Coined by the United Nations in the early 2000s ESG (Environmental, Social, and Governance) was conceived as a way to encourage sustainability and corporate responsibility, by focusing on businesses impact and the wider society.
Initially businesses were slow to embrace ESG and many CEOs are still reluctant to engage positively because they believe that it will hurt profits.
However, ESG isn’t just about compliance, it’s also a powerful tool for creating positive brand perceptions in a world where ESG is becoming synonymous with responsible and forward-thinking business practice.
Embracing the three pillars of ESG drives positive change and long-term sustainability and understanding the focus of each is vital in defining what ESG means to the business.
Environmental (E): Focuses on ecological impact, including resource use and waste management.
Social (S): Encompasses employee welfare, human rights, and community engagement.
Governance (G): Acting transparently and honestly, with responsible leadership supporting overall environmental and social performance.
We are committed to developing the strongest ESG proposition, because by understanding and enhancing each of the key criteria we facilitate growth, reduce costs, minimise regulatory and legal interventions, and increase employee productivity.
We use EcoVadis an external, independent service with proven frameworks and standards to audit, measure and report on our ESG performance.
Over 1000 enterprises, including Nestle, Johnson & Johnson, Coca Cola and Hitachi, rely on EcoVadis to assess and benchmark ESG practices within their supply chain.
The annual EcoVadis ESG reporting process embraces four key areas – Environment, Labour & Human Rights, Ethics and Sustainable procurement – scoring the business on each, to reach an aggregated score and rating.
For the second consecutive year Global Forwarding have achieved ‘Bronze Rating’ a level which is only attained by just over a third of audited businesses and while we will be working hard to elevate our rating to the next level, our overall ESG score already puts us in the top 12% of forwarders.
To learn more about our ESG practices, the Corporate Sustainability Due Diligence Directive (CS3D), Corporate Sustainability Reporting Directive (CSRD), or to discuss any of the issues raised in this article, please EMAIL Charlene Keogh.
