This white paper is a guide for business process outsourcing (BPO) professionals on Environmental, Social, and Governance (ESG), with a particular focus on Social Sustainability in outsourcing.
We will explore wider ESG drivers and frameworks, digging into Social Sustainability imperatives for BPO providers and their clients. In this piece we will consider prevalent metrics and the use of data, making recommendations on steps for all BPO players to implement in their outsourcing activities.
Environmental Social & Governance
ESG goals and frameworks are important tools. They are being adopted by companies into policies and operational and disclosure practices to demonstrate corporate responsibility, create additional value, measure sustainability and ethical operations, and make a positive impact.
Environmental
The “E” in ESG refers to a company’s environmental sustainability, including its efforts to reduce it carbon footprint, manage waste and pollution, and conserve natural resources.
Social
The “S” refers to a company’s social sustainability, including its practices related to human rights, labour standards, diversity and inclusion, employee health and safety, community development, and customer satisfaction.
Governance
The “G” refers to a company’s governance practices, including its management structure, board diversity, executive compensation, and compliance with regulations and other business ethics standards.
A company’s ESG performance can have a significant impact on its reputation, brand value, investment quality, and ultimately its bottom line. Companies that implement ESG strategies and prioritise environmental and social stewardship can improve customer loyalty, reduce risks, increase operational efficiency, and simply create more value.
