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Home Discover our latest blogs Discover our latest blogs Bluefield: Understanding ESG and its impact on (food) companies
Food
ESG
2 minutes reading

Bluefield: Understanding ESG and its impact on (food) companies

Talitha Boorsma

Talitha Boorsma

October 09, 2024

We recently celebrated our 10th Food Inspiration Day at the Microsoft office in Copenhagen. During this event, several companies shared inspiring stories for the Food & Process sector, including Bluefield. In this blog we share the main highlights from this session. Curious to learn more? Read this blog post and get inspired by Bluefield and their vision on ESG.

In today's corporate world, ESG (Environment, Social, Governance) has become a crucial topic. ESG includes several sub-themes such as climate change, biodiversity, human rights, workers' rights, health, safety and ethical business practices. These themes are relevant to companies in various industries, including the food industry.

What is ESG?

ESG is the acronym for Environment, Social and Governance. It is a framework that helps companies assess and report on their environmental, social and governance impacts. The European Union (EU) is leading the way in sustainability legislation, but thanks to global coordination, steps are being taken toward alignment of reporting standards across all regions.

Challenges and benefits of ESG

 

Being sustainable is a trend that many companies want to participate in. However, this also leads to “greenwashing” or superficial sustainability claims. ESG compliance requires sincere efforts that go beyond mere appearances. Benefits of ESG reporting include transparency, risk management and long-term resilience. ESG is not just about compliance; it is an opportunity to create positive impact, bring about meaningful change and in some cases may also provide a discount on funding.

Curious about more insights? If so, be inspired by the full report on the Food Inspiration Day in Copenhagen. Download the report for free here.

 

Navigating ESG Requirements

 

The EU establishes rules for what is sustainable and what is not, and companies report on relevant sustainability information. This data informs investors and aligns with the concept of sustainable finance. Large, listed companies must report on their efforts this year, while large unlisted companies must comply next year. Listed SMB's will be required to report from 2026.

Benefits of ESG Reporting

 

Companies that neglect sustainability reporting risk losing their license to operate. Taking this reporting seriously is essential for long-term viability and positive results. It allows companies to measure their materiality and assess what matters. In addition to financial materiality, which focuses on costs and risks, impact materiality now comes into play. This new aspect looks at how business activities affect the environment and society. Impact materiality helps companies understand the social or environmental impact of their business operations. Fines for non-compliance vary by EU member state. Throughout the EU, board liability and the possibility of fines apply. In France, directors can even face prison sentences of up to 1 year.

Curious about more? Watch the aftermovie of this event below:

Conclusion

By providing accountability for your entire value chain, including the practices of your suppliers, you respond to the growing demand for sustainability and transparency. By doing so, you also show that your company is ready to commit to a better future. It's not about perfection here; but about sincere efforts and transparency in your company and your entire value chain.

Curious about more insights? Then get inspired by our full report or read the other articles about this event. Discover more about the future of Business Applications, Supply Chain & Customer Engagement and insights from sessions on NIS2 & a use case from CZAV and Skytree. Did you miss the event? We look forward to more inspiring events and continued growth within the food & process sector. If you have any questions, feel free to contact us.

Talitha Boorsma

Talitha Boorsma

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