G in ESG: Unlocking value with Governance

Sustainability is in the spotlight and ESG priorities will pose both challenges and opportunities for companies now and in the future. The approach to ESG management includes having robust governance systems, risk management and controls; striving to serve the customers exceptionally and transparently; investing in the employees and cultivating a diverse and inclusive work environment; working towards strengthening the communities in which we live and work; and advancing sustainable solutions within the operational system.

As social, political and cultural attitudes continue to evolve, governance risks and opportunities will likely increase, which makes it imperative to understand the “G” in ESG.  If we talk about the corporate governance structures, the core elements include corporation’s purpose, the role and makeup of boards of directors, shareholder rights and how corporate performance is measured. Financial and accounting transparency and full and honest financial reporting are often considered key elements of good corporate governance.

Governance factors indicate the rules and procedures for countries and corporations and allow investors to screen for appropriate governance practices as they would for environmental and social factors. More investors are seeing the connection between ESG performance, value creation, and risk reduction.

Robust corporate governance and a central role for boards are critical for getting on the front foot with ESG and achieving the cultural and mindset change needed to drive sustainability transformation. To build a winning strategy, boards must have the operating model, data, and capabilities to provide strong direction and support, whilst also adopting innovative approaches to reward and renumeration and investigating new ways to optimize ESG reporting.

Key Discussion Points

  • How to generate long-term value when the board’s role in ESG is still evolving?
  • Financial and accounting transparency
  • Data and Financial reporting
  • How do you ensure your board is equipped to deliver against its ESG goals?
  • In your view, what are the main advantages of incorporating ESG factors into corporate strategy?

This timely roundtable, themed “G in ESG: Unlocking value with Governancewill feature a panel of renowned business leaders from different sectors who will explore how companies are paying special attention to governance issues and working on ESG strategies to form an ethical portfolio and aiming for a sustainable and profitable future. At the same time, the discussion aims at highlighting the benefits of ESG governance and why it matters to investors.