ESG is a very broad topic to try and address for any organisation, leaving many scratching their heads on where to start with ESG reporting. Currently, there is no official certification for ESG, however there are a number of schemes that will give you either a score or rating for your level of compliance against their requirements. For those currently working towards one of these schemes, you may already have a solid foundation in place if you’re certified to one or many ISO Standards. In this episode, Ian Battersby and Ali Henshaw discuss ESG compliance and how elements of an ISO Management system can help with ESG reporting.   You’ll learn ·      What is ESG? ·      Is ESG reporting required? ·      Is ESG a nice to have or good solid business practice?  ·      Is ESG certifiable? ·      How can ISO Standards help to address the 3 pillars of ESG? ·      How ESG compliance helps to combat Greenwashing Resources ·      Isologyhub ·      ESG Audit     In this episode, we talk about: [00:30] Join the isologyhub – To get access to a suite of ISO related tools, training and templates. Simply head on over to isologyhub.com to either sign-up or book a demo. [02:00] Episode summary: Ian and Ali will be discussing how ISO Standards can help with ESG reporting.   [02:20] What is ESG? – ESG stands for Environmental, Social, and Governance. Analysis and evaluation against these three elements help organisations to consider different areas within their overall sustainability profile. The Environmental section looks at issues surrounding climate change and actions to address an organisation’s environmental responsibility. This includes monitoring and management of your energy consumption, waste management and pollution. It also seeks to tackle how organisations can address, reduce and mitigate their overall environmental impact. The Social aspect is based around the relationships an organisation has with its stakeholders. This is focused on employees and looks at a broad range of topics including employee wellbeing, fair and competitive pay, benefits and human resource related policies. Considerations can also include wider business relationships such as supplier relations, local community and government work. [05:00] The pillars of ESG aren’t silos – You shouldn’t approach each pillar of ESG in isolation, as they cross over in a lot of areas. For example, in environmental management you may manage hazardous substances, you’ll have a duty to ensure those substances don’t pollute the surrounding area or bodies of water. However, you will also need to consider the health and safety aspect of storing and working with that material. So already you have 1 issue that crosses both the Environmental and Social pillar of ESG.  [05:50] What does the Governance pillar cover? – Governance criteria focuses on creating a business environment that is fair, transparent, and accountable. Considerations in this area include board composition, fairness in pay structures and executive compensation, business ethics and risk management. [07:05] What types of ESG reporting are required?  – For small organisations, there is currently no set requirement as it stands, but you many encounter stakeholder or customer requirements that encourage ESG reporting on some level. For larger organisations at certain sizes there are mandatory reporting frameworks that you will be required to fulfill. At the moment it’s quite sector specific but this is a trend that will only increase over time. Like with anything new, this is likely to trickle down to smaller organisations over time, however there will likely be funding and grants available to assist when that time comes. [08:25] Is ESG a nice to have or good solid business practice?  If you want to be a sustainable business, with good legacy that has the ability to grow and develop, ESG is a fantastic tool. Investors are now looking for sustainable businesses, it’s become a market trend for an eve