The Rise of ESG: Why Environmental, Social, and Governance Factors are Now Business Critical
By Sharai Mahachi, Kuita COO
The terms Environmental, Social, and Governance (ESG) have rapidly moved from niche investment jargon to a mainstream indicator of a company’s long-term health and resilience. ESG factors encompass a company’s impact on the planet (e.g., carbon emissions, resource use), its relationships with employees, suppliers, customers, and communities (e.g., labor practices, data privacy), and its leadership structure (e.g., board diversity, executive compensation, transparency).
Investors increasingly use ESG performance as a key metric for risk assessment and opportunity identification, recognizing that strong ESG practices correlate with better financial performance and lower volatility. Beyond investment, consumers demand ethical products, employees seek purpose-driven workplaces, and regulators are tightening standards. Ignoring ESG is no longer an option; it’s a strategic blind spot.
Kuita helps organizations demystify ESG, translating global standards into actionable strategies that integrate into core business functions. We guide companies in assessing their ESG footprint, developing impactful policies, and communicating their progress transparently to build trust and long-term value.
