ESG criteria: what should companies do to improve?

Have you heard of ESG criteria? What should companies do to comply with them and why should they be applied? According to the Global ESG Report: what the community expects from companies in ESG matters , developed by SECNewgate and based on a survey carried out in 12 countries, Spanish society is, at the same time, the most interested in these factors and the one with the greatest ignorance towards them. That is, they are interested in the impact of companies on their social and environmental environment, as well as their management methods, but they are unaware of the existence of factors to measure these issues. It is about compliance with ESG criteria, which is precisely what worries Spaniards, according to this study. cta text ESG criteria, what should you know about it? To understand these criteria required by companies, we must begin with the meaning of the acronym ESG, which is a group of concepts from English (Environmental, Social and Governance) , whose literal translation would be environment, social and government ―or governability―, terms that alone do not show everything they mean for an organization today.



And it is worth knowing that ESG criteria, which were created years ago without much impact, have a significant impact on large companies today . The degree of compliance with environmental, social and governmental principles in a company has an impact on such relevant issues as obtaining investments and subsidies or Europe Mobile Number List brand image, among others. ESG criteria, what do companies do to apply them? What does each of the ESG criteria mean? Putting ESG criteria into practice, which is still a pending issue for many organizations, depends on companies' commitment to these factors. The first step to achieve this is to know each of the concepts in depth, strive to understand the current context around them and, of course, try to improve them as much as possible from within the company itself. Because, if there is an idea that perfectly explains the development of ESG criteria in a company, it is transversality.







These concepts must influence the ways companies act internally and externally, taking into account their impact on the world and, at the same time, maintaining responsibility in their own management. Therefore, they must be present in the organization's identity. Environmental: the environmental influence of each company The first of the ESG criteria, which is Environmental , refers to the environmental impact of companies directly and indirectly . Neutrality is insufficient to comply with this factor: it is not enough to not negatively influence the climate situation, but rather it is about actively improving it with concrete initiatives and actions . Social: the social behavior of an organization How do organizations relate to their environment? This is, perhaps, the question that best defines the second criterion. The relationship of a company with its workers, with the locations in which they are located and with all its stakeholders says a lot about its values . And we cannot lose sight of the great impact of large companies on aspects such as health, employment or security in the area.