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Schneider’s Sustainable Impact and ESG Strategy

Schneider Electric, the leading French company specializing in digital automation and energy management for industries, has been operating in Vietnam for 29 years. Their focus is on providing eco-friendly solutions to reduce pollution levels in the country. 

ESG (Environmental, Social, and Corporate Governance) has gained popularity in Vietnam in recent years, driven by the government's commitment to promoting ESG practices and transitioning to a carbon-neutral economy. 

In an interview with the Vietnam Economic Times, Mr. Dong Mai Lam, Cluster President of Schneider Electric Vietnam and Cambodia, discussed the implementation of ESG principles. He highlighted strategies such as electrification, innovative work methodologies, digitization, smart home technologies, and the production of carbon-neutral machinery. These innovations are set to revolutionize the tech landscape and aim to achieve carbon neutrality by 2025  

However, Mr. Lam emphasized the challenges caused by the lack of reliable ESG standards in the Vietnamese market. The absence of standardized reporting frameworks and guidelines complicates performance evaluation. Limited resources and capacity within companies, particularly smaller ones, hinder effectiveness and pose a challenge in balancing ESG initiatives with the triple bottom line (planet, people, and profit).  

To overcome these hurdles, Vietnam needs well-defined policies, guidelines, and robust implementation strategies. Additionally, concerted efforts are required to support small and medium-sized enterprises through training, consultancy, and financial assistance.