The Importance of ESG in Accounting

Environmental, social, and governance (ESG) reporting represents an evolving area of focus for accountants, suggesting a shift toward a holistic view of business beyond financial metrics. ESG serves as a framework that enables accountants to incorporate non-financial aspects of business operations, such as environmental impact and social responsibility. The pandemic highlighted the importance of safety and governance, prompting businesses to rethink how they operate, which is crucial for accountants who support decision-making processes. As accountants adapt to these changes, they must seek to understand and implement ESG frameworks to effectively address stakeholders' expectations and improve business accountability.