As many as 52% of the Global Capability Centres (GCCs) are taking proactive steps in adopting environmental, social and governance (ESG) policies, according to Ernst & Young report. It further said nearly 70% of these GCC centres are “actively” pursuing tech collaborations to implement ESG initiatives. The EY report, India’s inaugural ‘ESG GCC Report 2024’, has collected data from more than 45 GCCs in the country. The ESG goals require changes in how companies handle their technology, data, and reporting processes. The report further said that about 48% of the GCCs are already actively involved in sustainability reporting, project management, and providing technical support.
“Given that GCCs already serve as anchors for global organisational processes, they are strategically positioned to identify the scope of ESG reporting, pinpoint process and control gaps, and formulate remediation strategies,” said Aman Dutta, partner (GCC Consulting) at EY India.
Furthermore, many GCCs are forming dedicated teams to work with global organizations on ESG initiatives, focusing on processes, data, and technology. And around 67% of these centers are working on internal sustainability strategies to improve their ESG performance.
However, the report also identifies challenges such as ambiguity in ownership, lack of global stakeholder support, skills shortages, and a lack of expertise.