• Jul 10, 2025

What Most ESG Strategies Miss — and How to Fix It

ESG is more than checking boxes. If your strategy feels surface-level or investor-driven, you might be missing the real opportunities ESG can unlock. Here’s how to fix it.

From compliance checklists to glossy impact reports, ESG (Environmental, Social & Governance) has become a buzzword — but often not a business lever.

While many organizations are doing something, few are building ESG into the core of how they operate, innovate, and compete. In this article, we explore the most common blind spots and offer practical steps to elevate your ESG strategy beyond the basics.

🧱 Missing Materiality: Are You Focused on What Matters?

Many companies spread themselves thin trying to cover every ESG issue — instead of honing in on the ones that actually impact their business and stakeholders.

Fix it:

  • Run a materiality assessment

  • Prioritize 3–5 issues that align with your sector, geography, and operations

  • Communicate why these are your focus — transparency builds trust

📦 Overlooking Scope 3 Emissions in the Supply Chain

Scope 3 emissions (indirect emissions from suppliers, logistics, etc.) are often the largest part of a company’s footprint — and the least measured.

Fix it:

  • Start mapping your supply chain emissions, even if imperfect

  • Engage suppliers with simple data requests or shared tools

  • Incentivize greener procurement policies

🧠 Treating ESG as a Reporting Exercise, Not a Business Driver

If your ESG efforts live with the legal or comms team, they’re probably reactive. ESG should be integrated into product development, hiring, finance, and growth planning.

Fix it:

  • Tie ESG metrics to OKRs or KPIs

  • Involve operations and commercial leads early

  • Frame ESG goals as cost-savers, risk-reducers, or innovation enablers

🗣️ Weak Communication Strategy

Even great ESG work can fall flat if it’s not communicated effectively — to investors, employees, regulators, or customers.

Fix it:

  • Tell real stories, not just metrics

  • Make your internal ESG message as clear as your external one

  • Use progress-based language, not perfection

📈 Lack of Accountability & Follow-Through

It’s one thing to publish a roadmap. It’s another to show progress.

Many ESG strategies stall after launch because ownership is unclear.

Fix it:

  • Assign leaders or teams to each priority area

  • Review metrics quarterly (not just annually)

  • Reward ESG progress like you would revenue or growth metrics


🚀 Want to Build an ESG Strategy That Actually Delivers?

Our ESG & Sustainability Compliance in 2025 ExecPack gives you:

  • 5 expert-led presentations

  • Tools for reporting, supply chain engagement, stakeholder communication

  • Legal clarity + practical examples

    In under 2 hours.

👇 What to Do Next

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