Integration of ESG and incentive systems dedicated to management in the mining industry

Abstract

Purpose: The aim of the article is to examine and evaluate how ESG practices can be effectively integrated with incentive systems for management in the mining industry and what possibilities they offer in achieving sustainable development goals while simultaneously increasing the engagement and efficiency of management through appropriate incentive systems. Design/methodology/approach: The article is exploratory in nature, focusing on the analysis of the relevant literature. The methodology includes an in-depth review of national and international literature on incentive systems and sustainable development. This analysis allows for an understanding of how the integration of ESG and incentive systems impacts corporate governance. Findings: The conducted research provides important conclusions for management in the mining sector, indicating that incentive systems integrating ESG goals can be more engaging and valuable than traditional incentive systems focused solely on financial or operational outcomes. Research limitations/implications: The research presented in the article may contribute to further empirical studies, particularly in the context of the long-term impact of these systems on financial results, sustainable development of companies, and the risks and opportunities of sustainable development in business. Practical implications: The practical implications of the conducted research enable their application in restructuring incentive systems in mining enterprises, with greater consideration of ESG aspects. Originality/value: The research results indicate the need for a comprehensive reconstruction of incentive systems in mining enterprises to better integrate ESG goals and respond to the requirements of the European Green Deal. Keywords: ESG, incentive systems, mining, corporate responsibility, sustainable development, motivation. Category of the paper: Research Article, General Overview.