Welcome to our course on Environmental, Social, and Corporate Governance (ESG). This comprehensive program explores the core principles and significance of ESG in today's business landscape. We'll begin by defining ESG and its three pillars: Environmental, Social, and Corporate Governance. The course highlights the Brundtland Commission's report, which defined sustainability as meeting present needs without compromising future generations.
Delving into the three pillars, we'll focus on environmental protection, social equity, and economic prosperity. Emphasizing their interconnectedness, we'll use the three-legged stool metaphor to illustrate the need to address all aspects simultaneously.
ESG reporting is a key focus, where companies share their value and impact with investors and the public. We'll differentiate ESG from CSR and SRI, while exploring governing bodies and standardization efforts.
We'll discuss why ESG should be a priority for businesses, citing consumer behavior and the impact on stock performance. Examining ESG's historical context, we'll witness its growth and current challenges, including greenwashing concerns.
Effective ESG reporting is essential, and we'll cover key considerations, target audiences, and action plans. Participants will learn about core components in an ESG report, such as contextual information, risk identification, titles, and future directions.
The Global Reporting Initiative (GRI) standards and suggested core metrics will be explored, promoting comprehensive ESG coverage for businesses.
The course examines the pros and cons of ESG reporting, including stakeholder engagement and identifying risks and opportunities. We address challenges, like the investor fallacy and the need for third-party validation.