posted on 2025-02-25, 19:09authored byJan Bouwens, Juliette Gaussem, Tom Gosling, Frank Verhoeven
Firms increasingly integrate ESG metrics into performance evaluations, driven by stakeholder expectations. Initially dominated by financial KPIs, non-financial indicators like CO2 emissions and employee well-being now play a larger role. Resistance from management persists, but long-term sustainability commitments prove beneficial. Companies balance short-term incentives with long-term goals, embedding ESG in strategy and culture. Governance, transparency, and employee engagement are key to success.