Environmental Social Governance (ESG) has become an intrinsic part of several successful businesses. Small businesses are not left out as they keep taking proactive steps to achieve this goal.
The impact of business activities on the environment can’t be overlooked. We are in an era where a significant percentage of consumers will choose a company that takes ESG matters seriously over the one that ignores them.
With ESG, you can offer products or services that are safe for the environment. The good thing is that you don’t need a huge budget to embed it into your startup structure.
1. Define your goals
List all the goals your startup wants to achieve and be clear about the timeframe. You should have KPIs in place to track your progress. As you take this step, check out the latest trends that are shaping the Environmental Social Governance landscape. This will go a long way to help your brand remain relevant.
Lastly, the goals you set must align with your brand’s values and vision.
2. Estimate your environmental impact
You can use digital tools to measure your environmental impact. Such tools will help you understand how your business activities are affecting the environment. Apart from that, take an objective look at your processes to discover other factors.
For instance, check the product packaging to find some issues you didn’t detect from the onset.
3. Embrace good governance
Ensure that you make good governance the bedrock of your brand. You don’t have to wait until you have a big brand before you can incorporate this. Be clear about your brand values and share them with your staff.
Take this step early on so that it can guide your decision on ESG and boost your brand’s credibility. Every staff should have a copy of the handbook that contains your ESG principles.
4. Design a plan
Drawing a plan for integrating ESG into your startup will help you have a roadmap for achieving your goals faster and with minimal resources. Highlight the steps you intend to take to minimize the environmental impact of your startup.
Some of the actions you can take include swapping electrical energy with solar energy or choosing eco-friendly product packaging. Carry your employees along to make it easier to develop an ESG culture.
An Environmental Social Governance plan needs constant improvement. Ensure you develop a system for promoting your workers’ physical and mental health.
5. Collaborate with employees and suppliers
Your employees must work in an environment that fosters two-way communication. Most times, workers often have suggestions that can help you reach your ESG goals in a short time.
Keeping the lines of communication closed will only discourage them. Given that, allow them to freely share their experiences and challenges.
The next thing is to contact your supplier to know what the production process entails. Confirm if they support diversity and inclusivity. This will help you determine whether you should continue working with them or not.
You need to take steps to address environmental issues apart from creating awareness. Make sustainability a long-term strategy in your startup if you want to attract and retain top talents.