Oftentimes within the Environmental-Social-Governance (ESG) framework, Governance can take a back seat to the Environmental and Social elements because they are seen as having farther reaching or more relevant impacts. On the other hand, some of the biggest disasters in human history, such as the Chernobyl Nuclear Accident, can be  purely attributed to failures in governance. 

In general terms, governance refers to the process of how decisions are made and implemented. Within the context of a certain business or government, by developing and maintaining a governance structure, the goal would be to help create a better organisation or government through improving factors such as flexibility and inclusion, company culture and the day-to-day sustainability of operations. A company or government’s governance structure can be optimised through pulling several levers, most notably the distribution of the rights of various members of the company, and optimising logistics and decision-making processes.

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