The Tribune

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

A Bahamian accountant yesterday urged local companies to get on board with growing environmental, social and governance (ESG) awareness and develop strategies necessary to adapt. 

Kevin Cambridge, advisory partner for Pricewaterhouse (PwC) Bahamas, told Bahamas Institute of Chartered Accountants (BICA) members that it was key for business to adjust to modern workplace technology advances and the “disruption” it has caused the middle class. 

“What comes out of the ADAPT framework is five shifts. Those shifts relate to ESG and, sustainability, rapid digitisation, the agile business models, resilient supply chains and workforce transformation,” he said.

COVID-19 resulted in such transformation “accelerating”, and caused PwC and its clients to look at “up-skilling” - especially with regard to digitisation. With the work and social landscape “dramatically changed”, Mr Cambridge added: “It goes without saying that the social landscape has dramatically changed in terms of social networks, and they’re stronger than ever.

“In terms of this digital age, organisations are looking really closely at their social character and the way they are reflected in terms of the way they do business. In terms of governance, we’re no strangers to governance as accountants. The ESG revolution will drive that and make it even more heightened.

“We use the example of multilateral funding agencies. So if you look at what’s going on, particularly with the IDAs or international donor agencies, they will focus - and continue to focus - on demanding and requesting to see elements of an ESG strategy.” 

Heightened awareness of an ESG strategy is “on the rise” in The Bahamas. Mr Cambridge said he had been dealing with private banking clients who are under pressure from shareholders on formulating an ESG strategy. 

“So PwC’s latest agenda focuses on what we call the new equation. In essence, it’s people hard-wired to find solutions, and wired with the latest technology,” he added. 

“The new equation really focuses on two elements; people and technology. When you look at technology and digital transformation, you basically are going down the wrong path if you don’t realise that it’s equally important to move your people and change management in lockstep with the technology.”