Using correlation and regression analysis methods to assess the impact of key ESG indicators on the sustainable development of an enterprise

Abstract

The interrelationships between the integral indicator of sustainable development of an enterprise and key performance indicators reflecting the three ESG blocks have been revealed. The subject of the study is the assessment of sustainable enterprise development dependence on environmental, social, and managerial factors, which was carried out on the basis of creating and analyzing an econometric model of 18 ESG indicators of sustainable development of a large international mining and metallurgical vertically integrated company. The main research methods were correlation and regression analysis. The correlation between the value of the sustainable development indicator of an enterprise and ESG-factors has been proved. Specific key indicators affecting the sustainable development of an enterprise have been identified. The scientific contribution of the study lies in identifying the peculiarities of the environmental and social aspects influence on the performance of industrial enterprises in the mining and metallurgical industry in the context of increasing demand for sustainable development. The study results are crucial for achieving not only the strategic, commercial, and production goals of an enterprise, but also the goals of promoting the sustainable development agenda in the manufacturing sector of the country. The directions of future research in this area are seen in the development of conceptual provisions on the directions of business processes adjustment in Russian enterprises considering ESG principles.

Keywords

• sustainable development
• esg factors
• industrial enterprises’ responsibility
• key performance indicators
• environmental responsibility
• social responsibility