Integrating ESG issue into performance management system: An analysis of Italian Context

Titolo Rivista MANAGEMENT CONTROL
Autori/Curatori Salvatore Principale, Daniela Cicchini, Luigi Andrea Carello, Rubina Michela Galeotti
Anno di pubblicazione 2024 Fascicolo 2024/2
Lingua Inglese Numero pagine 24 P. 15-38 Dimensione file 320 KB
DOI 10.3280/MACO2024-002002
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The attention of regulators and stakeholders toward environmental, social and governance (ESG) issues has consolidated in recent years. In this context, compa-nies have to, on the one hand, manage ESG risks and on the other hand, face the greater information needs required by stakeholders and political policymakers. The management of ESG phenomena and better transparency of information, by companies must integrate ESG factors between metrics and performance man-agement systems. This work aims to identify the drivers that favour the integration of ESG indicators in performance management systems. A panel analysis was per-formed in the period 2018-2021 on a sample of 104 listed Italian companies. The results show that some factors such as environmental sensitivity and the presence of State-Owned Enterprises are factors that could incentivized the integration of ESG metrics.

Keywords:Performance Management Systems, Management Control, Sustaina-bility management control, Sustainability, ESG performance

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Salvatore Principale, Daniela Cicchini, Luigi Andrea Carello, Rubina Michela Galeotti, Integrating ESG issue into performance management system: An analysis of Italian Context in "MANAGEMENT CONTROL" 2/2024, pp 15-38, DOI: 10.3280/MACO2024-002002