David Weisberg

Profile of Democracy: Tatenda Muspatike

Ruby Martinez

The Evolving Role of ESG: Insights from Expert Jeff Gowdy on Business and Sustainability

As the intersection of business and sustainability evolves, companies face a critical question: Is the world better off because your company exists?

To explore this, I sat down with Jeff Gowdy, an expert in ESG and sustainability strategy. With over two decades of experience, he has advised major corporations on sustainability initiatives, including GE’s Ecomagination and Walmart’s Sustainable Value Networks.

As an adjunct professor at Vanderbilt University and a member of advisory panels for organizations like the CDP Science Based Targets project, Gowdy brings deep expertise in greenhouse gas emissions, materiality, and impact assessment, shaping the way businesses approach sustainability today.

At the heart of our conversation, Gowdy posed a larger question: Can we move forward within the systems we’ve built? This challenges businesses, investors, and individuals to think beyond financial returns and consider their broader impact on society, the planet, and future generations.

ESG vs. Sustainability: What’s the Difference?

A core theme in our discussion was the distinction between ESG (Environmental, Social, and Governance) and sustainability. Though often used interchangeably, Gowdy clarified that ESG is just one piece of the broader sustainability framework.

“ESG is really a subset of sustainability,” he explained. “It originated in the investment world as a way for companies to assess and disclose risks related to environmental, social, and governance issues. Think of it as a galaxy within the larger sustainability universe.”

This distinction is crucial because many companies treat ESG as a compliance exercise rather than a commitment to meaningful change. ESG reporting is a tool, not the goal. A company can score well on ESG metrics yet still fail to be truly sustainable. Understanding the bigger picture is what matters.

Still, the formalization of ESG has enabled businesses to track and evaluate their efforts, making it a key aspect of corporate accountability. ESG covers a broad range of concerns, from climate change and resource management to labor practices, corporate ethics, and diversity initiatives. Investors, consumers, and employees increasingly use ESG criteria to decide where to invest, whom to work for, and which brands to support. As businesses recognize this shift, ESG has evolved from an optional practice to an essential component of long-term success.

Beyond the Buzzwords: The True Impact of ESG

When it comes to measuring ESG success within organizations, goals must be actionable rather than aspirational. Successful ESG implementation requires strategy, planning, and communication, a circular process, as Gowdy uses in his work at SustainServe. 

He encourages businesses to ask the right questions. What do your customers, board members, or regulators care about? What are your competitors doing? Companies that tailor their approach to their own strengths and context are not just more effective. They are also more likely to contribute to real change. That, Gowdy said, is the true purpose of ESG.

The Future of ESG

As ESG continues to produce positive results, critics who don’t believe in the real-world results remain skeptical. 

Gowdy acknowledges this challenge but maintains that ESG is now an imperative business strategy. “It’s grown exponentially,” he said. “Every major company now has a sustainability report, and they’re likely reporting to sustainability entities like the Carbon Disclosure Project (CDP). If you search a company’s ticker on Google, you’ll probably find their CDP score.”

Yet, not all companies take ESG seriously. Gowdy recalled a client who dismissed their low CDP score, until they realized it was public. The shift from private performance to public accountability shows how transparency is driving corporate change. Companies that do not keep up risk being left behind.

Final Thoughts: The Power of Learning and Teaching

As a high school student, I’m not an expert in ESG. But I’ve realized that you do not have to be a corporate leader or a sustainability major to care about it. Gowdy emphasized that anyone can take part in pushing for better environmental and social practices, no matter their background.

For me, learning has been the most powerful part. The more I understand about climate change and social systems, the more empowered I feel to speak up, make better choices, and help others do the same. Whether that means being mindful about where I spend my money or educating my peers, I take responsibility for the impact I have.

Gowdy, who has spent years teaching at Vanderbilt, described education as planting seeds.

“Teaching is kind of like if you bought a small plane and loaded the plane with a bunch of seeds and you just flew. You just fly along as far as you can and drop the seeds as far and wide as you can. You don’t know what seeds are going to grow and which ones aren’t going to grow, but have faith that the seeds are going to drop. Sun’s going to find them. They’re going to get watered and they’re going to grow up and produce.”

This kind of learning goes far beyond a classroom. In business, understanding ESG helps shape decision-making. In government, it guides policies that can hold companies accountable. As consumers, it lets us choose what kind of world we want to support.

As our conversation wrapped up, Gowdy left me with one last question.
“Will we be able to move forward? Will we be okay within the systems we’ve constructed?”

The future of ESG is still unfolding. What matters now is how we choose to respond and whether we use it to create real, lasting change.

Ruby Martinez
Writer/Student

Ruby Martinez is a high school senior with a deep love for music, especially jazz, and an ever-growing collection of playlists for every vibe. She’s passionate about social sciences and plans to major in social work, with the goal of advocating for mental health and building stronger, more connected communities. Excited to start college in New York, Ruby hopes to use her voice to bridge gaps, spark empathy, and make real change wherever she goes.

Trees photo: Ruby Martinez

The Evolving Role of ESG: Jeff Gowdy

Ruby Martinez

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