Why should ESG (also) be a compliance task?
The future potential for economic value creation is based on digital technologies. Disruptive business models are conquering the market and data is taking on a significant role as a new key resource in the interconnected economy. The increasing digitization of all areas of life is leading to fundamental changes in our society. But what about the assessment of the ethical implications of new digital business models in companies?
Digital ethics seeks appropriate and legitimate courses of action in dealing with data and its processing in algorithmic systems. Investments in the corporate culture through digital-ethical value management systems to be designed on an individual company basis and their implementation in (predefined) compliance structures serve to implement the ethical standards.
Integration into an existing (compliance) management system
It makes sense to have a holistic, interdisciplinary compliance system that incorporates the sustainability aspect of digital ethics. The framework for this corporate ethics toward digital solutions is provided by the European Union, whose humanistic spirit is reflected in recent legislative acts.
The article "Digital Ethics - A New Opportunity for ESG Compliance" published in CCZ provides a legal classification and highlights that CDR and digital ethics are an integral part of ESG.
Dr. Andrea Panzer-Heemeier and Dr. André T. Nemat, both partners at b.yond, share their combined knowledge from a corporate and legal perspective. For both, it is important to show how digital ethics can be properly integrated under the dimensions E and S in an ESG rating in a proactive and profitable way. To meet governance requirements, the integration of digital ethics also is suitable in the G dimension.
Further information on issue 7-8/2022 of the corporate compliance magazine CCZ from C.H.BECK-Verlag at https://rsw.beck.de/zeitschriften/ccz.