The application of the framework helps business respond the following questions:
This informs a business as to its state of readiness. In particular, whether businesses are ESG compliant and where they are on the road towards best practice.
The Framework includes an ESG Risk Tool which ranks exposure to legal and business risk with a special focus on transitional risk and fiduciary duties.
Companies need to assess whether their governance is fit for purpose from an ESG perspective, including the status of their operational frameworks and legal documents.
It's not just about financial value. Intangible, natural and social value are now key to measuring businesses' performance and long term success.