This edition delves into the essence of the “Social” aspect of the ESG (Environmental, Social, and Governance) framework. Although it's typically referred to as “society,” we suggest a slight semantic twist for the ‘S’ component: drawing from the term ‘saram,’ signifying ‘people’ or ourselves, we propose a people-centered interpretation of ‘S,’ rendering it more approachable and relatable.

Let's look at several keywords related to the social aspect.
At the heart of a corporation's ESG commitment, ‘S’ signifies taking responsibility for various stakeholders — employees, supply chains (partners), consumers, and local communities. It underscores the need to foster diversity, equity, and inclusion, collectively known as DE&I.

ESG trends among corporations can generally be classified into two dominant trajectories: one focuses on mitigating the adverse effects in the Environmental (E) realm, while the other endeavors to gauge and disseminate positive impacts in the Social (S) realm. Let's explore some illustrative examples of corporate social management.

# Viewing the World Through an Inclusive Lens

Netflix made industry headlines in 2021 by publishing its inaugural Inclusion Report.ⁱ The report sheds light on the company's ongoing efforts and future plans to foster diversity and inclusion. It provides statistical insights into the gender and racial composition of not only its employees, but also characters featured in its streaming content.

Netflix's ethos — that compelling stories should not only entertain but also challenge biases and widen the scope of empathy and understanding — resonates powerfully. Through diverse narratives, including themes on climate change and human rights, Netflix offers audiences an opportunity to reflect on various facets of life and culture.

# A Design Philosophy for Everyone

Have you heard of the concept of Universal Design permeating our everyday existence? Some examples include lever-type door knobs and low-floor buses. Universal Design encapsulates the principle of crafting designs accessible and usable by individuals with diverse attributes. Although initially conceived as a framework for creating disabled-friendly structures and amenities, its scope has broadened, encompassing all products, services, data, and surroundings. It resonates with the essence of Design for All or Inclusive Design, serving a broad user spectrum beyond individuals with disabilities, including the elderly, children, and foreign nationals.

Several enterprises are realizing inclusivity by integrating Universal Design into their operations. For instance, LG Electronics' television division manifests an innovative vision, offering ‘accessible and sustainable experiences.’ Introducing voice guidance exemplifies this vision feature cognizant of the needs of visually impaired clients. Further, LG dispenses complimentary Braille stickers compatible with all LG appliances, ensuring product convenience is accessible to an expansive user base, including those unable to read Braille, by integrating intuitive icons.
Our organization advocates for Universal Product Design, deploying a Braille notation system to differentiate between assorted cosmetic categories. We've crafted reusable Braille tags for pre-existing products and widened the gamut of information down to the specific colors of makeup products, thereby amplifying accessibility and ensuring the joy of beauty is within everyone's grasp.

# Fostering Equity: Beyond Just Equality

Several corporations are championing the previously alluded concept of equity. Apple, for instance, made headlines in January 2021, not for launching an innovative product or a technological breakthrough but for announcing the Racial Equity and Justice Initiative (REJI). With the world witnessing waves of anti-discrimination protests in the wake of multiple black fatalities due to racism, Apple's CEO underscored, “We shoulder the responsibility to usher in a more equitable and just world.”

This ambitious $100 million endeavor, focused on dismantling opportunity-obstructing barriers and crushing the pillars of inequality, is set to enlarge opportunities for communities of color. The initiative encompasses the launch of a global innovation and learning center for Historically Black Colleges and Universities (HBCUs) and facilitates coding and tech education for marginalized children, strengthening Apple's commitment to cultivating the future generation of developers.

# Redirecting Corporate Focus Toward People

Enterprises are extending their proficiency beyond their core operations to make meaningful contributions to society and its people.

Leading the campaign advocating healthier eating habits, Pulmuone has been educating diverse age groups, from children to the elderly, for over a decade. This initiative began in 2010 to empower children to make healthy dietary choices autonomously, and to date, it has successfully engaged over 100,000 young participants.

The ‘Last Mile Project’ originated from the Coca-Cola company's question: “Why can't medicines be as globally accessible as Coca-Cola?” This initiative delivers vital medicines to remote African regions, where half the population suffers due to inadequate medical supplies. The project leverages Coca-Cola's robust supply chains, distribution systems, and marketing expertise to achieve its goal — making medicinal access as simple as reaching out for a Coca-Cola, no matter where in the world one might be. Initiated as a pilot program in Tanzania in 2010, the project has reduced delivery times from 30 days to a mere five while supplying essential medicines to 5,500 healthcare facilities. Today, this project continues to flourish, serving ten countries across Africa.

Lastly, it is essential for us to highlight that the ‘S’ in ESG signifies ‘Social’ — an adjective — not ‘Society,’ a noun. The term embodies a broader context that further extends to social values, social impacts, and social responsibilities, among other things. Ultimately, it underscores a management philosophy that prioritizes the very constituents of society — ourselves.

We trust that the ‘Social’ aspect of ESG, being the narrative that resides closest to people, resonated with you. Thank you.

ⁱ https://about.netflix.com/ko/news/2022-inclusion-report-update Neflix 2022 Inclusion Report Update