In this second part we continue talking with Jaime Trujillo, regional Chair Latin America of Baker McKenzie; Jorge Badía, CEO of Cuatrecasas; Fernando Vives, executive chairman of Garrigues and Ana Suárez Capel, Sustainability director of Uría Menéndez, large law firms that are committed to ESG (environmental, social & governance) criteria as a roadmap to contribute to the economic and social development of the environments in which they work.
In the first installment we discussed the role of the legal profession as a driver of social change and the environmental, social, and governance (ESG) best practices that have been implemented during the last year and a half of the pandemic. Today we’ll talk about how to lead a firm responsibly, how to grow sustainably, and what challenges have been identified in playing an active role in advancing and implementing ESG best practices.
What opportunities and challenges have you identified by playing an active role in advancing and implementing good ESG practices?
Ana Suárez Capel, Director of Sustainability at Uría Menéndez: “Equity, diversity and inclusion policies, workplace health and well-being issues, and climate change are the main challenges of the future. Law firms have great opportunities to follow these criteria, especially regarding socially responsible investments.”
Jaime Trujillo, Regional Chair Latin America of Baker McKenzie: “The benefits and opportunities associated with being a responsible company are endless: avoiding risks, working with some of the most innovative companies in the world to achieve a real impact and building a firm that stands the test of time.
There are also some challenges: the information landscape is changing, and it can be difficult to identify the best criteria for your business and value chain. Rising stakeholder expectations, market and regulatory changes, and a lack of trust in companies are all aspects of a challenging business landscape that can be difficult to navigate. I believe the key to all of this is transparency. We need to normalize not getting it perfectly right. We all rush to report our wins, but the real impact comes when we also report our shortcomings and adapt to address their root causes.
Garrigues: “We have observed a growing awareness of the direct link between environmental, social, and governance (ESG) factors and a company’s long-term performance. From our interactions with clients, we have identified five major challenges: integrating ESG criteria into business strategy; developing and reviewing sustainability plans and policies; building trust in corporate governance; driving the decarbonization of the economy through energy efficiency and innovation; and contributing to and strengthening commitments to gender equality, diversity, and human rights. As advisors, we face the significant challenge of helping companies meet these challenges. It is not enough to have in-depth regulatory knowledge; we must provide a 360º approach encompassing all aspects of business law, combined with strong technical and environmental analytical skills.”
How do you lead a firm responsibly and how do you grow sustainably?
Fernando Vives, Executive Chairman of Garrigues: “The key lies in attracting and retaining the best talent, which has made Garrigues what it is today: a benchmark in the legal sector worldwide, not only for its technical expertise but also for its values, with ethics at its core, and its commitment to society. Garrigues’ strength lies in its people, and without the direct involvement of the entire team, none of this would be possible.”
Jaime Trujillo, Regional Chair for Latin America at Baker McKenzie: “It has to be both top-down and bottom-up. Sustainability is something that must be integrated at all levels of the organization to become systemic and, therefore, underpin sustainable development. Company leaders must be transparent and accountable advocates for these efforts and significantly drive the planning and implementation of sustainable business practices. But it must also be organic at all levels of the company.”
In our case, conducting a materiality assessment allowed us to consult with various stakeholders and ensure that our findings and subsequent strategy reflected the values and concerns of all our people.”
Ana Suárez Capel, Director of Sustainability at Uría Menéndez: “Through sustainable leadership, which involves integrating environmental, social and governance issues in a balanced way, and based on values that, in our case, are excellence, passion for law, ethical and responsible behavior, humility, respect and empathy, intellectual leadership and continuous training, commitment to talent, effort, diversity and support for culture, education and the environment.”
