ESG (Environmental, Social, and Governance) and DEI (Diversity, Equity, and Inclusion) practices are crucial for the growth and sustainability of any industry, including cannabis. As more states legalize cannabis, there is a growing need for companies to incorporate these practices into their business models. In this comprehensive guide, we will explore the importance of ESG and DEI in the cannabis dispensary experience and provide a couple of actionable steps on how to implement these practices in your business.
Why ESG Matters in the Cannabis Industry
ESG is a set of practices that measure a company’s sustainability and ethical impact. In the cannabis industry, this means paying attention to the impact that cannabis cultivation, production, and distribution has on the environment. This includes reducing carbon footprints, embracing renewable energy, and reducing waste. As we see climate change become an increasingly pressing issue, sustainability practices are more important than ever. By implementing ESG practices, cannabis companies can lead the charge in reducing the industry’s environmental footprint and inspire others to follow suit.
Why DEI Matters in the Cannabis Industry
DEI practices are equally as important in the cannabis industry as ESG. We have an opportunity to prioritize diversity, equity, and inclusion in all business practices as many of these practices are still in formation stage. This means ensuring that employees and customers feel valued and included regardless of their race, gender identity, or sexual orientation becomes a critical practice in all areas of the business. Do you need a business case to really invest? DEI practices are proven to increase productivity, innovation, and retention – all key factors in the success of any business. This article from Deloitte goes even further.
How to Implement ESG and DEI Practices in Your Business
The first step in implementing ESG and DEI practices in your business is to fully assess your current practices. Look at everything from your energy consumption to your hiring practices. Once you have identified areas that need improvement, create an action plan that outlines actionable steps and goals for each practice. For ESG, this could mean replacing traditional lighting with LED lighting, implementing recycling programs, and reducing the use of harmful pesticides. For DEI, this could mean offering diversity training for employees, creating affinity groups, and actively recruiting underrepresented candidates.
Benefits of ESG and DEI Practices
Implementing ESG and DEI practices in your cannabis business not only benefits the environment and your employees, but it also benefits your customers. Customers are becoming increasingly aware of and interested in sustainability practices, and studies have shown that they are more likely to support businesses that prioritize DEI. By prioritizing ESG and DEI practices, you can not only attract customers but create a loyal customer base that values your commitment to sustainability and inclusivity.
In conclusion, ESG and DEI practices are crucial for the growth and sustainability of the cannabis industry. As more states legalize cannabis, it is important for businesses to prioritize these practices in order to build a sustainable and inclusive industry. By assessing your current practices, creating an action plan, and implementing ESG and DEI practices, you can create a business model that benefits the environment, your employees, and your customers. Incorporating these practices isn’t just the right thing to do – it’s also good for business. Cannabis Trainers embodies these values by incorporating ESG and DEI concepts into our trainings, like emphasizing cultural competency. By building a sustainable and inclusive cannabis industry, we can build a better future for all.
Interested in learning more? We have a FREE sustainability webinar replay for you. Click here to access.
