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Podcast Episode 82 ICGI Series 04-02
Empowering Auditors – ESG Audit FEC Report – Society Assurances
Audio
ICGI 04 – 02 ESG Audit – Society Assurance.mp3
Video Rumble:
Podcast Episode 82 ICGI Series 04-02
Empowering Auditors – ESG Audit FEC Report – Society Assurances
Empowering Auditors – ICGI 04-02 – ESG Audit
FEC Report – Society Assurances
SOS [Subject – Object – Self] Governance Standards
In ICGI Series 4-01 I focused on Empowering Auditors with the emphasis on FEC Report of Auditors – Self Governance. In fact it is Auditing of Auditors.
In ICGI Series 4-02 ESG Audit – I am focusing on Empowering Auditors with the emphasis on FEC Report of Investee Companies’ ESG Audit. It is indeed Society Assurance.
*Equipping Boards with the Right Data
Effective oversight of ESG will depend on whether today’s boards have the right information at their fingertips. In a research report by Forrester and Diligent, governance professionals indicated that ”’visibility into sustainability and ESG issues”’ was their greatest dissatisfaction.
Summary of my presentation:
1. I advocate for a “SOS Governance Standards” approach to integrate ESG (Environmental, Social, Governance) factors and provide a common rating system that is easily understandable, for all the 9 Social, 4 Environmental and 4 Economic Sustainable Development Goals of 17 SDGs, as well as how to integrate, for societal good.
2. SOS Governance Standards propose moving from “object governance” to “subject – object – self governance” (SOS), where companies establish their own performance standards and auditors provide third-party assurance.
3. I emphasize the need for a dynamic database to track CO2 emissions and climate-related commitments, with a focus on area-wise analysis rather than just per capita or country-wide metrics.
4. SOS Governance Standards suggest dividing large workforce into small teams, with one member focused on ethical responsibility to improve accountability and track performance.
5. I argue that companies need to move from accounting to accountability, setting specific targets (like 15% CAGR) to contribute to national goals such as “Viksit Bharat 2047”or reduce carbon intensity by 47% by FY 2033- 34.
My recommendation to Corporate India – DIY.
Employ Internal Governance Consultants and prepare an FEC Report for all the 296 Process Blocks of Qualitative Elements for your company that include ESG Parameters also.
If you can afford an Accounts Department you can as well afford a Governance Dept., can’t you?
Common ESG rating agencies & firms*
At present, more than 600 agencies issue ESG scores. Some of the most common are:
* Bloomberg ESG Data Services #bloomberg
* Corporate Knights Global 100 #corporateknights
* Sustainalytics ESG Risk Ratings #sustainalytics
* Dow Jones Sustainability Index Family #spglobal
* Thomson Reuters ESG Scores #researchgate
* RepRisk #reprisk
* #esg #esgaudit
[*diligent.com]
* #esg, #esgaudit, #reprisk, #researchgate, #spglobal, #sustainalytics, #corporateknights, #bloomberg
Follow me on LinkedIn: https://www.linkedin.com/mynetwork/discovery-see-all/?usecase=PEOPLE_FOLLOWS&followMember=jayaraman-iyer-6027b71
Subscribe to my Podcasts:
Apple Channel https://apple.co/36HUfzH
Apple Connect: https://podcasts.apple.com/us/podcast/cream-technology/id1574092368
Spotify: https://spoti.fi/3qzEAM1
Stitcher: https://lnkd.in/eAUS9-E
Google Play: https://bit.ly/3vZ6ulT
Reason: https://reason.fm/podcast/cream-ratings