ESG Advisory on Manufacturing Industries

In M&D, the biggest ESG focus areas are on the environmental and social components. Among the environmental considerations in the supply chain are : 

  • Carbon footprint (a method of measuring the impact on the atmosphere)
  • Clean energy
  • Energy efficiency
  • Air emissions
  • Water management
  • Waste management.

Inclusion, diversity, and workplace conditions are included in social metrics. Finally, governance areas include board diversity, bribery and corruption, data protection, and shareholder rights. There is a code of conduct for many suppliers, so all parties involved in the supply chain should be considerate of ESGs.

A good ESG standing results in  higher profitability, higher dividend yield and decreased business risks, less volatility, and higher valuations. ESG metrics are useful indicators of company financial performance and investment value. This highlights the potential power of high ESG standing, its importance to manufacturers, better management of risks and opportunities across the company’s operations, and alignment with investors’ ESG investment considerations.

Our experience ranges from steel industries to the built environment.We have the expertise and experience to assist clients in ESG integration in ways that make the most sense for the company by reviewing risks and opportunities that could have direct financial, operational, and reputational impacts.