There is increasing pressure on small- and medium-sized enterprises (SMEs) in Malaysia to provide better sustainability disclosures. As the country forges ahead with its 2050 net zero climate ambition, new policies are prompting businesses to embed sustainability throughout their operations and supply chains – and in the small and medium-sized enterprises (SMEs) they rely on.
Shifting sustainability requirements among large companies are putting the onus on SMEs to stay ahead or lose relevance, Najwa A’liah Fairuz, head, Brand Engagement of the United Nations Global Compact Network Malaysia and Brunei (UNGCMYB) told Eco-Business.
“Large corporations and regulatory bodies have begun embedding ESG [environmental, social, and governance] criteria into procurement policies. For SMEs, aligning with these standards is no longer a matter of choice but an essential strategic move for continued growth, competitive advantage and market relevance,” Fairuz explained.
One guide, known as the Simplified ESG Disclosure Guide (SEDG) for SMEs in Supply Chains, aims to help SMEs with the sustainability reporting process.
This video on simplifying sustainability reporting for SMEs explores how businesses can adapt to new mandates for climate disclosures.
If you enjoyed the video and want to learn more about sustainability reporting for SMEs, read the full story here.
