Sustainable corporate governance: taking responsibility for society and the environment

Businesses all over the world are playing an increasingly important role in the context of politics, the environment and society. As part of the globalisation process, they engage in international investment, source raw materials and other products on the global markets, run their manufacturing operations via subsidiaries in other countries, and supply the goods and services on which our consumption and lifestyles depend.

The private sector has a key role to play in achieving the United Nations’ Sustainable Development Goals as well. SDG 8, for example, calls for sustainable economic growth and decent work for all. However, multinationals often cause damage to the environment, disrespect human rights or apply unethical business practices, particularly in contexts where governance or legislation is weak or poorly enforced.

And yet many companies operating in today’s globalised economy are willing to assume social and corporate responsibility and are committed to sustainability, following the broader social trend.