ESG risks will be critical to business in the future

From reporting issue to management problem

ESG is no longer just a reporting issue. In this interview, Robert Minge, ESG Officer and Partner at Atreus, explains why sustainability risks are increasingly having strategic, operational, and financial implications—and why companies need to view ESG as an integral part of their management and control logic.

Transformation amid ongoing uncertainty

Robert Minge observes a new level of uncertainty in companies. Geopolitical tensions, changing market conditions in the US, and structural shifts in relations with China are making long-term planning difficult. At the same time, restructuring is on the rise, while technological and regulatory requirements continue to increase.

At the C-level in particular, it is clear that many management teams are challenged by the simultaneous demands of crisis management, transformation, and sustainability requirements. Issues such as digitalization, AI, and ESG cannot be postponed—they must be actively addressed.

ESG as a management task

For Minge, one thing is clear: ESG risks affect all dimensions of corporate value creation. Environmental aspects in particular—above all climate change—have the potential to trigger significant costs and operational risks. Extreme weather events could disrupt supply chains or damage infrastructure.

However, ESG goes beyond environmental issues. Social and governance issues influence financing, investment decisions, and market position. Banks and investors are increasingly looking for robust sustainability strategies.

The key is to make ESG targets measurable and integrate them into existing management processes. Sustainability must be defined “top-down” and cascaded throughout the entire organization—from the supervisory board to the factory floor.

Resolving conflicting goals productively

Companies often face classic conflicts of interest, such as between cost and sustainability aspects in global supply chains. Sustainable procurement may appear more expensive in the short term, but it can strengthen resilience and reputation in the long term.

Minge argues that sustainability should be viewed not as a burden but as a strategic opportunity. A consistently implemented ESG roadmap can bring about operational improvements—for example, through transparency, increased efficiency, or better market positioning.

Culture as a factor for success

In addition to strategy and governance, Minge sees corporate culture as a decisive lever. Transformation can only succeed if employees are taken along with the process and management conveys stability and confidence.

For Minge, one thing is certain: ESG risks will become business-critical even without additional regulatory pressure. Companies that combine innovative strength, measurable goals, and a sustainability-oriented approach to leadership could develop a competitive advantage from this.