The role of technology in sustainable transformation
The sustainability transformation heralds a new era. There is no going back. As such, sustainability leaders are preparing their organisations for new ways of working and equipping their teams to thrive in the new green economy normal.
Like the preceding digital transformation, the sustainability transformation touches all parts of the business, requires new processes and ways of thinking.
Forward looking organisations are starting the process now. They’re starting with clear strategy but also looking at how technology can help embed sustainability into the DNA of their organisations and grow the internal capability the future demands.
Meaningful climate action requires long-term thinking.
Our planet, customers, employees and investors demand ambitious goals and bold, meaningful action.
It can be daunting at the beginning and of course, we must prioritise and look at opportunities that optimise short-term impact. But it can’t be at the cost of planning for what business needs to look like in the future – the tools, processes and capability needed to thrive in the new economy.
Every organisation is different but shifting form a short-term to a long-term sustainability focus can look like this example:
- Rather than doing a Power Purchase Agreement one year, then turning your attention to operational reductions (such as equipment upgrades) the following year, and then leaving the planning for unavoidable emissions until all reduction initiatives are complete….
- it’s about documenting the long-term strategy, prioritising your emission reduction initiatives, investing in tools that help track and share progress, and growing the capability to model commercial scenarios, including financial exposure for unavoidable excess emissions…..
- it’s about taking decisive action, tracking impact, capturing data, learning, improving and growing – this is what builds momentum and propels the outcomes we are all seeking and that the planet needs.
Technology supports short-term action and long-term transformation
We know through our work with corporate customers, the reasons for taking action (the ‘why’) are clear to everyone, the ‘what’ (or the strategy) is increasingly clear, yet the question of ‘how’ – the question that technology can help us unlock – is complex and multi-faceted.
The role of software therefore is to simplify the ‘how’, but more importantly to help you build the foundations for the future. This includes:
- Putting your own data to work, not just seeing it. Defining and gathering detailed data of your current emissions footprint, as an example, is the logical first step. But using it to inform your decision making is challenging if you don’t have the right tools.
If you’re still using spreadsheets, don’t worry you are in some very good company, but relying on spreadsheets is a real limitation to the whole-of-business transformation that's needed.
Being able to use data to create meaningful insights for different parts of your business, and to model different commercial scenarios is becoming increasingly important – and not just periodically but on a daily basis.
This isn’t just about the raw emissions data of course, tracking the details, costs and impacts of different sustainability and social initiatives (including your SDG goals), and making decisions based on your progress is also critically important.
- Tapping into external data sources to help make connected decisions.
We are all working towards a common, global objective. It’s a massive change management process - within our own organisations and value chains as well as globally, beyond our own emissions boundaries.
And while the inner work should absolutely be the focus, there will be a time – whether it is looking at renewable energy procurement to address Scope 2, advance planning for your unavoidable excess emissions, or insights to help support your due-diligence of carbon projects – when market pricing and independent verification data will be critical part of your decision-making.
And in helping you make the most of your ESG budget.
This external work and the inner work need to happen in parallel. The landscape is shifting faster than ever. Changes like Safeguard Mechanism reforms and carbon market integrity improvements are just the first waves, and they are already playing out. In a few years’ time, working with external carbon market data will be a regular requirement for most large organisations.
- Tracking and communicating progress to keep teams and stakeholders engaged.
Meaningful change happens when entire teams are engaged. And your customers, employees, investors, and other stakeholders will be watching your transformation with interest.
Regular reporting – whether regulatory or for internal stakeholders – is already a requirement and, if you’ve got your data working for you, it should happen with just a few clicks. But we are also seeing the move towards real-time dashboard type, self-service update portals.
Support your sustainability agenda with the right technology mix
The stakes are high for business and the planet and there is no time to waste. Technology can help businesses systemise the sustainability transformation already underway, maintain momentum and increase the speed of decision making.
For a no obligation discussion on how digital tools can help you drive your sustainability agenda and to help you build the capability your business needs in the future, get in touch with our team today.
