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ESG regulatory impacts to the middle market

With the middle market being the bulk of the supply chain, it's important to understand the environmental, social and governance (ESG) pressures from public companies that are trickling down and impacting the middle market. 

Whether a company is privately held or not, middle market companies will need to be transparent with their ESG reporting to the level that these large companies require. 

Without the in-house capability to report ESG metrics, companies are going to be less competitive in the marketplace when it comes to RFPs and maintaining contracts with large companies who require greater levels of transparency. 

For many companies, understanding where they are in their ESG journey is the first step to designing and implementing a successful ESG strategy. It takes time to develop your reporting structure and to incorporate ESG initiatives into your company strategy. Begin by evaluating your ESG strategy, risk and reporting needs now. 

Why should companies dive headfirst?  

  • Regulatory demand and implications to supply chain with increased compliance and reporting requirements 
  • Stakeholder demand and supply chain requests for sustainability metrics 
  • Talent attraction and retention 
  • Market competitiveness and new access to capital 
  • Value creation from cost savings and energy efficiency through transition activities 
  • Risk mitigation (economical, transitional, environmental, reputational, etc.) 
  • Reporting and assurance requirements 

ESG is not a passing trend and focusing on ESG is imperative for our clients.  

Industry examples and business impacts 

There are steps that middle market companies can take today to protect and enhance their market share and their value as a result of the ESG transparency needs that will be cascaded upon them. It’s just a matter of getting started. 

Blue buildings in a city

California climate reporting regulations are impacting many U.S. companies

The California climate reporting regulations will require many middle market companies to disclose GHG emissions and climate-related financial risks. Is your company prepared?

Aerial view of a highway cutting through tree lines

How TCFD and the GHG protocol are driving ESG regulations

Don’t get lost navigating the U.S., U.K. and EU ESG regulations. Get started by developing an annual disclosure approach in alignment with the TCFD and GHG protocol.

international supply chain, including air and shipping

Greenhouse gas emissions 101: GHG reporting basics

Organizations now face regulatory impacts and the need for GHG reporting, which can include scope 1, 2 and 3 emissions. Get started with the greenhouse gas reporting basics.

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