Businesses across all industries are increasingly exposed to environmental, social, and governance (ESG) risks, from climate change and biodiversity loss to human rights violations and data privacy breaches. Companies need a structured approach that covers all ESG dimensions to identify vulnerabilities and build resilience into their strategies, according to GlobalData, a leading intelligence and productivity platform.
GlobalData’s latest report, “Strategic Intelligence: GlobalData’s ESG Framework (2026),” provides companies with a structured approach to identifying ESG risks, assessing their potential business impact, and developing targeted mitigations.
The report positions ESG as a risk and resilience issue. It examines ESG factors through 12 dimensions, including climate change, human rights, corporate structure, biodiversity, health and safety, and ethics. It also assesses exposure across five risk elements: physical, regulatory, market, financing, and reputational.
Aoife McGurk, Senior Analyst, Strategic Intelligence team at GlobalData, comments: “Failure to cultivate effective responses to ESG concerns will expose companies to significant ESG risks. Every company faces a different risk profile, so a one-size-fits-all approach does not work. Our framework gives organizations the structure they need to identify which of the 12 ESG dimensions matter most to their business model and pinpoint exactly where their vulnerabilities lie.”
The report finds that ESG strategies must extend beyond compliance and disclosure. Companies face operational and financial exposure from the physical consequences of climate change, evolving regulations, investor expectations, labor market pressures, and reputational damage.
McGurk adds: “Companies should invest in ESG not merely because it is the right thing to do or because government policy requires it, but because it is the most sensible and effective way to mitigate myriad business risks.”
GlobalData’s framework enables companies to identify the ESG factors most relevant to their operations, analyze exposure across the five risk elements, and use practical mitigations to inform an ESG risk and resilience strategy. These mitigations range from science-based emissions targets and stronger board oversight to responsible artificial intelligence (AI) practices, supply-chain due diligence, data privacy training, and whistleblowing policies.
Holly Anness-Bradshaw, Senior Analyst, Strategic Intelligence team at GlobalData, says: “Identifying exposure is only the first step. Companies must translate these insights into concrete mitigations if they want to build genuine resilience.”
The report also emphasizes the importance of supplier engagement. ESG risks can emerge across extended value chains, including through forced labor, deforestation, emissions, data protection failures, and weak governance practices.
Anness-Bradshaw concludes: “Engaging with vendors throughout the supply chain is essential for comprehensive mitigation of ESG risks.”
Strategic Intelligence: GlobalData’s ESG Framework (2026) report is designed to help corporate leaders incorporate ESG considerations into strategic planning, risk management, procurement, and governance decisions.
