Increasingly investors and lenders want to be assured that companies are ESG compliant.  Typically 50% of an organisations revenues will be attributed to suppliers and so the supply chain is vital to the achievement of ESG compliance.

There are many examples of investors and lenders shunning or penalising non ESG compliant organisations, just as there are many examples of them giving preference to organisations with effective ESG programmes.

Within the PEPP community ESG is always at the forefront of our thinking.   We only have preferred agreements with suppliers that are able to demonstrate a sustainable capability for ESG compliance.

ESG is a vital aspect of the PEPP supplier code of conduct which suppliers must sign up to before even being given the opportunity to quote for new portfolio company business.

In addition we work with portfolio companies, normally with the PE organisation, to develop an ESG road map to ensure a supply chain delivers on:

Environmental: driving towards net zero, optimising the carbon footprint and minimising waste

Society: valuing diversity, inclusion and employee relationships while maintaining labour standards

Governance: ensuring the board sustains high levels of ethical behaviour and regulatory compliance

The PEPP ESG road map is developed with stakeholders to create an achievable plan, with milestones, for ESG compliance.

Talent with ESG expertise is becoming increasingly valuable.  Our experience is creating the ESG road map  delivers expertise and learning for all the team members involved.