Diese Präsentation wurde erfolgreich gemeldet.
Die SlideShare-Präsentation wird heruntergeladen. ×

BA VALUE FOR AN ESG FRAMEWORK FOR A SUSTAINABLE BUSINESS MODEL IIBA

Anzeige
Anzeige
Anzeige
Anzeige
Anzeige
Anzeige
Anzeige
Anzeige
Anzeige
Anzeige
Anzeige
Anzeige
Wird geladen in …3
×

Hier ansehen

1 von 16 Anzeige

BA VALUE FOR AN ESG FRAMEWORK FOR A SUSTAINABLE BUSINESS MODEL IIBA

James Barnes discusses the BA capability in the Environment/Society/ Governance Framework world (ESG). Learn something new while also sharing your ideas and networking with like-minded people.

Stakeholder Engagement:

Strategic Alignment
BU Functional Analysis
Measurement

James Barnes discusses the BA capability in the Environment/Society/ Governance Framework world (ESG). Learn something new while also sharing your ideas and networking with like-minded people.

Stakeholder Engagement:

Strategic Alignment
BU Functional Analysis
Measurement

Anzeige
Anzeige

Weitere Verwandte Inhalte

Weitere von AustraliaChapterIIBA (16)

Aktuellste (20)

Anzeige

BA VALUE FOR AN ESG FRAMEWORK FOR A SUSTAINABLE BUSINESS MODEL IIBA

  1. 1. IIBA Presentation NOV 24TH 2022 THE BA & ESG James Barnes 1 SmartBA - Copyright Reserved 2022
  2. 2. Today – What are we covering? We will be covering: THE Central Stakeholder – The Business & its ESG Relevance The Business Reporting Now & ESG Future Context & The Drivers of Change for ESG What is ESG & What Can a Business Do? The BA & ESG Strategic Alignment Fundamentals of Stakeholder Engagement The Stakeholders in ESG ESG Background & Benefits The ESG Journey Steps The Questions we ask along the way & Finish with Questions 2 SmartBA - Copyright Reserved 2022 By the End of this Session, you hopefully will walk away with the following: •The strategic alignment of a BA and the stakeholder mix for Implementation of an ESG Framework •You will understand ESG Principles and its Objectives •Where you can fit in – what can you Do?
  3. 3. My Favourite Quote . “Business Purpose Revisited” SmartBA - Copyright Reserved 2022 3 “The purpose of business is to produce profitable solutions to solve the problems of people and planet, and in the process produce profits“ Professor Colin Mayer, CBE University of Oxford
  4. 4. Our Central Stakeholder (s) – The Business • Take a larger view of your stakeholder. The business itself – its about Financial Impacts always • Keep this in mind as you perform your BA Activities • Each Project we do – is or should be a consequence of a decision made to further the business & meet its strategic objectives. • These decisions come from the Board & Executive - Governance • Society or shall we say Communities both Internal & External – Employees / Supply Chains & Customers • No Business Stands alone – it has multiple internal & external Stakeholders • The Environment is another one – supplying natural resources such as Oil/Plastics – Energy Supplies and other Raw Materials. SmartBA - Copyright Reserved 2022 4
  5. 5. The Business Analyst – The Business as a Stakeholder 5 Current State Transformation to Sustainability ESG Environment Society Governance P & L Costs & Revenue Balance Sheet Equity & Capital Funding Branding (Intangibles) Environment Society Governance Circular Economy Environment Society Reporting on Stakeholder Engagement and Utility Strategic Change Analysis Roadmap Outcomes Metrics SmartBA - Copyright Reserved 2022 The Organisation Reporting OPERATIONS Inputs / Conversion/ Outputs $PROFIT Governance Ensures things GET DONE Renew Recycle Repurpose Share
  6. 6. Context & The Drivers of Change • Climate Change is happening – No Doubts There!!! • COP27 has just wrapped Up– annual global meeting to address the problems coming up. • Litigation is on the rise – duties, disclosure and what are they doing about it (Disclosure) • Regions all over the world, especially Asia and the European Union, have been busy putting in place laws and regulations to tighten up ESG requirements for corporations. • Private equity firms and hedge funds are under growing pressure to set ESG policies and integrate sustainability factors into their investment portfolios, according to a new study released by global professional services firm EY. • Regulators globally have been ramping up efforts to tackle greenwashing risks, including the EU’s own Sustainable Finance Disclosure Regulation (SFDR) framework, • ESG is becoming a part of the SFDR Framework • Australia’s climate policy is all talk and no trousers - It relies too much on future technology and not enough on present action – The Economist • However, NSW & Vic Governments are mandating that suppliers adopt Circular Economics into their operations • Sydney University is Holding a Circular Economy Conference this week • Last week President Biden of USA announced that all Federal Government Suppliers are to disclose emissions and set Climate Reduction Targets • Switzerland adopts law requiring mandatory climate reporting for public companies, banks. 6 SmartBA - Copyright Reserved 2022
  7. 7. Fundamentals of Stakeholder Engagement in ESG Space • Value to business in asking the questions the stakeholder doesn’t know what they know – we do that as BA’s • Sensitive to their emotions – you are bringing change • We can see the Big Picture with an eye for acute Details • Stakeholders priorities change – be mindful. • In addition, during due diligence materiality , you should be sure that any third party you work with, the supply chain and all other stakeholders involved are also as green as they claim & note this in stakeholder analysis • We influence through steady analysis amongst emotions – we are trusted Advisers • ESG is a changing framework adapting to trends and Legislation – stakeholders wont always know the current or future situation • Identify risks as part of requirements • We blend emotional intelligence with objective details gathering • We are in a position of objectivity – we are not tied to the answer – mgt is • Every organisation has a myriad of stakeholders that influence the way it operates. When it comes to environmental, social and governance (ESG) efforts, it’s important to optimise stakeholder engagement throughout the process to identify high-priority and high-impact areas to focus on. 7 SmartBA - Copyright Reserved 2022
  8. 8. So What is ESG & What Can a Business Do? • An ESG report or Sustainability report is a report published by a company or organization about environmental, social and governance (ESG) impacts. • It enables the company to be more proactive and make changes to its functions not just for the pursuit of profit but also other stakeholders. • It is a communication tool that plays an important role in convincing sceptical observers that the company's actions are sincere and address wider stakeholder communities that are external to an Organisations Operation – eg Supply Chain and Communities • ESG is ultimately about replacing limiting frameworks with one which improves decision making and encourages moving down a path towards low-impact circular operations and mitigation • The ESG risks are stated to cause material, financial and reputational harm to a business. Failing to report and manage ESG-related issues is risky business • Improves the Financial Performance: • Many customers prefer to shop with ethical businesses and do not mind paying a premium to do so • Showing a proactive approach to sustainability issues and achieving greater transparency about the results is essential for building a stronger corporate brand. • Strong ESG policies can help when tendering for projects, which can encourage more businesses to follow ESG best practices • There is a direct link between enabling ESG roadmap tasks and Financial Outcomes SmartBA - Copyright Reserved 2021 8 Going forward – it’s about: Managing Risk Being responsible to others Building your business in a different way – not just Profit Creating a new Operating Framework and Reporting Mechanism
  9. 9. The BA Stakeholder Thinking View of ESG Environment • Suppliers • Supply Chain - (Receive & Deliver) • Energy Suppliers • Resource Usage / Utilities • This includes corporate climate policies, energy use, waste, pollution, natural resource conservation, and the treatment of animals. The environment category addresses the environmental risks a company might face. 9 SmartBA - Copyright Reserved 2022 Social • Employees • Local Community • National & Global Communities • Virtual Community • Diversity Community • Customers & Clients • We live in a global economy. No company is an island • Encourages diversity, compensation , Supply Chain Human Resources • Social criteria look at a company’s relationships with stakeholders, which include employees, consumers, and investors. This can consider philanthropic donations and working conditions for employees. Governance • The Board • The Executive • Shareholders • Regulators & Industry Groups • Financers • Refers to how a company is managed, and how well the executive management and board of directors attend to the interests of the company’s various stakeholders – employees, suppliers, shareholders, and customers. This includes transparent and full financial reports, plus ethical and legal management. • Enables an Organisation to ensure actions are taken and can be measured for Success against Targets
  10. 10. The BA Journey on an ESG Transition SmartBA - Copyright Reserved 2022 10 Step 1 Step 2 • Confirm Strategic Objectives & Question their alignment to Sustainability • Identify Stakeholders • Decide the Data required • Decide the Metrics to be Measured • Engage Stakeholders • Conduct a Materiality Assessment and ask Questions of Stakeholder groups • Complete Checklists & Surveys
  11. 11. Types of Questions of Stakeholders Environment • Environmental Management • Does the company have and adhere to an environmental policy which sets out clear commitments and targets to improve the company’s environmental footprint • Climate Change • Does the company regularly monitor GHG emissions (inclusive of non directly generated e.g. outsourced production & logistics, raw materials from suppliers, etc.)? • Air Pollution / Hazardous & Toxic Material Management/ Regulatory Compliance • Is the company fully compliant with all relevant environmental permits/licenses/consents • Waste Management / Pollution Prevention & Cleaner Production 11 SmartBA - Copyright Reserved 2022 Society • Worker Health & Safety • Does the company have policies in place to ensure the health and safety of consumers? • What processes support these policies • Regulatory compliance – Social • Has the company had any serious social- related complaints, claims, enforcement actions associated with employees or key stakeholders -customers or suppliers in the last three years . If so what risk mitigation process is in place • Community Involvement • Does the company provide community investments, sponsorships, or product donations? • Human Rights & Labour Practices Governance • Board Structure, Independence & Accountability • Does the company have a diverse board and a policy for ensuring diversity of board members? • What framework of Outcome measurement and resolution do they employ • Ethics & Codes of Conduct • Does the company have and abide by a code of ethics/conduct or values statement to guide company conduct with honestly and integrity? • Supply Chain Management • Does the company work with and select suppliers that hold the same values as it claims to hold? Is ESG a selection criteria • Data Privacy, Security & Management • ESG Management Practices & Processes Overriding Prism of Focus: - How do all of the Below align to their Corporate Strategy?
  12. 12. The BA Journey SmartBA - Copyright Reserved 2022 12 Step 1 Step 2 Step 3 Step 4 Step 5 • Confirm Strategic Objectives & Question their alignment to Sustainability • Identify Stakeholders • Decide the Data required • Decide the Metrics to be Measured • Engage Stakeholders • Conduct a Materiality Assessment and ask Questions of Stakeholder groups • Complete Checklists & Surveys • Produce a Report – Current State Assessment of Metrics & Opportunities for Digitisation • Develop a Roadmap for Change • Implement Roadmap Actions • Utilise BA Techniques • To Be State • Processes • System and Org Changes • UAT • Measure Outcomes • Implement Continuous Improvement • Revise Roadmap • Revisit processes
  13. 13. Wrap UP – The BA • Reviewed at a Strategic Level with different types of Stakeholder Groups and focus • Conducted Surveys • Conducted Workshops • Documented a Roadmap • Conducted a Stakeholder Analysis • Provided counsel on options and recommendations on way forward • Identified opportunities for Digitisation and Process Changes SmartBA - Copyright Reserved 2021 13
  14. 14. Q & A SmartBA - Copyright Reserved 2022 14
  15. 15. MENTIMETER Link • https://www.menti.com/alc319zhjx27 15
  16. 16. Contact James Barnes CPA FGIA – Founder of SmartBA Ph: 04222 80404 jamesbarnes@smartba.com.au www.Smartba.com.au SmartBA - Copyright Reserved 2022 16

×