To stay competitive in today’s global marketplace, all companies must address demands from investors, stakeholders, regulators, retailers and consumers for environmental, social and governance data. The market will no longer settle for meager corporate social responsibility (CSR) efforts and one-off sustainability initiatives and instead seeks greater transparency into how businesses take action to reduce climate change, create more circular products and provide more transparency into their global supply chains and social impacts.
Sustainability services that drive the market ESG investorsInvestors are increasingly demanding environmental, social and governance performance data from corporations.
RetailersRetailers are encouraging suppliers to adopt sustainability strategies.
Regulatory and non-governmental bodiesRegulatory and non-governmental bodies have increasing requirements to mandate lower carbon emissions and promote green products and construction.
ConsumersConsumers prefer environmentally friendly products from socially responsible companies.
Offering consumers eco-friendly options used to be an endeavor embraced mainly by ecologically inclined companies. It reflected their mission and appealed to customers who were loyal to them for their forward-thinking philosophies and CSR. Now, however, sustainability management represents a business imperative because not only are consumers and other buyers demanding it, but investors are including it among the requirements for companies they invest in.
Global sustainability concerns impacting on business's strategiesClimate change is a defining issue of our era, and we have come to a crucial moment in deciding our planet’s future. Following the Paris agreement, many countries have set net-zero targets, and enterprises are following suit with their own greenhouse gas emission goals. While making steps toward energy efficiency and switching to renewable energy play critical roles in diminishing your footprint, reducing material use also has a significant impact. This lower material usage is a key part of circularity, which emphasizes resource reduction, extended product use, reuse and recycling or composting, and biodegradability. When a company commits to a circularity strategy, it also needs to evaluate its supply chain and review vendor selection policies to keep stakeholders satisfied that the brand is an ethically responsible environmental steward. Finally, as awareness of chemical toxicity grows, manufacturers must take steps to ensure that the products they make meet chemical compliance requirements and don’t have a negative impact on human health or the environment.
Whether your interest lies mostly with climate change, circularity, responsible sourcing or the environmental and health impact of your products and materials, UL Solutions has the tools to help. Learn more about our advisory, testing, certification and verification services related to those topics below.