From the course: The Future of Audit
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Social audits
- An important recent change in audits is the rise of the social audit. This is tied into ESG, Environmental, Social and Governance concerns that many companies, their boards and so then activist investors also have. There are many different things that social audits can test for. On the energy and the sustainability side there are green audits, energy audits, and sustainability audits. On the social side, there are often diversity audits, or diversity, equity, and inclusion audits. Of course, there are many different kinds of social audits but no matter what kind of audit you might be performing or evaluating there are a few key things that are true about almost every social audit. First, the most important goal of a social audit is to evaluate how companies are striking a balance between profitability and social responsibility. And this is true, whether we're looking at environmental concerns, or diversity concerns, or…
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