Has anyone created a reference capability model for ESG in an organisation?

These models typically outline the key capabilities necessary for effective ESG management, such as data collection, reporting, stakeholder engagement, risk management, and integration into overall business strategy. Organizations often customize these models based on their specific industry, size, and ESG priorities. If you're looking for a reference capability model, you may find frameworks provided by sustainability organizations, industry associations, or consulting firms useful.

Yes, organizations have developed reference capability models for ESG (Environmental, Social, and Governance) to guide their sustainability initiatives and practices.

Define the key ESG dimensions that are relevant to your industry and organization. This may include environmental factors (e.g., carbon emissions, resource usage), social factors (e.g., diversity and inclusion, labor practices), and governance factors (e.g., board composition, executive compensation)

many organizations have recognized the importance of Environmental, Social, and Governance (ESG) factors and have developed frameworks or models to integrate ESG considerations into their operations. ESG refers to a set of criteria that investors and other stakeholders use to assess a company's impact on the environment, society, and governance.

Several industry bodies, consultants, and organizations have created reference capability models for ESG, or similar frameworks that guide organizations in assessing and improving their ESG performance. These models often cover a range of topics related to sustainability, ethical practices, and corporate responsibility.

Not created but here are the recommendations for developing a reference capability model for ESG - taken from online source.

Steps to Create a Reference Capability Model for ESG:
Define ESG Objectives:

Clearly articulate the organization's ESG objectives and priorities. Understand the specific environmental, social, and governance factors that are most relevant and impactful for your industry and stakeholders.
Stakeholder Engagement:

Engage with internal and external stakeholders to gather insights into their expectations, concerns, and priorities related to ESG. Consider the perspectives of investors, customers, employees, regulators, and the broader community.
Identify Key ESG Themes:

Categorize ESG considerations into key themes such as environmental impact, social responsibility, ethical governance, diversity and inclusion, and community engagement.
Capability Mapping:

Map each ESG theme to the specific organizational capabilities required to address it effectively. This involves breaking down each theme into actionable components or capabilities.
Develop Capability Levels:

Define different levels of capability maturity for each ESG theme, indicating the organization's progression from basic compliance to advanced leadership in ESG practices.
Example ESG Capability Areas:

Environmental Stewardship:

Carbon footprint measurement and reduction.
Energy efficiency and renewable energy adoption.
Waste reduction and sustainable sourcing.
Social Responsibility:

Diversity, equity, and inclusion programs.
Employee well-being and safety.
Community engagement and philanthropy.
Governance:

Transparent reporting and disclosure.
Ethical business practices and anti-corruption measures.
Board diversity and effectiveness.
Metrics and Key Performance Indicators (KPIs):

Define metrics and KPIs for each capability to measure and track progress. Ensure that these metrics align with industry standards and reporting frameworks such as GRI (Global Reporting Initiative) or SASB (Sustainability Accounting Standards Board).
Integrate with Business Processes:

Integrate ESG capabilities into existing business processes and functions. Ensure that ESG considerations are embedded in decision-making, risk management, and strategic planning.
Training and Awareness:

Develop training programs to enhance awareness and build the necessary skills among employees, ensuring that they understand the importance of ESG and their role in achieving organizational objectives.
Continuous Improvement:

Establish a feedback loop for continuous improvement. Regularly assess and update the capability model based on changing organizational needs, stakeholder expectations, and evolving ESG standards.

Considerations:
Regulatory Compliance:
Ensure that the capability model aligns with relevant ESG regulations and reporting requirements.
Technology Enablement:
Leverage technology solutions for data collection, analysis, and reporting related to ESG metrics.
Materiality Assessment:
Conduct a materiality assessment to identify the most significant ESG factors for your organization and stakeholders.
Benchmarking:

Benchmark your organization's ESG performance against industry peers to identify areas for improvement.
Transparency and Reporting:

Communicate ESG efforts transparently through formal reporting mechanisms, aligning with global standards and frameworks.
As you develop the reference capability model, consider seeking input from ESG experts, sustainability consultants, and industry associations. Additionally, staying informed about emerging trends and best practices in ESG will help refine and enhance your capability model over time.