Part A: Environmental, Social and Governance [ESG] performance: A critical analysis

Contemporary organisations strive to meet the objectives that the UN has set in 2015 - namely, the 17 Sustainable Development Goals (SDG). In recent years, the EU has mobilised more than 1 billion for the Green Deal (EU Commission, 2020), and the UN initiative alone more than $100 million (UN Joint SDG Fund, 2021).

In the past two years, global corporations have responded with $50 billion in 2020 and more than $100 billion in socially-responsible investments (Visram, 2021). In this landscape, Environmental, Social, and Governance (ESG) criteria play a fundamental role. Furthermore, the Corporate Sustainability Reporting Directive (CRSD, Dir. 2021/0104), a game-changing initiative launched by the EU was finalised in April 2021. By coming into force in 2023, the Law will require companies to disclose further ESG-oriented, more detailed information through reporting. This proves once more the reality of multi-level governance by now in the sustainability realm.

You and your team are senior project managers in MESS4GE a consultancy firm that aims to build the analytical and reporting competencies of businesses in Europe. The objective of MESS4GE is to increase the capabilities of business consultants and SMEs to prepare and deliver insightful reports on organisations ESG performances. Your team is tasked to lead this initiative.

The goal of your project is to create a framework for the reporting of Environmental, Social and Governance [ESG] performance in European SMEs. The development of a new framework for reporting ESG performance will increase the pool of information from which organisations can make informed decisions and promote sustainability. This new knowledge can be to generate an improved monitoring system as well as more conscious policies and initiatives at all levels for the protection of the environment.

In order to do this, you must first prepare a critical analysis of the following

(i) Identify ESG trends in the workplace and the drivers and need for ESG reporting

(ii) Analyse established frameworks or schemes for reporting ESG performances available in the market (GRI etc.)

(iii) Discuss the necessary skills needed by project managers to report ESG performance