Best Practices: Weaving Social Into ESG And Sustainability Strategies

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Executive Summary

As firms struggle to incorporate an increasing range of concerns into their ESG and sustainability strategies, social issues remain notoriously complex and ambiguous, often presenting more subjective and nuanced challenges compared with environmental and governance issues. This report is designed to support the C-Suite and sustainability teams in integrating social concerns into their ESG and sustainability strategies, by spotlighting emerging best practices. 

Table of contents

Summary for decision-makers
Firms are struggling to incorporate social concerns into their ESG and sustainability strategies

Addressing social factors is essential for businesses to achieve long-term stability and success
Firms are prioritizing a myriad of social factors through different approaches, as part of their sustainability strategies
Organizations face significant challenges when integrating social concerns in their sustainability strategies
Best practices for firms weaving social factors into ESG and sustainability strategies
An intentional and programmatic approach is essential for firms to translate social performance ambitions into effective actions
Buy-in from stakeholders at all levels drives sustainability performance improvements
Firms should leverage external frameworks, digital tools and consulting expertise for social sustainability

Table of figures

Figure 1. Ambit of social concerns
Figure 2. Snapshot of social regulations across the world
Figure 3. Human rights investigations and litigation: 2022-2024
Figure 4. Cheat sheet for integrating social into sustainability strategies
Figure 5. Questions firms should ask themselves
Figure 6. Examples of corporate social initiatives tied to business concerns

About the authors

Priyanka Bawa

Senior Analyst
Priyanka is a Senior Analyst in the Verdantix ESG & Sustainability practice. Her current research focuses on ESG and sustainability consulting services and social aspects of ESG regulations, reporting and disclosures. Prior to joining Verdantix, Priyanka led diversity, equity and inclusion (DE&I) research in the legal and environment sectors. She holds a DPhil in Social Policy from the University of Oxford.

Kim Knickle

Research Director, ESG & Sustainability
Kimberly Knickle is Research Director of the ESG & Sustainability practice at Verdantix. Her research areas encompass ESG regulations and reporting, ESG risk, supply chain sustainability, circular economy, social impact, and sustainable finance. Kim has worked for more than 20 years in the IT industry, providing research and analysis to help companies invest wisely in new technologies. Before joining the analyst industry, she held various roles in IT services, engineering and product safety testing, beginning her career at Underwriters Laboratories, Inc. Kim holds an MBA from Boston University and a BS in Electrical Engineering from Cornell.

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