Which phase focuses on ongoing review and revision of ESG-related risks?

Which phase focuses on ongoing review and revision of ESG-related risks?

• A. Governance and culture
• B. Strategy and objective-setting
• C. Review and revision
• D. Information, communication, and reporting

Answer: (C)

Ongoing ESG risk management hinges on continually monitoring and updating how risks are addressed as business and external conditions evolve. The phase devoted to this continuous cycle is the one called Review and revision, where organizations re-evaluate ESG risks, revise controls and mitigation plans, and adjust objectives and strategies accordingly. Governance and culture sets the oversight and tone at the top, strategy and objective-setting defines goals and risk appetite, and information, communication, and reporting handles disclosure and stakeholder communication. But without the ongoing review and revision, the approach can become outdated as new risks emerge or circumstances change.

Ongoing ESG risk management hinges on continually monitoring and updating how risks are addressed as business and external conditions evolve. The phase devoted to this continuous cycle is the one called Review and revision, where organizations re-evaluate ESG risks, revise controls and mitigation plans, and adjust objectives and strategies accordingly. Governance and culture sets the oversight and tone at the top, strategy and objective-setting defines goals and risk appetite, and information, communication, and reporting handles disclosure and stakeholder communication. But without the ongoing review and revision, the approach can become outdated as new risks emerge or circumstances change.