SUSTAINABILITY ROB PERRY
Putting people at the heart of sustainability and good business
Robert Perry, Sustainable Leadership Manager at the Sustainable Business Council (SBC), shows how businesses that choose to put sustainability at the heart of their purpose prove their commitment to doing good for people, as well as the planet and profit.
A
decade ago, sustainability was a non-issue for directors, executives and shareholders. CEOs rarely talked about ‘purpose’, their sights set solely on maximising profits and continued growth. Fast-forward to today and business is on a completely different trajectory. The Institute of Directors has just released its Top Five Issues for Directors in 2020, and on top of the list is climate action. There has been a global shift in expectations with shareholders demanding more than financial returns from their investments. Last year, 3.5 per cent of our population marched the streets calling for climate change action. This is a rising trend, and every sector, every employer and every demographic in society is now being affected. We all have a part to play. 6
HUMAN RESOURCES
AUTUMN 2020
So where to from here? Let’s start with tangible proof of sustainability progress before moving on to how your company can make progress. Here are some positives: • more than 100 business leaders have signed up to the Climate Leaders Coalition – setting bold goals to reduce their carbon footprint and report on progress • the Government’s Zero Carbon Bill passed with near unanimous cross-party support • major news companies report daily on climate change, making commitments to improve coverage • many companies have taken significant steps to move beyond waste minimisation to embrace the benefits that a circular economy brings – by starting to think about how to support their employee transition to new ways of doing things and new technologies. It’s clear that demand is growing for climate action and broader sustainability across the board. Just released, this year’s Colmar Brunton Better Futures report shows that climate change, sustainability and waste remain key concerns for New Zealanders.
You can find out more about the results at www.sbc.org.nz/ news/2020/kiwi-youth-feelingthe-heat. We’re seeing similar trends in impact investing, which has recently surged globally. Impact or responsible investing aims to produce social and environmental benefits as well as a financial return. It includes green bonds, social bonds, social enterprise, ethical funds management and strategic philanthropy. The Global Impact Investing Network estimates the current size of the global impact investing market to be US$502 billion. But can this change really be good for business, or is it all rhetoric? Looking to the future, the Colmar Brunton Better Futures report also highlights that 72 per cent of youth say it’s important their future employer is socially and environmentally responsible, indicating workplaces with these values are more likely to attract talent. Companies that have strong employee value propositions have a competitive edge when it comes to attracting new talent, as well as increased engagement with current
