As ESG considerations become a driving force in business, organisations are under increasing pressure to meet ESG reporting requirements.
With evolving reporting standards and SEC ESG rules, businesses that stay ahead of these requirements will not only meet compliance but also enhance long-term success.
Here’s a streamlined look at five common ESG requirements and how to address them.
1. Transparent Environmental Impact Reporting
Businesses are expected to report on their carbon emissions, energy use, and waste management practices, providing clear data to stakeholders.
👉 HOW TO ADDRESS IT
Invest in energy-efficient practices, track your carbon footprint, and make these reports accessible and straightforward.
2. Green building certifications
Green certifications like BREEAM or LEED signal to tenants, investors, and regulators that your property meets high environmental standards.
👉 HOW TO ADDRESS IT
Ensure your properties are up to date with green certifications. Whether through energy-efficient systems or sustainable materials.
3. Supply chain transparency
Demonstrate the sustainability of your supply chains. This includes evaluating and reporting on the environmental and social impacts of suppliers.
👉 HOW TO ADDRESS IT
Assess and engage with suppliers to ensure they meet your ESG standards. By building a sustainable supply chain and tracking the efforts of your partners, you enhance your overall ESG performance and reduce risk.
4. Diversity, equality and inclusion (DEI) reporting
Social factors such as diversity, equity, and inclusion are critical to ESG efforts. Reporting on DEI efforts is no longer optional but a key part of a company’s social responsibility.
👉 HOW TO ADDRESS IT
Create a clear DEI strategy, set measurable targets, and track progress. Regularly reporting on workforce diversity shows your commitment to building an inclusive, equitable organisation.
5. Ethical governance and risk management
Strong governance is the backbone of any effective ESG strategy. Companies must ensure transparency, uphold ethical decision-making, and manage risks responsibly.
👉 HOW TO ADDRESS IT
Develop a robust governance framework that aligns with ESG best practices. Regularly update policies to ensure ethical practices are at the heart of your operations, ensuring stakeholders that your business is trustworthy and reliable.
Wrapping up
Adhering to ESG reporting standards secures a sustainable future for your business. By focusing on these five common areas, companies can strengthen their ESG standing and build long-term value.
At TSP, we specialise in helping businesses navigate the complexities of ESG. Contact us today to discuss how we can help you stay ahead of evolving ESG requirements, or download our brochure here.
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