To achieve societal impact in environmental initiatives we must take into account the three pillars of sustainability: environmental, social and economic. Environmental sustainability consists of the ability to preserve and protect the natural environment through practices and policies, meeting needs without compromising the availability of resources in the future. Social sustainability involves the well-being of people and communities. It’s about promoting equity, human rights, access to education and health care, and decent work. Economic sustainability means that economic activities are conducted in such a way as to preserve and promote long-term economic well-being. It aims for a balance between economic growth, resource efficiency, social equity and financial stability.
It’s important to know also that these pillars of sustainability are closely interconnected; every action taken within each of the spheres has spillover effects on the others. For example, good environmental practices, such as responsible resource management, are essential to maintaining the stability of the economy and the very existence of the food supply chain.
Understanding the social sphere relevance regarding these three pillars is key to aim for societal impact in environmental initiatives. In an equitable and inclusive society, where inequalities are reduced, social cohesion, active citizen participation and the basis for a sustainable and resilient economy are fostered, people’s health and well-being are closely linked to the quality of the environment in which they live.
ESG and societal impact in environmental initiatives
This relates clearly to ESG (Environmental, Social and Governance) criteria. Those are the standards used for assessing the impact and sustainability of a company’s activities. They are divided into three areas: environmental, social and governance. The environmental criterion analyzes ecological impact; the social criterion considers aspects such as working conditions, human rights and the inclusion of people; and the governance criterion evaluates transparency, business ethics and management.
The ‘S’ in ESG stands for Social factors is one of the most relevants. It reffers to how a company manages relationships with its employees, suppliers, customers, and the communities where it operates. In today’s interconnected world, a company’s social impact can have significant implications for its reputation, customer loyalty, and even its bottom line.
For a deep societal impact analysis of environmental initiatives, these factors –specially the social one- provide a framework for assessing the impact of a company’s operations on the world and its sustainability.
