Best Practices in ESG: Internal Management of Public Company ESG Programs

February.10.2022

Best Practices in ESG: Internal Management of Public Company ESG ProgramsFrom the growing risks of climate change to a greater focus on DEI and worker health and safety, several shifting dynamics are compelling companies to reorganize their environmental, social and governance (ESG) efforts. However, internal systems and processes vary widely.

To provide greater clarity around best practices and effective governance in this area, we studied ESG internal management practices at 19 public companies headquartered in the United States and identified five key ESG management best practices, including effective oversight by the Board, clear executive ownership, dedicated ESG functions, more rigorous practices for ESG data collection and reporting, and setting achievable goals.