“Regardless of the moral imperative, corporate leaders are recognizing the potential investment, regulatory, and legal risks of doing nothing when it comes to addressing issues like climate change, diversity and inclusion, or corporate transparency.”
There’s no question that investors are increasingly examining companies through the lens of non-financial factors. It stands to reason that businesses without ESG concern do nothing to attract employees wanting to make a positive difference in the world through their work.
The cross-functional nature of DEI poses a unique challenge to reporting ESG information, as different stakeholders will inevitably have conflicting ideas on both where the data should live and its importance. PwC’s study shows that there is still progress to be made when it comes to integrating DEI functions into both internal and external reporting standards.