5 reasons ESG is good for business and the world
Cassandra Garber , vice president of ESG at Dell Technologies , on why ESG is a business and social imperative .
BY CASSANDRA GARBER
92
Environmental , social and governance ( ESG ) strategies align business growth with ethical , sustainable practices , ultimately tackling some of the world ’ s great challenges . Whether this means
implementing new manufacturing processes that minimize waste , building a future workforce that ’ s as inclusive and diverse as the world in which we live or partnering to tackle issues as significant as climate change , ESG is how every company should be thinking about the future of business .
To create value for your company , people and the planet , a strong ESG strategy :
1 . Mitigates risk . Robust management and performance on environmental and social issues serves as a proxy for a well-run and responsible company , enabling improved operations and profitability .
2 . Innovates through challenges .
From finding new ways to reuse existing materials to building diversity and inclusion into talent processes , products and business models , ESG turns challenges into meaningful opportunities for growth and innovation .
3 . Builds trust . A company people can trust and believe in is a company they will support . ESG empowers businesses to build strong partnerships across their communities and value chain , and helps ensure all stakeholders are considered as a key part of any solution .
4 . Adopts stakeholder capitalism .
ESG balances the expectations of employees , customers , partners , communities and shareholders when making integral business decisions . It sets more places at the table .
5 . Creates meaningful impact .
The opportunities for ESG are endless . Companies can improve people ’ s lives through healthcare , education , sustainability and digital inclusion , among a host of other topics , enabling companies to double-down on core values and act boldly to create real change for the success of their business and society . ■