Financial Aspects of Sustainability

Duration: 3 Days

Overview

All businesses are under pressure to demonstrate their responsibility and commitment to Environmental, Social and Governance (ESG) initiatives. This is especially crucial in businesses involved in manufacturing products.

 

Equally, Shareholders are becoming more conscious and active about how their investments are used in the business. Indeed, many are demanding greater accountability, transparency and practical solutions from the executives.

 

However, ESG initiatives affect and consume financial resources of the business. This course is designed to provide an insight into the various financial factors executives management need to consider as they develop their ESG strategies and policies

Outline

Revision of Corporate Purpose

  • Current trends in financial and corporate governance

  • Shift in perception of corporate purpose

  • Profit motive no more the sole driver

  • Environment, Social & Governance (ESG) factors

  • Regulatory and political changes

  • Reputational and brand factors

Impact of Financial Costs on Society

  • What measures are missing in the cost of production?

  • Understanding the transference of environmental costs to society

  • Developing an awareness within the company

  • Long term effects of operational decisions and choices

Operational Considerations

  • Lifecycle costs management

  • Adjusting unit costs for recyclability and circular economy

  • Utility and feedstock usage

  • Cost comparisons: renewables, recyclables and circularity

  • Types of costs relevant to sustainability accounting

  • Supply chain considerations

  • What financial data to gather and how?

  • Tax issues: Carbon, Landfill, Rebates, Tradeable Permits, Renewable energy Schemes etc.

Investment in Sustainability Initiatives

  • What costs and benefits to consider?

  • Deriving the financial information/data

  • Tangible & Non-tangible costs

  • Tangible and non-tangible benefits

  • Measuring ROI – tools and techniques

  • Insight into Socially Responsible Investment (SRI)

Monitoring & Reporting

  • Reporting trends and best practices

  • Regulatory and voluntary reporting factors

  • ISAE 3000

  • Internal and external reporting

  • Voluntary codes of disclosure and compliance

  • Relevant Financial Measures and Metrics

  • Operational and Financial Reports and the inter-relationship