RegisterFor many companies, sustainability is already playing a central role in their strategy. Environmental, social, and sustainable corporate governance criteria are becoming increasingly relevant in order to be competitive. Yet companies are not only evaluated by banks with regard to their contribution towards sustainable development, but also by their clients and employees.
Meeting ESG criteria ensures that companies adhere to a series of important sustainability aspects and thus allows for a transparent assessment. But it is also important for companies to know what is expected of them and what information is required. This provides companies with an opportunity to identify and make use of their potential for further development.
The “E” stands for “environment” and means the responsibility that companies have towards nature and the environment. Companies can make a significant contribution in this area by ensuring that their carbon footprint is kept to a minimum, by carefully managing their use of limited resources and water, and by helping to safeguard biodiversity, for example.
The “S” stands for “social” and therefore represents the social responsibilities that companies have towards people. This area includes criteria such as the way in which employees are treated, their health, occupational safety, and respecting human rights. Demographic change and a responsible approach to food also play a role here.
The “G” stands for “governance”, i.e. sustainable and responsible corporate governance. This area is focused on the composition of the management level, how companies deal with bribery, corruption, and compliance, and how they handle transparency and the duty of disclosure towards stakeholders, for example. Risk and reputation management also play an important role here.