In response to the pressing global challenges, such as climate change and economic downturns, businesses worldwide are undergoing significant shifts in their operations. Acknowledging the increasing importance of Environmental, Social, and Governance (ESG) factors across all sectors, AKU together the Centre of Excellence in Responsible Business of the Pakistan Business Council organised a workshop titled 'ESG: Creating Sustainable Workflow.'
The training which was a collaborative effort between the University's internal audit team and the Office of Environment and Sustainability aimed to explore the applicability of ESG principles to AKU and higher education.
The workshop brought together participants from various departments within AKU as well as representatives from AKDN agencies, including the Aga Khan Health Services, Aga Khan Education Services, and Habib Bank Limited. ESG is in line with the AKDN mandate to improve the quality of life, and AKU’s mission to provide meaningful contributions to society. The discussions shed light on ESG's business case, governance structures, identification of non-financial risks, and the development of ESG frameworks and reporting tools.
AKU President Sulaiman Shahabuddin noted that, “AKU is already well placed on all three aspects of ESG. We are the first university in Pakistan and East Africa with a net-zero commitment and a detailed Environment and Decarbonisation plan, focusing on investments in renewable energy, energy efficiency, and sustainable practices. We provide rupees 4 billion annually to patient welfare in Pakistan alone, while maintaining robust policies and processes for safeguarding and equity. Our governance structures are transparent, fostering collaboration and driving continuous improvement across the University.”
ESG evaluates the impact an organisation has on the planet, its people, as well as their overall organizational practices. By integrating ESG considerations into all aspects of business, companies can minimize their environmental footprint, contribute to the social well-being of employees and communities, and uphold positive corporate governance, all while maintaining profitability. Numerous studies have also demonstrated a positive correlation between ESG performance and financial success.
Nazish Shekha, Head of CERB said, “Today’s training signifies the importance of the growing need to incorporate ESG in developing future strategies which holistically addresses the needs of a changing world. ESG helps universities address the growing need from the students, faculty and investors to understand the risks and opportunities for the future - and avail the growing interest in the transparency about the overall impact of the organisation. The Pakistan Business Council is honoured to have its Centre invited to engage AKU on ESG, as an institution which can be described on the forefront as pioneers on environment and social performance.”
As investors, employees and consumers become increasingly aware and invested in sustainable and ethical businesses, embracing ESG practices can enhance a company's reputation and attract top talent. Furthermore, governments worldwide are implementing new regulations that necessitate the disclosure of ESG performance and climate-related risks by companies. This trend is likely to grow in the years to come.
