I hear about this term a lot these days -“We need to comply with the ESG requirements”. When we put the two words ‘ESG’ and ‘Compliance’ into one basket, or try to look at ESG with the compliance lens, we are already on the wrong side of the story. The very elements of ESG are evolved from Nature, Human and Values, and deserve much more than just compliance.

ESG is an opportunity to leverage your business practices by integrating relevant parameters under the E, S and G into your business philosophy and reaping the benefits of long term value creation for stakeholders. And the moment we connect it with compliance and cost, we don’t really relate with the meaning of ESG.

Traditionally the marketing and sales pitch of the organisation is more of doing good for stakeholders than about making profits. The same pitch goes with ESG, with additional layers of – showcasing what and how that ‘good’ is being done by the organisation, and supported by the significant actions and results. Yes it takes efforts and a great amount of efforts. However, the value it creates is really significant. So it is important to come out of the fencing of Compliance and Cost, and embrace the holistic approach of integrating ESG into business principles, protocols and actions.