Template Environmental, Social & Governance Strategy
This is a template Environmental, Social & Governance (ESG) strategy paper that a SME may wish to put in place, commensurate with its size and sector focus, setting out the type of organisation that it aspires to be.
It is, by its nature, generic but highlights the key areas that businesses should focus on when determining their ESG strategy.
Use this strategy paper as a starting point for an ESG strategy
This template can be used as a starting point to set out a company’s ESG strategy.
It allows the company to explain its ESG strategy and what practices, processes and policies it is putting in place as part of this.
What ESG covers
ESG is a broad umbrella term that includes factors from climate change and environmental conscientiousness and sustainability to social aims and responsibilities.
Key areas the strategy may cover
- Carrying out an ESG audit
- Putting in place new ESG policies, practices and processes
Why SMEs may still need to address ESG issues
ESG is increasingly being seen as a top priority for businesses and companies must have an awareness of their wider impact on society and the environment in which they operate, and have a strategy in place to address this.
Currently SMEs are outside the scope of any specific ESG related disclosures in the UK.
However, failure to tackle ESG issues that are relevant to SMEs may lead to, amongst other things, regulatory enforcement and may pose litigation, physical, commercial, financial and reputational risks that might adversely affect the company’s sustainability and resilience.
There is also a growing trend for ESG requirements and compliance as a pre-requisite for contracting with other parties.
Template Environmental, Social & Governance Strategy is part of Corporate. Just £38.50 + VAT provides unlimited downloads from Corporate for 1 year.