Making the case for sustainable initiatives…
Boost the value proposition of sustainability to your executive team!
We know making a push for sustainability is a topic completely worth adding to the executive meeting agenda. However, in the past it has been a tough sell. It seemed like a concept that didn’t have any business value to some CFO’s and consequently dismissed.
Fortunately things are heading in the right direction in the corporate world. Prominent CFO’s (according to research done by the Corporate Eco Forum and World Environment Centre) have are now bringing sustainability to the table. They are sending an excellent message: take a closer look at going green and you’ll find value creation opportunities, especially when dealing with short-term business costs and long-term growth. Although there is still much room for improvement, it’s a step in the right direction.
There are many concrete reasons as to why it adds value and makes sense, both financially and economically, to introduce sustainability into corporate culture and business plans. Here are four points that support sustainability as a key element for business development, strategy, performance and growth for your business:
1. Reduced costs and improved efficiencies
Sustainability initiatives can help the bottom line by introducing operational efficiencies and waste reduction.
2. Risk reduction
Companies are accountable to regulatory agencies and professional bodies, and CFO’s are expected to keep accurate and detailed reports of the company’s financial activities. With an increase of risk factors that are tracked by businesses (i.e. stability of global/regional financial systems, natural resource scarcities, climate change, etc), sustainable initiatives help reduce the effect of sustainability-related risk factors that can disrupt the supply chain.
3. Innovation and growth
Introducing sustainability and the green mentality fuels innovation and creativity. It requires new solutions to a company’s product and is not limited to operational innovations. Going green can also open the door to emerging markets, enabling companies to get ahead of the game and capitalize on the potential growth. It is an ideal aspect of a company’s growth agenda.
4. Boost in brand reputation and public identity
Considering the current awareness for environmental causes and sustainable attitudes to just about every aspect of daily life, introducing sustainable initiatives are important to strengthening a brand. Consumers do care and transparency in sustainability efforts have shown to boost reputation and financial success of companies. As a B2B entity, these initiatives can help firm up your position as a company that provides conscious solutions.
(Image via Pixabay)