Governance - the governance factor

🔰This time in «ESG Monday» we will look at the final component of the ESG concept, Governance - the governance factor. 

🔸Certainly, each area plays an important role in creating a more sustainable and responsible business practice, but it is often with building competent governance in the company that the environmental and social approach in the company can be transformed. 

The key aspects of management factors in the ESG concept are:
Management Ethics. Within any company, the art of management has an important place. The art and success of business communication is largely determined by those ethical norms and principles, which the manager uses in relation to his subordinates.
Transparency. Companies must provide shareholders and the public with clear information about their operations and business model. This includes information on financial results, risks and opportunities.
Accountability to shareholders. Making sure that management acts in the best interest of shareholders and does not violate their rights is important. 
Risk management policy. A business should have an effective risk management policy to help minimize potential losses. This includes policies to protect information and privacy, as well as policies to manage risks in the areas of energy efficiency and resource conservation.

🔹Overall, the management factors in the ESG concept are important indicators for investors looking for sustainable and responsible companies to invest in. Companies that pay attention to management factors can expect more investor interest and greater long-term sustainability of their business.