New ESG capability, whitepaper and survey
Many boards are now spending as much as 10 times the time and effort they used to devote to climate change and ESG only two or three years ago. As a Chair of a top ASX 100 company recently said…
“We used to get one or two questions concerning climate change and ESG from our investors and analysts two years ago – and those questions would normally be in closing – now the first five or six questions can be in relation to climate change and ESG.”
Board Benchmarking is pleased to announce that it has recently secured the expertise of Dr Sugumar Mariappanadar in the role of Senior Sustainability Advisor. Dr Mariappanadar has been working in the field of sustainability for more than 20 years and is an acknowledged global leader in his field.
Dr Mariappanadar and Nicholas Barnett, Executive Chairman, Board Benchmarking, recently launched their new whitepaper titled, Two new frameworks to help you measure and improve your ESG Sustainability Maturity.
Board Benchmarking updated its Board Effectiveness Survey, and its board evaluation processes in 2021 to include an extra focus of the board’s oversights of ESG risks and opportunities, including climate change. With the addition of Dr Mariappanadar, it now also has the deep expertise to help clients measure and improve their ESG sustainability performance.
A holistic and strategic approach is required
Board Benchmarking recommends that organisations take a holistic approach to ESG sustainability business strategy which is already requiring some organisations to rethink their vision, purpose, strategies and even their business model. Others may need to determine whether their vision, purpose, strategies and business models include all the appropriate sustainability characteristics to achieve their desired ESG sustainability outcomes. A more holistic and strategic approach is likely to require many organisations to rewire their structure, policies, culture, systems, and processes to better align with their new ESG sustainability ambitions and performance objectives.
The transformation journey, including this reassessment and realignment process, is likely to take organisations at least three to five years, with significant measurable progress likely to be identifiable within one to two years.
New governance and management approaches are likely to be needed for organisations to be able to synthesise and accept the ongoing tension and paradox between the contradictory and complementary pillars of sustainability (i.e., Profit (economic/financial), People (human/social) and Planet (environmental) to create long-term shared value, minimise environmental and social/human harm and mitigate financial risks.
Two new frameworks
The two new frameworks are set out and extensively discussed in the whitepaper and include a new Organisation Sustainability Maturity Matrix (OSMM), and a Sustainability Transformation Plan Framework (STPF).
Framework 1: Organisational Sustainability Maturity Matrix
Framework 2: Sustainability Transformation Plan Framework
The new OSMM and STPF frameworks focus on integrated strategic sustainability (CSR) programs/activities to rewire organisation structure, policies, culture, systems, and processes for improved ESG performance outcomes. This will help organisations meet and go beyond the sustainability standards of SASB and GRI using metrics-based information on stakeholder reciprocation, firm reputation, sustainability innovation, and reducing firm risks.
New ESG surveys announced
If you would like to find out about our new ESG Maturity Calibration Survey, our new ESG Capability Survey or arrange for a 30-minute no-obligation discussion with Dr Mariappanadar and/or with Nicholas Barnett please Contact Us.