Strategic Internal Drivers for ESG Integration: Enhancing Employee Awareness and Social Aspect of ESG in Bank XYZ
Year: 2024
Type: article
Study design: Observational Study
Abstract: This study investigates the internal strategic drivers necessary for effective ESG (Environmental, Social, and Governance) integration at Bank XYZ, with a focus on improving employee awareness and addressing social sustainability challenges. As ESG principles increasingly become a benchmark for corporate responsibility, banking institutions play a critical role in aligning their internal processes with global sustainability standards. However, gaps in employee-centric practices often hinder the full integration of ESG values. Using a mixed-method approach, this research combines quantitative surveys and qualitative focus group discussions (FGDs) to identify and address these gaps. The quantitative analysis, conducted using SPSS, involved 339 employees from banks with low ESG performance scores and highlighted specific areas for improvement, such as insufficient ESG training (M = 3.4286) and unclear communication on parental leave policies (M = 3.875). Qualitative insights were gathered and analyzed using NVivo from discussions with four ESG banking experts, revealing actionable strategies, including awareness campaigns, cross-departmental collaboration, and the development of an ESG framework to enhance employee engagement. The findings demonstrate that while employees possess a general understanding of ESG principles, there is a need for targeted role-specific training, improved communication of sustainability initiatives, and empowerment programs to drive engagement. By prioritizing foundational steps, core integration strategies, and fostering a culture of sustainability, Bank XYZ can align its internal processes with ESG objectives. These recommendations aim to not only improve the bank’s social sustainability performance but also serve as a guide for embedding ESG principles across all organizational levels, contributing to a more sustainable and responsible banking environment. The integration of SPSS and NVivo tools in this research highlights a robust methodological approach, ensuring data-driven insights for both quantitative and qualitative aspects of ESG integration.
Authors: Hasna Bachtiar, Neneng Nurlaela Arief
Institution: Bandung Institute of Technology
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: bronze
OpenAlex ID: W4407038728