Environmental, Social and Governance

ESG is an acronym that summarizes three English words: Environment, Social (sometimes it also means Society), Governance. These are aspects that refer to organizations’ evaluation methods, in particular their ability to align themselves with a series of fundamental requirements for sustainable development from an economic, environmental, social and corporate governance point of view. These are conformity assessment activities that simultaneously consider economic, environmental, social and ethical aspects that are intertwined in a virtuous circle.

The Environmental sphere (E) includes assessment services that examine how an organization contributes to the protection and management of the environment including the management of waste, emissions, soil and subsoil protection, mitigation and adaptation to climate change, as well as the performance evaluation achieved by the organization itself.

The Social sphere (S) includes evaluation services that examine the impact and relationship of an organization with territory, people, employees, suppliers, customers and, more generally, with the communities with which it operates or with which it is in relation. The evaluation of social performance also includes the analysis of the contribution of the organization to the Health and Well Being of the stakeholders, meaning the quality of life, the respect of human rights, the satisfaction of needs and the opportunities for development.

The sphere of Governance (G) includes the services of evaluating the strategy of an organization. The main issues examined concern the remuneration of managers, respect for shareholders' rights, transparency of company decisions and choices, respect for minorities, as well as the performance evaluation achieved by the organization itself.