Forbes: Reputation Management: Three Strategic Approaches To Develop Sound ESG Policies
The Customer Of The Future Wants Connection And Progress
ESG isn’t just about supporting initiatives that make an organization, its employees and its customers “feel good.” There is also increasing research that shows sound ESG policies correlate with strong financial results.
With the amount of public data, ESG rating agencies and ESG risk scores — not to mention the trending use of direct indexing technology — available to help develop a successful ESG plan, companies must develop a well-articulated position. It’s no longer sufficient to present a sleek but insubstantial PowerPoint deck for stakeholders to browse. ESG efforts that lack a well-designed plan are frequently passed off as window dressing, or worse yet, viewed as “greenwashing” toward a subject that is gaining increased attention in corporate America. If there are no KPIs, commitments and follow-through, companies risk having their ESG efforts backfire, jeopardizing an organization’s reputation with stakeholders, investors, customers and activists.