FEATURE : SUSTAINABILITY
THE DAYS WHEN COMPANIES COULD TREAT SUSTAINABILITY AS A ‘ NICE TO HAVE ’ ARE LONG GONE .
As companies face increased scrutiny of their ESG objectives , incorporating technology into sustainability initiatives will be essential for staying on course .
Voluntary ESG commitments without financial returns Many businesses will continue to feel themselves squeezed in 2025 , with tightening budgets and increased costs . Two in five businesses with over 10 employees expect staffing costs to rise over the next three months , up 13 % points from late August , according to the ONS . likely to explain this push . This is especially the case as UK sustainability budgets are projected to grow at an annual rate of 12 % from 2022 to 2025 , an increase from 8 % between 2018 and 2020 .
Sustainability efforts lacking digital integration Traditional sustainability models that fail to utilise advanced technologies such as AI are becoming obsolete . Digitalisation is becoming vital , not only for adhering to strict reporting requirements but also for yielding effective outcomes today and in the future .
Because of these economic pressures , companies will increasingly prioritise ESG strategies that offer strong ROI and operational efficiencies over sustainability initiatives focused only on compliance or reputation . Strategies will include sustainable supply chain practices that reduce logistics costs and carbon footprints , as well as waste management programmes
Talk around AI will shift to action and implementation as it becomes an essential addition to corporate sustainability efforts . IBM reports that 90 % of executives believe AI will enhance sustainability goals , and businesses are being urged to invest in tools to lower emissions and achieve climate targets .
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