Finally, Corporate Sustainability Reporting is Hitting its Stride…now What?

Blog post by Milano Alumna Tamara Laine

It is true, the last four years have seen substantial environmental policy protections rolled back, there are reasons for hope. Businesses, as well as local and state governments, are seeing the bottom line benefits of data-driven ESG policies and are implementing new frameworks for comparable and transparent reporting. Though, implementing a sustainable framework into your business or organization can seem like a monumental task, know you are not alone, and there are systems to help you sift through the noise. We’ll get to that in a minute. 

First, it’s important to understand sustainability reporting is no longer a niche concept for idealistic companies, it is a consumer-driven mandate for companies to maintain impactful relationships with their community and investors. Essentially, good ESG policies and metrics are financially beneficial for all stakeholders. A study by Salesforce Research underlines this, finding that 93% of consumers say companies have a responsibility to look beyond profit and need to have a positive impact on the world. From an investment standpoint, fundamental ESG data access and additional alternative data sets are seen as key drivers to help investors make portfolio decisions that favorably contribute to the UN Sustainable Development Goals.

In order to reach tangible goals set forth by the SDG, we need to find comprehensible and comparable metrics to understand ESG performance across business and investment frameworks, in a similar way to financial performance. Currently, investors can get lost in the sea of self-reported data companies are working to deliver to prove ESG progress. In 2016, a study by Carrots and Sticks revealed around 400 sustainability reporting instruments being used in 64 countries, of which 65% were deemed mandatory to mainly state-run operations. And the number has only grown, causing investors like BlackRock to call for a global standard. 

For those tasked with communicating their organization’s sustainability information, it can be extremely challenging. What to communicate and to whom, and which tools to use, always have been pain points.  And this brings us back to where we at Future Impact Partners find hope. As we see the shift in consumer behavior, we are also tracking businesses and local and state governments implementing data-driven applications to track sustainability efforts. Leaders across the globe pioneer new technology to bring transparency to citizens. In fashion, new pathways to reduce waste have been driven by these technological advances allowing marketplaces to unused textiles to have new life. Using data to visualize the impact each order has. And, fortune 500 companies that are utilizing measurement tools harnessing the internet of things to minimize their overall impact from waste to energy consumption and employee welfare, for the greatest impact.

These innovators and leaders give us hope at Future Impact Partners, and that is why we have asked them to share their experiences and expertise at our upcoming virtual Sustainable ROI (Impact) Symposium.  Additionally, we are excited for Raz Godelnik, Assistant Professor of Strategic Design & Management, at Parsons School of Design, to share with us critical thinking around all of these tools. We are here to facilitate genuine systems change in sustainability practices. Join us for our virtual symposium on December 8 & 9, 2020 to hear from these sustainability leaders in business & government, discuss frameworks, measurement strategies, & technologies for business and glean actionable insights that can be implemented immediately. Meet and mingle in our breakout sessions as well. 

Sign up here: https://bit.ly/2FSiYaG.

Tamara Laine is a 2016 Milano School of International Affairs graduate now working with global organizations on purpose-driven content. She is the Chief Content Officer for Sustainable ROI (Impact) and A.Lynn Designs. Her work can be seen on Fox Broadcast News, Karma Network, Foreign Policy Magazine, DEVEX, and the Journal of Peacebuilding and Development.