By BossJansen Executive Search
The principles surrounding ESG encourage a firm’s C-suite and board of directors to view performance over and above the extent to which money is flowing into the company bank account. In effect, studies show that ESG can bring about marketplace gains related to everything from corporate reputation and brand value, to customer loyalty, employee retention rates and even investor confidence..
The acronym ESG, in reference to an organisation, provides a strategic framework within which a firm’s directors can assess, or address, its most pertinent risks and opportunities. According to Airswift, a global workforce solutions provider within the science, technology, engineering, and mathematics (STEM) niche, matters of ESG can serve to boost operational performance and bring about heightened financial returns for a firm.
But the principles surrounding ESG have a higher purpose: they encourage a firm’s C-suite and board of directors to view performance over and above the extent to which money is flowing into the company bank account. In effect, studies show that ESG can bring about marketplace gains related to everything from corporate reputation and brand value, to customer loyalty, employee retention rates and even investor confidence.
If you’re unsure of how ESG relates to the job search and the recruitment function, let’s look at it’s three key pointers – the people who work at a company (or are affected by its impact on society), the planet on which we all live, and the profits a company needs to make to remain sustainable.
So, as you set about hiring key individuals for your organisation – and hopefully acting in such a way as to keep them happy and retain them productively – you’ll realise that your top talent will demand that ESG practices are being looked at, and improved upon, throughout all your operations on an ongoing basis.
Such individuals will likely ask themselves, before signing any offer of employment (or continuing beyond the year mark), whether your company:
– Supports the health, happiness and well-being of its staff contingent and the surrounding community (the people factor); and
– Is intent upon improving its revenue streams (the profit factor) over and above its competitors, because there should be limited need to fork out for the unnecessary and hazardous occurrences that may transpire as a result of acting without the surrounding environment in mind (the planet factor).