The Impact of ESG Reporting

Updated: Nov 2



As a studio that works with publicly-listed companies in developing their annual, integrated, and sustainability reports, our purpose has evolved into also informing others about the importance of ESG and how it can create a larger and lasting impact globally.


ESG is viewed as a solution to a turbulent world. The investments toward Environment, Social, and Governance are no longer considered miniscule, but have moved into higher priorities for businesses’ to function long-term.


Its three pillars:


“Environment” considers a company’s performance in caring for the environment. This includes climate change, energy management, greenhouse gas emissions, risks for environmental contamination, materials sourcing, and other indicators for the biosphere that we live in.


“Social” arguably the broadest topic out of the three, includes the relationship of your company towards its people as well as the communities it engages with. This includes their rights, diversity, equity, inclusion, health and safety, labor management, data privacy, and other culture-centric matters.


“Governance” pertains to companies’ internal processes and oversight. This includes management, risks, opportunities, data gathering, decision making, communication, executive compensation, diversity of leadership, tax transparency, anti-corruption and other accountability measures within the company.


But what exactly is ESG reporting?


“CSR” or Corporate Social Responsibility has been a more commonly used term for businesses’ ethical and environmental efforts - but ESG makes such efforts measurable. By providing clear frameworks for measuring success, ESG determines the level of commitment thus creating accountability and a stronger resolve. For example, one such business might commit to reducing their carbon footprint by 25% by a specified year, and donating a certain amount to a charitable cause. This ensures that they would indeed follow through on this commitment because of its specificity. This also encourages companies with a larger impact to have more ambitious goals because of their capacity to make a greater shift in the right direction.


Before, investors only looked at ESG from a risk assessment perspective, now dealmakers are considering ESG as due diligence, and eyeing its potential value for the future. The demand for transparency and accountability has grown stronger. Companies are now gearing towards balancing purpose with profit. As Ampersand Design Think Lab, with our expertise in design and communications, we are proud to be a part of this growing movement together.