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Showing posts from April, 2022

ESG: From Business Necessity to a Business Barometer

In today’s world, the dynamics of everything around us, right from our ideologies and socio-political systems, to weather patterns, melting ice caps and rising sea level, rapid advancement in technology are evolving at a lightning speed. This has also translated into the rising global socio-political instability and the way businesses respond to the same. Considering how these transformations are forcing us to respond, ESG (Environmental Social and Governance) investment has become imperative. It is essential for businesses to focus on ESG for a sustainable future and long-term impact. ESG has gained popularity in recent years, and this has enabled investors to assess the organisations they are investing in even further. These assessments are based on the present risks that these companies face and take future opportunities into consideration. Businesses simply cannot ignore ESG, and it blends perfectly with the increased environmental and social awareness, be it climate change, societ...

Building Responsible Supply Chain

Supply chains are highly diverse and crucial to the success of businesses as a source of value creation and innovation. Socially responsible supply chains seek to combine both financial return and social good that creates the need for investors to make strategic decisions beyond financial logic and accept responsibility to protect human rights and the environment through all phases of their value chain, including manufacturing and outsourcing. The COVID pandemic has imitated the risks that are associated with diverse and complex supply chains. According to Dun & Bradstreet report, 938 of the Fortune 1000 companies have a tier 1 or tier 2 suppliers so it did not come as a shock that as the pandemic crisis deepened and nations begun instituting lockdowns, supply chains started experiencing a systemic demand shock that stemmed from weaknesses in their sourcing strategies. The pandemic has tested companies on their operations and highlighted the importance of formulating an action plan...

Sustainability Means Business

 Investigating how sustainability directly impacts financial performance Most decisions in business are directly or indirectly linked to the finances of the company. While many lines of business and business practices can easily be linked to the revenues and the bottom line, sustainability is a function that has a powerful effect on the long-term success of the business, but the benefits are not apparent in the short term. A substantial body of research from academic institutions like the University of Oxford and financial institutions like Deutsche Bank confirms that ESG factors are correlated with superior risk-adjusted returns and better operational & stock performance. ESG considerations in investment valuations and assessments can be linked to the building of sustainable competitive advantage and a positive societal impact. ESG risks are broad-based and cover major aspects of business operations. They include risks related to climate change, environmental management pract...

Addressing Supply Chain Risks Through the ESG Lens in a Post COVID Era

 The COVID -19 pandemic has brought to the fore, a host of unprecedented ambiguities for societies and businesses at large. The last few months of social isolation and quarantine have impacted not just people’s well-being and health, but also industries and overall world economy. The global economy has come crashing down tremendously, giving us a bitter reminder of the 2009 recession, and that’s not all. The worldwide lockdown affected the global supply chain operations in particular and executives are confronted by serious business risks never seen before. The impact of the pandemic has only served to add on to pre-existing economic inefficiencies, and further deferred specialized production and inventories. How do we then mitigate these risks effectively? With this thought in mind, we at Treeni Sustainability Solutions conducted a webinar recently on the topic ‘Addressing Supply Chain Risks through the ESG lens in a Post COVID Era’, with an elite panel of speakers comprising of ...

Curious Case of Supply Chain Sustainability: How and Why?

In today’s world, organisations cannot thrive solely based on product offerings and bottom lines. We’ve moved into a space where a holistic approach towards the community and environment plays a very important role in building and maintaining a brand’s reputation. Sustainability is catching up within individual communities and is quickly shaping up to be an important target sector for businesses and government as well. While organisations continue to focus on major social and environmental causes as a part of their brand culture, the focus needs to be streamlined even further. According to McKinsey, more than 1.8 billion people are expected to join the global consuming class by 2024, a 75% rise compared to 2010 reports. Contributing to this growth is rising disposable incomes and increasing budgets towards consumer goods. With growing concerns over environmental issues, consumers are demanding more from organisations to act with more sustainable practices, adding pressure on their supp...