As our world faces mounting challenges that impact society on a global scale, the role that organizations play in crafting the world of tomorrow can't be overlooked. We increasingly expect companies to reflect strong sustainable values. Such efforts can both improve a company's global impact, and potentially better position an organization both as a brand and an investment.
Sustainable practices are an investment in a better future for all of us. These “ESG” efforts are a chance to cultivate a strong attitude of mutual goals and shared benefit in your organization. One of those initiatives involves educating your wider team about how they can help create a healthier company and world. LRN’s new ESG course—now available to demo—is designed to get people thinking critically about ESG and how to build more sustainable practices within your organization.
What does ESG stand for?
Environmental, social, and governance (ESG) refers to the three central factors in measuring the sustainability and societal impact of an investment in a company or business. ESG policies show a commitment to the long-term good of our culture and society—but also aren't just altruistic values.
- ESG is often a sign of financial prosperity. While a company's ESG initiatives and financial performance aren't always directly tied to each other, sound ESG policies often indicate that an organization is sustainable for the long run—making it a more attractive investment. As a result of the enhanced reliability of companies that perform highly in ESG, roughly one-third ($17.1 trillion) of the managed investments in the US were specifically managed with ESG and sustainability in mind.
- ESG can also protect from financial downturn. While high performance in ESG may indicate that a company can grow over time and is has its policies in tune with what's important to the culture, it also could potentially insulate it from a financial downturn. A 2021 study published for the National Institute of Health found that companies with high ESG performance were much less likely to suffer significant losses and financial hardships during the Covid-19 Pandemic.
- ESG investing is estimated to grow exponentially. Indicators that the ESG ecosystem of a company can potentially signal stronger financial performance over time have more capital flocking to sustainable companies through vehicles like ETFs. iShares America head, Armando Senra, even estimated to CNBC that investments specifically in companies with high-performing ESG culture are expected to reach $1 trillion by 2030.
Introducing "ESG: An Overview"
ESG initiatives enable organizations to measure, assess, and improve upon key factors to effectively support their mission and reflect their values. Your leadership might have a deep understanding of the value of ESG initiatives, but the real success of any efforts you take hinges on the participation, education, and enthusiasm of your staff. This short, foundational course introduces ESG to employees, how their everyday decisions and actions can make a big difference. The course also gives guidance to managers on how to inspire their teams to be ESG advocates and live the company's values.
The first step towards a culture that values sustainability is to show people how your organization affects society and what you can all do to improve that impact together. Building a company-wide passion for ESG initiatives creates a stronger culture with socially beneficial goals that each member of your team can get behind.
ESG: An Overview gives leaders and employees an introduction to key ESG concepts and explains how they can make a difference in their own organization's ESG impact. The course delivers tailored content to managers and individual contributors at your company that's specifically optimized for their role. This course lasts 13 minutes and fits in well with a wider culture-building curriculum in your core training materials.
Learners will dive into the following questions throughout the course:
- What is "ESG" and why is it important?
- What are the key principles of ESG?
- What does it mean to support company ESG initiatives as a manager or employee?
Custom assets to further support the learner journey include:
- Field guides
- Interactive infographics
- Campaign emails
Course objectives and learning outcomes
ESG metrics can be a strong indicator of the future performance of a company, but implementing actual change in these areas requires full support from staff. This course is designed to help people:
- Understand why ESG policies and initiatives are important.
- Learn their roles in supporting company ESG initiatives.
Crafting a culture of ESG is key to getting each individual within your organization to understand why these policies and initiatives matter to living the company's values and achieving its mission.
The key takeaway: Sustainability through education
Improving your organization's ESG footprint is about building a more sustainable tomorrow for all of us. This not only increases the reliability of your organization's financial future, but also crafts an engaging culture in which your employees can be proud of the impact their efforts have on society. After completing ESG: An Overview, learners will have a foundational understanding about the part they play in the ESG footprint of your company, and how you can all work together to ensure that sustainable practices create a more positive impact and a better tomorrow.
The actions that we take today determine the world that we craft for tomorrow. At LRN, we believe that sustainable practices and ESG initiatives are key tools to ensure that your organization's legacy is bold steps towards a better future. You can preview our course to learn more about ESG education and our approach to cultivating a culture of sustainability.