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Thursday, 04 August 2022 / Published in Global Themes and Feature Topics, Industries

How ESG Initiative Creates Value in Business

ESG initiative is not just a trend in business. It is a strategic landscape for sustainable growth in company that extend beyond making money and ensuring steady increase in profits. ESG comprises every element that determine the success of a company for it combines achieving business milestone, promoting net zero emission, improving safety and health of the employees and enhancing effective decision-making process. Ideally, a company that fulfil their ESG objectives will surpass their non-complying rivals. Here’s how ESG initiative creates value in Business.

1. Top-line growth

ESG helps in building a company reputation. A company of ESG initiative not only always ahead in governance but also operates in environmentally-friendly manner. This strategy provides companies with trustable reputation that allows them to attract Business-to-Business (B2B) and Business-to-Customer (B2C) as well as easily gain access, approvals and licenses from the governing authorities. Additionally, ESG can drive consumer preference as more people had becoming attentive to the well-being of the environment and willing to spend more for that purpose.

2. Cost-reduction

ESG significantly reduce cost. This is achieve through lower energy consumption. ESG also includes the need for company to apply green technology. The benefits of green technology include reduce business’ carbon footprint, reduce waste and conserve water. With these benefits, a company are able to save cost in managing waste and water intake.

3. Improve compliance and reduce legal intervention

Studies show that legal intervention is among the factor that put a company’s profit at stake. Strong ESG initiative ensure companies regulation compliance thus reduces the risk of adverse government action and as a results promotes government support.

4. Improve employee productivity

The S in ESG focuses on social strategy in company that include the employees’ rights and and workplace safety. With this strategy being one of the main pillar in a company, ESG helps attract new talents and at the same time retain quality employees. ESG enhances employees experience thus increase productivity.

All in all, ESG reflects the future in business world for both financial and non-financial factors that can affect the growth and success of business. ESG will continue to evolve with time as stakeholders expectations mature. Companies thus significantly, a company with strong ESG initiative is a must to create value in business.

E-SPIN being active involved in assist enterprise and government agencies customer on the Environmental, Social and Governance (ESG), business continuity, disaster recovery (BCDR), and Governance, risk and compliance (GRC) and operation requirement, as being part of E-SPIN Availability Management solution. Feel free to contact E-SPIN for your specific operation or project requirement, so we can assist you on the exact requirement in the packaged solutions that you may require for your operation or project needs.

Tagged under: Business Management, Environmental Social and Governance (ESG)

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