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What It Takes to Deliver on Your ESG Strategy

While a lot of progress has been made in recent years, many companies still treat sustainability/ESG as an afterthought: as a matter of regulation, reputation and for reporting purposes rather than as an essential part of corporate strategy.

This insightful HBR article argues that for an ESG strategy to be truly impactful, leaders must both confront the contradictions and embrace the synergies between profit and societal benefits. It requires embedding sustainability goals into corporate strategy and operations as well as connecting financial with social & environmental performance.

According to the article, bold leadership and these six steps are required:

  1. Identify the ESG issues that are material to your company

  2. Focus on your strategy, not on reporting

  3. Optimize the impact intensity of profits

  4. Collaborate to avoid trade offs between profit and societal benefit

  5. Redesign organizational roles

  6. Bring investors along

Pic by Harvard Business Review


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