The Road Ahead for ESG

Environmental, social, and governance (ESG) is becoming more and more important in our world today, and underlying data is vital in giving it meaning. Acting as a source of checks and balances, ESG needs a long-term view that promises the existence and sustainability of fundamental organizations over time; partnerships and stakeholder engagement are also required. Nevertheless, ESG is complex and not easily measured. Written for companies seeking to attract ESG investments and become compliant with ESG regulatory requirements, this text discusses the "what" and "why" of the matter, diving into understanding ESG, how disregarding ESG means risk, inconsistent metrics and lack of clarity, and what companies can do to be ESG-investable and ESG-compliant. This book also looks at how emerging technologies can help organize underlying ESG data and add transparency to provide accountability and a holistic view of ESG's impact. Chapter 10 discusses how ESG may look in the future. There have been many different ESG standards and frameworks, but the various standards bodies announced in 2020 that the differing reporting standards are going to merge to give all those involved a clearer choice of lenses to evaluate decisions. A standardized level of granularity is also critical in determining ESG risks consistently. Emerging technologies can organize ESG data and then present it in a way that fits the needs of ESG initiatives. In implementing ESG strategies, top-down approaches are needed to integrate ESG at all levels of an organization, and specific management responsibilities should be established. Examples of how various countries and regions are leading in sustainability are offered. As ESG standards are better understood, sustainability native startups will grow and evolve.