As we move through and beyond this year, it is becoming clear that environmental, social and governance (ESG) is, and will continue to be, a high priority for Boards and Management teams.

As positive as that is, on a pragmatic level, the question arises as to how best both can operationalise their ESG.

Applicable to public and private companies alike, it is worth mentioning that ESG is not a checkbox exercise. Rather, operationalising ESG is an ongoing journey.

Bearing in mind that you cannot improve what you have not measured, operationalising ESG begins with a review of the data that a company already has at its disposal, and the policies that it already has in place with regards to pollution, child labour, energy efficiency and regulations, for example.

What has become increasingly relevant this year is the wellness of employees, which includes mental wellbeing and not just physical health, along with policies around diversity and inclusion.

It is vital to assess how well or poorly these are already being communicated across the spectrum, from the annual report to the company’s website.

Secondly, consider whether you need to conduct a materiality assessment, in which the company surveys internal and external stakeholders who are relevant to the company’s main priorities. This will assist in honing on specific ESG issues that require attention. It bears mentioning that whether a materiality assessment is needed may depend on the strength of communication between the company’s sustainability professionals and the C-suite.

In any event, reviewing existing policies and honing in on specific ESG issues makes it easier to take another step: identifying where gaps exist in the company’s ESG performance and developing a strategy accordingly.

While strategies will vary from one company to the next, and from one year to the next, a common factor is that any ESG strategy should be integrated with the company’s overall business plans and its financial goals. Without doing so, you run the risk of having to contend with disparate initiatives for each issue that has been identified and run the risk of getting caught up in the complexity that such fragmentation brings.

At that point, once again you are going to want to turn to gathering data and measuring progress, but this time, in order to align the progress on ESG goals that is being made, and progress that still needs to be made, with the company’s annual planning.

Beyond that, it becomes valuable for sustainability professionals to engage more diligently with the chief financial officer, so that they are onboard with operational steps that need to be taken to bridge the gap – if there is one – between meeting sustainability goals and using financial resources most appropriately.

There is another reason to strengthen connections with the CFO in particular. Investors are increasingly requiring a deeper insight into how a company is managing its ESG risk and rewarding companies that are more proactive. The CFO is the executive most likely to understand how operationalising ESG initiatives can translate into value creation for the business – and can be an advocate for these to the rest of the board.

That in turn, should make sustainability’s efforts to operationalise ESG within the company considerably easier, and form a solid basis for further action.