Investor Presentaiton
Introduction
A company's ESG strategy can offer a wide-ranging
approach to risk mitigation and value creation
•
•
Less ambitious: value preservation if organisations...
Identify value-linked ESG factors and perform rapid remediation
Review operations and value chain for exposure, and develop and
implement risk-mitigation plans
Define targets, key performance indicators and a roadmap to drive
ESG performance
Communicate relative ESG performance and resilience to key
stakeholders
Business as usual: value erosion owing to...
Progress on ESG issues by peers
• Changing consumer, employee and investor expectations
Increasing regulation
Organisation's
value
Value
levers
•
More ambitious: value creation if organisations...
Align value proposition with ESG through review of vision and
mission
• Re-evaluate business model and revenue streams, and
•
identify possible transformation strategies that incorporate
ESG risks and opportunities
Develop a comprehensive public relations and
communications strategy for consumer base and broader
public
Take steps to avoid so-called greenwashing by ensuring that
reported ESG progress and targets are matched by actions
|
M
Value erosion
from failure to
transition
Value preservation
through ESG
Value creation
through
sustainable
transformation
performance
improvement
Value before
organisations
transition
Customer
switching
Increased
regulatory
costs
Value after
ESG review & Proactive
Climate
competitors
transition
remediation
impact
resilience
Value after
ESG
Strategic
realignment
mitigation
measures
improvement
New
products or
service
offerings
Brand value & Value after
multiple
sustainable
transformation
enhancement
transformation
Value opportunities
ESG action is increasingly important
for value preservation. Key drivers
include ESG progress by peers;
changing consumer, employee and
investor expectations; and new
regulations. Targeted ESG
improvement can enable value
preservation: early steps comprise
the identification of value-linked ESG
factors, the review of operations and
value chains for exposure to climate
change, social unrest and poor
corporate governance, and
subsequent risk mitigation. ESG-led
investment and the sustainable
transformation of business models
and existing assets can unlock value
creation. This encompasses an
ESG-aligned vision and mission;
transformation of business models
and revenue streams; and an ESG
strategy for consumers and the
broader public.
PwC
OBG ESG Report
O
OXFORD
BUSINESS
GROUP
Sources: PwC
CO
6View entire presentation