Environmental, Social & Governance

Environmental, Social & Governance (ESG) is an umbrella term covering how a business manages its environmental impact, its responsibilities to people and communities, and the way it is governed and controlled. It includes issues such as climate change, sustainability, human rights, supply chains, diversity and inclusion, business ethics and decision-making standards.

ESG is increasingly a strategic priority for businesses. Failing to address ESG issues that are relevant to a business can lead to regulatory enforcement and litigation risk, as well as physical, commercial, financial and reputational harm that may undermine its long-term resilience. There is also a growing trend for ESG compliance to be a pre-requisite for contracting with customers, suppliers, funders and other stakeholders.

In this context, it is becoming more important for businesses to put in place appropriate ESG documentation. The precise documents required will depend on the size, sector and risk profile of the organisation, but may include internal policies, contractual protections and governance materials to support ESG oversight and reporting.

This group of templates is designed as a practical starting point for companies and other businesses considering how to address ESG matters in their contracts and internal governance.

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