Abstract
Environmental, Social, and Governance (ESG) risks increasingly influence organizational performance, stakeholder expectations, and long-term value creation. However, existing Enterprise Risk Management (ERM) frameworks provide limited guidance on how organizations should systematically define and implement ESG risk response strategies. This study develops a Conceptual Model for ESG risk response that integrates ESG dimensions with the organizational value environment to support strategic risk treatment. Using a Design Science Research approach, the model is developed from a comprehensive literature review and refined through expert consultation with senior risk management and ESG professionals. The results provide a structured classification of ESG risk sources and establish a framework for defining response strategies aligned with value creation and organizational objectives. This study contributes to theory by integrating ESG risk response into ERM and consolidating ESG and value concepts into a unified framework. Practically, the model provides a tool that enhances managerial capability to define and optimize ESG risk response strategies.