More Important Every Day.
The public and shareholders alike want to see companies prioritize their Environmental, Social and Governance (ESG) planning, so much so that it has become intrinsically tied to a company’s overall value. ESG issues are fast becoming a key component of what defines a company’s identity and stakeholders are viewing companies through that critical lens.
Many organizations are seeking to standardize ESG compliance as a metric in the same manner we have historically looked to profit margins or customer satisfaction. Updated policies—including new proposed rules by the SEC—will potentially set a standard requiring more disclosure around ESG performance and demonstration of ESG compliance, but it is still a moving goal line. Russia’s invasion of Ukraine has changed the global energy equation and with it, the meaning of green energy. One should expect more of these seismic shifts in the future.
Meeting heightened but shifting expectations is now a crucial part of the strategic considerations of many investors. In this context companies should view ESG expectations as a potential risk—and mitigate accordingly—but ultimately, they should see ESG as an opportunity for enhancing reputations and accelerating growth.
Have an ESG Plan in Place Now.
ESG is an area in which companies cannot afford to be silent, even in a political environment where it may be tempting to do so. The shift is happening quickly, and those who ignore it are bound to be left behind as standardization continues to expose corporate ESG weaknesses. Our skilled public affairs practitioners have developed and executed ESG communication plans which amplify thought leadership and engage stakeholders directly, allowing these companies to stay ahead of the curve through a tailored ESG strategy that stands up to our everchanging business landscape.