Sustainability 101: De-mystifying sustainability terminology and buzzwords

You may have heard of many different sustainability buzzwords and each of them may have different origins and definitions. But do they mean the same thing? If not, what is the difference between these terms? In this issue, we will share what YTL Group has worked on in terms of sustainability.

We have selected a few commonly used sustainability buzzwords to share with you. If you would like to learn more about it, please kindly visit Bursa Malaysia’s insights on this by clicking here.

Sustainability and Sustainable Development

Sustainability is a widely-adopted term in business management which often refers to the approach taken by companies to create and maintain long-term stakeholder value by addressing the economic, environment, social and governance issues related to their businesses.

Sustainable development can be defined as development that meets the needs of the present without compromising the ability of future generations to meet their own needs.

Corporate Social Responsibility (CSR)

A term which emerged as early as the 1950s and still used today, CSR encompasses the economic, legal, ethical, and discretionary (philanthropic) expectations that society has of organisations at a given point in time. Some may use the term more narrowly than the given definition, focusing only on the social side of business, particularly when it comes to engaging communities through philanthropy and employee volunteerism.

Environmental, Social and Governance (ESG)

A generic term that refers to the environmental, social, governance and financial factors, that is used to inform the investment and lending decision-making process by the financial sectors.

Other Terms

In addition to the above terminology to describe sustainability, social responsibility and ESG in business, there are other terms which are also sometimes used to describe the same concept. Terms such as Triple Bottom Line, People Planet & Profit (PPP), Non-Financial Performance, Environment, Economic and Social (EES), and many others.

Founded on the ethos of “Building The Right Thing” (BTRT), YTL Group is committed to consistently reinforce our creative thinking and innovative approach so that we can continue Making a Good Future Happen.

Our commitment to sustainability is embedded in all aspects of our business in line with our strategy and four main pillars of Environment, People, Community and Marketplace.