How Leaders Can Commit to Sustainability in 2023

Mother Earth desperately needs our help. Our actions directly impact all living things, and our beautiful planet. “Invest in Our Planet,”?is the theme this year for Earth Day 2023 .

Accountability is part of humanity, it is our duty as individuals to influence change, sustainability and transformation as a consumer, through our community, and by voting. “In 2023 we must come together again in partnership for the planet. Businesses, governments, and civil society are equally responsible for taking action against the climate crisis and lighting the spark to accelerate change towards a green, prosperous, and equitable future. We must join together in our fight for the green revolution, and for the health of future generations. The time is now to Invest In Our Planet,” said Kathleen Rogers, President of EARTHDAY.ORG ?

Throughout the month of April utilize this Earth Day Action Toolkit to get involved and celebrate on April 22, 2023. “Earth rejoices our words, breathing and peaceful steps. Let every breath, every word and every step make the mother earth proud of us” Powerful words from the “spiritual master” himself, Amit Ray.

As you think about how you yield power as an individual, also reflect on how you influence as a leader. Ask yourself the following questions before reading on.

1. How can I incorporate the 2023 sustainability trends into my organization?
2. How can I commit to sustainability both individually and as a leader in my organization?
3. How do I balance the triple bottom line of people, planet and profit?
4. As a rising leader, how can I advance my career while still committing to sustainability?

This article will explore sustainability trends, how leaders can commit to sustainability in the workplace, companies leading the way, and how to strike a balance between profit and sustainability.

Sustainability Trends in 2023

Sustainable practices in corporations are gaining momentum, and businesses are beginning to take sustainability seriously. There is an expectation from governments, investors, and stakeholders that companies lean in, and take positive steps towards sustainability.

It is the dawn of a new era! New legislation, regulatory requirements, policy makers and climate-positive initiatives from governments and governmental agencies around the world are holding organizations accountable for their sustainability practices. According to LinkedIn , ‘10 Trends That Will Define Sustainability in 2023,’ “Currently,?Europe is by far the leader in sustainability ?regulations, and this will continue throughout 2023. The EU passed the?Corporate Sustainability Reporting Directive ?(CSRD) in November 2022, which will make comprehensive sustainability reporting a requirement for around 50,000 companies by 2026.

Listed below are their top 10 sustainability trends they are expecting to see gain momentum and define sustainability in 2023:

1. A New Era for Sustainability Accountability?
2. A Big Push for Nature and Biodiversity
3. Closing the Loop on the Circular Economy
4. Sustainability and ESG Reporting Standards Consolidation
5. Net Zero Consistency, Rigor, and Scrutiny
6. From Supply Chains to Supply Change
7. ESG Investment Scrutiny Doesn’t Stop the Macro Capital Allocation Trend
8. (Renewable) Energy Security
9. Keeping the Climate Crisis (Somewhat) Under Control
10. Sustainability = Business Model + Value Chain, ESG = Compliance + Investment + Risk

How Leaders Can Commit to Sustainability in the Workplace

As economic uncertainty continues and volatility in global stock markets persist, sustainability may not be at the forefront of leader’s minds. Furthermore, for many leaders the topic can be confusing, intimidating and overwhelming. However, there are some simple and practical steps you can implement today to make meaningful progress on longer-term sustainability goals. It doesn’t need to be complicated or scary to inch the needle towards change.

According to Forbes , ‘Sustainability: How Leaders In Any Industry Can Make A Difference,’ “Companies have a role to play, and a great starting point is to adopt a company-wide mindset of how incremental change can contribute to the solution. Even the little things can be effective when done en masse. In fact, through implementing sustainable initiatives, companies can account for?60% of the emission cuts ?pledged in the Paris Climate Accord.” Listed below are a few simple tactics leaders can implement to facilitate change today:

1. Commit To Remote Work - Remote work is here to stay, and despite uncertainty from business leaders, demand from employees is steadily increasing.
2. Be Intentional With Business Travel - Air travel accounts for?2% of global greenhouse gas emissions —with business travel being a significant contributor.?
3. Create A More Sustainable Digital Presence - The internet and its supporting infrastructure account for?3.7% of global greenhouse emissions . To increase efficiency and minimize energy usage online, companies should remember to delete duplicative or unused tags. Free tools like taginspector.com can give you a starting point for understanding your tag footprint.

Companies leading the way in Sustainability

Despite these turbulent times, there are companies out front leading the way, and doubling down on sustainability. As you read through the list below think about which best practices you can implement in your corporation to get started on a goal to a more sustainable future.

According to Corporate Knights , ‘100 Most Sustainable Companies of 2023 Still Flourishing in Tumultuous Times,’ “This year’s Global 100 ranking of the world’s most sustainable companies, now in its 19th?year, reveals that the transition is gathering momentum – and that businesses that take?sustainability seriously are flourishing financially.” Through cutting-edge digital solutions, employee wellbeing, renewable energy, reusable products, and waste reduction these companies are innovators and pioneers when it comes to sustainably thinking outside the box.

In the article ‘Ten of the Most Sustainable Companies to Watch out for in 2023,’ CEO Magazine lists the top 10 companies below, and explains why they made the cut above the rest:

1. Schnitzer Steel Industries - ( Judodine Nichols , Chief Sustainability Officer) -? the steel industry is one of the most carbon-intensive, Schnitzer takes a sustainable approach by recycling steel and other metals – and then transforming this recycled scrap into finished products with the use of electric arc furnaces powered by hydropower, making the metal extremely low carbon.
2. 维斯塔斯 Wind Systems - ( Lisa Malmquist Ekstrand , Vice President Sustainability)?Its vast contribution to the renewable energy sector as well as the wellbeing and?safety of workers ?makes it one of the most sustainable corporations across the globe today.
3. Brambles - ( Jim Hartzfeld , Head of Sustainability – North America) As a pioneer of the sharing economy, Brambles’ sustainability vision is to put in place regenerative supply chains that deliver life’s essentials in an environment- and people-positive way.
4. Brookfield Renewable Partners - ( Kelly Goddard , Chief Sustainability Officer) A power generation company generating 99 percent of its electricity from renewable energy sources like hydro, wind and solar, Brookfield Renewable Partners helps governments and businesses meet their decarbonization goals.
5. 欧特克 - ( Ben Thompson , Director, Autodesk Sustainability & Foundation) earns 93 percent of its revenue from offering sustainability-optimizing software for buildings and infrastructure.
6. Evoqua Water Technologies - Snehal Desai , EVP & Chief Growth and Sustainability Officer) With an ambitious target to recycle and reuse more water than it withdraws by 2035, Evoqua Water Technologies is a wastewater treatment systems and technologies provider – helping industrial, commercial and municipal markets across the world take a more sustainable approach in their day-to-day processes.
7. Stantec (joint position) - ( Carrie Sabin , Vice President, Corporate Sustainability) Last year, Stantec was listed as a partner in the United Nations’ Decade of Ecosystem Restoration – a global contract signed by more than 70 companies – that aims to prevent, halt and reverse the degradation of ecosystems. With a constant presence on the Global 100 ranking, the consulting services company provides engineering, architecture and environmental solutions to businesses across the world.
8. 施耐德电气 (joint position) - ( Gwenaelle Avice Huet , Chief Strategy & Sustainability Officer) Tying with Stantec in the seventh position in 2023. A key goal of the energy and automation provider is to realize efficiency and sustainability opportunities for businesses across the globe by providing cutting-edge digital solutions.
9. Siemens Gamesa Renewable Energy - ( Tim Dawidowsky , Chief Operating Officer and Sustainability Officer) Apart from protecting the environment, the leader in the supply of wind power solutions also aims to combat poverty and foster technological education among diverse communities.
10. 台湾高铁(THSR) - As surprising as it may sound, the Taiwan High-Speed Rail, which operates a 350-kilometer railway system along the west coast of Taiwan, took 43 million passengers on board with a 99 percent punctuality rate in 2021. Apart from scoring high on energy and carbon productivity, the company also garnered points for its pension fund quality and enhancing local connections overall.
11. 达索系统 - ( Philippine de T'Serclaes , Group Chief Sustainability Officer) Dassault Systèmes, a provider of software for 3D product design and manufacturing, grew out of the?aerospace industry ?and pivoted towards sustainability. Now, it assists companies across architecture and materials to home and lifestyle with sustainable technology solutions – while also aiming to be sustainable itself.

How to Strike a Balance as a Leader and Organization

So, how do you delicately strike a balance between profit and planet? How do you lean into the aforementioned trends and manage these opposing forces? How do you rise as a leader while keeping investors, stakeholders and the planet happy? Think about a world in which the two (sustainability and profitability) are symbiotic and go hand in hand. What is their connection?

According to Forbes , ‘Sustainability And Profitability: Why They Can And Should Go Hand In Hand,’ “Once we understand how to measure the real economic impact of sustainability, we must take a step forward and think in terms of a new management model: a model in which sustainability projects are not seen as altruistic or necessary efforts but as competitive advantages.” For this to occur, two things must happen:

1. Companies need to think that anything they do should have a social or environmental impact outside the organization. They should see this impact as another operational project that has a profit and loss account.
2. Consumers need to accept that it is not only good to make money solving social and environmental problems but also necessary if we want that impact to remain for longer periods of time or until the need no longer exists.

The article closes with a thought-provoking statement that I hope you will reflect on, “We, as consumers, cannot demand from companies and organizations what we are not willing to do in our own role in the economy. If we want the world to change, we should start supporting purposes on top of whatever functional or emotional need each purchase may address.”

Let’s collectively unite, and “Invest In Our Planet” now! Let’s strive for a greener, more equitable future for our planet. I encourage you to take accountability and make a commitment to sustainability both personally and professionally. As a leader, take a sustainable step forward by being part of the larger solution. With even the smallest steps, you can begin to make a measurable impact.

Erin Owen, MBA, PCC, JCDC/JCTC, CPQC (she/her/hers)

Executive and Leadership Coach

Website:?https://erinowen.com

LinkedIn:?https://www.dhirubhai.net/in/erinowen/