How to Drive Real Impact on the Business and the World

‍In today's world, businesses have a responsibility to address climate change and contribute to social progress. Companies that prioritize sustainability and social impact not only make a positive difference in the world but also reap significant benefits for their business. By aligning climate action with core values and investing in talent, organizations can embark on a journey towards real impact on both the business and the world.

Aligning Climate & Social Action with Core Values

To drive meaningful change, companies must align their climate & social actions with their core values. This involves understanding the impact their operations have on the environment and setting goals that address key environmental challenges. Ben & Jerry's, for instance, has defined a set of goals around social & climate impact and sustainability progress.  Guided by their Core Values, they seek in all they do, at every level of our business, to advance human rights and dignity, support social and economic justice for historically marginalized communities, and protect and restore the Earth's natural systems. In other words: they use ice cream to change the world for people, planet & a healthy business.  

To put these goals into practice, Ben & Jerry's dedicate activism managers and integrate sustainability leads across the organisation, with allocated budgets, with the objective of scaling environmental & social initiatives globally.

Investing in Talent: A Commonly Missed Opportunity

Investing in talent is a crucial aspect of driving real impact through climate and social impact initiatives. It is essential to upskill employees on climate change and develop the skill sets needed to embed sustainability across functions. However, many companies overlook this area of investment.

Companies should prioritize human resources and talent as one of their top climate & social investments. By upskilling employees and hiring talent with climate change expertise, organizations can accelerate their transformation from within. This investment in talent enables companies to develop the necessary capacity to implement sustainability initiatives effectively.

Building climate & social analytics and data science capabilities, allows companies to support their climate & social actions effectively. Additionally, investing in social and behavioral science capabilities can help engage suppliers, consumers, and communities more deeply on climate issues. By recognizing the importance of talent and investing in the right skill sets, companies can drive real impact and create a culture of sustainability.

The Sooner You Start, the More You Learn

Taking early action is critical to achieving ambitious climate and sustainability targets. Companies that act now will be better positioned to navigate evolving technology, regulations, stakeholder expectations, and competition. Pacesetter companies, ie committed to Better Business Act, have learned from previous projects and markets, applying those lessons to accelerate their transformation.

Leading companies continuously review their long-term strategies, revisit their targets, and prioritize flexibility and continuous improvement. They understand that sustainability is a journey, and each step taken builds their own capacity to make further progress. By starting early and continuously learning, companies can stay ahead of the curve and capture the value of their climate & social initiatives.

We're Not There Yet

The urgency to act on climate & social change is clear. Limiting Earth's temperature rise to 1.5 degrees Celsius requires immediate action from all sectors. Companies have a crucial role to play in addressing this challenge and should no longer perceive a trade-off between financial value and climate initiatives.

Sustainability initiatives deliver financial value in various ways. Companies that invest in climate & social actions often find that the financial returns surpass their expectations. Moreover, these initiatives generate value for customers, employees, and society as a whole.  At least six in ten (61%) global consumers say they would be less willing to buy a company’s product if they found it performed poorly on environmental practices, a new survey has revealed. By embracing climate & social initiatives as a means of protecting and creating value for business, society, and the planet, companies can make a significant positive impact.

Five Actions to Drive Real Impact

To create more value from their climate agenda, companies should consider the following actions:

• Challenge your level of ambition: Setting ambitious targets aligned with the goals of the Paris Agreement is essential. Companies need to push the boundaries and continuously strive for greater impact.
• Recognize complexity: Driving meaningful emissions reduction requires measurement, tracking progress and analyze future scenarios for highest impact, and assessing return on investment from the inset. It is crucial to understand the complexity of the challenge and approach it systematically.
• Collaborate: Climate & social change is a collective challenge that requires collaboration within and across sectors. Working with industry and cross-sector groups accelerates change and fosters innovation.
• Influence your supply chain: Many organizations have the opportunity to influence emissions reduction through their supply chains. Engaging and supporting suppliers in their sustainability efforts can have a significant impact, choose your top tier supplier first and then support the ones who need  most help for the transition. Be careful how many forms you ask them to fill in.
• Invest in talent: Upskilling employees across all relevant functions and attracting specialists is key to driving real impact. By investing in talent, companies can build the necessary capacity to tackle climate and social impact initiatives effectively.

By taking these actions, companies can maximize the value they create for their stakeholders and contribute to a healthier planet.

Conclusion

Driving real impact on the business and the world through climate and social impact initiatives requires companies to align their actions with their core values & financial investments, invest in talent & digital tools, and take early and ambitious action. By leveraging Sustainability Transition Platforms like Unibloom, companies can automate complex calculations including cost and capital impact, build scenarios for future impact, track progress & visualize gaps, gain insights on optimal transition plans and projects and engage & hold employees & suppliers accountable for  climate, social & financial actions. Additionally, by investing in talent & forward looking, business  integrated, digital tools and upskilling employees, companies can build the capacity needed to drive sustainability across functions.

Transition modules and Science-Based Targets provide a roadmap for identifying key hot spots and prioritizing impact areas. By focusing on a bottom up approach on project level for energy, packaging, transportation, ingredients, transportation, manufacturing, materials and calculating the impact it has on water, waste, deforestation & biodiversity and cost, companies can address their most significant environmental & social impact alongside their business growth plans.

The time to act on climate change is now. Companies that embrace sustainability and social impact initiatives not only contribute to a healthier planet but also create value for their business, customers, employees, and society as a whole. By taking the necessary actions and adopting a long-term perspective, companies can become leaders in the transition to a sustainable future.