In recent years, climate change and environmental degradation have become two of the world’s most pressing issues. Many organisations are searching for new ways to create a smaller carbon footprint and mitigate the impact of climate change. As a result, innovation has become more critical for those businesses striving to stay ahead of the curve and tackle these problems. They must invest in sustainable innovations to find new ways to improve their environmental and social performance.
Why is ESG a business priority?
When done right, innovation can help companies reduce their negative impact on the environment and society, while also driving economic growth, creating jobs, boosting profitability and enhancing competitiveness. They can also help from a more macro perspective and support the United Nations Sustainable Development Goals (SDGs), which are one way the international community seeks to address these issues.
Why SDG’s are essential for business?
The SDGs are a set of 17 goals that all United Nations Member States adopted in 2015. They cover various topics such as poverty, inequality, climate change, environmental degradation, peace and justice. They represent a global commitment to tackling these challenges and achieving sustainable development.
Of the 17 SDGs, Goal Nine is dedicated to Industry, Innovation and Infrastructure. This goal calls for the construction of resilient infrastructure, promoting inclusive and sustainable industrialisation and fostering innovation. All three elements are crucial for governments and businesses alike if we want to achieve the other 16 goals and create a sustainable future for all.
So what does this mean in practice?
How can businesses use innovation to support the SDGs and achieve better ESG outcomes?
- Technology to develop – using technology to create more sustainable products and services. This could involve using renewable energy sources, developing recyclable or biodegradable materials, or finding ways to reduce waste and water usage. In recent years, there have been a number of technologies that have generated a great deal of buzz and excitement in the business world. Some of the most notable examples include smart automation, web 3.0, metaverse, and NFTs which are impacting business innovation. How will your business leverage these technologies to achieve better results?
- Innovation to improve – using innovation to improve their supply chain management. This could involve working with suppliers with strong environmental and social practices, or using technology to track the origins of materials and ensure they are sourced responsibly. How will you create new blue oceans for your business to get ahead of the pack?
- Innovation to empower – use innovation to engage with and empower employees, customers and other stakeholders. For example, they could develop new communication channels to keep employees informed about company sustainability initiatives or create customer loyalty programs that reward people for making eco-friendly choices. How will you discover the innermost needs and desires of your stakeholders in order to co-create the future together?
When it comes to environmental and social responsibility, businesses must walk the talk. They must prioritise ESG considerations; one way they can do that is by innovating. Innovation is essential if companies want to meet the ever-changing needs of customers and stakeholders and boost profitability and competitiveness while reducing their negative impact on the environment and society. It also allows organisations to support nations in achieving their SDGs and creating a sustainable future for all.
If you’re looking for ways to improve your business’s ESG performance, don’t forget about the power of innovation. Contact Lim-Loges & Masters to discuss how you can embed innovation into your organisation and reach your environmental, social and governance goals.
Alexander Joel N., Senior Partner, Lim-Loges & Masters
CEO and Founder GRASP™ Guru, Inventor, Master Trainer and published author for the proprietary GRASP™️ methodology. Joel enables leaders to create a holistic and innovative problem-solving toolkit by combining design thinking, behavioural insights, and lean processing principles. He empowers individuals to solve any problem, enhance any situation, or invent something new using the GRASP™ methodology. His critically acclaimed book ‘Innovation within GRASP™ – the Ultimate Cheatbook in Innovative Solutioning’ supports his forward-thinking approach. Joel is an organisational change expert with career highlights that include Innovation Lead at Singapore’s Ministry of Home Affairs (MHA) for homeland security, and Senior Business Analyst for Service Design at Smart Nation and GovTech.
About Lim-Loges & Masters
Lim-Loges & Masters is an award-winning boutique agency offering expertise in Executive Search, Transition Management and Disruption Management across Asia Pacific. LLM works with multinational companies seeking to transform their organisations through their people. Focusing on Asia, the LLM team helps companies minimise risks and manage talent through a deep understanding of Asia Pacific’s business climate. LLM has a presence in China, Hong Kong, India and its regional HQ, Singapore, with international affiliates in the UK.