April 2021: ESG for CSR Practitioners: How CSR Practitioners are Building Sustainable Value for Their Companies
In this session, CVNY members discussed environmental, social, and governance criteria at their organizations, metrics for voluntary and required ESG disclosures, and using ESG factors and CSR programs to build to and beyond purpose-driven cultures.
ESG refers to the consideration of environmental, social and governance factors alongside financial factors in the investment decision-making process, like screening potential investments or determining resilience during unforeseen market circumstances. SG reporting directly contributes to a commitment to organizational transparency from companies, oftentimes with companies electing to disclose certain factors beyond even its legal requirements. Depending on your industry, you will probably start to see that more niche factors—ones that come from CSR– are being reported. Things like:
• o Positive community impact
• o Resilience in the face of climate change
• o Efficiency with resources
• o Policies that support a safe, healthy workforce
• o Enthusiasm about innovation
• o A diverse, inclusive culture based on shared goals and values
• o Transparent and ethical leadership practices
With a wider definition of sustainability becoming a more prominent trend in the investment landscape, the informal CSR reporting approach that we might be used to is rapidly being replaced by a strong demand for companies to report on Environmental, Social, and Governance (ESG) metrics.
Whether through reporting, storytelling, or further integration to the crux of your business’ operations, CSR professionals can
1. Leverage your CSR programs to set the foundation for your organization’s financial sustainability
2. Operationalize your ESG targets and involve all your people in raising your profile
3. Continuously promote initiatives, driving engagement and tracking your efforts qualitatively and quantitatively