Integrate ESG criteria into your business strategy

ESG criteria, a strategic lever

In today's business and regulatory landscape, businesses face constant pressure to adopt sustainable and responsible practices. ESG (Environmental, Social, Governance) criteria have become a necessity for any forward-looking company wishing to differentiate itself. As an indication, investments in ESG asset management will peak at 53 trillion euros by 2025. A figure which can be explained by two phenomena:

  • Corporate commitment has become a criterion of choice for investors, customers, as well as employees.
  • Governments are accelerating the implementation of regulations
ESG criteria strategic leverage

Environmental, Societal and Governance criteria

Environmental, Social and Governance (ESG) criteria are so-called “extra-financial” criteria which make it possible to evaluate a company apart from its profitability, the share price and its development prospects.

Thus, they make it possible to effectively evaluate the company's CSR approach and its integration within activities.

Coupled with financial indicators, ESG criteria allow the company to have a global vision, measure the value of an activity and implement a sustainable development and responsible investment strategy.

 

Some examples of measurable indicators:

Environment

  • CO2 emissions
  • Waste recycling
  • Use of renewable energy
  • Consumption of electricity, water…

Social

  • Respect for employee rights
  • Adequate remuneration of employees
  • Employment of people with disabilities
  • The establishment of social dialogue in the company
  • The link between the company and local communities

Governance

  • Transparency on executive remuneration
  • Measures to fight corruption
  • The tax strategy
  • The feminization of boards of directors
ESG criteria issues

Why integrate ESG?

Meet market expectations

Measuring ESG criteria makes it possible to meet the expectations of the various stakeholders in the current market with whom the company is in contact: investors, customers, employees. In fact, 76% of investors say that climate change and decarbonization are elements that influence their investment strategy.

As for consumers, 80% believe that sustainable development is a criterion of choice for them. They also tend to gravitate towards companies committed to initiatives such as “Net Zero”.

Finally, 64% of “millennial” job seekers want to work in a company that is committed from an environmental and societal point of view.

Improve business performance

Companies that correctly address environmental, social and governance challenges can differentiate themselves from their competitors, and hope to optimize their financial development in the long term. The profitability of the company also requires a reduction in costs. By integrating ESG criteria, the company ensures better control of its energy consumption linked to operating costs, and thus optimizes its resources and costs.

Comply with regulations

Integrating ESG criteria into your measurement indicators helps accelerate your company's compliance with regulations. Legislation is evolving and will continue to evolve towards “Responsible” subjects, so it is better to anticipate these legislative changes.

For example, the CSRD directive, adopted on November 28, 2022, involves an obligation to report and verify standardized information on sustainability between 2024 and 2028. Ultimately, 50,000 companies are and will gradually be affected by this directive.

In particular, it will make it possible to meet the information needs of financial players, themselves subject to ESG reporting obligations.

From January 1, 2024

For large listed companies (over 500 employees) already subject to the Non-Financial Reporting Directive (NFRD), with reports due in 2025




From January 1, 2025

For all large companies, currently not subject to the NFRD, with reports due in 2026 and meeting 2 of the following 3 criteria:

  • + 250 employees
  • 40 million euros turnover
  • 20 million euros in total assets

From January 1, 2026

For SMEs and other publicly traded companies (10 to 250 employees), reports due in 2027 with a possibility of deferring their reporting obligation until 2028.

 

 

 

From January 1, 2028

For European subsidiaries of non-European parent companies which achieve more than €150 million in turnover in Europe.

 

 

 

 

Envizi to manage your ESG

Envizi is a comprehensive ESG data and analytics software for collecting, managing and extracting insights from sustainability data. Businesses use Envizi for several reasons:

  • Create a single, high-quality system of record for their ESG data.
  • Manage the balance of greenhouse gas (GHG) emissions
  • Take charge of environmental, social and governance reporting
  • Obtain information to support decarbonization strategies

Interest in your business

Envizi streamlines the consolidation, analysis and management of siled data sources to meet the structural requirements of ESG reporting, and thus achieve sustainability goals.

  • Building a Data Foundation

    The software features a unique recording system that provides verifiable and robust ESG data and GHG calculations.

  • Streamline reporting and disclosure

    Flexible reporting tools are built into Envizi to meet internal and external requirements for comprehensive ESG reporting and disclosure.

  • Accelerate decarbonization

    Envizi is equipped with analysis tools to identify opportunities to achieve “low carbon” objectives and monitor performance against sustainable development commitments

ESG dashboard Envizi IBM

Software that differentiates itself from the market

Envizi revolutionizes the way you integrate and measure your ESG indicators thanks to 4 major strengths.

  • The scope : Envizi covers emissions management and calculation for scopes 1, 2 and 3, ESG reporting and decarbonization
  • Scalability : Envizi is a modular platform that adapts to your needs, no matter where you are in your sustainable development journey
  • Flexibility : Envizi offers customizable reporting with integrated Power BI.
  • Data management : Envizi manages data through data capture, auditability, automation, and AI capabilities

Belharra & IBM

For more than a century, IBM has been dedicated to making every customer successful and creating innovation.
Values ​​shared by Belharra which has chosen to integrate IBM technologies into its catalog of offers in order to offer cutting-edge solutions to its clients.

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