Companies that adopt the ESG are gaining prominence in a world that is changing. This is because businesses need to follow the search for a fairer society and preservation of the environment.
But what is ESG in companies? Behind the acronym are concrete initiatives for environmental Protection and the reduction of social inequalities. This means that companies seek to act ethically to achieve their objectives and carry out their strategies.
The acronym ESG refers, in English, to Environmental, Social and Governance, or, translated into Portuguese, environment, social and governance. These are the three pillars of this orientation.
Thus, the term emerged in 2005, in a report carried out by financial institutions at the invitation of the UN (United Nations) entitled “Who cares wins” (Whoever cares wins, in free translation).
What does ESG mean in companies
ESG in companies, then, is not only aimed at financial results: they must be obtained through good socio-environmental responsibility and governance practices.
In this way, in relation to the environment, examples of ESG in companies are the decrease in pollutant emission in operations, the rational use of inputs such as water and energy and the adequate and sustainable allocation of waste.
With regard to the “S” in the acronym, the profile of companies focused on ESG provides guidelines such as diversity ethnic, cultural, racial and gender in the workforce and support and financing for social projects.
In turn, the governance axis covers aspects linked to the transparency of fiscal data and tax policies. combat corruption and corporate confrontation of prejudices such as racism, sexism and ageism.
ESG Brazil companies: discover the main ones on the market
One of the advantages of ESG in companies is the good reputation they gain among consumers and investors, among others. stakeholders. This term that defines the individuals and organizations impacted by a company.
The financial market itself created indices to measure companies' performance in relation to ESG principles. B3, the Brazilian stock exchange based in São Paulo, established indexes to guide those who want to invest in corporations aligned with good socio-environmental and governance practices.
Merco (Corporate Reputation Business Monitor) released in May its ranking of the 100 companies that stand out most in ESG in Brazil. Natura, Grupo Boticário, Ambev, Magazine Luiza and Avon top the list.
Is iFood one of the ESG companies in Brazil?
Yes: in 2021, the iFood became the first Brazilian technology company specializing in delivery to sign the UN Global Compact (United Nations), the largest corporate initiative for sustainable development in the world.
Furthermore, the company has public commitments in both the social and environmental fields. Until 2023, iFood's goals are have 50% of women in leadership and 35% in senior leadership, 30% of black people in leadership and 40% of black people on staff.
In the environmental field, the iFood Regenera mission is to reduce the impact of delivery operations on the environment by meeting two goals by 2025.
- eliminate plastic pollution caused by delivery
- have at least 50% of non-polluting modes to make deliveries.
Tips on how to identify ESG companies
Firstly, there are many information pathways to identify ESG in companies.
The companies themselves publish annual socio-environmental responsibility reports and sustainability. These documents are standardized by the GRI (Global Reporting Initiative) model and present information on the impacts caused by the company's entire production chain.
Indexes and certifications also signal companies' commitment to social, environmental and governance causes. B3's Corporate Sustainability Index (ISE) is one of them.
Among the certifications, one of the most respected is System B, a seal of approval from the American laboratory B-Lab, a non-profit organization that audits companies in relation to practices with the environment, employees, customers and the community, as well as corporate governance procedures.
iFood ESG practices to know
iFood has the purpose of feeding the future of the world. Thus, the company has acted on fronts such as food security, inclusion, environment It is education.
One of its objectives is train and employ 25 thousand people low-income families in technology by 2025.
Another of its goals is to become a carbon neutral company by 2025. To achieve this result, it created the program iFood Regenerates.
And, speaking of governance, in 2022 iFood published its first ESG report, which highlights the main advances in the company's public commitments in education, environment and inclusion. And this document is available to the public in PDF, in the versions complete It is summarized.
