The carbon footprint conundrum and how your company can tackle it

United Kingdom, Dec 21, 2023

The rising pressure from stakeholders. The heightened reporting requirements. The influence on the buying process. The competitive advantage for companies with a lower carbon footprint. There are many reasons that sustainability is front of mind for businesses. In fact, these days you’re in the minority if it’s not on your organisation’s priority list. 

According to IBV research, investing in Environmental, Social and Governance (ESG) is good for business, with 72% of executives viewing ESG as a revenue enabler. However, just 10% of executives have made significant progress toward their goals and 41% of executives cite inadequate data as a key barrier to ESG progress.

For many companies, they know that action is required but they aren’t exactly sure where to start. Luckily for them, there are a wealth of options when it comes to technologies that can make operations greener. 

Making evaluation easier

Data analysis and reporting is the first logical step on any sustainability journey. Not only does it allow businesses to determine where they’re starting from, it enables them to measure their progress and identify areas where more work is needed.

That’s why carbon management software has – for want of a better word – exploded in recent times. Companies need to be able to calculate and model their Scope 1, 2 and 3 emissions if they are to deliver on net zero goals, track the success of decarbonisation projects and invest properly in their journey to being a greener and more responsible business. 

The latest offerings in this space, including IBM’s Envizi platform and Environmental Intelligence Suite (EIS) platform , provide organisations with the means to secure manage data, associate emissions with operations and facilitate audits. Access to such insights and geospatial data also means teams can identify climate-related risks and opportunities in terms of business, strategy and finances.

Using software for sustainability 

Focusing on the Envizi platform, it’s built on a strong carbon calculation engine with thousands of emissions factors and incorporates Power BI-based reports which allow users to evaluate all of their emissions. It can also be configured for specific frameworks and has a target setting and tracking module. 

Meanwhile, the EIS platform provides users with insights on climate risk and geospatial analysis, advanced data modelling, and weather forecasting. In turn, this enables companies to better assess their assets and improve their operational decision-making. 

Furthermore, companies which are more familiar with their carbon footprint and are taking action to tackle same will have a greater competitive advantage. After all, sustainability credentials are becoming more important when customers are choosing solutions and suppliers. 

Forecasting for the future

Deploying carbon management software equips businesses with the means to also produce emissions forecasts, including the potential impact of any acquisitions or divestments, across their entire inventory.

Having a project portfolio management software can also be beneficial to track any initiatives being rolled out and measuring emissions associated with equipment, buildings and vehicles. This holistic approach is crucial for firms aiming to get to net zero. If they are to achieve this, they should introduce software across all functions including sustainability, finance and the supply chain.

Of course, partnering with a leader in the sustainability space can ensure that your efforts in this area are effective and support your green objectives – regardless of whether that’s being net zero or working with more sustainable suppliers.

Securing stakeholder support

Taking a more strategic approach to sustainability and embedding it in your daily operations, underpinned by data and reporting, will assist both with accelerating decarbonisation and ensuring stakeholder engagement.

However, the tools and resources need to be in place to ensure the efficacy of your strategy. That means having sustainability managers and teams focused on the side of the business. Supported by the right software and technologies, these people can collate all the relevant data, set goals and measure progress. 

This can also help to establish a sustainability hierarchy – much like any other department within the organisation – whereby targets are decided and quarterly or annually reports are presented on results. 

Becoming a socially responsible business and tackling the carbon conundrum head-on is a must for businesses of all sizes and in every sector now. That’s certain. But uncertainty remains for many in terms of the approach and tools.

Whichever route you take and whichever stage you’re at on your journey, you must not overlook the data foundation which is the secret to decarbonising operations and supporting green goals. By leveraging the expertise and software of leaders like IBM and Logicalis, evaluation and reporting becomes easier and stakeholder support can be secured – along with the future of your business.

Related Insights