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Automated ESG Reporting Assistant for Corporate Disclosures
Leveraging GenAI, RAG, and ML to Streamline ESG Compliance on Databricks
ESG is becoming important in corporate world. This is still a gray area for many organizations. The article is an attempt to help AI integrate in ESG reporting. ESG stands for Environmental, Social, and Governance — three critical pillars by which modern enterprises are evaluated beyond financial metrics. These dimensions provide transparency around a company’s sustainability practices, ethical standards, and corporate governance.
Why ESG Matters?
- Investors consider ESG scores when allocating capital.
2. Regulators (e.g., EU CSRD, SEC, SEBI) mandate ESG disclosure.
3. Customers increasingly buy from value-aligned brands.
4. Boards and CEOs monitor ESG risks to future-proof the business.
Failure to comply or demonstrate progress on ESG can lead to reputational damage, regulatory penalties, or loss of investor confidence.
Key ESG Metrics and What They Tell Us
Here are 10 widely accepted ESG parameters, tracked quarterly by leading organizations:
