CMMC Compliance Requirements:
Everything You Need to Know in 2022
CMMC Compliance Requirements:
Everything You Need to Know in 2022
Investors are increasingly using Environmental, Social, and Governance (ESG) factors to analyze organizations they choose to invest in.
Environmental factors essentially focus on how a corporation behaves as a guardian of the environment.
Social factors focus on how the company deals with its suppliers, employees, consumers, and the communities in which the business functions.
The leadership of a corporation, CEO remuneration, internal controls, shareholder rights, and audits are all covered under Governance.
Sustainable investing that upholds all the ESG criteria has been rapidly growing. Here are the top 3 ESG investing trends to look out for in 2022.
Watch: The benefits of ESG investinghttps://youtu.be/7hEGY-XYRIw
ICarbon net-zero rather than offsetting footprints
While several businesses have made significant progress in decreasing their carbon footprint and deploying offsetting carbon strategies to reach carbon neutrality, scientists and activists are concerned that these initiatives may not be enough to prevent a future climate crisis.
Several additional measures must be taken to reverse or reduce carbon emissions to the lowest level attainable.
Carbon net-zero companies would be expected to make substantial progress in genuine carbon footprint reduction or elimination within their operations and supply chains, with offsetting strategies being used only as of the last choice.
Customers, community leaders, and policymakers have all demanded more disclosure about how businesses operate and what methods they plan to deploy in the future, so the concept of transparency has been prevalent in recent years.
However, while transparency has been widely appreciated, it’s not enough anymore. Activists of all kinds are demanding that companies be held accountable for their actions and prove that they are indeed moving towards carbon net-zero rather than simply offsetting their carbon footprint. Therefore, transparency can only be seen as the first step for businesses to hold complete accountability and truly eliminate their carbon footprint across their operations and supply chain.
In addition, increasing stakeholders want businesses to publish accurate results rather than mere promises. Companies will continue facing increased expectations for accountability, and the volume and relevance of third-party auditors will continue to increase.
Businesses can use an automated evaluation tool to bring their ESG goals into reality. Automation provides tools for estimating greenhouse gas emissions, publishing disclosures, risk assessments, and climate risk analytics, in addition to managing a significant portion of their ESG workload.
By automating ESG assessment, companies can do better in the following areas:
· Identify environmental, social, and Governance opportunities and hazards that affect your corporate structure, capital assets, and distribution network.
· By promptly recognizing possible ESG concerns, you can cut transaction time and costs.
· Stay on top of your ESG Program’s performance.
· Identify possibilities for improving the ESG program well in advance and potentially reduce costs.
· Streamline ESG reporting processes to attract investors.
Sustainable investing continues to be a growing trend in 2022. The most important trends for businesses to consider this year are eliminating their carbon footprint instead of only offsetting it and being accountable for their actions rather than transparent about their practices.
Automating ESG assessments can also be crucial in providing accurate data to stakeholders while also providing data to the businesses to improve their ESG performance.
An energy-efficient ESG strategy a can help you reduce your carbon footprint, improve your operations and ultimately boost your bottom line. Here are five best practices to get you started.
Energy efficiency is an essential part of every business’s Environmental, Social, and Governance (ESG) strategy. Energy efficiency will also be one of your most significant competitive advantages. According to an NRDC report, Energy efficiency measures that could be implemented at USS industrial plants are estimated to reduce emissions of greenhouse gases by more than 170 million metric tons per year—roughly equivalent to taking over 60 million cars off thU.S.S. roads and highways each year. That said, there’s still room for improvement—and many companies aren’t tapping into their full potential when it comes to energy efficiency strategies. To maximize energy efficiency, you should take a holistic approach: consider low-cost and high-impact changes such as implementing variable speed drive on air compressors or modifying production schedules to shift work hours in lower-cost periods.
Having a diverse portfolio is one of the most critical factors in mitigating risk and driving returns. An investment strategy centered on energy efficiency fits into several strategic asset classes, including waste management and infrastructure. This strategy can help drive social value and financial returns, which makes it an ideal addition to any portfolio. Recent research has shown that energy efficiency has grown from 20% of total global power consumption in 1996 to 33% today. Additionally, 1/3rd of greenhouse gas emissions originate from inefficient equipment, buildings, and vehicles.
Nevertheless, companies continue to spend money on building new data centers and extensive facilities without an effective method for operating their systems efficiently or effectively reducing their carbon footprint through clean energy sources. To mitigate risk across your portfolio as well as position yourself ahead of competitors focused on best practices in energy efficiency, consider these 5 ESG bE.S.G. practices:
When it comes to climate change, we must act now. That’s why companies are increasingly putting climate change mitigation into their everyday operations—including energy efficiency. By taking small, preventative measures like using more efficient appliances and installing sensors and intelligent lighting systems, companies can ensure that they’re doing their part to reduce their carbon footprint. These investments will often pay off in less time than you might think! Just look at Toyota with its energy action plan: cutting CO2 emissions by half over 20 years.
It’s difficult to quantify how much energy is wasted every year, but conserving resources is a good idea regardless. While renewable energy is ideal, reducing consumption and using efficient equipment goes long. It has been shown that companies who embrace resource conservation as part of their environmental responsibility can save over 40% in waste reduction costs. At minimal cost, that’s an opportunity any business cannot afford to pass up.
Want to know more about how to embrace ESG best practices effortlessly? See what Findings can do for you.