Global Corporate Survey Sneak Peek: Sailing The Sea Of Sustainability

Global Corporate Survey Sneak Peek: Sailing The Sea Of Sustainability

We have just finished the interviews for the as-yet-unpublished 2025 Verdantix global corporate survey of ESG and sustainability budgets, priorities and preferences, engaging with 400 firms across the globe. Analysis of the results is underway, and we will publish the full report in late September. But, in the meantime, here’s a quick sneak peek...

The sneak peek: what terminology are firms using and avoiding?
Verdantix has been researching and analysing how firms discuss sustainability and the terms they use to demonstrate their various commitments:

• ‘Sustainability’ remains the go-to choice for firms.
• ‘ESG’ takes an expected tumble, but not so far as you may think – even in the US.
• ‘Value creation’ is on the rise.
  
  

Reassessing sustainability does not necessarily mean reducing sustainability investments
The Trump administration in the US has caused a number of firms to reassess their sustainability strategies, prompting some to reposition or scale back some of their ESG-related initiatives. Organizations are, in general, shifting their sustainability agendas from compliance-oriented to strategy-oriented. This is particularly evident following the reduction in the number of firms impacted by the EU’s CSRD.

But cutbacks on sustainable initiatives in both the EU and the US have been met with practical concern. In agriculture, farmers have expressed alarm at the loss of climate-related data previously provided by the US Department of Agriculture (see Strategic Focus: ESG & Sustainability In The US).

Investors also want data, as well as conformity, to enable comparisons and informed decision-making – a realization hitting many firms as they weigh up their ESG strategies. More detail on this will become evident as the results of our GCS are analysed and published.

What firms should consider
The trend of desperately flying the ESG flag has taken a hit, precipitated by both the present US administration and the Omnibus revision. However, the sails of the sustainability ship remain at full mast. While DEI initiatives and net zero targets are no longer bellowed from the crow’s nest, progress continues as firms seek to boost resilience, mitigate risk and maximize opportunities.

For many organizations, easing regulatory requirements will make it feel like the fog is also lifting. With a new chance to reflect and assess as the red tape falls away, firms that have already begun processes to satisfy expected regulations have uncovered not only the difficulties in achieving reliable data but also the benefits it provides to strategic decision-making, efficiency, resilience and streamlining.

Still looking for proof?
Achieving high-quality data requires planning, and often additional resourcing and purchasing. This additional spend means that budget holders want more reassurance of ROI and further proof that sustainability is sustainable – it seems a no-brainer, right?

To provide this reassurance, value-oriented studies are growing in popularity, depth and influence (see research from CSE and KPMG). Sustainability sceptics and leaders alike should digest the publicly available materials regarding the benefits of sustainability, and keep an eye on new and developing studies.

Check out our in-depth survey on the benefits of sustainability investments and business leaders’ priorities – Global Corporate Survey 2024: ESG & Sustainability Budgets, Priorities And Tech Preferences – and stay tuned for the 2025 iteration of the report.