The discussion on Environmental, Social and Governance (ESG) has moved past any concept of whether to act. Rather the discussion is how to take action in a way that addresses the expectation of regulators, shareholders and workforce.
We spoke to 30 industry leaders and surveyed 245 more across grocery, food manufacturing, fashion and beauty, industrials, telco, tech, air travel, investment, energy, and recycling.
One voice captured the response in a single breath, “I have never seen such rapid change as I have with the ESG cause.”
Some companies have started action but all concede that they have a long way to go and by 2030 the job of achieving their ESG goals will be far from over.
What does ESG look like in 2030?
57%
of respondents say they are ready to
deal with implementing their
environmental priorities today
94%
of CFO respondents believe
social will be an important priority
for their organisation in 2030
43%
of respondents said complying with
regulatory change will be one of the top three
challenges when it comes to ESG
in 2030
the top ESG priorities for organisations will be
Customer Experience and Technology
1. Cyber risk and privacy
2. Customer Experience
3. Technology
Top ESG priorities in 2030:
✓ Complying with regulatory change
✓ Navigating technology complexity
✓ Mitigating operational risk
Key ESG challenges in 2030:
What our leaders say about shifting from commitment to action
-
"The challenges are so great, the actions we need to take are so urgent, we must constantly collaborate to find a way through, and we are investing in smaller companies and start-ups to support us.”
Sandra Martinez
CEO
Nestle -
“For a company to have good ESG practices, its operating model must be fit for purpose...”
James Haslem
CFO
ELMO -
“Progressive leadership is important. Understanding ESG risks and opportunities is a required skillset.”
Sue Brown
Director of Sustainability
Worley -
“By being a trailblazer for Australia’s First Nations community, we hope that our people will want to come work for us...”
Mitchell Ross
CEO & Founder
Muru Office Supplies -
"Harnessing the power of strategic and collaborative partnerships allowed us to accelerate innovation and shape more sustainable and equitable outcomes...”
Stephen Smith
Head of Sustainability
NBN Co
Four key areas discussed in the report
ESG maturity and journey
In 2030, organisations of all sizes will still be on a journey to ESG maturity while larger companies have progressed further and are more confident than small to medium enterprise peers
Accountability, responsibility and regulation
In 2030, directors will be personally responsible and accountable for their organisation’s decisions when it comes to environmental, social and governance action
Supply chain and operations
Cross-sector and whole-of-supply chain partnerships will be the most effective way to solve complex ESG challenges
The ESG workforce
Soon (if not already) a company’s workforce will influence policy and practice just as much as customers and investors
