What if businesses could do well by doing good? That’s not a dream – it’s the future of business.
Sustainability is now a big player in the corporate world. It’s not just about being green; it’s about smart business, innovation, and staying ahead.
We’re diving into how sustainability is more than just a trend – it’s a key driver of business success. By looking at PepsiCo and Tech Mahindra, we’ll unpack how going green is good for the bottom line.
Sustainability in today’s corporate world goes beyond environmental impact.
It’s about a business strategy aiming to positively impact society and the environment. This approach addresses global issues like climate change, human rights, and resource depletion, all while driving business success.
Incorporating sustainability into corporate culture is no longer an option but a necessity for long-term success.
It involves a comprehensive approach that extends beyond environmental efforts to include social and governance aspects. The benefits range from improved market position and brand reputation to attracting a talented workforce and tapping into growing consumer demand for sustainable products.
Remember, integrating sustainability is a journey. It’s about making continuous progress, learning, and adapting along the way.
Keep it practical, involve your team, and stay focused on the big picture.
Employees, especially millennials and Gen Z, are also seeking employers whose values align with their own, leading to an increased focus on sustainability in corporate recruitment and retention strategies.
In a nutshell, integrating sustainability is like hitting multiple targets with one arrow – innovation, investment, risk management, regulatory compliance, and employee satisfaction. It’s not just about doing good; it’s about doing good business.
A great example of how environmental sustainability and business success can go hand-in-hand is PepsiCo. In 2020, the food and beverage giant generated $70 million in revenue on the back of sustainability efforts. 
On the back of that success, the company has committed to reducing absolute scope 1 and 2 greenhouse gas emissions by 75%. It will also reduce Scope 3 GHG emissions by 40% by 2030.
Focusing on the dual pillars of mitigation and resilience, PepsiCo began re-evaluating targets, including peer benchmarking, modeling and forecasting.
The result was a comprehensive strategy that now spans the entire business.
Traditional business metrics are adept at measuring tangible aspects like revenue growth or cost savings but often fall short of capturing the full spectrum of advantages brought by a sustainable corporate culture.
These benefits manifest in less direct, yet equally important, ways such as improved brand reputation, customer loyalty, and employee satisfaction.
Measuring the impact of sustainability on such intangible assets requires a nuanced approach.
For instance, how do you quantify the value of a positive corporate image or the level of employee engagement?
These aspects, while not directly reflected in a company’s financial statements, play a crucial role in long-term viability and market success.
Based on the 3 pillars of planet, profit, and people, the company established a 5-year sustainability roadmap. As a result, it was able to set clear, science-based targets to reduce GHG emissions without compromising business outcomes.
In the words of Sandeep Chandna, Chief Sustainability Officer and Chief Customer Officer –
“Sustainability is just not a target to be achieved; instead it is a lifestyle that is incorporated into our business. Making the best use of technology to sustain the environment and society will go a long way.”
|Contact Sprih today to unlock the full potential of sustainability in your business operations and step into a profitable tomorrow.