ESG and Digital Transformation: How Digitization Helps Businesses Meet ESG Criteria

Student: Evstratova Nadezhda

Educational Programme: Management and Digital Innovation (Bachelor)

Year of Graduation: 2024

Abstract: This thesis investigates the impact of digitalization on Environmental, Social, and Governance (ESG) practices across industries in Russia. Gathering data from digitalization and financial reports, and utilizing Spearman correlations, the study shows that higher profits correspond higher ESG rankings. Through case studies spanning various sectors, it emphasizes the importance of ESG criteria, examines how digitalization facilitates ESG compliance. The research highlights the dominance of Governance initiatives and identifies key trends such as universal Governance efforts, cross-industry innovations, and a preference for domestic software solutions. A financial model for electronic document management systems demonstrates the efficacy of ESG digitalization practices. Limitations include data availability constraints and timing discrepancies in ESG reporting. Keywords: ESG, Digital transformation, Sustainability, Risk management, Long-term value creation, Sustainability practices, Sustainable growth.

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