S-RM Discusses ESG and Social License

On May 30, 2025, S-RM, a global intelligence and risk consultancy, released its latest insights on Environmental, Social, and Governance (ESG) practices, emphasizing the growing importance of the Social License to Operate (SLO) in corporate strategies. The firm highlighted that companies, particularly in the extractive industries, must go beyond regulatory compliance to earn and maintain the trust and acceptance of local communities where they operate. This trust, often referred to as the SLO, is not a formal agreement but a reflection of the community’s perception of a company’s legitimacy and ethical conduct. S-RM noted that neglecting the SLO can lead to operational delays, legal challenges, and reputational damage.