THE RISKS
ENVIRONMENTAL SUSTAINABILITY KNOWLEDGE AND CAPABILITY
Denition:
Percentage who gave a rating of 6 or 7 on a scale of 1 to 7
Organizationsarefacingincreasedpressure from stakeholders, including shareholders, regulators, customers, and employees, to evaluate and disclose how they are impacting the environment in which they operate. This risk examines the ability of organizations to reliably measure, evaluate, and accurately report on their environmental impacts.
Analysis: While there is fairly strong alignment in this area, relatively few respondents, particularly senior executives, see this quickly emerging risk as one that could be highly relevant to their organizations. Personal knowledge across all groups was also quite low. Fewer board members believe that their organizations have high capability to manageonmenEvir talSustainabilityrsks.
RISK STAGE
Quotes: “There is the issue of measurement for every organization. There’s a lack of standardized measurement and reporting in this area which creates confusion.” –CAE, Healthcare “Most organizations want to have good environmental sustainability policies, procedures, and programs, but it is not always front and center when dealing with all these other risks.” –Board, Healthcare Develop–NewtoOnRisk
RISK RELEVANCE Percentage who gave a rating of 6 or 7 on a scale of 1 to 7 – Environmental Sustainability
40% C-suite
50% Board
CAE
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