ESG: Lead from where you are

Why am I writing on the topic?

A bit of context setting first. One must have heard of the flight or fight mode of survival. Nothing new but have you ever wondered that one could be operating in both modes at the same time? It appears as such to me whenever I dig deeper into the much talked about subject of ESG. While human beings have been ‘fighting’ our heart (and intelligence) out to conquer lands, our co-habitants (flora and fauna) and even our peers – we suddenly realize now that at a wider level, we were always in ‘flight’ mode when it comes to preserving our very home - our planet. The situation now is such that we need to fight our own doings if we must save ourselves from a definite extinction.

This thought can be really overwhelming, particularly if you are someone like me who is a working-class siloed to a particular profession. However, a recent learning that started from general curiosity (since many are talking about ESG) to getting certified in Principles of ESG and Sustainability for Business from Arizona State University helped me with a paradigm shift when I recognized that even a small action matters (remember how fire was invented and changed the human history forever!). In a nutshell, lead from where you are.

What is ESG in simple terms?

For beginners like me, there is a new set of consumer behaviors and trends that are redefining the market/landscape. There is a market value for sustainability and equity as social issues can impact companies' financial performance tied directly to its operations or products, or indirectly through stakeholder actions. ESG is an approach to evaluating and operating businesses that goes beyond the sole focus of shareholder return.

As I understand it, it’s no longer just a way of doing business. It is the business as we get into the actionable ‘fight’ mode of survival that I spoke about earlier in the write up. Google will give you multiple reliable stats to get the urgency of both ESG for business and more importantly, for sustainability of the only livable planet we currently inhabit. Rather, leave the numbers and be your own judge and feel the air you are breathing today, read the news on socio-political issues around the globe, sense the anxiety in the environment. Let’s be intuitive.

What should I do?

I am thinking out aloud here with the purpose of giving a hint to you as a reader to find your own calling and have a start! I also welcome your actionable ideas if you resonate with what I feel closest to. For me, the birth of my beloved daughter has been a life changing event. While we are raising her to the best of our capabilities, she carries much more value to our lives. She gives us hope, courage and most importantly the sense of simplicity in life that we have all forgotten (I wrote an article Art of being ‘Simply Put’ | LinkedIn years ago as I appreciated that simplicity has the biggest impact on anything one pursues). I am sure most of you as caregivers would resonate with me.

Did you know?

• Children constitute a quarter of our world’s population.

• THE Child Is the Father of The Man. It’s an idiom given to us by the world-famous poet – William Wordsworth. It means that the behavior and activities of a person's childhood go a long way in building his personality.

• UNICEF has built a tool for investors on integrating Children’s Rights into ESG Assessment of a business. It highlights the need to look at child rights beyond just the child labor and encourages organizations to look at their business ecosystem to identify many other possible indicators.

Now let's take an example of apparel industry (You may want to google again on the most polluting industries in the world). Now think of the children population and then the kids’ clothing business. Right from the source of raw material to creation of ‘fashion market' amongst the kids, to manufacturing cheap clothing with non-recyclable plastic in fabric, to marketing campaign compelling kids into peer pressure and unrealistic benchmark, to the work environment that may be non-conducive for parents or guardian and indirectly impacting the environment at home. There are multiple other indicators within an industry if you dig deeper into the United Nations' UNCRC.

This is a tip of the iceberg, but it has helped me recognize the magnanimity of how far we have come and the scope to ‘fight’ if we must protect the current and the future for our children. Personally, and professionally, I think I may have found my areas of focus. I am not going to lay those here yet as it’s immaterial but the picture I chose for the write up should hopefully convey the intent i.e. preserve childhood. I do hope though that this helps you think about the subject and find yours’. Do share with me if you would like to. Afterall we are all in the journey together!