Administrative Controls for Sustainability: A Case Study of an Italian Bank

This chapter investigates the role played by administrative controls in banks’ commitment to sustainability. It studies the case of a prominent Italian bank to shed light on the integration of environmental, social, and governance (ESG) factors into banks’ administrative controls. The analysis is based on interviews with managers in the administrative controls area. Additionally, secondary data was collected and examined for triangulation, to better understand the topics covered during the interviews. This study provides both theoretical and practical implications. It contributes to research on sustainability in banking by examining the interorganizational impact of sustainability, specifically with regard to administrative controls, a relatively unexplored topic. Moreover, by identifying the approach this bank uses to implement administrative controls for sustainability, we can define best practices for integrating ESG factors into organizational and governance structures, policies, and procedures as required by supervisory authorities.