【A SILENT GLOBAL SOCIO-ECONOMIC TRANSFORMATION: THE ESG MOVEMENT】

Professor Shih-Chun Hsu, Honorary Chairperson of the Taiwan Institute for Research and Evaluation Association (TWAEA), delivered two lectures titled “A Silent Global Socio-Economic Transformation: The ESG Movement Nurtured Within Capitalism” on August 27 and October 29, 2025. Drawing on over 60 years of academic and practical experience, Professor Hsu examined the deeper meaning and global evolution of ESG.

Professor Hsu emphasized that ESG represents a fundamental shift in how society understands economic activity. Beyond standing for Environment, Social, and Governance, ESG reflects decades of global social reform efforts, including human rights, environmental protection, labor rights, and social equity. These issues challenge the long-held belief that market competition alone can resolve social and environmental problems.

A key theme of the lecture was the transition from traditional management, which focuses on efficiency and profitability, to governance that emphasizes responsibility, values, and accountability to all stakeholders. Governance, Professor Hsu noted, requires organizations to move beyond asking how to operate efficiently, and instead consider whether their actions are ethically and socially appropriate.

Professor Hsu also highlighted the importance of institutional design, legal frameworks, transparency, and emerging technologies such as AI in supporting effective governance. However, he cautioned that technology itself is value-neutral and ultimately reflects human intentions, underscoring the need for ethical awareness and open dialogue.

In closing, Professor Hsu acknowledged growing debates and backlash surrounding ESG, but stressed that it should not be reduced to ideology or political labeling. ESG, he concluded, is not a short-term image-building exercise, but a long-term commitment to ethical responsibility, social trust, and sustainable coexistence.

【Excerpt from the issue No. 04, 2025 of TWAEA's ePaper】