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People-Powered Sustainability: Embedding Human Capital in ESG Strategy

 

Anandhi S1, Lavena V2
1.
2.
Assistant Professor, Faculty of Management, SRMIST, Ramapuram, Chennai,
anandhi.krishnan85@gmail.com
Student, II BBA, Faculty of Management, SRMIST, Ramapuram, Chennai, lv3267@srmist.edu.in

 

 

Abstract
In the current scenario of a globalized and competitive business environment, the integration of Environmental, Social and Governance (ESG) principles have become fundamental for sustainable development and success in the long run. Though many organizations acknowledge the importance of ESG, there still exist gaps in implementing these sustainable practices that include human capital as a key driver. This paper explores how organizations can leverage HRM to strengthen ESG activities and create long-term value for stakeholders. The study uses secondary data collected through research papers, blogs and international surveys; the study examines successful ESG strategies from Indian companies added recently in the Dow Jones Sustainability Index, including Cipla, Hero MotoCorp, Godrej Consumer Products and Persistent Systems. The findings highlight how Human Resource Management (HRM) can act as a crucial driver for sustainable development by advocating for green workplace policies, diversity by inclusion, ethical conduct and treating human capital as a measurable business asset. The report concludes that weaving ESG and human capital investment into a company's core fabric is essential for building stakeholder trust, gainingcompetitive advantage and ensuring a lasting and genuine impact beyond mere compliance disclosures.

Keywords: Environmental, Social, Governance, ESG principles, Human Capital

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