The Climate Of Business #112: 6 key considerations for businesses looking to adopt sustainability software

Climate Change Reality

• Single-use plastic bag bans can cut litter by one-third, says study (Euronews)
• Amazon's record drought driven by climate change (BBC)
• Atmospheric rivers set to hit US west coast (Financial Times)
• Canadian tar sands pollution is up to 6,300% higher than reported, study finds (The Guardian)
• Wildfires rage near Colombia’s capital as temperatures soar (Al Jazeera)

• Skiers leaving ‘forever chemicals’ on pistes, study finds (The Guardian)
• Flooding could 'sever' city's transport network (BBC)
• ‘An existential threat’: Will climate change sway Pakistan’s election? (Euronews)
• EU must invest about €1.5tn a year to meet net zero targets, says Brussels (Financial Times)
• The Extreme Sport of Ice Climbing Is at Risk of Extinction (WIRED)

Business Climate Reality

• EU Policy: Denmark enlists ten more in push for 'ambitious' EU climate target (Euronews)
• Carbon credits from cookstove emissions largely worthless, study finds (Financial Times)
• ‘Biggest, baddest’ – but is it the cleanest? World’s largest cruise ship sets sail (The Guardian)
• ‘Sitting back without work’: Kashmir’s ski slopes miss snow and tourists (Al Jazeera)
• The total number of companies with commitments to science-based targets has more than sextupled from the end of 2020 to August 2023 (World Economic Forum)

• The shipping industry accounts for 3% of global greenhouse gas (GHG) emissions (World Economic Forum)
• ‘How to greenwash’: propane industry tries to rebrand fuel as renewable (The Guardian)
• EU Policy: Lawmakers call for banks to check client sustainability (Euronews)
• New jobs, green jobs: planet-friendly roles dominate hiring (Financial Times)

Reality Check

Sustainability is becoming imperative to businesses of all sizes and across all industries. However, in order to transform sustainability from a cost-factor to a value-driver; the utilisation of sustainability technology is critical. Accordingly, this week’s newsletter outlines 6 key considerations that sustainability leaders must evaluate when choosing a sustainability provider.?

Using sustainability software versus internal solutions

A SAP Insights survey found that under one-third of mid-market executives are fully satisfied with the quality of data at their disposal to drive sustainable transformation. Meanwhile, the same survey reported that 86% of organisations still use spreadsheets to measure emissions data. It is clear that a large proportion of businesses are caught-up using endless spreadsheets to collect, track and analyse data surrounding their sustainability performance. Accordingly an increasing number of businesses are looking toward sustainability technologies such as carbon accounting software to maximise the accuracy and reliability of data, along with the overall efficiency of carbon accounting and sustainability oriented processes.?

Given that becoming data-driven is a key requirement to driving a sustainable transition, prioritising reliable data collection, measurement and tracking is fundamental to adapt to the ever-changing needs of the business world. As such, it is highly recommended that organisations leverage data-driven software rather than building internal sustainability solutions. Internal solutions often are encumbered by multiple spreadsheets, data stored in a number of different departments, along with a lack of expertise on emission factors and emissions analysis. Consequently, businesses that use software rather than internal solutions will be able to efficiently bulk upload data from various departments and stakeholders, and measure their total corporate carbon footprint and value chain emissions in order to cut costs, become more resilient, and more transparent to their stakeholders. Simultaneously, organisations will be able to gain valuable insights across their wider supply chain to become more efficient and consistently meet their sustainability goals.?

How to choose the best sustainability software for your company?

6 key steps that businesses must consider while browsing for the most effective sustainability accounting solution for their business are listed below. For a comprehensive, extended walkthrough - read Plan A’s guide here.

1. Scope 1, 2 & 3 emissions calculation coverage: Given that greenhouse gas emissions (GHG)? calculation is a key component of any organisation’s carbon accounting efforts, it is critical that a sustainability platform allows businesses to efficiently and accurately calculate their emissions across scopes 1,2 and 3. Meanwhile, given the vast majority of emissions are from scope 3, it is critical that sustainability software accurately tracks and calculates emissions across the full supply chain of a business. For instance, Plan A's suppliers module allows companies to track, report and reduce emissions beyond scopes 1 and 2 by providing a complete overview of scope 3 supplier emissions across a range of facilities and locations.?
2. Data-driven: Sustainability software should facilitate hassle-free data collection, input, and analysis in a centralised location. Data collection does not need to be tedious, and an effective carbon accounting software should allow organisations to consolidate their data in one secure platform to ensure they can gain immediate visibility on the company’s carbon footprint. Carbon accounting software that harnesses a data-driven approach ensures that users receive an accurate carbon footprint assessment, enabling them to identify emissions hotspots and gain a deep understanding of their scope 1,2 and 3 emissions.
3. Decarbonisation first: Businesses that are looking to drive meaningful change to reap the long-term benefits of sustainability must make decarbonisation a key priority when purchasing carbon accounting software. Decarbonisation-oriented carbon accounting platforms will guide their clients to effectively reduce their emissions and sustainably transform business; rather than just offsetting or compensating which exposes businesses to the perils of greenwashing.
4. Underpinned by science: To ensure accuracy and reliability, businesses should look for a carbon accounting platform that is underpinned by a certified methodology. In doing so, organisations will be able to make informed decisions with full confidence. Carbon accounting methodology that is backed by globally renowned certifications such as TüV Rheinland ensures that clients have access to the most accurate data rooted in science. Meanwhile, carbon accounting softwares that are compliant with the GHG protocol ensure that businesses are able to accurately compare emissions across all scopes and facilities, obtain benchmarks for their industry, and identify emissions hotspots they can immediately take action against. Businesses that use scientifically-backed carbon accounting platforms will ensure they are able to comply with regulations, manage climate risk and reduce carbon costs.
5. Tailored support: Whilst software is the basis of any effective sustainability strategy, businesses that choose a carbon accounting solution that offers tailored support based upon a range of factors influencing the company (e.g. industry, size, geographic location) will be able to reach their long-term targets and bolster their overall sustainability strategy. For instance, sourcing a carbon accounting platform that offers clients customised support with crucial activities such as complex data input and validating science-based targets should be made a top-priority for any business looking to ascertain a competitive advantage through sustainability.
6. Ease of use: Regardless of how powerful a sustainability software is, It is critical that the software is user-friendly. An efficient, easy-to-use decarbonisation software that is free from extended training and set-up times means that users can easily understand how their business activities impact their carbon footprint, and how to reduce emissions, without wasting time. Furthermore, carbon accounting software that integrates educational features to upskill the teams who use it must be prioritised. For example, Plan A’s sustainability platform leads the way on education to ensure its users are up-to-date on key carbon accounting and sustainability concepts.

Ultimately, companies that leverage the power of carbon accounting software will unlock a wide-range of opportunities such as decreased time and costs relating to emissions calculations, decreased internal costs due to increased energy efficiency , decreased internal costs due to less waste, greater stakeholder trust and enhanced competitiveness. However, in order to unlock such strategic benefits, businesses must ensure they adopt a robust, leading sustainability provider.?

Plan A is the industry leading provider of corporate carbon accounting, decarbonisation, and ESG reporting software. The green-tech pioneer hosts a data-driven SaaS platform that combines cutting-edge technologies and the latest scientific standards and methodologies (certified by TüV Rheinland and GHG Protocol compliant). The end-to-end software solution automates CO2 emissions calculation, carbon reduction planning, as well as regulation and audit-proof ESG reporting, empowering businesses to manage their entire net-zero journey in one platform.?

Plan A’s prominent reputation in the world of sustainability software is reflected in their expansive customer base that includes leaders such as N26, BNP Paribas, Chloé , Flix, Sorare, BMW, Trivago, Deutsche Bank, Payhawk, and the European Union. Plan A is also a global exclusive partner to VISA. Founded in 2017, Plan A has already received several awards such as the Generali’s SME EnterPRIZE Award 2021 and the prestigious The Europas Award 2021.?

Book a demo with Plan A today to kickstart your net-zero journey.

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