ESG is a set of standards used to measure the impact of modern companies on the environment and society. It also applies to current global investors’ corporate investment considerations and decisions.
A company's environmentally friendly management
the social responsibility that a company has as a member of society
A company's transparent governance structure
ESG is an indicator that measures corporate value, including corporate sustainability, by considering the company's current social and environmental activities. Corporate business activities are changing to emphasize contributions to the environment and society, such as imposing taxes on companies with high global carbon emissions and strengthening government demands for mandatory disclosure of ESG information. Under this global paradigm shift, ESG is a value directly related to the long-term survival and prosperity of companies.
Traditionally, corporate performance was evaluated only through financial and economic values such as sales or operating profit. However, if a company makes good profits even if it pollutes the environment and violates the human rights of workers in this process, it has been evaluated as a good company.
The emergence of immorality that raises the alarm that corporate activities can cause serious environmental damage and social problems.
In the past, the standard for consumption decisions was ‘price’, but today’s consumers are considering the environmental and social values of companies and products. Currently, the reality is that many consumers pay more for value consumption.
As investors' interest in ESG indicators increases, the level of scrutiny applied to ESG reporting system data is also being strengthened. Therefore, GAIAS also introduced an ESG management system that is reliable and allows monitoring and auditing.