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Embedding sustainable practices

A leading company that puts sustainable practices at the core of its business strategy is commonly listed on socially responsible investment indices, such as the Dow Jones Sustainability World Index—“DJSI World”.

Pw 4411 Barbara Mc Cutchan

This external acknowledgement is for those companies (based on third-party comparative assessment) that have created a financial value for shareholders based on sustainability practices across economic, environmental, and social dimensions.

The commitment to sustainable practices begins with company leadership and ultimately extends to each employee. Senior leadership provides a vision and encourages a culture of continuous improvement within the company. Each employee recognizes the elements where they personally contribute to the sustainability goals of the company. It becomes a part of each employee’s annual assessment. To no one’s surprise, the spirit for sustainable practices is often inherent in employees and only needs to be directed and encouraged. In fact, a strong sustainability vision is increasingly important in recruiting and retaining highly effective employees.

In the best companies, financial performance and sustainable practices are not separate and distinct facets of corporate strategy. Improving energy efficiency is a clear example of the synergy that can exist between sustainable practices and financial performance, whereby costs are reduced at the same time that comsuption of fossil fuel is reduced. For companies operating in developing countries, the sustainability impact may be social, related to worker or supply chain human rights; the financial implications are measured in terms of a positive global brand image and desirable reputation. Philanthropy, an element of sustainability, exemplifies that in order for a company to continue to “do good,” it obviously must be financially successful.

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