5 steps boards can take to be ESG-ready for 2021

January 21, 2021 by  
Filed under Business, Eco, Green

5 steps boards can take to be ESG-ready for 2021 Pamela Gordon Thu, 01/21/2021 – 01:40 Amongst the many dramatic challenges global businesses faced in 2020, one that had been simmering for years bubbled up and promised to stay at a high boil in 2021 is ESG: Environment, Social, Governance.  Signs that ESG expectations were becoming more ubiquitous included the establishment of global ESG standards published by the World Economic Forum’s International Business Council in September and BlackRock’s call for a globally recognized framework for investors to understand individual company risks.  Despite years of progress by leading corporations toward ESG, corporate social responsibility (CSR), environmental health and safety (EHS) and sustainability goals, the reality is that board members overseeing these companies are still trying to discern how all of this applies to them. In fact, in PwC’s annual Corporate Directors survey , which includes responses from more than 600 public board directors, only half (51 percent) say their board fully understands ESG issues impacting the company. That same study shows, however, that in 2020, 45 percent of directors say that ESG issues are a regular part of the board’s agenda, which demonstrates an increase from 34 percent in 2019. Time for training How can boards (public and private) improve their efficacy in ESG oversight for long-term value? As ESG experts, Presidians and members of the Athena Alliance (community of female corporate board directors and executives), we set out to help boards to become ESG-ready .  To start, we uncovered board members’ keenest ESG-education needs by surveying sitting board members at public (39 percent) and private (61 percent) companies, generating annual revenues of less than $50 million to $3 billion. They look to ESG to realize the following areas of corporate success: Source: Presidio Graduate School survey, October through December 2020 Then, we developed an ESG training for board members, along with the following five recommendations for board members to get ESG-ready for 2021. 1. Understand why boards need to be ESG-ready In our survey, 47 percent of directors believe ESG is important for brand equity and reputation, 24 percent cited both customer and investor pressure, and 18 percent pointed to risk management and board pressure. One sitting board member said that ESG is “an inherent part of the business model.” Board oversight includes advising the management team on the company strategy, and ensuring improved long term value for all stakeholders. Directors must understand how ESG issues can affect that strategy, and be in a position to assess and address both challenges and opportunities. To get started, align the board on why they should care, in light of demands from stakeholders such as customers, employees, investors, communities and suppliers. Invite an ESG expert to convey how ESG is material to your particular company.  2. Add ESG to your next board meeting agenda When asked what level of importance their boards put on ESG, 76 percent of our survey respondents said “important” or “very important,” yet only 47 percent said their companies report on ESG, and 35 percent said their board provides ESG oversight. Compare that to the 45 percent stated by public companies in the PwC survey, and we are still looking at less than half of company boards addressing ESG even as investors and other business stakeholders demand it. Add ESG to your next board agenda, even if only to start the conversation with the management team. You may be pleasantly surprised to learn that somewhere in the organization people have been working on ESG initiatives and have been waiting for the conversation to reach the board. Risk and reputation are two of the most fundamental aspects of “duty of care” for sitting board directors. Corporate leaders who take a broader view of their long-term strategy, including how they will meet ESG demands, will be better positioned to address new risks and opportunities.  3. Select an ESG oversight structure that aligns with your company More than half (52 percent) of our survey respondents serve on the Nominating and Governance committees of their boards, with 20 percent stating they sit on a specialized ESG/EHS working group or committee. Some companies split the elements of ESG between committees, with “social” sitting with the compensation committee for example, as they typically manage diversity, equity and talent initiatives. Because ESG strategy should align with business strategy and focus on material risks and business drivers, the full board will want to understand the ESG messaging and how those risks are being mitigated. A recent article by the Harvard Law School Forum on Corporate Governance offers an excellent guide on how to address ESG and corporate governance within the board committees, noting most importantly, “Because ESG strategy should align with business strategy and focus on material risks and business drivers, the full board will want to understand the ESG messaging and how those risks are being mitigated.”  4. Arm yourself with expertise In the PwC survey, respondents agreed that ESG issues are playing a larger role in their board discussions, and should be included in determining the company strategy. In fact, 67 percent of directors said the company should include climate change, human rights and income equality in the company strategy, a 13-point increase over 2019. Interestingly, female directors were more likely (60 percent) to see the link between ESG and company strategy than their male counterparts (46 percent), and agreed in higher percentages (79 percent vs. 64 percent) that climate change and human rights issues should be part of forming the company strategy.  As your board recruits new directors or replaces sitting directors, consider adding a director with ESG expertise, supplemented with an independent ESG consultant for a broader and future view. 5. Get educated When asked from which aspects of ESG education their boards would most benefit from, respondents prioritized: 1) diversity, equity and inclusion, 2) ESG/CSR reporting, 3) products’ environmental footprint/impact, 4) company operations’ environmental footprint/impact and 5) climate and renewable energy. Most prefer a half-day training, with some wanting a customized training for their entire board and others wanting to join training comprising individual board members representing diverse companies. Having interviewed board members over the years for materiality assessments, PGS Consults analysts note that board directors acknowledge their limited understanding of ESG and are genuinely open to learning more. The COVID-19 lockdown in March created a dramatic shift in board member interest in ESG — from polite inquiry to a more urgent need to know. Pull Quote Because ESG strategy should align with business strategy and focus on material risks and business drivers, the full board will want to understand the ESG messaging and how those risks are being mitigated. Contributors Leilani Latimer Topics Corporate Strategy ESG Collective Insight Thinking in Systems Featured in featured block (1 article with image touted on the front page or elsewhere) Off Duration 0 Sponsored Article Off Shutterstock Freedomz Close Authorship

Go here to read the rest:
5 steps boards can take to be ESG-ready for 2021

Why are positive climate feedbacks so negative?

September 6, 2018 by  
Filed under Business, Green

Comments Off on Why are positive climate feedbacks so negative?

The “Hothouse Earth” report caught the public’s attention. But the coverage doesn’t tell the full story.

Go here to see the original:
Why are positive climate feedbacks so negative?

RECIPE: Vegan, protein-packed chocolate chip cookie dough

March 5, 2016 by  
Filed under Green

Comments Off on RECIPE: Vegan, protein-packed chocolate chip cookie dough

Three words: vegan cookie dough. These chickpea-based cookie dough bites are not only delicious and vegan , they are packed full of protein and fiber. How many desserts or snacks can claim that? Click on for the full recipe. READ MORE >

Read more from the original source: 
RECIPE: Vegan, protein-packed chocolate chip cookie dough

HOW TO: Make easy one-pot sun-dried tomato and basil pasta

January 31, 2016 by  
Filed under Green

Comments Off on HOW TO: Make easy one-pot sun-dried tomato and basil pasta

If you’re looking for an easy vegetarian recipe, this no-fuss one-pot pasta will definitely hit the spot. Although you may think making a pasta dish would need at least two pans and a colander at minimum, we’ll show you how you can make delicious and creamy sun-dried tomato and basil linguine with just one pot. Read on for the full recipe. READ MORE>

Continued here:
HOW TO: Make easy one-pot sun-dried tomato and basil pasta

LEGO reveals its first disabled wheelchair-utilizing minifigure

January 30, 2016 by  
Filed under Green

Comments Off on LEGO reveals its first disabled wheelchair-utilizing minifigure

It’s been a good week for toys – Mattel announced that Barbie is expanding beyond the leggy, blue eyed, blonde haired mold that she’s been stuck in for so long and now, LEGO has revealed a minifig that comes in a wheelchair. The hip little guy comes with a hoodie and beanie and signals yet another step forward into a more inclusive world. Now that’s awesome. READ MORE >

More: 
LEGO reveals its first disabled wheelchair-utilizing minifigure

HOW TO: Make easy no-bake Rocky Road fudge cups

December 13, 2015 by  
Filed under Green

Comments Off on HOW TO: Make easy no-bake Rocky Road fudge cups

Decadent, delicious desserts don’t need to take long to prepare. We’ll show you how to make these scrumptious, vegan Rocky Road fudge cups that can be whipped up in a jiffy and no need baking at all. Perfect as a holiday dessert or year-round sweet, these fun treats are a twist on the classic peanut butter cups and can be made ahead of time and frozen in batches. Keep reading for the full recipe. READ MORE>

See the original post here: 
HOW TO: Make easy no-bake Rocky Road fudge cups

RECIPE: bread-free sushi sandwiches

July 25, 2015 by  
Filed under Green

Comments Off on RECIPE: bread-free sushi sandwiches

Get your sushi on – no rolling mat needed. These flour-free sandwiches combine nori, rice and vegetables for a nutrition-packed meal that can be adjusted to suit whatever you have lying around the house. Try cauliflower rice with carrots or sticky rice with grated daikon. Click on for the full recipe. READ MORE >

Go here to read the rest:
RECIPE: bread-free sushi sandwiches

The true cost of food

August 14, 2012 by  
Filed under Business, Green

Comments Off on The true cost of food

What is the full natural capital cost of your morning orange juice? A debut monthly column looks at the hidden price tags.

See the rest here:
The true cost of food

One Way To Buck A Great Recession

October 26, 2011 by  
Filed under Eco, Green

Comments Off on One Way To Buck A Great Recession

John Laumer/ CC BY 1.0 I’ve been up since before sunrise cutting up a deer and processing the meat for freezing. This photo shows how it looked out on my deck by late morning. … Read the full story on TreeHugger

See original here:
One Way To Buck A Great Recession

Contagion Screenwriter Talks Jude Law’s Anti-Science Blogger Character (Video)

October 26, 2011 by  
Filed under Eco, Green

Comments Off on Contagion Screenwriter Talks Jude Law’s Anti-Science Blogger Character (Video)

Mimos Vita via Flickr / CC BY 2.0 I’ve been writing about climate change for years now. And far too many of the words I’ve written on the subject have been dedicated to combating the misinformation spread by opportunistic climate change deniers. In an era where having a credible-looking blog passes as a credible-enough vehicle for disseminating information, many irresponsible bloggers have famously undertaken efforts to confuse the public about scientific findings or assail the credibility of scientists. Which was … Read the full story on TreeHugger

Read more here: 
Contagion Screenwriter Talks Jude Law’s Anti-Science Blogger Character (Video)

Next Page »

Bad Behavior has blocked 2846 access attempts in the last 7 days.