Expertise

Report: BROOKINGS – How corporations are approaching the Sustainable Development Goals

800px-sustainable_development_goals

On 8 Tuesday 2019 George Ingram, Mai Nguyen, and Milan Bala published the learnings of their study ‘Leveraging the business sector for a sustainable future’ finalised in May 2018 on the Brookings website. They studied 40 companies by desktop review and interviewed 14 of the sample for more details.

Key Take-Aways:

  • Most companies see their contribution to the SDGs in terms of corporate sustainability goals and practices.
  • However, while most companies refer to the SDGs in their publications in general, less than half track corporate and sustainability goals or activities against specific SDGs.
  • Companies in the Food, Beverage and Consumer Goods industry have the highest level of overall engagement with the SDGs.
  • The main challenge in engagement with the SDGs is the lack of awareness of the goals among stakeholders.
  • The drivers for companies to undertake sustainability are contextual and dependent on the nature of their business, the interests of their stakeholders, and the business environment.
    • There is a strong alignment between the drivers to take on corporate sustainability and engage with the SDGs.
    • All drivers can be categorized as business-case drivers or value-based drivers, although there are some overlapping features.
    • 84% of companies identify most strongly with business-case drivers. Some companies are driven both by business imperatives and value systems. Only a handful of companies identify purely with value-based drivers.
  • Embedding corporate sustainability in the business happens in three key arenas: strategic, operational and organizational integration

Top three goals that companies have demonstrated a commitment to:

  • SDG 8 (Decent Work and Economic Growth)
  • SDG 12 (Responsible Production and Consumption)
  • SDG 17 (Partnerships for the Goals)

Least attention companies gave to:

  • SDG 1 (No Poverty)
  • SDG 2 (Zero Hunger)
  • SDG 14 (Life Below Water)

Given the significant role of the business sector in employment creation, driving economic growth, and providing goods and services, SDG 8 and SDG 12 are a natural fit. Data collected from interviews and communication materials reflect that companies highly value partnerships (SDG 17) as part of implementing their corporate sustainability activities and contributing to the SDGs. Meanwhile, companies often view the bottom-ranked goals, particularly SDG 1, SDG 2, SDG 10 (Reduced Inequalities), and SDG 16 (Peace, Justive and Strong Insitutions), as areas where governments have more responsibility and where there is least potential for companies to create impact or find business opportunity.

 Companies researched (interviewed underlined)
  • Energy, Natural Resources & Chemicals (5 companies): Chevron (USA), Total SA (France), Centrica PLC (UK), Red Electrica Corp SA (Spain), Syngenta AG (Switzerland)
  • Financial Services (6 companies): JPMorgan Chase (USA), Commonwealth Bank of Australia (Australia), Ant Financial (China), Westpac Banking Corp (Australia), UBS Group AG (Switzerland), Blackrock (USA)
  • Food, Beverage & Consumer Goods (10 companies): Land O’Lakes (USA), AB InBev (Belgium), Coca Cola (USA), Nestlé (Switzerland), Walmart (USA), Henkel AG & Co KGaA (Germany), LG Electronics Inc (South Korea), Mark & Spencer Group (UK), Industria de Diseño Textil SA (Inditex) (Spain), Mars (USA)
  • Healthcare & Life Sciences (6 companies): Johnson & Johnson (USA), Roche Holding AG (Switzerland), Koninkijke Philips NV (Philips) (Netherlands), Allergan plc (Ireland), Centene (USA), Novartis (Switzerland)
  • Industrials, Manufacturing & Construction (6 companies): Bechtel (USA), Grupo Argos SA/Colombia (Colombia), Advanced Semiconductor Engineering Inc (Taiwan), Flowserve (USA), Volvo Car Group (Sweden), CH2M (USA)
  • Information Technology & Telecommunication (7 companies): Tata Sons (Tata Group) (India), Accenture (Ireland), IBM (USA), Nokia OYJ (Finland), Konica Minolta Inc (Japan), Apple (USA), SAS Institute Inc. (USA)

Read original article here.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.