ESG & Sustainability 2023 Global Corporate Survey Regional Highlights

ESG & Sustainability 2023 Global Corporate Survey Regional Highlights

The Verdantix Global Corporate Survey 2023: ESG Funding Priorities and Drivers by Region, which covered 400 respondents from 35 countries in the Americas, APAC and EMEA, provides crucial insights into ESG and sustainability investment trends and drivers. Responses to the survey highlighted the:

• Priority given to ESG and sustainability reporting.
  The survey highlights a global emphasis on both mandatory and voluntary ESG and sustainability reporting. Voluntary reporting is particularly prominent, as a top priority for greater investment among global firms. This trend is strongest in the Americas, where a larger number of firms prioritize voluntary reporting, likely due to the lack of stringent ESG reporting regulations. In the EMEA and APAC regions, where mandatory ESG regulations (such as the TCFD in the UK) are more established, firms still see voluntary reporting as important, but to a lesser extent (see Verdantix Market Overview: Digital Sustainability Strategies To Transition From Voluntary To Mandatory Reporting).
  
  

• Equal emphasis placed on reporting and assurance in the Americas.
  In the Americas, mandatory ESG reporting and assurance are viewed as equally important and are both at the top of the list. This reflects a balancing act between enhancing mandatory disclosures and ensuring their reliability. Upcoming regulations, such as the proposed SEC climate disclosure rule, emphasize the need for assurance of ESG reports. Accordingly, US firms are prioritizing their consulting investments for assurance services in 2024, and 50% of respondents from the Americas intend to boost their spending on ESG reporting and data management software. Verdantix predicts that the ESG assurance market will grow from $1.54 billion in 2022 to over $5.89 billion by 2028, with North America contributing significantly to this (see Verdantix Market Size And Forecast: ESG Assurance Services 2022-2028 (Global)).
  
  
• Supply chain pressures in APAC and EMEA.
  Supply chain concerns are a major driver of ESG commitments, particularly in APAC and EMEA. Europe has comprehensive regulations, such as the German Supply Chain Act and the EU CSDDD, which mandate firms to monitor environmental impacts and human rights within their supply chains. Despite regional differences, the imperative to manage ESG risks in supply chains is a global priority (see Verdantix Best Practices: Improving ESG Performance In The Supply Chain).
  
  This survey underscores the increasing importance of ESG factors in corporate strategy, with varying regional priorities influenced by existing regulations and market dynamics. To learn more about ESG reporting, assurance and supply chain sustainability, please read the following reports:

• Verdantix Green Quadrant: ESG Reporting And Data Management Software
• Verdantix Buyer’s Guide: ESG Assurance Services (2022)
• Verdantix Smart Innovators: Supply Chain Sustainability Software