Environmental, social and governance (ESG) programs can pose unique challenges to finance chiefs charged with maximizing returns. Reason? Big price tags and longer timelines.

The push from regulators and many stakeholders to transform and align companies with new sustainability goals is an “enduring change,” which carries unique challenges, said Kristin Moyer, distinguished VP and analyst with Gartner. 

Moyer says digital business is probably a 10-to-20-year transformation. ESG is a 30-to-40-year transformation.

In today’s PodChats for FutureCFO, Quentin Fouesnant, managing director for Asia-Pacific at FiscalNote ESG Solutions, discusses some of the imperatives and challenges CFOs in Asia to face as they lead the ESG charge for their respective companies.

1.       How do you see the role of CFOs in driving the success of their company’s ESG initiatives?

2.       As CFOs address the issues around ESG, how should they prepare for this? Where should they start? What do they need to know?

3.       Investors, stakeholders, and management are increasingly asking companies to give quantifiable metrics for their ESG initiatives. Many analysts say that the finance department with its experience in compiling and reporting is a natural fit for this task. However, many CFOs still see non-financial metrics around ESG as costs. How can CFOs, who set their sights on ROIs, translate these non-financial metrics as a source of value?

4.       Should companies integrate their ESG reporting with their financial reporting? Why?

5.       Based on your observation, how are companies in the Asia Pacific doing in moving forward their ESG strategies and initiatives – and how engaged are the CFOs and the finance department in these initiatives?

6.       What are the challenges CFOs face in helping drive their company’s ESG commitments and how can they resolve them?