Esg: A Primer For The Residential
Design And Construction Industry
“Jamie has been one of my go-to presenters on wellness design over the last several years. [She] is not only an expert on wellness design, but a true professional who is flexible and adaptable with her clients, always working to ensure a positive experience and outcome for attendees.” — Event Planning Manager, Global Expo
Track: Business Management
Speaker: Jamie Gold, CKD, CAPS, MCCWC
You’ve probably run across the term “ESG” in the last few years. Maybe you wondered what it stood for, but haven’t had much time with the crush of deadlines, challenges and responsibilities to look it up. It’s time! Actually, many industry observers would say that it’s past time.
ESG stands for Environmental, Social and Governance and covers a range of considerations beyond those that factor into traditional business and project management. In a recent presentation to journalists and editors, ESG was prioritized as one of the top three issues impacting real estate today. It has comparable importance to the design, remodeling and construction industries.
“Environmental, social, and governance initiatives have reached a tipping point,” reported the respected Counselors of Real Estate, adding: “In a 2019 McKinsey survey, 57% of CEO respondents said they believe ESG programs create long-term value, and 83% say they expect ESG to contribute more shareholder value.” Bond raters, lenders and insurers are factoring it into their business decisions, and consumers – especially Millennials and Generation Z – are factoring it into their buying decisions.
These are your near-future clients, employees and subcontractors. Emerging market financial firm BAO said of these 20-somethings, (48% of an 86 million demographic group plan to buy homes before they turn 30), “Around 87% of Zoomers will consider a firm’s ESG track record,” as climate change will impact them more than older generations and ‘green-washing’ efforts won’t convince them.
ESG in the design and building sectors, just as in real estate, encompasses the firm’s sustainability practices, employment policies, health and wellness considerations and diversity efforts. These impact the organization’s reputational value and, increasingly, its access to capital, insurance and liability coverage.
You’re probably already engaged in some ESG initiatives, and you’re certainly paying attention to new building codes around the country that impact your bottom line, but are you aware of what will attract and retain new hires, what might worry your funders and insurers, and what prospective clients and trade partners are seeking in project partners? This continuing education program will provide a basic framework to apply to your organization’s 21st Century path to success.
Discuss and demonstrate methods to:
• Define ESG (Environmental, Social and Governance);
• Describe ESG’s emergence and relevance to the residential design and construction industry;
• Discuss current ESG industry impacts;
• Identify ESG opportunities and allies for your business;
• Identify potential ESG pitfalls;
• Communicate your ESG programs effectively to media.