Sunday, 21 April 2024
    Sustainability transformation the next frontier
    18
    Oct
    ESG

    Sustainability transformation the next frontier

    Digital Transformation has been a seismic change for companies over the past decade. Some thrived, some just about survived, and some perished. Now, there’s a new change for them to adapt to: the next decade will revolve around Sustainability Transformation, which is underpinned by the technology revolution.

    Sustainability has become impossible to ignore. The effects of the climate emergency are accelerating, demand for a more purpose-driven employment culture is rocketing, and customers are increasingly choosing companies that embody sustainable values.

    Most business leaders understand this. Six in 10 say that sustainability has become a high or very high priority for them over the past 24 months.

    But can they achieve Sustainability Transformation? To do so, companies must meet employee and customer demands while achieving financial success. If they succeed, their companies will thrive. If they don’t, they will struggle to survive.

    The impetus toward Sustainability Transformation is coming from all angles. The majority of companies (54%) say that younger employees are pressing the issue internally, and 49% say that government regulations and guidelines are pressurising them externally.

    "We are now at a point where the world is demanding a new model of corporate leadership," says Ioannis Ioannou, Associate Professor of Strategy and Entrepreneurship, London Business School.

    “We’ve seen demands from customers for more environmentally and socially responsible products and services,” says Ioannou. “We’ve seen increased regulation – especially when it comes to environmental issues – by governments, which forces businesses to disclose more about what they're doing on environmental and social issues. We've also seen a lot of social movements and civil societies placing pressure on business to be more transparent. All of these pressures have come together to this point where business as usual is no longer acceptable.”

    So companies need to pursue Sustainability Transformation in order to create a more sustainable world – and to future proof their businesses.

    FULL STORY

    Sustainability Transformation is the Next Frontier (Financial Times/Fujitsu)

    IMAGE

    81349 / Pixabay