ESG - environment, social and governance factors - will become more important for companies in 2022, regardless of the size. Being future ready will mean not just a complex business plan, but also an ESG plan.

Here are some of the 2022 ESG Trends you should look for:

ESG Investment Trends

The “S” of ESG will become more important as an investment criterion, as will issues like biodiversity and carbon offsetting.

And consumers and stakeholders will shine ever-brighter lights on issues of provenance and sustainable supply chains — making organizations that demonstrate and invest in sustainable, ethical approaches more attractive investments themselves.

ESG Disclosure

The law firm Hogan Lovells predicted that “2021 will be the year global financial regulators and voluntary standard frameworks converge around concrete measures to improve [ESG] data quality and coverage.”

This has played out and looks set to continue into 2022 as disclosures become more standardized.

AI and ESG

As a business trying to optimize your own ESG strategy, AI, automation, and technology are invaluable in enabling you to gather and analyze robust, accurate ESG data across all your ESG-related measures and controls.

The S in ESG is becoming more and more important

Schroders’ 2021 Global Investor Study found that more than 57% of investors globally said that social issues had become more important to them during the pandemic. The S in ESG can mean pay equity, diversity and inclusion programs or reverse mentoring, but also community projects or supply chain sustainability,