Purpose of Research:

A lot of companies already have started the development of environmental dashboard to appraise their performance on GHG emission reduction. However, the next step of those dashboard remains unclear. How can it be expanded to other environmental concerns and social issues, and eventually evolve to an inclusive ESG dashboard?

Number of individual students required: 1

Defined Tasks:

Our previous research shows that there is no significant causal link between RMI (Responsible Mining Index) ESG performance and long-term stock prices. Nonetheless, some remarkable drops in stock prices can still be seen after major environmental scandals have been reported even though those changes still cannot be predicted quantitatively and will be compensated quickly because of strong financial performance.

We believe the reason investors are not able to react to ESG failures rationally and continuously is because there is a lack of tools to do so. Currently, there are a few organizations, for-profit or non-profit, that are providing ESG scoring metrics for institutional investors to make their own decision, but none of them can provide “near real time score”, which we believe is the prerequisite of connecting scores directly to the prediction of stock prices and/or profit.

Currently, almost all ESG reports are updated annually or bi-yearly. This is not helpful either to investors or to companies because they must make decisions accurately and quickly to make things right. If they do not obtain information in a precise and timely manner, the only thing they can do is exclude this information from their valuation model or their daily operational management considerations.

Therefore, a more “real-time” updated ESG dashboard is imperative to achieve the ambition of “triple bottom line”, and sub-dashboard of environmental factors, especially “real-time emission” dashboard, is the priority considering the inevitable trend of emission reduction.

Expected outcome:

1. Extra added value to companies in targeted industries other than improving ESG management.

2. The trend of increasing sustainability regulations and new factors to be monitored

3. The strategy of expanding the dashboard from equipment (emission) to greater environment (water, tailings, etc.) to social good (communities, aboriginals, employees’ well-being, etc.) to the final inclusive real-time ESG dashboard.

Remarks:

Students in Richmond, BC will be considered first

Mentorship and supervision will be provided by member Strategic Marketing team as well as Executive Vice President of Corporate Strategy.