Sustainability is the goal and ESG is the framework for how to achieve sustainability.
ESG is about building an ESG corporate governance strategy and to use this to implement measurable activities that has tangible effect.
ESG stands for:
There is an increasing focus on ESG, both from legislators and companies taking responsibility by implementing ESG activities beyond legislation. Implementation of ESG is also an increasingly important element for many companies on who to choose as business partners, and especially who to engage as suppliers or service providers. As such, a well implemented ESG strategy can be a competitive advantage.
One example of implemented legislation is the Norwegian Transparency Act, that places obligations on Norwegian companies of a certain size to carry out and account for due diligence of their entire supply chain. In addition, such companies have a duty to answer request for human rights information from anyone in the world within three weeks. This is a complex task, and especially for companies with an international supply chain.
Even though this law applies to Norwegian companies of a certain size, it is also relevant for both foreign companies and for smaller Norwegian companies that want to cooperate with companies that are covered by the law. Other countries have also implemented or are implementing similar legislation, including the EU.
I can support you to make an ESG strategy and risk assessment of your supply chain, in close cooperation with key stakeholders in your organization, and to roll this out both internally and towards your supply chain.
Please feel free to reach out if you would like our support with ESG.