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ISSB Taxonomy

Environment

Conservation of the natural world

Air Quality

The management of air quality impacts resulting from stationary and mobile sources as well as industrial emissions.

Ecological Impacts

The management of the company’s impacts on ecosystems and biodiversity through activities including, but not limited to, land use for exploration, natural resource extraction, and cultivation, as well as project development, construction, and siting.

Energy Management

The environmental impacts associated with energy consumption.

GHG Emissions

Direct (Scope 1) greenhouse gas (GHG) emissions that a company generates through its operations.

Waste & Hazardous Materials

Environmental issues associated with hazardous and non-hazardous waste generated by companies.

Water & Wastewater Management

A company’s water use, water consumption, wastewater generation, and other impacts of operations on water resources, which may be influenced by regional differences in the availability and quality of and competition for water resources.

Social

Consideration of people & relationships

Access & Affordability

A company’s ability to ensure broad access to its products and services, specifically in the context of underserved markets and/or population groups.

Customer Privacy

The management of risks related to the use of personally identifiable information (PII) and other customer, user data for secondary purposes including but not limited to marketing through affiliates and non-affiliates.

Customer Welfare

Customer welfare concerns over issues including, but not limited to, health and nutrition of foods and beverages, antibiotic use in animal production, and management of controlled substances.

Data Security

The management of risks related to collection, retention, and use of sensitive, confidential, and/or proprietary customer, user data.

Employee Engagement

A company’s ability to ensure that its culture and hiring and promotion practices embrace the building of a diverse and inclusive workforce that reflects the makeup of local talent pools and its customer base.

Employee Health & Safety

A company’s ability to create and maintain a safe and healthy workplace environment that is free of injuries, fatalities, and illness (both chronic and acute).

Human Rights & Community Relations

The management of the relationship between businesses and the communities in which they operate, including, but not limited to, management of direct and indirect impacts on core human rights and the treatment of indigenous peoples.

Labor Practices

The company’s ability to uphold commonly accepted labor standards in the workplace, including compliance with labor laws and internationally accepted norms and standards.

Product Quality & Safety

Issues involving unintended characteristics of products sold, services provided that may create health, safety risks to end-users.

Selling Practices & Product Labelling

Social issues that may arise from a failure to manage the transparency, accuracy and comprehensibility of marketing statements, advertising and labelling of products and services.

Governance

Standards for running a company

Business Ethics

The company’s approach to managing risks and opportunities surrounding ethical conduct of business, including fraud, corruption, bribery and facilitation payments, fiduciary responsibilities, and other behaviour that may have an ethical component.

Business Model Resilience

An industry’s capacity to manage risks and opportunities associated with incorporating social, environmental, and political transitions into long-term business model planning.

Competitive Behavior

Social issues associated with existence of monopolies, which may include, but are not limited to, excessive prices, poor quality of service, and inefficiencies.

Critical Incident Risk Management

The company’s use of management systems and scenario planning to identify, understand, and prevent, minimize the occurrence of low-probability, high-impact accidents and emergencies with significant potential environmental and social externalities.

A company’s approach to engaging with regulators in cases where conflicting corporate and public interests may have the potential for long-term adverse direct, indirect environmental and social impacts.

Materials Sourcing & Efficiency

Issues related to the resilience of materials supply chains to impacts of climate change and other external environmental and social factors.

Product Design & Lifecycle Management

Incorporation of environmental, social and governance (ESG) considerations in characteristics of products and services provided, sold by the company.

Physical Impacts of Climate Change

The company’s ability to manage risks and opportunities associated with direct exposure of its owned, controlled assets and operations to actual, potential physical impacts of climate change.

Supply Chain Management

The management of environmental, social and governance (ESG) risks within a company’s supply chain.

Systemic Risk Management

The company’s contributions to, management of systemic risks resulting from large-scale weakening, collapse of systems upon which the economy and society depend.