What is an ESG Compliance Tool?
ESG compliance toolis an Enterprise software tool accessible over the internet to Manage, Track and Report the ESG goals of any organization. This application helps organizations in collecting the data that is related to the BRSR report. The data that is collected is used by the application to generate a report which is in the format that is given by SEBI, and this report can be submitted to SEBI. ESG management can be complex, time consuming and expensive. That is why we offer a sustainability tool designed specifically for the needs of your company, so you are not stuck in spreadsheets or email chains all day long!
What are the Benefits of an ESG Tool?
This application helps in quick and organized collection of data across different departments in an organization for the yearly tedious task of data collection.
The tool has built in an approval hierarchy which can be configured so that every data that is submitted can be approved before it goes to be generated in the report.
Data collection will become more fun and entertaining when using the tool than it is now, when paper usage is still in use.
The ESG app helps in providing quick insights regarding the total data that has been entered, which would not be possible using the paper/excel based data collection.
All the data that has been collected through the years can be viewed at any point of time in the ESG Tool.
There is surety in the data stored as access to these data can be defined based on the roles/users.
The application keeps track of all the data that is changed and modified at a given point of time.
ESG Importance and what Data Can Be Analyzed with an ESG Platform?
Investors, companies and banks alike are more closely examining the impact of ESG factors as climate change appears to be growing more imminent and social injustice issues have been pushed increasingly into the limelight.
Just recently there has been an emphasized focus on sustainable matters: especially since the younger generations of today are labeled as “sustainable natives.” These people have brought sustainability to the forefront of the economy and will continue to do so. We, the investors, have no choice but to be more aware and look for investments that comply with ESG criteria; otherwise, we risk not only our money but also having to look at ourselves in the mirror every morning and ask ourselves if it was worth it.
Independently both shareholders and investors look at overall numbers to make sure organizational goals are aligned toward a sustainable and long-term growth. While caring about social issues as much as financial ones, each player must also be aware of their individual pressures in terms of generating revenue for the company’s growth.
Business data that an ESG Compliance tool can analyze include: -Environmental metrics – including carbon emissions, water usage efficiency and recycling rates -Social metrics – including employee turnover rates and diversity statistics -Governance metrics –
ESG platforms are a great way to analyze many types of data. These include:
- Environmental Impact
- Social Responsibility
- Corporate Citizenship
- Sustainability Reporting
- Compliance with Laws and Regulations
- Financial data
- Sales and marketing data
- Customer service and support data
- Human resource management or HRM data
- Product development, engineering, and manufacturing (PDEM) data
and many more reports generated!
How Does an ESG Platform Work?
ESG Platforms are designed to help companies manage their environmental, social, and governance risks. This blog will go over the basics of what an ESG platform is and how it works.
There are many diverse types of ESG platforms, but all have a few things in common:
- they provide reporting on sustainability performance,
- tools for managing risk,
- data analytics capabilities for understanding trends in the marketplace,
- and collaboration with stakeholders.
ESG platforms work by providing information that helps organizations make more informed decisions about their business practices. They do this through various ways such as providing data or insight into specific markets or industries; connecting with other relevant stakeholders; guiding decision-making processes; helping identify potential opportunities for improvement; and creating transparency around sustainability performance. The ESG compliance app works on the PowerApps platform. Only users who are authenticated and have access to the application in the Power Platform Environment can work on the application.
What are the Different Components of an ESG Compliance Tool?
The ESG Compliance Tool comprises of 4 components (Department Users, Department HODs, Corporate Affairs and Management) which works together for seamless UX.
The Department Users part of the tool is where the data is collected. These collections of data will happen across different departments, and once collected, will be submitted for review.
The Department HODs part of the application is where the data submitted is reviewed. This data is only the data that belongs to one department and can be sent back for further corrections. This process can happen multiple times until satisfactory data is submitted. Corporate Affairs and Management are the key stakeholders who would be using the application as Data providers and Approvers.
The management section is used to review all the answers that are submitted by the people using the Approver section. This data can be sent back/verified based on what the user feels. This section also allows a user to generate reports that contain the data in a report format and allows a user to export their data into multiple report formats.
The Management Application can manage the reporting data collation and control access across the departments. The admin Management controls the users and the departments that exist in the system.
The Moral Obligation of an ESG Strategy for a Company
It is important to think about how your company is going to be affected by the world around you. ESG strategy can help a business anticipate and plan for any potential risks, such as climate change or increased regulation. ESG stands for environmental, social, and governance factors that are related to sustainability. One of the most important aspects of an ESG strategy is understanding what your company does well in terms of these three factors. For example, if a company has a powerful reputation for its fair treatment of employees, then it would have an advantage over another company with lower scores on this metric. It is also essential for companies to monitor external developments that could affect their operations – such as new regulations or changes in consumer behavior due to technological advances.
Today, investors want companies to give the highest importance to these. New investments and growth of a corporation are to be focused on the sustainable goals which are defined. Every business must have a plan for sustainable development to get investments from investors. The investors will look at the vision and mission for the future of the organization.
ESG Compliance Software Application Future
Karinne Chapel, Chief ESG Data and Digital Officer at BNP Paribas Corporate and Institutional Banking, agrees that these initiatives are beneficial for the environmental community because it is a collaborative effort to improve transparency and awareness about what everyone can do to mitigate the dangers of climate change.
Much like in previous years, according to the Global Sustainability Report 2019, published by the G&A institute a year ago, it was found that corporate sustainability reporting has increased over time. For instance, 65% of the companies participating in Russell 1000 index published sustainability reports in various years of research and only 60% did so in 2018. The percentage of largest 500 companies by market cap referring to sustainability issues has increased from 86% in 2018 to 90% in 2019.
ESG Compliance and Management Dashboard
ESG compliance Dashboard is a cutting-edge data visualization and reporting tool to monitor the ESG key performance indicators in real time to present the correlation between the complex environmental, social and governance issues.
The purpose of the ESG dashboard is to assist businesses during large-scale ESG compliance procedures, explore and increase internal as well as external ESG activities to enhance the effect in the extended term. This allows management to see the progress across the organization on a variety of topics, such as environmental sustainability and employee satisfaction, that have been defined. The goals can be monitored and based on that the improvement could be efficiently measured. ESG stakeholders and senior pros need a dynamic yet easy-to-use ESG dashboard to aid and help them range through the complicated processes involved with ESG assets and legislation.
Sysfore ESG application is built on the latest Microsoft Power platform tools like Power Apps, Power Automate and Power BI. This helps it more easily to configure and manage the ever-changing landscape of ESG parameters and helps the organization to scale as required.
Conclusion: Why Every Business Should Care About ESG Management
ESG is a hot topic for businesses. It can be difficult to understand, but it’s important to know what ESG stands for and how it impacts your business. Environmental Social Governance are the three pillars of ESG management. These encompass all aspects of environmental protection, social equity, and corporate governance. When you invest in these areas, you not only help protect the environment but also promote sustainable development practices that will benefit everyone involved in your company. There are many benefits to investing in ESG management including: -Earning public trust -Increasing employee engagement -Lowering operational costs.
So why wait! Register now > ESG Compliance software app enquiry
Free DEMO for the first 10 sign-ups