The corporate treasury function has an important and strategic role to play in any organisation. As more organisations prioritise environmental, social and governance (ESG) factors, treasury must make a meaningful contribution. This can be achieved using both financial and non-financial strategies that can enhance the reputation and success of an organisation.
Treasurers have realised that their function's integration with the entire business allows them to contribute significantly to a company achieving its overall ESG objectives. Some of the financial and non-financial benefits of being more ESG compliant include greater employee satisfaction, contribution towards a company’s values and culture, a way of remaining competitive such as obtaining better funding and investing rates, and also enabling a company to gain access to a wider base of suppliers and customers, thereby improving a company’s cash and liquidity position.