The corporate world is evolving — and with it, the importance of integrating sustainability into core business practices.
While sustainability issues affect every generation, today’s younger workforce, raised with tech since infancy, brings a unique perspective to the table. These employees are not just tech-savvy, they’re also deeply aware and invested in resolving global issues, from climate change to corporate ethics.
Businesses that understand how to align sustainable strategies with these evolving values are likely to stand apart from the crowd.
Responsible Tech, Engaged Employees
Having had lifelong access to sophisticated technology has helped the younger generations of workers stay engaged and up-to-date with developing social and environmental concerns, globally. Reworked contributor Chris McClean outlined how corporations can harness the digital fluency of these workers and guide the way toward responsible tech and innovation.
At the heart of this movement lies authenticity, something younger generations crave. It means going beyond words and demonstrating how the company’s sustainability values actually guide policies and practices surrounding the use of technology, in practice.
“If the company touts sustainability practices,” wrote McClean, “show how you favor energy-efficient software and cloud infrastructure.”
Another key is to listen. Give this younger generation of workers the ability to voice their opinions, priorities, questions and concerns. Their experiences with technology, said McClean, gives them insights that older workers might not have. And by listening to what they have to say, you might be able to turn their feedback into actionable ways to improve how your company interacts online with customers and prospects.
If you want to engage your employees, responsible tech is a prime opportunity. And by engaging employees in this ongoing conversation, you give your company a chance to stand out from the crowd.
A Business Case for Sustainability
Sustainability practices are no longer a nice-to-have. There’s a clear business case to incorporate them into the fabric of your workplace.
A 2022 Gartner study found that 87% of business leaders plan to increase their organization’s investment in sustainability. And that’s not hard to believe when you consider the myriad of benefits that come along with those investments, such as:
- Reduced energy and water costs.
- Tax incentives.
- Interest from new customers.
Saving money stands out as one of the most obvious benefits — and arguments — of prioritizing sustainability. With the right approaches, companies can reduce energy and resource consumption and minimize waste. But research also suggests that investors tend to favor companies that showcase strong sustainability performance, as they’re future-proofed from a potential shortage of resources, such as fossil fuels.
Beyond dollar signs, sustainability also makes sense from a reputational standpoint. Consumers want to interact with brands with values that align with their own. They don’t want to spend their money with a corporation that spills millions of gallons of oil into the ocean — they want the brands fighting to protect our environment in proactive (not reactive) ways.
And employees feel the same. Today’s workers are increasingly looking for companies that are committed to sustainability. In fact, an IBM report found that nearly 70% of workers say they’re more likely to accept a job at an organization considered to be environmentally sustainable — they’re even willing to make less money in the process.
It’s What Employees Crave
Diving deeper into workers’ perspectives and how much they prioritize sustainability, recent research, reported by Yahoo! Finance, found that many employees believe having a sustainable workplace is more important than getting an annual bonus. And nearly a third said they'd consider leaving their job if their company didn’t demonstrate a commitment to the cause.
What’s more, the research shows that when workers know they work for a sustainable company, they’re calmer and more productive. Nine out of ten office employees said that not only is a sustainable workplace design good for the planet, it’s also good for their wellbeing. And 93% of those working in environmentally friendly offices feel happier in their jobs — compared to 55% who are happy in environmentally unfriendly offices.
While today’s companies are making more moves in practicing, talking about and showcasing sustainability efforts, ultimately, employees want to know more. Right now, more than half of office workers said they don’t have information on their office’s carbon footprint. But 75% said they’d like to learn about it.
Related Article: 3 Tips to Build a CSR Program Your Employees Will Care About
Corporate Sustainability Strategies
With increasing employee demands for sustainability — and more global regulators requiring data on environmental, social and governance (ESG) reporting — many companies are evaluating how they can establish eco-friendly strategies.
Anita Menon, a chief risk officer at Prudential BSN Takaful Berhad (PruBSN), outlined for Financial Management the steps organizations can take to incorporate sustainability practices in the workplace, which, she wrote, starts with establishing a framework that draws on ESG strategies and guidelines.
She lists three core pillars to this framework:
- Accessible health and financial protection.
- Responsible investment.
- Sustainable business.
This framework helps PruBSN decide on which businesses they want to invest in and how they can incentivize and allocate budgets for initiatives that promote sustainability.
Another tactic, said sustainability consultant Kumar Vijayakumar, is to choose sustainability metrics that allow the organization to assess performance.
The carbon footprint concept, he said, is narrow and doesn’t necessarily reflect the right way to assess environmental impact. Instead, he said, a better key performance indicator (KPI) to measure and monitor is greenhouse gas emissions produced by the business. Then, the goal should be to reduce those emissions through greener alternatives.
Other environmental sustainability KPIs businesses can use include:
- Supply chain miles.
- Energy consumption rate.
- Water footprint.
- Waste recycling rate.
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Green Potential of Remote Work
One proposed champion for increased sustainability in the workplace this past year was remote work. And on paper, it makes sense — fewer office buildings, less people commuting, reduced emissions. But a shocking study released in 2023 busted a lot of misconceptions about remote work.
For one, while many people assume remote employees drive less because they no longer have to commute, the study’s researchers found that remote workers often drive more than their in-office counterparts. And while workers don’t need to come into an office building that uses high amounts of energy, remote employees tend to use more energy than they realize, as they take advantage of dishwashers, air conditioners and other items they typically wouldn’t use if they worked elsewhere.
That doesn’t mean remote work has no place in the sustainability argument. The study found that shifting from fully on-site to fully remote work can still cut emissions by around half, but it requires a bit more effort on the part of employees and employers.
To get that most out of remote work sustainability, one factor to look at is frequency. The study’s authors pointed out that working from home two to four days a week is more impactful than merely one day per week. Companies should also encourage their employees to adopt green practices, even when they’re at home. This includes strategies like turning off certain appliances during the day, limiting water waste and turning to energy-efficient electronics and greener energy sources.
Embracing a Sustainable Corporate Future
It’s become clear the workplace of tomorrow hinges on the balance between technology and sustainability. And the discussions in 2023 highlight the importance of adopting sustainable practices for the future — not just as a moral ground but as a strategic asset in the evolving corporate landscape.