activism.
How Your Organisation can Prioritise ESG
Technology, including how it’s sourced and disposed of, is a key area that many organisations can address to improve their ESG standing. Quadrent’s solutions provide companies with a holistic approach throughout the asset lifecycle. These solutions proactively address growing social awareness and investor expectations, which are important factors for organisations of all sizes.
Stricter ESG requirements are coming. Leasing offers a simple solution that can provide your organisation with some quick wins and get you started on your long-term ESG journey. Click here to learn more.
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