|
|||
|
|||
Why 98% of Companies Do Not Achieve Their Sustainability GoalsOnly 2 percent of companies achieve or exceed their corporate sustainability goals, compared to 12 percent of other corporate transformation programs, according to a Bain & Company report. Achieving Breakthrough Results in Sustainability details the results of a survey of more than 300 companies engaged in sustainability initiatives and interviews with the heads of sustainability at companies that have been recognized for their sustainability results. It also highlights leading companies that are in that top 2 percent. Nestlé, for example, announced water and other environmental management commitments in 2012, including a pledge to reduce water withdrawals per ton of product by 40 percent, compared with 2005 levels. “The feedback loop of committing, acting, reporting and then getting positive feedback from ratings agencies became a real driver for positive change,” said Janet Voûte, former head of public affairs at Nestlé, in the Bain report. In 2015, Nestlé beat its water target, reducing usage per ton of product by 41.2 percent from 2005 levels. The company’s US factories are withdrawing 10 percent less water per ton of product than they did five years ago. Nestlé now ranks no. 1 in the food, beverage and tobacco category of the Dow Jones Sustainability Index. Bain found that many employees do not see sustainability as a business imperative, with more than 60 percent of survey respondents citing public reputation as the key driver for sustainability change. Employees also deprioritize sustainability because of perceived business trade-offs and an absence of incentives. Lack of resources and competing priorities are the two top obstacles employees say threaten to derail sustainability programs, and less than a quarter of respondents say they are held accountable for sustainability through incentives. Corporate sustainability leaders overcome organizational resistance by changing attitudes and behaviors. They rethink processes and incentives and confront the prevailing mindset that sees sustainability as bad for business. Companies that do succeed in their sustainability initiatives say it is worth the investment. Sustainability efforts can invigorate the core business, bolster the customer value proposition, secure the supply of key resources, lower operational costs and improve employee satisfaction. The study makes four recommendations to help companies achieve sustainability gains:
By: Jessica Lyons Hardcastle
|
|||
|