Resource
ESG which stands for Environmental, Social, and Governance is very rapidly becoming important to our clients and employees in the United States but also round the world. The ACEC Research Institute will be producing a series of Webinars to provide education, awareness and best practices about this movement. This first Webinar will provide a general introduction to the ESG topic, providing a base line of knowledge to prepare those less knowledgeable for a deeper dive into the E, S and G components.
ESG was first mentioned in the 2006 United Nation’s Principles for Responsible Investment. Today, major institutional investors are making it clear to public companies that they expect management to commit strongly to ESG criteria. The Biden Administration is pushing ESG initiatives into all areas of government. Our clients, both public and private, are facing increased pressure for full disclosure of their ESG practices throughout the procurement process and supply chain. Engineering firms will be provided opportunities to assist clients in fulfilling their ESG initiatives, as well as pressures to demonstrate their own ESG actions to address procurement requirements.
The E (Environmental)relates to environmental impact and sustainability. Some things looked at are the reporting, tracking and reduction of carbon footprint, the identification of any negative environmental impacts through pollution for example, as well as any risks the business may face from climate change.
The S (Social) is tied to societal factors such as commitment to diversity, corporate social responsibility (charity), hiring and promotion practices, employee working conditions, citizen/community involvement, and supply chain values and practices. What initiatives are firms implementing in these areas?
The G (Governance) relates to governance and how a firm’s policies are tied to fairness, equity and disclosure. Policies to ensure fair compensation for all levels including leadership, shareholder rights, internal controls and disclosures, employee well-being, safety, productive environments, and ethical behavior. What policies are leading firms instituting related to their operations?
Previously recorded sessions in the series:
- An Introduction to ESG – April 20, 2022
- Environmental Factors and Its Future Impact on Engineering Firms and Clients – May 10, 2022
- Societal Factors and Its Future Impact on Engineering Firms and Clients – May 17, 2022
- Governance and Its Future Impact on Engineering Firms and Clients – June 7, 2022