SUSTAINABILITY IS SELDOM A PRIORITY AMONG BOARDS IN THE ASIA PACIFIC
Only 21% of Asia Pacific boards prioritise sustainability as short-termism, profit maximisation, and stakeholder bias remain key concerns, reveals a new study.
KUALA LUMPUR, June 24 (Bernama) -- Sustainability is seldom a board-level priority in the Asia Pacific, with a lack of intent and ability holding boards back, revealed a research study conducted by Stewardship Asia Centre (SAC) with the support of 13 institutions across 11 Asia-Pacific countries.
Based on the study “Boards as Stewards of Sustainability: View Across Asia Pacific,” only 21% of respondents indicated that sustainability is a responsibility of the entire board. About 26% of respondents said sustainability is the responsibility of the board's chairman or the C-suite executive, and 16% shared that no one owns sustainability on their boards.
Separately, 11% of respondents indicated that their boards almost never evaluated progress on ESG considerations, and 16% said they do so once a year.
The survey also revealed that a lack of knowledge on sustainability is the biggest staller, with three in four boards citing it as a challenge they must overcome. The survey respondents indicated that despite increased awareness, many directors lack a deep understanding of the complexities of sustainability and its implications for business operations. The research also revealed that sustainability knowledge as a hiring criterion is still, at best, a good to have in three out of five boards.
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