Bridging the sustainability capability gap

Sustainability challenges affect people’s lives, ecosystems, and businesses. Whether we’re discussing environmental, social, or governance (ESG) issues, the reality of why we need to focus on sustainability is staggering.

Customers are increasingly demanding sustainable products, with 79% of buyers changing their purchasing behaviors based on sustainability. Investors are incorporating ESG factors into their investment decisions, with an estimated 50% of professionally managed assets expected to be ESG-mandated by 2025. And employees are taking an active interest in their employers’ ESG efforts, with 90% stating that such efforts enhance job satisfaction. Faced with this reality – and pressure from multiple stakeholders – adopting sustainable practices has become a crucial topic for organizations worldwide.

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Envision Beyond in 60 Seconds - Bridging the Sustainability Capability Gap

The sustainability execution gap

These statistics clearly show that sustainability is not just about compliance with regulations; it’s about creating a holistic vision for an organization that supports the strategy and creates a rallying point for employees. Regulations and legislation are increasingly focusing on environmental outcomes, making it imperative for companies to have a sustainability strategy in place. Sustainability is about creating a business that is environmentally and socially responsible and that can thrive in the long term.

Sustainability is a journey, not a destination. Businesses need to develop a plan that will allow them to transform into sustainable intelligent organizations. That starts at the top and the bottom so that everyone within the organization has a role to play in achieving success. An overall culture of sustainability needs to be created to ensure participation at all levels.

However, even companies that understand the need for more sustainable practices face the difficult task of determining how to close the gap between creating their sustainability strategy and executing it, challenged by transforming the whole organization while creating sustainable business value. Understanding where and how to deploy new technologies can help close this gap and accelerate sustainable business growth and positive results.

New technologies are key for sustainable intelligent enterprises

Technology can help companies improve efficiency in business processes, use renewable energy, create circular economy practices, increase transparency, and make more informed decisions by providing real-time data and analytics. More stakeholders than ever expect companies to operate sustainably. Technology can help them flexibly adapt to changing market conditions and customer demands and build trust with their stakeholders. Ultimately, employing the right technology can lead to cost savings, new business opportunities, and a reduced effect on the environment.

Cloud technology can provide real-time monitoring of sustainable technology usage, while facilitating remote work and collaboration, reducing the need of scattered physical servers and hardware, and helping cloud providers invest in renewable energy sources to power their data centers. This will help organizations reach their zero-emission goals while improving operational efficiency and reducing costs.

AI and machine learning can help many organizations improve their waste management processes by using predictive analytics to identify potential areas of waste, forecasting demand for recycled materials, optimizing waste collection routes, and automating the process of reporting compliance with regulatory requirements.

For example, with the use of plastics if the business-as-usual scenario is allowed to continue, our oceans will contain one ton of plastic for every three tons of fish by 2025 and will contain more plastic than fish by 2050. There is a huge opportunity to reduce waste through reuse and recycling processes, as well as by building a more sustainable design process Internet of Things (IoT) technologies such as sensors and smart meters provide real-time data that can be used to reduce waste and identify recycling opportunities.

Renewable energy sources such as solar, wind, and hydroelectric power can reduce reliance on fossil fuels and mitigate greenhouse gas emissions. Blockchain provides a transparent, secure, and efficient way to track and verify emissions; encourages sustainable practices; and facilitates renewable energy trading. Electric vehicles (EVs) can reduce transportation emissions, while IoT devices can help monitor and optimize energy consumption in buildings and processes. Additionally, advances in carbon capture and storage technologies can help organizations capture and store carbon dioxide emissions, preventing them from entering and adversely affecting the atmosphere.

Collaboration between governments, businesses, technology partners, and industry players bring together the capabilities and perspectives needed to tackle this global issue. There’s no need for businesses to walk this alone.

Welcome to your sustainability journey

Sustainability is a strategic opportunity for companies. Whether focusing on creating sustainable products, services, and business models for long-term growth or embedding sustainability into business processes to make it profitable, there is no downside. With the right sustainability plan and the technology to support it, businesses can earn customer loyalty, attract funding or investment, maintain a committed workforce, and enhance brand image and reputation.

Sustainability requires collaboration, a deep understanding of the business and its wider effects, and a commitment to continuous improvement. Companies that can close the gap between their sustainability strategy and its execution and that can identify opportunities for sustainability in the business will be well positioned to succeed in the long term.

Food for Thought

The use of technology can greatly benefit companies seeking to enhance their sustainability efforts and accelerate the implementation of their sustainability strategies. Numerous emerging and established technologies are contributing towards the attainment of zero emissions, zero waste, and zero inequalities goals. To learn more, read The Role of Technology in Achieving Zero Emissions, Zero Waste, and Zero Inequality.

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