Episode
23

Industry ESG Strategy with ESG Global Advisors CEO Sarah Keyes

November 24, 2021
|
Duration:
1986234
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In This Episode:

Join energy coaches David Arkell, John Pooley, and Sarah Keyes, CPA, CA, and CEO at ESG Global Advisors Inc for an episode about industry implemented ESG strategies. This episode features who is implementing ESG and why, the first steps needed to implement it, who is responsible for ESG at a company, and more.

Highlights

  • The Rising Importance of ESG: Once limited to high-emission sectors, ESG has now become a central consideration across diverse industries, including fast food and insurance, as stakeholders demand broader accountability.
  • Private Companies and ESG: Private firms are increasingly adopting ESG practices due to their performance benefits, supply chain pressures, and advantages in attracting and retaining talent.
  • Sustainable Finance Options: ESG-focused funding options, such as sustainability-linked loans and green bonds, provide financial incentives for companies to meet their ESG targets and goals.
  • Materiality Assessment as a First Step: Conducting a formal ESG materiality assessment allows companies to pinpoint critical ESG factors relevant to their sector and location, forming a solid foundation for a tailored strategy.
  • Governance and Integration: Effective ESG strategies require full integration into risk management, budget planning, and capital allocation, with strong leadership commitment driving company-wide adoption.
  • Key Insights

  • Financial and Operational Benefits of ESG: Companies adopting ESG strategies often experience reduced risks, enhanced access to capital, and operational efficiencies, positioning ESG as a strategic investment rather than a cost.
  • ESG in Debt Markets: Credit rating agencies increasingly factor ESG risks into evaluations, making ESG performance critical for companies seeking favorable debt financing terms.
  • Market-Driven ESG Standards: ESG expectations differ by region and industry, with heightened pressure in markets like the UK, where mandatory carbon and energy reporting drives compliance and accountability.
  • Education and Stakeholder Engagement: Public perception and investor demands make ESG literacy essential. Early stakeholder involvement and understanding their priorities help align strategies effectively.
  • Long-Term Impact on Business Value: ESG strategies require ongoing adaptation. Annual assessments are crucial to address evolving risks and ensure alignment with broader business objectives and stakeholder expectations.
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