Within the past months, we have had to contend with several questions from various stakeholders on Sustainability and ESG. While some have wondered what ESG stands for, others have asked if it can be interchanged with Sustainability and vice versa. Some others even wondered where CSR comes into the conversation.
ESG as an acronym stands for Environment, Social and Governance. The “E” looks into how the organisation behaves as a guardian to the environment. The “S” reveals how the company maintains connections with its workforce, vendors, customers, and the communities in which it operates, while the “G” on the other hand, is concerned with the board and leadership of a corporation, executive remuneration, risks, audits, internal controls, and shareholder rights.
To be honest, ESG is nothing new from the typical sustainability commitments and actions which Transcorp as a Group has already been involved in over the years. In fact, as employees, we too have probably participated in one or two of these transformative activities, so yes, we are all in this together. However, to make it more relatable, let’s just say that ESG is simply a more deliberate attempt to ensure that all financial and non-financial elements are considered as part of our business strategies, policies, and operations to remain viable. Thus, where ESG is considered the Criteria, Sustainability on the other hand is the Outcome/Result.
As a Group, Transcorp recognizes that our impact extends beyond the services and experiences we provide which is why as a responsible corporate citizen we have embraced and maintained a corporate culture that prioritizes ESG principles in all aspects of our strategy and dealings.
Last year, in support of Transcorp’s sustainability strategy to Transform our World, we streamlined our strategy to 5 sustainability impact pillars:
Environment:
As part of our efforts to ensure that our business operations do not have an ongoing harmful impact on the environment, we launched the Transafam Environmental Transformation Initiative (TETI). This initiative is aimed at sensitizing on waste management, encouraging the usage of suitable waste disposal techniques and promoting a clean and healthy environment. Our staff participate in the sanitation day exercise with people from the host community through this channel to help sensitize and clean their immediate surroundings.
Social:
Throughout the year, we at Transcorp actively engage with our diverse stakeholder groups including our employees, shareholders, suppliers, communities, customers, and regulators with a strong sense of commitment. Our Stakeholder Engagement approach is designed to be inclusive, strategic, and result-oriented to respond to key topics of greatest concern and opportunity. We think that cultivating an open communication culture leads to effective decision-making and drives creativity, both of which are essential for achieving operational excellence. In 2022, we launched our new website following the name change from Transnational Corporation of Nigeria Plc to Transnational Corporation Plc to provide a more engaging platform and drive an enhanced stakeholder engagement process.
The Company’s position as an equal opportunity employer also guarantees employees the right to be treated fairly without discrimination on the grounds of race, ethnicity, gender, age, disability, education, personalities, religion, or experience. While we’ve made significant progress in broadening our perspectives, our organization remains committed to maintaining and expanding our diversity. It comes as no surprise that the Transcorp Group was also recognised as one of the leading Diversity Equity and Inclusion Companies in Nigeria.
In the area of Community Impact, CSR which stands for Corporate Social Responsibility also falls within the “Social” element of ESG. Transcorp, through its respective businesses partners with the Tony Elumelu Foundation (TEF), a non-profit organization to extend our reach to more members of the community to achieve our “Social” objectives. The Tony Elumelu Foundation which is a leading champion for entrepreneurship in Africa drives the empowerment of both male and females across the African continent, catalysing economic growth, driving poverty eradication, and ensuring job creation.
Governance
A key part of effective governance for us in the Transcorp Group is ensuring that our Board has the right mix of background, experience, and diversity of perspectives to support the scope and complexity of our business. We consider these representations among other diversity criteria in our director recruitment process. Succession planning has also been an area of focus for the Board over the past few years. The Board’s approach to succession and renewal is to strike a balance between continuity of experience with fresh perspectives. Through this approach of orderly transition, the Board has added complementary competencies and experience while expanding diversity of backgrounds and viewpoints.
At Transcorp, our business principles and practices are designed to foster an innovative and collaborative culture—a culture that is committed to ethical behaviour, accountability, and transparency. The institutionalisation of good corporate culture and ethics through the enforcement of policies along with the tone set by the Board also contributes to our overall performance while safeguarding our reputation. For this reason, we remain steadfast to observing applicable laws and regulations ensuring continued commitment to good governance practices.
Conclusion
At Transcorp, we believe in the power of each individual making a positive impact, which is why we have chosen to incorporate a culture of innovation and efficiency into all aspects of our operations. As Humans of Transcorp, we must understand that our collective goals and progress can positively impact the lives of people, communities, and the planet, ultimately working to transform the world.
We hope you will join us in this important initiative and make a commitment to sustainability today. Together, we can make a difference.