Skip to main content

An ESG Metrics Management System for Sustainable Financial System

  • Conference paper
  • First Online:
Enterprise Design, Operations, and Computing. EDOC 2023 Workshops (EDOC 2023)

Part of the book series: Lecture Notes in Business Information Processing ((LNBIP,volume 498))

  • 110 Accesses

Abstract

Climate change risks permeate all economic sectors [1]. As Environmental, Social, and Governance (ESG) initiatives expand and reporting obligations adapt to the dynamic evolution of ESG, several challenges arise. There is a pressing demand for tools that address these ESG-related deficiencies, data infrastructure challenges, and technical constraints while enhancing domain expertise engagement. In our research, we design top-down architecture and framework to serve and satisfy ESG user requirements among jurisdictions and guide bottom-up ESG data infrastructure. In addition, we define the nature of the ESG analytic data pipeline, embedding models and metrics. Our contribution will lay on three aspects. First, our research shed light on sustainable financial systems’ framework and architecture development, especially ESG services for decision-making and disclosure. Second, our ESG analytics data pipeline design assists ESG data infrastructure development. Last but not least, our research mitigates misrepresenting the ESG concept and fragmentation of ESG terminology.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 59.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 74.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Similar content being viewed by others

References

  1. Australian Prudential Regulation Authority. Prudential practice guide: draft cpg 229 climate change financial risks (2021)

    Google Scholar 

  2. Hänsel, M.C., et al.: Climate economics support for the un climate targets. Nat. Clim. Change 10(8), 781–789 (2020)

    Article  Google Scholar 

  3. Dietz, S., Bowen, A., Dixon, C., Gradwell, P.: ‘climate value at risk’ of global financial assets. Nat. Clim. Chang. 6(7), 676–679 (2016)

    Article  Google Scholar 

  4. Financial Stability Board et al. Recommendations of the task force on climate-related financial disclosures 92017)

    Google Scholar 

  5. Financial Stability Board et al. Task force on climate-related financial disclosures: 2022 status report (2022)

    Google Scholar 

  6. Christensen, D.M., Serafeim, G., Sikochi, A.: Why is corporate virtue in the eye of the beholder? the case of ESG ratings. Account. Rev. 97(1), 147–175 (2022)

    Article  Google Scholar 

  7. Avramov, D., Cheng, S., Lioui, A., Tarelli, A.: Sustainable investing with ESG rating uncertainty. J. Financ. Econ. 145(2), 642–664 (2022)

    Article  Google Scholar 

  8. OECD. ESG ratings and climate transition. (06) (2022)

    Google Scholar 

  9. Widyawati, L.: Measurement concerns and agreement of environmental social governance ratings. Account. Financ. 61, 1589–1623 (2021)

    Article  Google Scholar 

  10. Nordhaus, W.: Evolution of modeling of the economics of global warming: changes in the dice model, 1992–2017. Clim. Change 148(4), 623–640 (2018)

    Article  Google Scholar 

  11. Kotsantonis, S., Serafeim, G.: Four things no one will tell you about ESG data. J. Appl. Corp. Financ. 31(2), 50–58 (2019)

    Article  Google Scholar 

  12. Peffers, K., Tuunanen, T., Rothenberger, M.A., Chatterjee, S.: A design science research methodology for information systems research. J. Manage. Inf. Syst. 24(3), 45–77 (2007)

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Mingqin Yu .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2024 The Author(s), under exclusive license to Springer Nature Switzerland AG

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Yu, M. (2024). An ESG Metrics Management System for Sustainable Financial System. In: Sales, T.P., de Kinderen, S., Proper, H.A., Pufahl, L., Karastoyanova, D., van Sinderen, M. (eds) Enterprise Design, Operations, and Computing. EDOC 2023 Workshops . EDOC 2023. Lecture Notes in Business Information Processing, vol 498. Springer, Cham. https://doi.org/10.1007/978-3-031-54712-6_22

Download citation

  • DOI: https://doi.org/10.1007/978-3-031-54712-6_22

  • Published:

  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-031-54711-9

  • Online ISBN: 978-3-031-54712-6

  • eBook Packages: Computer ScienceComputer Science (R0)

Publish with us

Policies and ethics