Black-swan events, global warming, COVID-19, and various disasters have tested business resilience globally. While failures are often blamed on external factors like adverse cycles or poor regulations, internal issues such as short-term thinking, resource depletion, labor exploitation, and poor management frequently play a significant role. To outlast competitors and achieve long-term success, businesses must enhance their performance on material ESG (Environmental, Social, and Governance) factors. This includes monitoring resource consumption, waste discharge, and carbon emissions; fostering community ties, diversity, and stakeholder reputation; and ensuring effective governance through board protocols and executive compensation strategies. The advantages of adopting ESG practices encompass more efficient resource use, reduced operational costs, lower risks, increased employee productivity, and heightened investor interest. The authors, Mukund Rajan and Col. Rajeev Kumar, leverage their extensive experience with major Indian organizations to present compelling evidence and case studies illustrating that ESG is essential for future success. This timely work serves as a crucial guide for current and aspiring corporate leaders.
