TECHNOLOGY AND ARTIFICIAL INTELLIGENCE'S IMPACT ON ESG REPORTING QUALITY

When it comes to communicating a company's performance in terms of sustainability, ESG reporting, which is an acronym that stands for environmental, social, and governance reporting, is a key component. On the other hand, there are still issues with standards, data quality, and consistency requirements. The purpose of this study is to investigate the ways in which digital technology and artificial intelligence (AI) have the potential to enhance environmental, social, and governance (ESG) reporting by resolving these issues. For the purpose of streamlining data collecting, improving quality, and simplifying communication, digital technology and artificial intelligence employ a broad variety of complex approaches. Some examples of these methods include blockchain technology, data analytics, machine learning, and natural language processing. Using regression analysis and data collected from A-share listed companies between the years 2012 and 2021, this study investigates the relationship between digital transformation and the environmental, social, and governance (ESG) performance of businesses. The study has an emphasis on the repercussions that are associated with artificial intelligence, digital technology, and ESG reporting (environmental, social, and governance). A number of different aspects, including corporate governance, risk assessment, shareholder value, and corporate responsibility, are all affected by these ramifications. For any business that aspires to grow, develop, become more efficient, and maintain a competitive advantage over its rivals, digital technology and artificial intelligence are indispensable tools. The reporting of environmental, social, and governance (ESG) issues contributes to the advancement of sustainable development and has a beneficial impact on the risk profile, reputation, performance, and total value of entities. As a result of a comprehensive study, methodological inquiry, and analysis, this research provides useful insights and ideas for enhancing environmental, social, and governance (ESG) reporting via the use of digital technology and artificial intelligence. It is discovered that the application of digital technology and artificial intelligence results in ESG reporting that is more comprehensive and has a better degree of confidence.