ESG

The European Sustainability Reporting Standards (ESRS) came into force on 1 January 2024 and are not just a regulatory requirement for many organisations, but also an important business consideration, reflecting growing expectations from customers and employees.

For organisations, it is essential to quantify the financial impact of risks, particularly those arising from climate change and changes in societal behaviour.

ESG advisory services

At Nordisk Aktuarservice, we help organisations quantify and understand their ESG risks.

We transform HR and occupational health and safety data into clear metrics and models that can be used for management purposes and reporting. Our work is data-driven and fully documented, providing valuable support in discussions with auditors, banks, and major customers.

Many traditional quantitative risk management methods do not adequately account for ESG risks, even though these risks are inherently financial in nature.

As a result, many organisations can benefit from incorporating dedicated ESG risk models and data-driven approaches such as People Analytics as part of a more comprehensive and well-founded risk management framework.

A solid understanding of ESG risks is essential for effective Enterprise Risk Management (ERM) and enables organisations to prioritise resources and initiatives more effectively.

In addition, we help insurance companies incorporate climate-related risks into the ORSA (Own Risk and Solvency Assessment).

Why Nordisk Aktuarservice?

We specialise in quantifying financial risks through the application of statistical models and scenario-based analytical tools.

Data is the foundation of effective risk assessment. Establishing a robust framework for reliable and meaningful risk modelling requires expertise in collecting, managing, and maintaining data in a controlled and transparent manner.

We deliver transparent models, clearly documented assumptions, and results that can be readily understood by HR, finance, and management alike. Our solutions are tailored to each organisation and its needs, not the other way around.

We offer

Quantitative S-Models

Absence and Sick Leave (People Analytics): We analyse new episodes of absence, their duration, and the risk of long-term absence, while identifying patterns and trends over time. The results can be used directly for management reporting and decision-making. Workplace accident analysis can also be incorporated where relevant
Employee Turnover (People Analytics): Analysis of employee inflow and outflow, combined with projections that support workforce planning, retention strategies, and talent management
Health, Safety, and Accidents: Frequency and severity models, including the analysis of near misses, with a focus on pattern recognition and the prioritisation of preventive actions
S-metrics and Reporting Tools: A practical solution that structures and processes existing data, performs data quality checks for missing values and anomalies, and generates the quantitative S-metrics required for reporting
Risk and Impact Assessment: Models that combine probability and impact to translate s-risks into actionable decision support. For self-insured organisations and insurance companies, these analyses can be linked to claims reserve calculations where relevant

Frequently Asked Questions

Find answers to some of the questions we frequently receive about ESG.

If you can't find what you're looking for, you're always welcome to contact us for a no-obligation consultation.

How can ESG create value for the organisation?

ESG can create value by strengthening the basis for decision-making, improving risk management and directing resources towards the initiatives with the greatest impact. For example, analyses of sickness absence and employee turnover, or assessments of climate-related risks, can support more specific and robust decisions. The key is to focus on the ESG factors that are material to the business.

Which ESG risks are most important to focus on?

Focus on the ESG risks that could have the greatest impact on your finances, operations, employees or reputation. We help you identify and prioritise the most important ESG risks, allowing you to target your efforts rather than address every ESG factor at once.

How can ESG strengthen our risk management?

ESG risks are often closely linked to the organisation’s other risks. Integrating ESG into risk management gives management a more complete picture of the factors that may affect the organisation’s development, finances and long-term resilience.

For example, high sickness absence, recruitment challenges and climate-related operational disruptions are ESG factors that can also pose specific business risks.

For insurance companies, ESG can also be incorporated into existing processes such as ORSA and Solvency II.

Solvency II

Prioritise ESG initiatives based on the most material risks, the existing data and the expected value. This makes it easier to direct resources towards the initiatives that can make the greatest difference and avoid initiatives with limited impact.

How do we get started with ESG without making the work unnecessarily extensive?

How are ESG and People Analytics connected?

The social dimension of ESG often relies on employee data, and People Analytics can provide a stronger basis for decision-making. Analyses of sickness absence, employee turnover, workplace injuries and well-being can support ESG reporting, risk management and better decisions concerning the organisation’s employees.

How do we translate ESG data into concrete decisions?

ESG data creates value when it is translated into a concrete basis for decision-making. Data can be used to identify risks, prioritise initiatives, measure their impact and inform strategic decisions.

For example, if analyses show elevated employee turnover in certain parts of the organisation, management can target its efforts where the risks and financial consequences are greatest.

At Nordisk Aktuarservice, we help organisations translate ESG data into key metrics, analyses and models that can be used directly in management reporting and decision-making processes.

How do we measure whether our ESG work creates value?

ESG work creates value when it leads to better decisions, more targeted initiatives or fewer material risks. Its value should therefore be assessed against specific objectives and key metrics, rather than solely by the extent of ESG reporting.

Concrete results may include lower sickness absence, improved employee retention or earlier identification of material risks.

Which steps should we follow in our ESG work?

A structured, step-by-step process makes it easier to focus ESG work and connect risks, data, key metrics and decisions:

Identify material ESG risks and opportunities
Map existing data and reporting requirements
Establish relevant key metrics and management reporting
Integrate ESG into risk management and decision-making processes
Monitor progress and document the results

ESG work can be carried out in stages, with its scope adapted to the organisation’s needs, available data and resources. This creates momentum without making the process unnecessarily extensive.

What ESG documentation should we have in place?

The requirements depend on the organisation’s size, activities and reporting obligations, but many organisations benefit from documenting:

ESG policies and objectives
Materiality assessments
ESG risks and risk assessments
Underlying data and key metrics
Methods, assumptions and data quality

It is often more valuable to document trends in, for example, sickness absence, employee turnover and workplace injuries over time than simply to report isolated figures. Clear documentation strengthens the basis for decision-making and dialogue with stakeholders.