The Importance of ESG for the Planet and Society

June 24, 2024

cesla

by Caroline Soares
Implementation Analyst

Do you know why ESG is being talked about so much these days? What is ESG anyway?

ESG is the set of environmental, social and governance criteria that should be considered when assessing risks, opportunities and impacts. The aim is to guide activities, businesses and investments in a sustainable manner (ABNT PR 2030).

Today, we are facing the consequences of a past that did not prioritize sustainability. Extreme weather events and the Covid-19 pandemic, which generated a global crisis with severe impacts, have shown the importance of considering environmental, social and governance (ESG) issues.

All organizations affect and are affected by the environment and operate in an increasingly broad and diverse society. To talk about ESG is to address all these spheres.

Environment

In the environmental field, companies and operations around the world are exposed to climate risks, such as the scarcity of natural resources, which threaten the future of generations to come. Incorporating sustainable concepts into business management creates synergy between people, processes and systems, and should be seen as an authentic practice that is consistent with corporate values. Being sustainable means adopting a new way of thinking and conducting business in a way that is ethical, transparent, honest, respectful of human beings and caring for the environment.

How does Cesla help in this process? Here we create respectful and ethical working environments and apply actions in line with those already practiced by our clients and partners with a view to supporting environmentally sustainable practices and creating a working environment that values diversity and respect between people and the community.

Social

In the social sphere, care and investment in workers' health and safety is essential. Many environmental disasters begin with incidents and/or accidents in the workplace. In industry, tools such as Preliminary Risk Analyses (APR) and Work Permits (WP) are used as risk mitigation tools. APRs survey the risks of the activity, while work permits control work in risk areas.

How does Cesla help in this process? Traditionally, these practices generate excessive paper consumption and high costs for companies and, consequently, for the environment. According to the Resource Conservation Alliance, 40% of the trees felled in the world are used to produce paper, contributing to forest degradation and climate change. Research by Gartner Inc. estimates that 3% of companies' profits are spent on paper, printing, document storage and maintenance, in addition to paper waste of around 50%. Our totally paperless projects ensure that all industrial checklist processes are carried out without generating paper and printing. A good example of this is one of our clients. Raízen (Operation EAB), between April 2023 and March 2024 alone, issued more than 427,000 fully electronic work permits in Cesla, eliminating around 2.46 million sheets of paper that would have been printed in this operation.

Governance

In terms of governance, it is crucial to adopt technologies that eliminate excessive use of resources and promote efficiency. This not only reduces environmental impact, but also gives companies more legal certainty, as data is protected by advanced electronic protection and management resources, with passwords and access hierarchies. This eliminates the risk of loss, misplacement and deterioration of documents, as happens with paper.

How does Cesla help in this process? In all the operations using our platform, we have no history of serious accidents involving people and facilities, and this significantly minimizes labor disputes, which generate millions in losses every year.

Conclusion

ESG is not just a passing trend, but an essential strategy for global sustainability. It represents an effective way of mitigating risks and adding value, promoting prosperity and ensuring the future financial health of companies. Integrating ESG principles into business strategies is key to contributing to a more sustainable future for the planet, for society and for all of us.

We at Cesla are committed to the ESG principles, integrating them into our business strategy to contribute to a more sustainable future for the planet, for society and for all of us.