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A well-rounded ESG strategy requires both external and internal stakeholders. Employees and investors, community members, and regulators are all stakeholders. ESG initiatives can generate value for your business regardless of whether you’re trying to reduce your carbon footprint, improve manufacturing processes or increase your workforce’s capabilities and skills. A well-planned ESG strategy will show stakeholders that your business is managed responsibly.

Recognize the most important ESG issues by conducting a materiality analysis and speaking with stakeholders. These concerns could be directly linked to the operation of your company or the health of the environment or the reputation your brand. The perspectives of your stakeholders will aid you in identifying the most important issues and determine their possible impact on your business.

Develop measurable goals and plans to implement ESG initiatives. This includes the timeline and milestones, as well as the roles assigned to team members. Select the ESG framework that best fits your industry, location, and management style. There are numerous ESG-related frameworks that are available which include the UN Sustainable Development Goals and different SEC disclosure requirements.

Form a team to disseminate the ESG message to their teams. This team should represent all levels of the company, from senior leadership to shop floor employees. Their perspectives and experiences can serve as lenses to focus on ESG initiatives, establish goals and ensure accountability.

Review and revise your ESG strategies to ensure that they are aligned with the changing regulations and standards and stakeholder demands as well as technology. This will enable you to manage unexpected uncertainties and risks that could have a negative effect on your business.