Data & Resident Wellbeing | The ESG Answer
Taking an ESG approach to a care home business can foster engagement among owners, employees, residents, and the wider community.
This approach can help align your business values and mission with its actions; creating a more holistic and impactful approach to care home management.
We’re all living in the information age. A time in history where there has never been so much information available to us through the internet. But as we live with the effects of climate change and the cost-of-living crisis it begs the question… are we really using this information for our benefit?
In the context of care homes and the later living sector, data, insights and real-world knowledge can be used to not only improve operational costs, but resident wellbeing. It is the information age after all, so collecting this essential data to measure comfort and wellness is not only a goal we should all be moving towards – but also a key staple of the ESG context driving change in the sector.
By gaining granular data on room temperatures & air quality, people counting in communal spaces, energy consumption and energy waste, etc it allows you to improve understanding, improve conditions, and in time – improve the wellbeing of both residents and staff alike.
/ So, why does ESG matter in a care home environment?
ESG, or Environmental, Social and Governance, is a driving force globally for improving the sustainability of all major infrastructure. From housing to public parks, to planting trees and pushing for human rights, these are principals embedded in helping everyone – even our wildlife.
When it comes to the Later Living sector, ESG is key to all stakeholders attached to a care home. It is becoming a frequently asked question when interviewing new staff, selling care homes to families and when looking to engage with new suppliers, including providers of finance. Running a care home in a way which is considerate to all by thinking about the “triple bottom line” of People, Planet and Profits is becoming increasingly ethical.
Examples of why sustainability matters to care home stakeholders:
For Residents: Care home residents are increasingly environmentally conscious and are making decisions based on sustainability. By prioritising ESG initiatives, care homes can create a healthier, more sustainable environment that aligns with residents' values and concerns for future generations. Moreover, families of care seekers, particularly millennials and Gen X, often inquire about green matters related to the care home, which can impact their decision-making process.
For Staff: In the care home market, carers and support staff are increasingly looking for employers whose values align with their own. By promoting ESG practices, care homes can attract like-minded employees who are happy, feel supported, and go above and beyond when they feel appreciated. A Mercer report showed that 96% of employees expect their company to pursue a sustainability agenda, and 20% stated that working for a company that misaligned with their values put them at risk of burnout.
For Owners and Investors: As the UK pledges to be a green finance hub, care home investors and financiers are increasingly interested in sustainability. They are looking for businesses that are aware of their environmental and social risks, are actively managing these risks, and are seeking to deliver sustainable value. Prioritising ESG initiatives can also help care homes differentiate themselves from the competition and achieve a competitive position over other care home businesses.
/ Even CQC inspections are changing in 2023 to include ESG
The CQC are increasing their rollout of off-site inspections and remote monitoring which has increased the need for live data and reporting. And as of 2023, those ratings have an increased focus on environmental and sustainable alignment.
Inspectors may look at how you raise awareness on environmental issues across the service, including associated training, discussions with people and staff, and other communications to grow knowledge and understanding. So, its encouraged to prepare to demonstrate what you are doing to reduce the impact on your environment and how you are incorporating renewable energy, sustainable transport, and environmentally friendly waste management into your day-to-day working.
Sub-topics the CQC might look at when inspecting:
Awareness
Renewable energy
Sustainable transport
Waste reduction/management – including recycling
Premises - including energy saving measures
Procurement – including comestibles
Environment – including use of land and impact on air quality.
/ How can you get ahead and boost ESG performance?
Utopi is the specialist ESG technology platform for the later living and care homes sector. Our lightweight, cost-effective smart technology like the Utopi Multisensor can be quickly installed into every room (some as fast as 5min installation times!) and then gathers data on 6 key areas: Noise, Light, Motion, Humidity, Temperature, and Air Quality. These insights are then aggregated into the slick Utopi platform, allowing you to monitor real-world data and in real-time, AND even use a custom ESG dashboard specifically to assist in reporting on environmental alignment.
Some specific context for care homes:
If a resident’s room is too hot or cold – you will be alerted to this in real time so you can visit the resident to find a solution.
You can also easily monitor resident numbers in communal areas with people counting devices in dining halls or sitting rooms.
With valuable insights like live utility usage and room-level temperature, you can then analyse energy savings and associated cost savings across your portfolio.
Even going as granular as giving every single room a comfort score based on these 6 core areas of resident wellbeing: Noise, Light, Motion, Humidity, Temperature, and Air Quality.
Enables real-time monitoring of a building's carbon footprint, providing accurate and up-to-date information for impact measurement and ESG reporting.
/ Where to start?
Collect data – You can’t monitor improvements without knowing where you are now. So, start collecting data and understanding your carbon footprint and ESG performance.
Measure current performance – Analyse energy consumption, wastage, average temperatures, and understand where you can save and improve.
Set targets – With a solid baseline, you can set achievable targets that align with ESG best practise.
As a proud member of Autumna’s Go Green task force, Utopi are here to answer any questions you might have.
Author: Matthew Taylor