What is ESG » Business Chamber Queensland

What is ESG?

ESG stands for Environmental, Social and Governance. It takes a broader more holistic view of business, beyond environmental issues such as climate change. ESG is a way a business can be screened and its ethics, values and behaviour measured by socially conscious customers.

Improve business. Become more sustainable.
By improving practices under each of the ESG pillars, your businesses can boost productivity, reduce costs and increase demand for products and services – while contributing to a sustainable future.

Let’s have a closer look at each of the pillars.

Environmental

This aspect focuses on how a business impacts the environment and the steps being taken to improve sustainable practices such as:

  • maximising energy and water efficiency
  • minimising waste and pollution
  • reducing carbon emissions
  • protecting biodiversity.

Social

This aspect focuses on how a business can: 

  • support a healthy, safe, diverse and inclusive workplace
  • have a strong social license and positively contribute to the communities in which they operate
  • operate ethically within supply chains and manages risks such as modern slavery.

Governance

Governance is all about how a business conducts itself.  It refers to areas including: 

  • decision-making and leadership within the business
  • board diversity
  • business ethics
  • how businesses manage areas such as cybersecurityprivacy and data protection.

Your business may already be taking steps under the Environmental, Social and/or Governance pillars – you just might not realise it. That’s OK. We’re here to clarify things for you.