ESG: Communication and Strategy for Corporate Sustainability

Over the last decade, Environmental, Social, and Governance (ESG) considerations have become increasingly important to corporations around the world.  It is part of the reporting and profile of a company.  During this time, public relations (PR) professionals started to play a crucial role in the development of communication with customers and financial stakeholders.

As companies strive to demonstrate their commitment to sustainability and social responsibility, PR practitioners help companies develop strategies to navigate the complex landscape of ESG communication that build trust and drive meaningful change without greenwashing.

The Evolution of ESG in Corporate Communication

An effort that started as a movement called Corporate Social Responsibility (CSR) has evolved to encompass the issue of sustainability. With this shift, ESG has moved to the forefront of corporate communication efforts.  Working with PR and communications professionals, companies need to articulating not only their ESG initiatives, but also report on the performance of those efforts.

ESG has become a critical component of corporate strategy and communication, presenting both challenges and opportunities for public relations professionals. By embracing authenticity, leveraging data-driven storytelling, and fostering collaboration across functions, PR practitioners can play a pivotal role in shaping their organizations’ ESG narratives and driving meaningful change.

As the ESG landscape continues to evolve, PR professionals must continue to adapt and provide ever-evolving strategies for effective communications. Those who can navigate the complexities of ESG communication will be well-positioned to enhance their organizations’ reputations, build stakeholder trust, and contribute to a more sustainable and responsible business environment.

The Role of Public Relations in ESG Communication

PR professionals are uniquely positioned to drive ESG communication efforts due to their expertise in stakeholder engagement, crisis management, reputation management, and strategic messaging.

The key areas of focus are:

• Strategic Communication Planning
• Stakeholder Engagement
• Transparency and Reporting
• Crisis Management
• Thought Leadership
• Measuring Impact

We have gathered insights from our partner around the globe on these topics.

Strategic Communication Planning

Working with companies, PR partners work to develop comprehensive communication plans to align with and communicate about an organization’s ESG goals and initiatives. This process involves creating roadmaps to not only demonstrate intention but also show tangible actions to reach these ESG goals.

• 2024 ESG Trends and the Implications for Communicators
• Three Best Practices For Effective ESG Communications
• LF Channel Sustainability Strategy: Our Promise to the Planet and Its People
• Nachhaltigkeitsreporting kompakt: Was es mit der CSRD auf sich hat (Sustainability Reporting Compact: What the CSRD is all about)
• Why knowing your ESG maturity is more important than ever

Stakeholder Engagement

For many companies, they are talking to a wide range of diverse audiences including investors, customers, local communities and regulators. Part of the task of ESG communications is to facilitate open dialogues and build relationships with these groups to foster trust and support for the company’s ESG efforts.

• 3 Insights for Positive Stakeholder Engagement
• 5 Strategies for Effective Stakeholder Management
• Akzeptanzkommunikation und Stakeholder-Management: So gelingt die Ansiedlung von Rechenzentren (Acceptance communication and stakeholder management: How to successfully establish data centers)
• How to Differentiate Stakeholders vs Audiences

Transparency and Reporting

As ESG reporting becomes increasingly mandatory and standardized, it is crucial for companies to ensure transparent and accurate disclosure of ESG performance. This includes collaborating with other departments to gather data, crafting compelling narratives, and presenting information in accessible formats for various audiences.

• Agentury ESG konzultují, jen 15 % ale vydává své vlastní reporty (ESG agencies consult, but only 15% publish their own reports)
• It’s Time to Communicate Beyond the Sustainability Report: 4 Lessons from Our Brainfood Webinar
• Greenwashing als Reputationsproblem – Wenn Desinformation auf aufgeklärten Mainstream trifft (Greenwashing as a reputation problem – When disinformation meets enlightened mainstream)
• Jak ESG reporting pomáhá organizacím budovat udržitelnost a důvěru (Jak ESG reporting pomáhá organizacím budovat udržitelnost a důvěru)
• Navigating sustainability communications in business – green hushing be gone!
• Sustainability as a marketing strategy – How companies can communicate green initiatives authentically

Crisis Management

When companies share details about their business and their operations in an annual ESG report or in a news event, there is always a chance that a communications crisis might happen. ESG-related controversies need to have a crisis communication plan in place to help manage reputational risks and protect the brand.

Along with the need to effectively communicate in these planned situations, companies need to prepare crisis management strategies to manage the reputational risks. Worldcom complied information to take an extensive look at several aspects of crisis planning and communication.

Thought Leadership

As the expectation and requirements for sustainability evolve, the  conversation is transitioning from only thinking about ESG during reporting and moving it into the fabric of the brand and how a company positions itself in the market.

• Developing acceptable ESG frameworks
• Four Steps for After the Sustainability Report
• Many companies are thought to be sustainable, but are they really?
• Sustainable Innovation: Think bigger, broader and further ahead
• Top ESG and Sustainability Publications
• Top corporate sustainability communication trends in 2024

Measuring Impact

Demonstrating the tangible impact of ESG initiatives can be challenging, particularly for social and governance aspects that are less easily quantifiable. PR teams must work closely with other departments to develop meaningful metrics and communicate progress effectively.

• 4 big ideas for communicating beyond the sustainability report
• Beyond the PDF report: Year-round sustainability communications
• Communicating with impact: the advantage of businesses in the face of the climate emergency
• Responsabilidad Social Empresarial: Creadora de valor en el siglo de la hiperconectividad (Corporate Social Responsibility: Creator of value in the age of hyperconnectivity)

ESG & Sustainability in Practice

Ultimately, the integration of ESG into PR practice is not just a trend but a fundamental shift in how companies engage with their stakeholders and society at large. By embracing this shift and developing expertise in ESG communication, PR professionals can elevate their strategic value and help drive positive impact for their organizations and the world.