Reputational risk management in sustainability - A business perspective

In today’s business landscape, sustainability is no longer optional—it’s a core driver of reputation, stakeholder trust, and financial performance. Companies face increasing scrutiny from investors, regulators, consumers, and the media regarding their Environmental, Social, and Governance (ESG) practices.

Reputational risk related to sustainability can emerge from greenwashing accusations, regulatory non-compliance, supply chain controversies, or failing to meet ESG commitments. Mishandling these risks can lead to financial losses, loss of investor confidence, and even legal consequences.

This training will help businesses proactively manage reputational risks related to sustainability, mitigate exposure, and strengthen ESG credibility.

By the end of this training, participants will:

• understand how sustainability risks translate into reputational risks;
• learn about key ESG risk factors that impact corporate reputation;
• explore regulatory frameworks and market expectations shaping sustainability transparency;
• gain insights into case studies of reputational damage and crisis response strategies;
• identify best practices for sustainable brand management risk mitigation.

• The link between sustainability and reputational risk
• Why ESG matters for corporate reputation
  • Key stakeholders driving sustainability expectations (investors, consumers, regulators, NGOs, employees)
  • Types of reputational risks in sustainability:
    • Greenwashing accusations
    • Regulatory non-compliance (CSRD, SFDR, EU Taxonomy, DPP, CBAM, EPBD, etc.)
    • Supply chain controversies (human rights, carbon footprint, biodiversity impact)
    • Failure to meet public ESG commitments
• Regulatory and market landscape impacting ESG reputation
  • CSRD and ESG reporting requirements:transparency expectations
  • Green claims directive: risks of misleading sustainability marketing
  • Investor and lender expectations: how financial markets penalise reputational risks
  • Consumer activism and regulatory fines: case studies of companies facing reputational crises
• Case studies: ESG reputational failures and lessons learned
  • Greenwashing scandals - How misleading claims led to lawsuits and brand damage
  • Supply chain violations - Human rights and environmental controversiesCarbon and climate pledges gone wrong -
  • Companies failing to meet net-zero commitments
• Reputational risk mitigation strategies
  • Proactive sustainability governance - Embedding ESG into corporate strategy
  • Transparent ESG communication - Authentic reporting vs. marketing claims
  • Stakeholder engagement and crisis preparedness - Managing activist pressure and media scrutiny
  • Risk monitoring tools - ESG risk assessment frameworks AI-powered media tracking
• Next steps for businesses
  • Building a resilient sustainability strategy aligned with risk management
  • Strengthening ESG due diligence in operations and supply chains
  • Implementing best practices for sustainable brand reputation

This training is coordinated by Michael Horvath, Partner and Benedikt Jonas, Managing Director at PwC Luxembourg.

Michael Horvath is a partner at PwC with extensive expertise in sustainable finance and the asset management industry, including both financial and real assets. Since joining PwC Switzerland in 2011 and PwC Luxembourg in 2018, he has led significant projects in regulatory audit and advisory, focusing on the asset management sector. Michael has played a key role in implementing the EU regulatory framework for sustainable finance, including SFDR, taxonomy regulation, and CSRD, as well as other regulatory initiatives such as DORA, AML/CFT, CSSF circular 18/698, and MICA. He is a certified public accountant in Switzerland and Liechtenstein and has contributed to designing compliance frameworks and operational implementations driven by regulatory changes. His notable client projects include defining target operating models for Luxembourg AIFMs, digital operational resilience planning, AML/CFT framework implementation, and ESG/sustainability process design, supported by his involvement in training and regulatory advisory.

Benedikt Jonas is a managing director based in Luxembourg with over 20 years of international consulting experience focused on market and brand strategy, data/AI, and digital transformation. He has led multidisciplinary teams and developed strategic plans for private and public sectors across Europe, the Middle East, and the United States, specialising in market positioning, growth strategies, and digital initiatives. Benedikt is a frequent speaker on branding, analytics, data, and AI, and serves as an Adjunct Professor of Marketing at HEC Liège Luxembourg. His notable projects include market assessments and strategy development for clients in the GCC, UNDP, and European institutions.