ESG
What is ESG?
ESG stands for Environmental, Social, and Governance, representing three core dimensions of corporate sustainability. ESG has become an important standard for global investment and corporate management, helping to assess a company’s long-term value and social responsibility performance.
The Importance of ESG
- Investment decisions: More investors are using ESG standards to screen companies and avoid “high-risk” or “unethical” investments.
- Corporate Reputation: Good ESG performance can enhance brand image and attract consumers and talent.
- Policy compliance: Governments around the world are strengthening ESG-related regulations (such as the EU’s Sustainable Finance Disclosure Regulation (SFDR) and China’s “dual carbon” target).
- Long-term value: Companies with strong ESG performance are typically more resilient and have greater potential for sustainable growth.
The Three Core Elements of ESG
Environment
Focus on the impact of businesses on the natural environment, including:
- Carbon emissions and climate change
- Energy use and renewable energy
- Water Resources Management
- Waste and Pollution Control
- Biodiversity conservation
Society
Focus on the impact of businesses on employees, customers, and society, including:
- Employee rights and benefits
- Diversity and Inclusion (D&I)
- Supply Chain Labor Standards
- Community relations and public welfare
- Data security and privacy protection
Corporate Governance
Focus on transparency and ethical standards in corporate management and decision-making, including:
- Board Diversity and Independence
- Anti-corruption and business ethics
- Shareholder rights protection
- Risk Management and Compliance
- Reasonableness of executive compensation
ESG Related Concepts
CSR (Corporate Social Responsibility)
It focuses more on the social contribution of enterprises, while ESG is a systematic evaluation framework.
Sustainable Development (SDGs)
The United Nations’ 17 Sustainable Development Goals are highly correlated with ESG.
Green finance
Support ESG projects through instruments such as bonds (e.g., green bonds) and funds.
ESG Rating Agency
Multiple organizations worldwide conduct ESG scoring for companies, such as
SUSTECH's Technical Experts
Information disclosure support
- Assist clients in organizing ESG information to comply with international standards such as GRI, SASB, and TCFD.
- Establish a transparent information disclosure mechanism to enhance investor and public trust.
- Provide suggestions for writing, reviewing and improving ESG reports.
ESG strategic objectives convergence
- Integrate ESG elements into corporate development strategies and operational processes
- Identify key areas of impact and develop quantifiable strategic objectives.
- Promote the deep integration of ESG with risk management and innovation management.
ESG performance improvement
- Set key performance indicators (KPIs) and continuously monitor and evaluate them.
- Provide customized improvement solutions to enhance environmental and social performance.
- Regular training and knowledge empowerment to strengthen the organization’s ESG execution capabilities.
Our Solutions
ESG Report Verification
We provide ESG report verification services to ensure the authenticity and completeness of reports, thereby enhancing corporate credibility and sustainability.
ESG Information Disclosure
An ESG report is a document in which a company discloses its policies, actions, and performance on environmental, social, and governance matters.
ESG Performance Improvement
ESG performance improvement refers to the process by which companies set ESG goals, implement management measures, and monitor key performance indicators.
ESG Strategic Objectives Integration
This involves embedding core environmental, social, and governance requirements into operations, decision-making, and the value chain.
Enterprise Risk Assessment - SUSRisk
SUSRisk is the first comprehensive ESG application tool platform independently developed by the SUSTECH Innovation Center.
ESG Reporting Training
We provide GRI-authorized ESG training to help companies implement environmental, social, and governance standards and promote sustainable development.
