Microlearning Module 6 - Business with impact. Environmental, Social and Governance - ESG
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Environmental, Social and Governance - ESG has become a new buzzword, predominantly used in connection to the business world.
E - stands for environmental, S – stands for social and G - stands for governance.
Companies are now asked to report on their environmental impact, their impact on society as well as disclose how they are governed. This so-called non-financial reporting has become equal to annual financial reporting. Investors, governments, as well as the public wants to hold the companies accountable for their activities and therefore ESG reporting is an essential tool to achieve this.
ESG is thus a great opportunity for Social Enterprises to show and disseminate their positive social and/or environmental impact and to build up new connections with large companies, which would like to improve their ESG score and make a more positive impact via collaborations with social enterprises.
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The aim of this unit is to demonstrate how ESG principles are translated into practice in creating sustainable and responsible business operations. This involves a clear direction for goals and training toward embedding ESG values in corporate culture. Furthermore, integrating ESG into decision-making processes is the most crucial step in implementing sustainability into practice. It involves setting up committees, risk assessment processes, and strategic roadmaps.
This unit presents concrete examples of integrating ESG into practice for each topic E, S and G separately.
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