It’s no surprise that Boards of Directors (BoD) and corporate executives – especially of publicly traded companies – are particularly focused on financial performance metrics such as sales, earnings, and cash flow. Capital markets and quarterly or semi-annual shareholder expectations exert constant pressure on the C-suite to deliver sustainably strong performance results.
However, rarely are strong governance and management of Health,
Safety and Environment (HSE) and corporate responsibility risks (i.e.
impact on climate change, human rights, etc.) considered essential to
healthy financial performance during board room discussions, despite
the impact they can have on market capitalization and company
reputation. By framing HSE and corporate responsibility initiatives in
terms of operational risk management, company decision makers will be
in a much better position to drive improved business and corporate