ESG Dynamics as a Dialogical Process: A Case Study

The chapter aims to understand how ESG dynamics can be shaped through a dialogical process between organizations and stakeholders, overcoming the mainstream view that considers ESG as a static disclosure element. For this purpose, the authors rely on a case study based on an Italian company operating in the utilities sector, which is particularly exposed to ESG matters and engages ESG reporting on a voluntary basis since 2021. Specifically, they exploit the theoretical model proposed by Merkl Davies and Brennan to investigate the evolution of ESG within the firm, focusing on information as a transactional process rather than as a mere transmission of informative flows. The case study shows how the materiality level—which operatizes and surrounds ESG issues—depends on a two-way conversation in which stakeholders are not simply referred to as primary users but become real “co-producers” of information. The work offers valuable insights to companies and policymakers, nudging towards effective ESG information, beyond the attempts for formal compliance.