The adoption of environmental, social and governance (ESG) criteria in companies is no longer an option but an urgent necessity. The expectations of investors, consumers and other stakeholders have evolved, demanding greater corporate responsibility and sustainability.
This global trend not only responds to an ethical desire, but also has significant economic and strategic implications, as it allows companies to be more competitive, especially in the context in which we live. According to a McKinsey report (2023), investors are increasingly interested in sustainable companies, with a 15% increase in investment in ESG funds in the last year.
Incorporating ESG criteria also helps mitigate a variety of risks, from regulatory sanctions to reputational damage. Companies that ignore these issues risk facing financial consequences. On the other hand, those that adopt these practices not only avoid them, but also become more competitive with consumers and regulators.
Sustainable Supplier Development Program: Incorporating sustainability in our supply chain.
In this regard, Celepsa's Sustainable Supplier Development Program sought to extend sustainability in the business model of its supply chain. A total of 29 strategic suppliers participated in the implementation of policies on ethics and transparency, anti-corruption, human rights and good labor practices, managing to close gaps with an overall level of compliance with ESG criteria from 15% to 67%.
From this experience, we learned that the most important thing is to motivate suppliers and foster a culture of sustainability. The key is to educate and accompany strategic partners on this path, thus promoting real and lasting change.
Thanks to our focus on sustainability, we were able to control or mitigate labor fines amounting to S/. 53 million. These tangible savings are irrefutable proof that sustainability is not an additional cost, but an investment that translates into direct benefits for the company. In addition, the competitiveness of suppliers increased significantly, allowing them to explore new market opportunities.
In a country with a high rate of informality, integrating ESG criteria is undoubtedly a path to a more prosperous and responsible future. Companies that lead this transformation not only benefit society and the environment, but also strengthen their own business model, ensuring their competitiveness and success in the global market.
