Environmental, Social, and Governance (ESG) information has become a popular analysis tool among investors and business owners.
Most firms have ESG programs to meet the need for sustainability among stakeholders to attract investors and employees and to improve financial performance.
But collecting data for use in managing and reporting on your ESG performance is challenging. The process is time-consuming and complicated. An ESG software platform can help streamline the monitoring and reporting process.
Factors to consider when selecting ESG software
ESG data helps business owners and investors discover risks and growth opportunities. After compiling your first ESG report, you’ve likely seen how tough it is to do it independently. You may have concluded that the process would be more straightforward with a specialized tool like ESG software.
There are so many providers of ESG software that it becomes difficult to choose one. Keep reading to know what to look for in an ESG software platform. Knowing what to consider will help you choose the best one for your needs.
Your ESG software should be able to present explicit stories using the provided data. A platform like FigBytes can make ESG data more digestible for stakeholders.
Generally, the central role of ESG software is to handle lots of data and provide meaningful business insight effectively. Thus, your software should be proficient in dealing with instances of insufficient data. Data errors usually happen, and having software that can identify them will help you save time.
Business owners turn to ESG software to stop doing the work manually, save time, and reduce costs. Looking for efficiency when selecting an ESG software to achieve all these benefits. Efficiency can manifest in many ways.
For one, pick software that will support your whole cycle. That includes gathering data, analytics, reporting, and communication with stakeholders. In doing so, you won’t have to spend money on different software each year.
Select software that will get rid of complicated and unnecessary steps. Such software will boost efficiency. An efficient software will allow you to manually and automatically feed data from many sources.
An efficient ESG software allows you to authenticate data inputs by others. You can produce dependable indicators of your business’s performance through data verification.
By having efficient ESG software, running a sustainable business and reaping its benefits will be easier. For example, your business will have better resiliency toward the effects of climate change.
Having an ESG software with multiple functionalities won’t be helpful if it’s challenging to use. Ensure your ESG software has an accessible design that focuses on user experience. Also, check if the provider of the software encourages feedback from consumers. Even further, ensure they use the feedback to make necessary improvements.
Check if it is cloud-based
A cloud-based ESG software is accessible from any place and on many different devices. Thus, it improves the efficiency of ESG management.
These days, remote working is widespread among large and small businesses. Cloud-based ESG software is helpful for remote work because it is accessible from anywhere. Many cloud business solutions of this nature can be very helpful for your business.
The right ESG software platform will help you streamline your business process. It will also help you gauge your business’s performance against others in the industry. It’s best to select a quality ESG software platform.