Managing selected types of costs related to ESG implementation in enterprises

Monika Szczerbak, Paweł Dec

Abstract

In the current global business environment, the key factor influencing the success and sustainability of enterprises are the ESG assumptions, which aim to take into account environmental, social, and governance aspects in the decision-making process and when conducting business activities. This concept is not only gaining in importance but also penetrates deeply into an organisation's strategy, defining how companies should manage resources, product quality, and their impact on the surrounding world. Authors show how ESG is becoming an integral part of enterprise management, especially with respect to quality and environmental protection cost management. They focus on specific Lean Accounting tools and integrated quality and environmental cost accounting that can be used when implementing ESG assumptions. The proposed solutions result in a reduction in the use of raw materials and other resources, which is beneficial both for the planet and the company's financial results.

Keywords: ESG, enterprise value, cost management, quality costs, environmental protection costs, integrated quality, and environmental protection cost accounting

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