ESG
Environmental, Social, and Governance (ESG) is a framework used to evaluate a company's performance and risk exposure across three dimensions: environmental impact (climate, pollution, resource use), social responsibility (labor practices, diversity, community relations), and governance quality (board structure, executive pay, transparency). Boards are increasingly responsible for overseeing ESG strategy, as investors, regulators, and stakeholders demand greater accountability on sustainability and ethical business practices.
Related Terms
The system of rules, practices, and processes by which a company is directed and controlled, encompassing the relationsh...
The practice of composing a board of directors with members who bring varied backgrounds, perspectives, and experiences,...
A structured assessment process used to measure the effectiveness of a board of directors, its committees, and individua...
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