In a business environment that is becoming more finely attuned to the concerns of sustainability-focused stakeholders, consumer expectations, and regulations — including the SEC’s proposed climate disclosure rules — companies are assuming a proactive stance in spearheading their initiatives related to environmental, social, and governance (ESG) matters.

Yet, despite growing demand from investors and stakeholders for commitment to ESG, many organizations face obstacles when it comes to ensuring they are accurately capturing and reporting ESG data and developing effective ESG risk management practices. As a result, ESG maturity can vary widely from company to company.

For example, two-thirds of respondents to AuditBoard’s ESG Maturity Benchmarking survey have not implemented ESG controls — which opens organizations up to reputational damage from reporting incomplete or incorrect ESG data and leaves them unprepared to maintain compliance with future reporting requirements.

Based on responses from 200+ audit, risk, and compliance professionals involved in ESG management, the ESG Maturity Benchmarking Report: Accelerating ESG Transformation explores the state of ESG maturity in 2023, including:

• The four fundamental areas of ESG competency and how respondents from various industries scored across each category.
• The most tracked environmental, social, and governance topics and where many organizations begin their ESG initiatives.
• Five initiatives organizations can act on to prepare for the upcoming SEC climate rules and create new opportunities for growth and innovation.