Sustainable investment decisions with the ESG Decision Assessment

Decisions are at the heart of every company. Companies must recognise trends and risks at an early stage and react to them. The transformation towards a green and digital economy, coupled with technological progress and geopolitical tensions, is forcing many companies to not only adjust their business model, but to fundamentally reorganise it.

But how can companies assess alternative strategies in the transformation process? What do possible investment paths look like? This decision-making process is complex: the dynamics of the economic environment are extremely high and at the same time the expectations of stakeholders - customers, investors, regulators and civil society - are increasing.

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Our solution

With the ESG Decision Assessment, KPMG offers a holistic approach with which companies can validate, evaluate and prioritise the available options for action and thus align their decision-making process with their sustainability strategy as part of their corporate strategy. Value-based goals expressed in the sustainability strategy can thus be translated into transparent calculations for investment or transaction decisions. This enables sustainable decision-making and management as well as ESG-compliant reporting.

ESG risks must already be included in the selection process for strategic action alternatives. We support you in translating the alternative courses of action into either financial key figures or quantitative and qualitative guidelines that are equally taken into account in the decision-making process. Our consulting approach enables you to systematically assess alternative investment decisions and to compare very different investment decisions, e.g. investments in CO2-reducing technologies or in resilient supply chains.

By systematically analysing and quantifying the ESG risks and opportunities, the value impact associated with the decision can be consistently calculated and the best course of action with the optimal ESG performance/risk ratio can be determined, which can lead to a sustainable increase in the company's value.

Mapping the options for action

In the first step, we work with you to define possible options for action, tailored to your business model and your key ESG factors.
Definition des ESG Decision Model

In the second step, the options for action are transferred into a flexible planning model, taking into account the central ESG factors.
ESG Simulation

In the third step, the key ESG value drivers are identified and simulated.
ESG Decision Assessment

In the fourth step, the options for action are evaluated in the performance risk matrix and recommendations for action are derived.