SECONDARY RESEARCH
What is ESG?
What does it mean for SMEs?
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Environmental – looks at the impact of resource consumption on the environment such as carbon footprint and wastewater discharge.
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Social – looks at how the business interacts with communities where it operates as well as its internal policies relating to labor, diversity and inclusion.
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Governance – Relates to internal practices and policies to make effective decision making and legal compliance. This helps attract talent, reduce costs and forge a sense of trust amongst consumers.
With sustainability being of high importance amongst investors and consumers, SMEs will likely find a competitive edge over their competitors. Not only would it mean great for profitability but also to the businesses' longevity and resiliency
Putting Sustainability into Practice for Business
by Singapore Environment Council
To help SMEs and Other Companies to have a Better Understanding and Appreciation of Sustainability Related Risks
Foundation in Corporate Sustainability
by Global Compact Network Singapore
To Provide Foundational Knowledge and Practical Guidance as well as Tools and Resources to help SMEs to Jumpstart Their Sustainability Journey
by PwC Singapore
To Provide Foundational Knowledge and Practical Guidance as well as Tools and Resources to help SMEs to Jumpstart Their Sustainability Journey
Grants in Singapore
SME GRANT PROGRAMME
Since November 2020, OCBC has made it simpler and easier for SMEs to access sustainability financing. With this framework, SMEs will be able to prequalify for sustainability-related grants that are supported by the government
(Tan, DBS launches New Grant Programme offering smes up to $100k to go green, 2022)
GREEN LOAN FOR SME
Since November 2020, OCBC has made it simpler and easier for SMEs to be access sustainability financing. With this framework SMEs will be able to prequalify for sustainability related grants that is supported by the government
(OCBC, 2021)
1. Currently, SMEs are experiencing growing demand for disclosures of their environmental and social and governance impacts.
2. While SMEs are not required to do ESG reporting, larger corporations within the supply chain are, and that affects their SME supply chain partners.
3. Large firms often are SMEs’ biggest customers and this creates an incentive for SMEs to adopt ESG initiatives and Sustainability Reporting
Sustainability Reporting is not a requirement for SMEs, but it is vital for them
(Shields & Shelleman, SME sustainability dashboards: An aid to manage and report performance 2020)
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