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Mar 21, 2025

Smart companies treat sustainability as a business strategy - not just compliance

Smart companies treat sustainability as a business strategy - not just compliance

Sustainability is so much more than compliance. Yet, some companies are slowing down, thinking Omnibus or simplified reporting means they can take a break. Bad idea. The market isn’t waiting, and neither is your competition.



This article is for you, the sustainability manager - the one fighting the uphill battle, constantly hearing “but what’s the ROI?” We know you’re up against skeptical executives, shifting regulations, and endless data requests.



Here’s what you need: some great argument to shut down the “let’s wait” excuse once and for all. Some points you already know. Some will challenge your thinking.



Consider this your ammo. Let’s make sure your management team doesn’t slow down when they should be speeding up.


Sustainability impact is exponential


  • Sustainability work takes time. If you pause now, you’re not just delaying results - you’re restarting from scratch.

  • Progress isn’t linear, it’s exponential. The first years feel slow, but once momentum builds, things accelerate fast.

  • Organizations need time to align, integrate, and optimize sustainability work. Stopping means losing internal buy-in and having to rebuild it later.


💡 Companies that stay consistent now will be miles ahead when the market shifts. Those who pause will struggle to catch up.



Without sustainability data, there is no impact


Compliance reporting is just a snapshot - real sustainability work and impact relies on continuous, high-quality data.


Without granular, real-time sustainability data, you can’t:

  • Identify trends and improve performance

  • Make informed decisions for reducing emissions, waste, or inefficiencies

  • Respond to investor, customer, and regulatory demands 


The best companies collect raw data and cut it for any reporting purpose - CSRD, VSME, GRI, internal KPIs, and more.


PWC report 2023: Data for the sustainable enterprise: Going beyond reporting to create business value


Customer example: Toveks Bil

By automating the collection, processing and visualization of sustainability data, Toveks Bil are able to identify trends, enhance their performance and respond effectively to stakeholder demands. 


Visibility: If you don’t talk about your data, does it even exist?

  • If you’re quiet, people assume the worst.

  • No reports, no proof, no trust.


Hiding isn’t a strategy. Either you have the data, or you don’t. And if you don’t, investors and customers will assume the worst.


Transparency: We know what data to look for


  • Investors, customers, and regulators aren’t looking for excuses—they’re looking for proof.

  • Omnibus might make reporting easier, but the numbers still need to hold up.

  • 74% of investors are more likely to divest from companies with poor ESG track records (EY)

  • Less paperwork doesn’t mean less accountability.


Customer example: Rexel

The importance of clear and reliable sustainability data was highlighted by Rexel. To ensure accurate and transparent reporting, Rexel chose to streamline their sustainability data management with SustainLab. In turn, this strengthened their trust among investors, customers and regulators. 


Can you answer your customers’ detailed data requests?


  • Customers and suppliers already demand detailed sustainability data.

  • Example: Car dealerships must report emissions data to the big car brands because they fall under Scope 3 emissions.

  • Public sector procurement is tightening because of national and global sustainability targets - If you don’t have the right data, you can be out of the bidding process for years.


💡 If you think sustainability is just for regulations, think again. Your customers and business partners demand it - now.


Legacy: What do you want to be remembered for? 


One day, you’ll be asked: What did you and your company do to help prevent climate catastrophe?


Will your answer be one of action—or hesitation?


The choices made today shape the businesses of tomorrow. Those who lead on sustainability strengthen their reputation, build resilience, and secure long-term success. Yet, many still wait. Despite seeing long-term benefits, a significant percentage of business leaders have yet to invest in climate-friendly initiatives. (The Times)


Leverage sustainability to promote long term growth for your business.


People: No one wants to work for crappy companies


  • Top talent won’t waste their time on companies stuck in the past.

  • Climate Quitting: A growing number of employees are leaving or avoiding companies that lack genuine environmental commitments. A 2022 survey of 2,000 UK office workers found that at least half of 18- to 24-year-old workers would consider leaving a job because of the company's net-zero policies, compared with about a third across all age groups. ​(McKinsey)

  • You don’t get to opt out of expectations. Keep up or lose out.


A 2024 survey revealed that 82% of S&P 500 firms now disclose workforce diversity data, up from 5.3% in 2019, reflecting the growing importance of transparency in attracting and retaining talent. ​(Reuters)


Visibility: What will people Google about you in five years? 


Every company has a digital footprint. The question is: what will yours say? Will it be "industry leader in sustainability" or "exposed for inaction and greenwashing"?


Public Perception: Recent events highlight how leadership decisions can quickly become public knowledge. For instance, AI company Sana's CEO, Joel Hellermark, faced criticism after an internal memo urging employees to work 60-hour weeks was leaked, drawing parallels to similar communications from Google's co-founder. (​Breakit)


  • The internet doesn’t forget. Your sustainability decisions today shape your reputation tomorrow.

  • Companies ESG actions are increasingly scrutinized, affecting their public perception and investor relations. (Financial Times)

Investors demand transparency and strong ESG performance


  • Investors are increasingly integrating ESG factors into their decision-making processes.

  • 98% of investors assess ESG factors, with 72% conducting structured reviews. (EY)

  • Transparency in sustainability practices is now a business necessity to remain competitive.

  • Companies that proactively disclose their environmental impacts are better positioned to attract investment and reduce risks.


The Carbon Disclosure Project (CDP) requests climate risk information from the world's largest companies on behalf of over 800 institutional investors with a combined US$100 trillion in assets, emphasizing the financial materiality of climate-related disclosures. ​(Wikipedia)


Waste: Are you burning money without realizing it?


Inefficiency is expensive. Wasted energy, excess materials, and outdated processes cost more than you think.


The companies that track sustainability data properly find hidden leaks in their operations. The ones that don’t? They’re throwing cash out the window.


  • Sustainability reporting on your return on equity, assets, and profit margin, has proven to lead to cost reductions and improved financial performance. (Westminster University)

  • Products with multiple ESG-related claims have grown approximately twice as fast as those with only one such claim, showing that both consumers and employees are drawn to companies with strong sustainability commitments. (Mckinsey)


Sustainability isn’t a cost—it’s a financial strategy.


McKinsey found that redesigning products can reduce costs by 10% and Scope 3 emissions by more than 30%.​ (McKinsey)


Risk: What happens when sustainability data goes from voluntary to mandatory?


  • Right now, some reporting is optional. That won’t last.

  • If you’re not tracking your impact now, you’ll be playing catch-up when real enforcement kicks in.

  • Institutional shareholders are demanding better ESG practices. Companies that are unprepared for mandatory sustainability reporting may face significant risks in the future. (Barrons)

  • Those already measuring and improving will avoid the panic when regulations demand deeper reporting.


Australia's new Treasury Law Amendment Bill mandates climate-related financial reporting starting January 2025, with non-compliance potentially leading to substantial legal and commercial expenses. ​(The Australian)


Resilience and risk assessment: Are you prepared for what’s coming?


Sustainability is more than emissions and compliance  - it’s about business survival in a changing world.


More wildfires, floods, and supply chain disruptions - how will your company adapt?


How well is your business insured, prepared, and structured for a world where climate risk is part of everyday operations?


💡 Companies that understand resilience today will avoid massive costs tomorrow.


Future-proof your business - because the market won’t wait


  • Omnibus proposal might simplify reporting, but it doesn’t change market expectations.

  • Companies with high ESG scores perform better financially. Integrating sustainability is essential for staying competitive. (Wikipedia)

  • The companies that stay ahead now won’t just survive future shifts—they’ll lead them.


Customer example: Regio

To stay ahead of emerging market trends, Regio chose to work proactively with SustainLabs by managing and reporting their sustainability efforts. Regio positioned themselves as a leader in the industry, effectively future-proofing their business against upcoming regulatory changes and shifting consumer preferences.


Companies with high ESG scores have lower capital costs compared to poor ESG performers. (Wikipedia)


Sustainability manager - you control the narrative


You are the expert in the room. No one in your company knows more about sustainability than you.


You’re not just pushing reports—you’re setting the pace, direction, and ambition of your company’s sustainability journey.


The more you push for strong sustainability data, real action, and long-term thinking, the stronger your position becomes.


💡 You set the tone. Use that power.


And if they’re still not convinced?


Sustainability professionals are often told to avoid shame, fear, or dwelling on the effects of inaction - because people shut down. We’re taught to focus on business benefits, to steer clear of starving polar bears and melting glaciers, because the audience might disengage.


But here’s the thing - if you’ve read this far, you already know sustainability isn’t a PR exercise. It’s about resilience, opportunity, and long-term business success.


And if they’re still hesitating in the boardroom?


Then here’s the last thing you can say:


It’s the right thing to do.


Sustainability Manager - we see you. You’re doing an amazing job, and we can imagine it’s like being in an MMA cage with ten buffalos. Keep fighting the good fight.


Need support? We can be your strategic ally. Our Strategic Navigation Workshop is a two-hour session designed to help you identify the most business-critical sustainability priorities for your company - so you can move forward with confidence. Contact us to learn more.

Let's accelerate change for better business - better planet!

Let's accelerate change for better business - better planet!

Let's accelerate change for better business - better planet!

Let's accelerate change for better business - better planet!

SustainLab is a SaaS Sustainability Management platform that automates collection, processing and visualization of sustainability data, to help companies spend less time on data-handling and more on accelerating change.

Newsletter

Copyright @2020-2025 SustainLab Sweden AB.

SustainLab is a SaaS Sustainability Management platform that automates collection, processing and visualization of sustainability data, to help companies spend less time on data-handling and more on accelerating change.

Newsletter

Copyright @2020-2025 SustainLab Sweden AB.

SustainLab is a SaaS Sustainability Management platform that automates collection, processing and visualization of sustainability data, to help companies spend less time on data-handling and more on accelerating change.

Newsletter

Copyright @2020-2025 SustainLab Sweden AB.