What can ESG do for me?

Here’s at least 3 major reasons why you might want to build ESG into your strategy whatever size of company you are

As part of today’s rapidly evolving business landscape, embracing Environmental, Social, and Governance (ESG) principles is becoming an increasingly central part of any business’ strategy and daily actions. Beyond the traditional focus on profit, a shift is occurring both within the business community itself and society in general, which urges companies of all sizes to consider the broader implications of the way they do business. For SMEs, most of which don't currently have ESG reporting requirements, aligning with ESG values presents a unique opportunity to pursue sustainable growth while having a positive impact on both society and the environment – and doing wonders for staff motivation and brand in the process. 

Planet, People & Profit (sometimes considered as Prosperity) is also an increasingly well-known acronym. 

ESG and PPP map onto each other (Environment – Planet, Social – People, Governance – Prosperity).  They are not just 3 random elements that have been cobbled together; ESG and PPP both have origins in the field of ecological systems, where the crucial interdependence of the 3 key elements of environment, society, and economy is considered. Sustainability occurs when all 3 of those elements are in balance and are mutually supportive. 

Building ESG and PPP thinking into your business strategy at whatever level you can, should now be on every CEO or business owner’s agenda. Which terminology you use, is down to which fits best with your culture, your brand, and your customers.   Pick one, just do it, keep doing it, and let the world know.  What can ESG and PPP do for me?   

• Builds Brand.  Embracing ESG and PPP principles sends a strong message to customers, suppliers, and staff that the company is committed to making a difference. Demonstrating a genuine concern for social and environmental issues helps build trust and loyalty, and connectivity with other organisations and individuals at the ‘values’ level.
• Future-proofs your Company.  Building ESG and PPP considerations into business practices helps identify potential risks and challenges early on. By proactively addressing these issues now, SMEs can more easily adapt to emerging and evolving regulations, consumer expectations, and market shifts when they occur in the future, ensuring longer-term business resilience.
• Drives Innovation and New Markets.  Pursuing sustainability can lead to innovation and the development of new products or services. New market segments will emerge as society (the market) adapts and evolves.  SMEs tuned to ESG and PPP can better tap into those emerging markets potentially gaining a competitive advantage as well as increasing the customer base.

What other great reasons are there why you might want to build sustainability into your strategy?  

And, have you got ESG or PPP in your sights?  If so great, and what are you doing about it?  

Graham