ESG performance matters more than ever to customers, employees, and investors because:

Customers

• Customers are increasingly demanding ESG-friendly products and services. A 2021 Nielsen study found that 66% of global consumers are willing to pay more for products and services from companies committed to sustainability.
• Customers are also more likely to be loyal to ESG-friendly companies. A 2022 study by IBM found that 75% of consumers are willing to change their purchasing habits to support a company’s commitment to social responsibility.

Employees

• Employees want to work for companies that are aligned with their values. A 2022 Deloitte study found that 94% of millennials say that ESG factors are important to them when choosing a job.
• Employees are also more likely to be engaged and productive when they work for ESG-friendly companies. A 2021 study by Cone Communications found that employees who work for companies with strong ESG performance are 89% more likely to be proud of their company and 76% more likely to recommend their company to others.

Investors

• Investors are increasingly recognizing the financial value of ESG performance. A 2022 study by Harvard Business School found that companies with strong ESG performance outperform their peers on the stock market.
• Investors are also more likely to invest in ESG-friendly companies. A 2022 report by Bloomberg Intelligence found that ESG assets are expected to reach $50 trillion by 2025.

In short, ESG performance matters to customers, employees, and investors because it is a measure of a company’s commitment to sustainability, social responsibility, and good governance. Companies with strong ESG performance are better positioned to attract and retain customers, employees, and investors, and they are also more likely to be successful in the long term.

Here are some examples of how companies can improve their ESG performance:

• Environmental: Reduce their carbon footprint, invest in renewable energy, and conserve resources.
• Social: Promote diversity and inclusion, uphold human rights, and support the well-being of their employees and communities.
• Governance: Have a strong ethical code, transparent and accountable management practices, and fair and equitable treatment of all stakeholders.

J. M. Environet can play a vital role in helping companies improve their ESG performance by providing them with the tools and resources they need to measure, manage, and report on their ESG progress.