The Clear Business Case for Sustainability Initiatives
Is there a compelling ROI for sustainability initiatives for businesses? Some executives think not – a recent survey found that 45% believe there is no clear business case.
But wait a second… when approached strategically, sustainability initiatives can provide firms with quick wins, operational gains, reduced risks, and even the potential for new revenue. So let’s talk about why 55% of executives, the majority, understand the business case for sustainability and why they are likely experiencing better financial returns.
Turning Sustainability into Financial Results?
Quinn Construction recently adopted real-time emissions monitoring technology from EMSOL for a sensitive construction project next to a sleep research centre.
Monitoring provided the Quinn Construction team with instant alerts whenever noise or dust thresholds were exceeded, allowing them to rapidly respond to potential breaches by subcontractors before they escalated. By proactively getting ahead of pollution, Quinn Construction avoided issues with regulators and even ensured a collaborative relationship with subcontractors on reducing pollution occurrences.
With near real-time data and alerts, Quinn Construction looked to turn a monitoring project from an operational expense into an investment. They can now evidence the project with EMSOL as an example of their sustainability record – critical for a growing number of tenders. In short, winning business for Quinn Construction and delivering a financial benefit.
Data Shows Sustainability Leaders See Better Financial Returns
Quinn’s success story reflects a broader trend. According to a recent EY study, firms leading the pack on sustainability initiatives are 2.4 times more likely to exceed their financial targets.
The research found 52% of corporate “pacesetters” on climate action saw better than expected financial performance over the past year. This shows that leadership on sustainability is:
- Opening up new revenue streams from sustainable products and services
- Achieving operational efficiencies from energy, materials, and resource reductions
- Avoiding risks from avoiding regulatory non-compliance
- Enhancing reputation with key client segments
For pacesetters, sustainability has moved beyond a cost to actual value creation – contributing directly to bottom lines.
Achieving Quick Wins
With the right initiatives and commitment, firms can translate improved environmental performance into financial results. Quinn’s subcontractor monitoring program shows that quick wins are possible.
But sustainability benefits when it is strategy backed by leadership. Avoid viewing it as just a cost. Get hands on with pilot projects that test technologies like emissions monitoring to prevent incidents. Build partnerships between functions to scale successful programs across your company.
Let Quinn Construction’s example inspire your firm’s sustainability journey. Contact EMSOL to discuss how a targeted pilot program could help you achieve rapid ROI by getting ahead of potential pollution issues and avoiding costly stoppages or fines. With the right approach, you may be surprised just how quickly sustainability starts paying dividends.