Socially-conscious stakeholders like investors, employees, regulators and customers increasingly want to know about a company’s sustainability efforts. As such, your company’s ESG (environmental, social and governance) performance is a great asset to keeping these stakeholders happy.
ESG can help create a healthier, more sustainable and safer workplace. Considering it in your decision-making processes can benefit your business’s bottom line. To learn more about this concept and its connection to corporate sustainability, read on:
What is ESG?
ESG is a sustainability-oriented framework that helps businesses consider social and environmental issues in the corporate governance context. Your company can use it when measuring and reporting the gross impact its activities have on the environment. Members of the public, board members, asset holders and employees count on this framework to learn about your company outside its financial performance.
The environmental aspect of ESG measures energy efficiency, waste management and climate change impact. It may also focus on the use of space and resources.
Key elements in the social aspect include employee satisfaction and customer experience. The social aspect covers the impact on people associated with your company, both internally and externally.
Lastly, the governance aspect covers processes affecting business management. It can focus on transparency in supply chain management, executive operations and decision-making.
Why Does ESG Matter to Your Business?
For a company looking to attract investors, promoting ESG is crucial. Socially-conscious investors are keen to identify ESG cues when deciding to invest in your company.
Employees are also more willing to continue working with you if you care about reducing emissions. They’re also open to taking on new roles if your operations embrace the ESG concept.
Businesses that actively promote ESG are likely to get more favorable reviews and testimonials. As such, they get a boost in their reputation for considering environmental, social and governance issues in their operations.
Your company’s employee retention rates largely depend on your adoption of ESG best practices. So, if the employees aren’t happy or motivated enough to work with you, they’re likely to leave. Workplace productivity also reduces when this happens.
As diversity becomes an increasing concern in workplaces, companies with a highly diverse workforce attract more potential employees and customers. Diversity is part of the social aspect that the ESG concept covers.
How to Sustain a Green Company
Start with your built environment when looking to sustain a green company. It’s because the built environment contributes to a large portion of carbon emissions.
Set up a plan to actively monitor your waste and carbon footprint. However, this process shouldn’t be labor-intensive to generate great outcomes. You can rely on automation by outsourcing this kind of task.
Reports on your environmental performance can easily be generated with the workplace technologies Komstadt offers. You can use this information to make adjustments that can help cut waste and carbon emissions.
You can monitor your company’s waste and carbon footprint using our Energy Management System as one part of our solution. Our EMS features indoor air quality sensors that measure humidity, temperature, and air quality. The sensors also detect particulate matter emissions and total volatile organic compounds.
Our power usage monitors can give insights into your company’s energy consumption habits. With this quantitative data, you can analyze and present the findings to end users. As a result, your stakeholders will better understand your efforts toward green sustainability.
Invest in low-impact, durable materials to lower your carbon footprint. For instance, opt for wood-based products for your workplace furnishings over artificial furnishings, which release a lot of emissions to the environment when manufactured.
How Komstadt Can Help
Komstadt is a leading provider of smart office solutions and workplace technologies for multinationals across the Asia Pacific region. Our solutions can help solve your business needs and requirements, even when looking to go green. So, reach out to our dedicated sales team to learn more about them.