Indonesian businesses report a clear link between prioritising ESG and achieving strong overall performance. This positive impact is driving their continued investment in sustainable practices. 

This suggests that Indonesian companies looking to transform their business models and improve overall performance should have a ESG strategy that integrates all three ESG elements – environmental, social, and governance – into the core business.

An effective ESG strategy enables organisations to be more competitive, resilient and future-ready. It can also provide clarity to your potential investors, customers, business partners and employees about the impact of your operations on people and the planet.

Organisations that fully integrate ESG into their business model can realise a range of benefits, including:

1. Proactively managing ESG risks while capturing value creation opportunities.
2. Gain access to a wider pool of investors at potentially lower cost.
3. Attract new investors, talent, and sustainability-conscious customers.
4. Improve operational performance and realise cost savings through sustainable practices.
5. Earn the trust and loyalty of all stakeholders by building a strong corporate brand.
6. Achieve an adequate ESG rating.

To maximise these benefits, companies must be prepared to implement a comprehensive business transformation, embedding ESG factors across the full spectrum of their operations and aligning them with their existing business strategy.

This process requires significant commitment and involves overcoming various challenges along the way.