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Resiliants: WATER

Resiliants: WATER aims to create a predictive dashboard for avocado...

Greenwashing Risk, Measurement and Detection

This project aims to link sustainability reporting, greenwashing risk detection, and governance. It transforms business education by integrating greenwashing detection models into curricula, targeting energy-intensive industries and capital markets.

Model-based metric of greenwashing
Greenwashing model is easily adaptable and applicable on all companies
Greenwashing model is easily educated to all relevant stakeholders

Climate-Related Hazards Addressed:
Multi-hazard
Impact on climate change

Problems Solved:
Identifying gaps in ESG and non-financial reporting related to greenwashing risks and environmental protection.
Developing an innovative methodology to measure greenwashing risk using advanced textual analysis techniques.
This innovation addresses the crucial need for accurate and reliable ESG reporting by identifying and mitigating greenwashing risks. It enhances transparency and accountability in sustainability practices, ensuring that companies' environmental claims are genuine and impactful. The project also aims to refine governance structures to better align with true environmental protection goals.

TRL2. Applied research: Technology concept and/or application formulated
Textual analysis on 10K forms are previously used in business studies (management, finance, accounting, etc) with high success. It is expected to provide similarly solid results if implemented in identifying and measuring greenwashing, but still need to be designed and tested.

See more information about this level and the TRL and SRL levels.

The system’s main components have been individually tested, and an initial integration has been completed.

Credits
CREDITS
Project Manager - Neophytos Lambertides
Collaborators
COLLABORATORS
Neophytos Lambertides

How does it work?

This project aims to develop linkages among sustainability reporting, greenwashing risk, greenwashing detection and governance. Global sustainability challenges facing the world in the 21st century are transforming the business ecosystem, as well as the level and quality of information available to professionals making business decisions. Sustainability has, thus, emerged as a global imperative, changing the business landscape and transforming the role of the managers, also highlighting a need to facilitate the development of graduates that are well equipped for the future. In an effort to answer increasing pressure for sustainability disclosure, progress on behalf of companies remains uneven, with the level and quality of information varying significantly across sectors and geographies. The more serious threat is that such lack of uniformity can increase the risk of greenwashing. This project proposal has four main objectives: First, through this project we will be able to identify and learn how sustainable investments/information is communicated and/or officially reported, to identify and appropriately measure the level of greenwashing risk. The new measure will be introduced in this study, called Greenwashing Profile (GWP), will be measured using textual approach through both the 10K files of the sample firms and relevant information on the web. Then we will examine whether the degree of greenwashing (GWP) used by corporations causes more information noise in the communication between firms and stakeholders. Finally, we will examine whether and how firms’ corporate governance mechanisms are able to mitigate the impact of greenwashing. For this test we will espouse a battery of corporate gov

It is an independent project that will be developed through this project.

Since the model is based on textual analysis of 10K forms it is limited by public firms with financial disclosures. A 10-K is a comprehensive report filed annually by a publicly-traded company about its financial performance and is required by the U.S. Securities and Exchange Commission (SEC).

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Purpose and legitimacy: attention and management of the consultation made by the USER who completes the Personal Data of the Contact Form. If the USER gives his/her consent, the contact data will be used to send him/her commercial information.

Rights: Access, rectification, opposition, deletion, portability, limitation of processing, not to be subject to automated decisions, as indicated in the additional information.

Transfer: If the USER gives express consent, the data may be transferred to entities related to ASOCIACIÓN BRIGAID CONNECT or belonging to the ASOCIACIÓN BRIGAID CONNECT GROUP. It will not be necessary to obtain your consent when the transfer is covered by the legitimate interest of the Responsible for the Web.

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