Technology companies have both a strong global reach and an impact on people, hence they have a great opportunity to lead the way by incorporating sustainability into their core philosophy to fulfill both their environmental duties as well as gain an advantage.
Technology companies have both a strong global reach and an impact on people, hence they have a great opportunity to lead the way by incorporating sustainability into their core philosophy to fulfill both their environmental duties as well as gain advantage.
People Matters spoke to industry leaders on why sustainability should be made a priority for technology companies, why managing the green line has become an imperative and part of the strategy, what are organizations doing when it comes to their ESG efforts, and if these are yielding desired results.
Tech business and sustainability: Why is it a win-win?
Technology has helped businesses move towards a better tomorrow – to innovate, to compete, and to win customers. However, now it’s time for technology companies to look beyond purely financial growth to achieve long-term, sustainable success and reimagine their responsibility towards the environment.
By going green, tech companies can play a significant role in correcting the effects of climate change using their resources and platforms.
“This will help businesses contribute to two things: making the world greener and more sustainable, and secondly, it helps companies create an innovative culture, improve efficiency, competitive agility, employee engagement, and thus, drive growth,” says Kiran Marri, chief scientist at IT services and premium tech support solutions company CSS Corp.
Besides, it’s not just the tech companies that aggressively implement sustainable and environmentally friendly business practices; it’s also consumers who demand it.
According to the Economist Intelligence Unit, there has been a 71% rise in global online searches for sustainable goods over the past 5 years. Also, research by New York University’s Stern Center for Sustainable Business has found that sustainable brands have increased their share of the US market during the pandemic.
“This trend isn’t just in first-world countries or the FMCG industry; it’s everywhere! Customers are engaging with sustainable businesses in ways that they previously ignored. While many consumers actively seek out brands and companies that align with their values, they’re also willing to switch products/companies when something violates their ethics.
“These proof points are testament to the fact that sustainability is more important than ever today. Technology companies have a strong global reach and impact on people; hence, they have a great opportunity to lead the way by incorporating sustainability into their core philosophy,” Marri adds.
Anjali Byce, chief human resource officer at STL-Sterlite Technologies, says that the pledge to attain net-zero by 2050 has increased from barely 16% of the global economy in 2019 to over 70% currently.
“Technology companies are well-positioned to address this problem because of their extensive reach, social cohesion, and quick access to innovation and talent,” she adds.
According to Bloomberg, leading US digital companies are taking unprecedented steps to combat climate change. Many IT firms throughout the world have followed suit. Telecom and technology businesses play a critical part in this process.
Byce says: “By improving the efficiency of their company’s operations and links with suppliers, they can lead the transition and demonstrate the way for emission reductions across the value chain.”