Major social issues continue to have an increasing impact, also on the business community. And these issues increasingly require corporate involvement. Remko Renes (member of the Nyenrode Corporate Governance Institute) and Auke de Bos (associated with the EUR and EY) elaborate on Environmental, Social and Governance (ESG) factors. They think about the meaning and the importance of ESG, and the influence of this topic’s focus and transparency on organizations and directors and the roles of supervisors and audits. Based on their insights, they give recommendations to directors, supervisory directors, advisers and accountants.
It is taking too long for companies to put well-being before profit. That is why a social duty of care must be enshrined in law. This is what Leen Paape says in his farewell speech as Professor of Corporate Governance at Nyenrode.
The Green Deal’s sustainability program from 2019 obligates companies to gradually focus more on people, the environment, and society: ESG (Environmental, Social, Governance). But are organisations adequately equipped to make their business operations more sustainable?
Sustainable transformation of organisations first of all requires transformation of leaders themselves, as emerged during the first meeting of the recently established ESG Innovation Institute, a joint initiative of Nyenrode Business University and KPMG to assist directors, supervisory directors and professionals in the field of sustainability.
On 21 April 2021, in the wake of the EU Green Deal, the European Commission adopted a proposal for a Corporate Sustainability Reporting Directive (CSRD) aimed at revising and strengthening rules introduced by the existing Non-Financial Reporting Directive (NFRD).