SDG and ESG Impact on Business
SDG and ESG have now become essential for many businesses. In recent years, ASEAN businesses have been reporting on sustainability driven by compelling evidence in the impact of sustainable practices on the financial performance and corporate value of an organisation.
More specifically, businesses are adopting the Environmental, Social and Governance (ESG) framework as a core corporate strategy due to the financial potential of sustainable opportunities and reputational advantage. Employees now seek “purposeful” work and customers are making buying decisions based on a company's ESG standings.
SDGs work together with ESG factors by providing guidelines on how an organisation can achieve sustainable development goals within their company, products, and services.
With growing SDG awareness and acceptance of ESG principles in business policies, ESG assessments are is now more critical than ever for businesses of all sizes to thrive in the present and future proof itself.
Today, ESG has gained a greater importance amongst investors, policymakers, and other key stakeholders as it is seen to safeguard businesses from future risks.