An Insurance Business Magazine article.
Businesses worldwide are becoming increasingly aware of environmental, social, and governance (ESG) risk factors and their potential impacts on their daily operations, social reputations, shareholder relations, investment portfolios, and more.
The three pillars of ESG – environmental, social, and governance – are familiar to business leaders. For years, companies have been strategizing around things like reducing their carbon footprint (environmental), increasing equity in the workplace (social), and shoring up their corporate governance. But traditionally, these issues have been tackled in isolation. What is less familiar to business leaders is the relatively new notion of tackling ESG factors together under an enterprise risk management framework.