B E N C H M A R K I N G SURVEYS | DATA | INSIGHTS
SURVEY REPORT 1.4 Sustainability September 2023
Proudly brought to you by 4xi Global Consulting & Solutions 1
Dear CRITERION Members, We are delighted to share the latest of the CRITERION Survey Report series: ESG and Sustainability in the workplace. The world of environmental, social, governance and sustainability are one of multiple acronyms and verbiage, and for many organizations and business leaders it is difficult to know which initiatives are right for them to create impact for the business. Most organizations need to address how stakeholders view these ever increasingly important issues – investors, customers, and employees - especially with the visibility of waste, pollution, and climate change. Personally, and professionally, we know so much more must be done to act and operate in more sustainable ways to save our planet. What is sustainability in its simplest form? According to websters dictionary, “Sustainability is the ability to maintain or support a process overtime. It is having the ability to maintain at a certain rate or level”. In business, sustainability can be perceived in different ways. Earlier in my career sustainability in the workplace included taking initial baby steps such as recycling plastic and paper, reducing energy with energy efficient equipment and processes, monitoring water usage, food composting and grease recycling. As time went on, most organizations began to commit to operating much more sustainably and began to break this into three core concepts: environmental, social, and governance (ESG) initiatives. Today, the more progressive organizations are committing to a number of areas all the way from reducing carbon emissions, their environmental footprint, monitoring progress, eliminating plastic, optimizing supply chains, a greater focus on renewable energy to purchasing sustainable seafood, and certified coffee.
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Many are joining organizations and gaining certifications and tracking their commitments to operating more sustainably. There are five great approaches to gaining better traction in your sustainability efforts: 1. Brand transparency and visibility of your efforts with all your stakeholders. 2. Seek recognition, accreditations, and certifications. 3. Broadcast the great work that you are doing. 4. Be sincere and avoid claims of perfection. 5. Go the extra mile, beyond business. Some organizations are justifiably concerned about the potential financial impacts of implementing sustainable practices, but initiatives don’t need to be complex – turn off the lights after you leave the office, turn down (or off) air conditioning and food service equipment when you don’t need it, move to more plant forward menus, and eliminate single-use plastics. In a 2022 study of 850 companies worldwide, BCG found that more than 80 percent planned to increase their investment in sustainability. In addition to helping the planet, reducing their environmental impact can offer them long-term financial gain. In closing, I want to share a quote from climate activist Greta Thunberg from her article in Time Magazine in 2019 when she was on the cover. “We can’t just continue living as if there was no tomorrow, because there is a tomorrow.”
This report includes:
Top five highlights of the findings Narrative summary of the results Summarized comments on the results Visual view of the results per question
4xi considers it a privilege to have you as a CRITERION member. We will work diligently to continually conduct surveys on pressing workplace experience topics. Additionally, we will deliver timely results, so you have a a tangible report at your fingertips to help in your decision-making process, assisting you in improving your workplace experience. Remember that you will also have access to pop-up polls and additional resources on the CRITERION web portal. Thank you for your support and ongoing membership. We would love to hear what you think and are open to any suggestions for future surveys or reports.
Ann McNally Ann McNally Practice Lead
CRITERION Benchmarking 4xi Global Consulting & Solutions e: annmcnally@4xiconsulting.com p: (732)677-9060 w: www.4xiconsulting.com
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TOP
HIGHLIGHTS
have positioned their focus on ESG and sustainability strategy
75% cite data collection and reporting 61 % requirements as their biggest challenge have fully integrated sustainability 50% practices across all business functions 39% are eliminating aluminum 25% are subsidizing healthier food options
This survey had 28 respondents.
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RESULTS SUMMARY 5
Most of the companies that responded to this survey have various sustainability practices in place. In addition to the 57% of companies that have a chief sustainability officer managing sustainability, 29% of the companies incorporate sustainability efforts across all job functions. Surprisingly 11% of the responders have no defined commitment in place on sustainability. Seventeen out of the twenty-eight responders view sustainability as very important to them. There are several ESG standards, frameworks, and subscriptions that most of the responders follow. If they are not following one of the standards today, 25% plan to in the future. Fifty-seven percent of responders are using the UN Global Impact as part of their plan and on the flip side 75% are not using the International Financial Reporting Initiative (IFRI). Thirtytwo percent are using the Global Reporting Initiative (GRI) and 68% are not using the Corporate Sustainability Reporting Directive (CSRD). You can find all the details on what the responders are following under the Survey Results section. Fifty-seven percent of the companies offer electric charging stations and 43% of them offer it for free whereas 14% charge the employee. There are several operational practices in place such as food composting, paper composting, recycling, bring your own mug,
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eliminating aluminum, zero plastic efforts, and more. Details of these percentages are in the summary below under the the Survey Results section. Sustainable food practices in place include plant forward menus, sustainable seafood, cage free eggs, certified coffee, regenerative agriculture, and bulk snacks. Regarding additional sustainable practices, 16 companies are LEED certified, 8 follow International Well Being, 5 are Green Restaurant Certified and 2 follow the Cool Food Pledge standards. Over the next two years 21 companies plan to dedicate resources to Voluntary
Reporting (Global Reporting Initiative); and 13 will report on Climate Disclosure Rules (SEC Climate reporting rule in the US, European Financial Reporting Advisory Group). Pertaining to offering more sustainable and healthier food, 12 responders offer a diverse range of sustainable healthy options, 8 clearly label their food sustainable. 50% of the companies do not offer a higher subsidy for healthier options, however 25% do. As far as companies focusing on enhancing their ESG score with rating agencies, 15 responders stated this is
not important, 6 are in the middle and for 7 companies this is important. Regarding a commitment to reducing carbon emissions over the next two years, 20 stated this is very important to them, 2 are neutral and 6 stated this is not very important. Pertaining to Diversity and Inclusion 25 companies actively recruit from diverse backgrounds and communities; 20 companies have fully executed diversity and inclusion policies; 24 companies engage in community outreach and donate meals to their local community.
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HIGHLIGHTS OF THE RESULTS
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Company Commitment to Sustainability 11%
No Defined Commitment
14%
Minimally Integrated
50%
Fully Integrated
25%
Partially Integrated
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Resources that Manage Sustainability 57% 42% 28% 21%
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Chief Sustainability Officer
Dedicated Director/Manager of Sustainability
Responsibility is rolled into another C-Suite position
We do not have specific dedicated resources
Due to responders having multiple resources and multiple answers to the questions the data will not total 100%. Further details are in the specific questions area.
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