Verdantix Global Survey Of EH&S Leaders Finds 31% Of Firms Will Increase 2016 Spending By More Than 5% And Identifies Priorities For 2016 Investment
London, November 20, 2015. A new global survey of 312 environment, health and safety executives by independent research firm Verdantix finds that 10% of firms will increase spending in 2016 by double digits and 21% will spend between 5% and 9% more next year. Three quarters of respondents expect budgets to increase in 2016 which is an increase from 62% who increased spend in 2015. According to the complimentary report which breaks down budget increases by country, 54% of firms surveyed in India will increase spend by at least 5%, 48% in the Middle East and 47% in the UK.
“The survey findings point to robust spending increases on EH&S initiatives in 2016” commented Trevor Bronson, Verdantix Analyst and author of the report. “In the next budgetary cycle only 3% of EH&S decision-makers will decrease spending. This is very positive news for the sector. The highest priorities for environmental budgets are hazardous waste management, product stewardship, water and waste water initiatives. Occupational safety and employee health top the list of health and safety priorities for 2016.”
Key insights for EH&S decision-makers:
- 60% of respondents see incident management as a high priority, 59% put risk analysis as a high priority and 45% say the same for EH&S auditing
- Good news for employees: training and hiring will see the biggest increases in spending in 2016
- Voluntary certifications will see the lowest increases in investment
- Primary drivers of increased EH&S budgets are operational excellence programs, CEO focus on sustainability and improved financial performance
- 57% of respondents expect spending to stay flat for environmental consulting, 40% anticipate higher spend in 2016
“EH&S has traditionally been viewed as a function which should deliver compliance at minimum cost” commented Verdantix CEO, David Metcalfe. “Our survey data show that this negative perception of EH&S is changing. Thirty-six per cent of the EH&S managers we interviewed state that their CEO believes EH&S impacts short-term or medium-term financial performance. And the top two drivers for EH&S budget increases are operational excellence and CEO support for sustainability goals.”
To fully understand the value of Verdantix EH&S research for your business attend the Verdantix EH&S Summit in Chicago May 16-18, 2016.