A Democratic, Green Ocean Management Framework for Environmental, Social and Governance (ESG) Compliance

Abstract

In a dynamic and ever changing business landscape organizational sustainability is defined and redefined according to the socioeconomic challenges. This paper presents a practical framework that can significantly support organizational efforts on approaching, achieving, sustaining and improving its environmental, social and governance (ESG) strategies, objectives, and targets. The proposed framework, referred to as DESGGO (Democratic ESG Green Ocean) is based on the Company Democracy Model (CDM), covering the ESG governance elements/factors. Furthermore, the paper introduces a synergetic relationship between Corporate Social Responsibility (CSR) and ESG indicating the evolution of an organization to extend from applying outstanding governance practices, which lead to Blue Oceans, into outstanding social and environmental practices which lead to Green Oceans. The paper analyses the main ESG criteria per category and maps them on the DESGGO, six ESG and CSR progression levels moving the organization from Red to Green Oceans by adapting ESG practices.