Embedding sustainability into the business operation require the Board of Directors, the Risk Management and the Internal Audit to cooperate.
Embracing the European sustainability challenge will require a comprehensive understanding of the organisation, its strategy, business model and value chain; and the impacts, risks and opportunities that it faces. Cooperation between functions is more important than ever, particularly on ESG as it is a truly transversal topic.
This paper, prepared by ecoDa on behalf of Governing Bodies, FERMA representing European Risk Managers and ECIIA representing Internal Auditors, focuses on good governance. Governance models such as the Three Lines foster cooperation among all functions and operations within a company, so that sustainability can be truly embedded in business operations and strategic sustainability-related objectives can be achieved. Risk Management (Second Line) and Internal Audit (Third Line) are key forces to support the Board and Senior Management as essential parts of the Three Lines model, and more broadly. It shows why Directors, Risk Managers and Internal Auditors should act now so their companies can fulfill their sustainability responsibilities and expectations.
Download: ESG embedding: are you ready?