Insight Paper

ESG and DEI: The New Indicator of Employee, Stakeholder Satisfaction

May 2022

As employees, investors, clients, consumers, and suppliers increasingly assess corporations on their purpose/mission, Corporate Social Responsibility (CSR) and Environmental, Social, and Governance (ESG) plans have gained traction. Historically, CSR has been used to promote sustainability and philanthropic efforts but lacks metrics for holding leaders accountable for results. ESG has emerged as a counterpart to CSR that relies on metrics. As a result, ESG is quickly becoming an important tool in an organization’s ability to attract talent and investors (especially younger generations), build a loyal consumer base, and develop brand integrity.

Importantly, ESG has the potential to be the key that organizations are looking for to transform Diversity, Equity, and Inclusion (DEI) from an abstract concept to a set of standards with measurable results. Through ESG, corporations are held publicly accountable for their socioeconomic and environmental commitments to both their employees and external communities. Companies are coming together to establish globally recognized metrics that will standardize their ability to track DEI and ESG progress inside and outside their organizations.

ESG and DEI: The New Indicator of Employee, Stakeholder Satisfaction provides corporate leaders with:

    • Insight into the relationship between DEI and ESG, and their importance to the success of a 21st-century company
    • An explanation of the evolution of CSR and ESG, and why this convergence is emerging as a critical business strategy now
    • Examples of how organizations are integrating ESG into their business strategy
    • Background on the importance of supplier diversity, with case studies on how companies are using supplier diversity to fulfill ESG commitments
    • Sample metrics from the Seramount Inclusion Index, the World Economic Forum, and the International Organization for Standardization that companies are using to measure DEI

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