Transforming ESG Accountability Practices into Managerial Ones

This chapter aims to explore the evolution of environmental, social and governance (ESG) practices from mere accountability measures to comprehensive managerial tools supporting decision-making and control processes. Additionally, it seeks to investigate the role of ESG practices in stimulating organisational change, utilising Burns and Scapens’ framework for analysing organisational change. The study was based on a longitudinal case study. Data for this research were gathered through document analysis and interviews. The findings revealed an evolution of ESG practices from being primarily focused on accountability to becoming integrated managerial tools aiding decision-making and control processes. A major limitation of this research was due to the limited time of the observation of the phenomenon investigated. This chapter highlights several implications for managers and suggests to integrating ESG concerns into management control systems. Despite the growing prominence of ESG practices, empirical studies exploring their impact on organisational change remain scarce. This chapter offers insights into the influence of ESG practices on decision-making processes, management practices and management accounting information.