4 Factors to Consider When Setting Sustainability Goals for Your Business

For years, businesses were driven with focus on mere bottom line: PROFITS, which can no more ensure sustenance. Businesses need to consider a value-driven approach when developing business strategies as it can be extremely critical for long-term success. The integration of Sustainable strategy with focus on Environment, Social and Governance (ESG) in the overall business strategy to ensure resilience is the way forward.

This is additionally upheld by the fact that investors across the globe have started considering ESG goals of a company into their investment decision.

Did you know that a lot of big companies set ambitious, inspiring sustainability goals for 2020?

But a study by Bain & Company demonstrates that just 2% of companies achieved or exceeded the expectations set in their sustainability programs.

Alarming? Isn’t it

This clearly reflects the point that companies must do more than just lip service when it comes to sustainability and ethical business behaviour. Practicing sustainability is a corporate cornerstone for organizations and not some short-term fad.

Organizations across the world are working towards reducing their environmental impact. This helps them to meet consumer demands, increase efficiency, meet regulatory requirements, add brand value, attract talent, and create new business opportunities among others. They can set themselves up for success by setting sustainability goals that they can achieve, both in short and long term.

1. Understanding Energy Use

Energy efficiency is the key when it comes to sustainable development. In India, energy consumption is driven by strong economic and demographic growth. Energy consumption, and in particular the burning of fossil fuels, is the main source of greenhouse gas emissions. The key is to maintain economic growth while reducing the carbon content of energy and increasing the efficiency of its use. However, in most cases, energy efficiency improvements are often prevented due to the lack of expertise and information. Altilium can be the one-stop solution for the companies having the intent to go green, reduce their carbon footprint while wanting to reduce their power cost of operations. Being the integrated power player in the industry, Altilium believes in proposing customisable, well-researched, insightful, implementable energy cost optimisation solutions rather than “one-size fits all” advisory.

2. Aligning Strategy and Sustainability

Businesses need to ensure that the strategy of the company and the sustainability efforts are aligned with one another. If there is a divergence, it can make the sustainability efforts fragile due to a lack of real commitment.

3. Compliance First, Competitive Advantage Later

Organizations must address compliance issues related to regulations in waste management, pollution, energy efficiency, etc. Did you know that investors shy away from organizations with poor sustainability performance? Organizations that make genuine commitments for sustainable development usually outperform the competition. Sustainable practices need to be placed at the heart of the business, embedded in the purpose of the organization.

4. Moving from Reactive to Proactive

Reactive sustainability practices mostly focus on quick wins. This means tweaking the existing practices to sustain the current requirement of the business or meet regulatory requirements. Such approaches fail to sustain the long-term sustainability goals. On the other hand, Proactive sustainability management is the implementation of practices and initiatives that support businesses in the long run. For example, replacing an unsustainable material for a sustainable alternative; and innovative manufacturing practices or switching to green energy solutions are all examples of a proactive approach towards sustainability.

With an overall team experience of 45 years in the Indian power sector, our array of services includes bespoke Electricity Regulatory Advisory, Energy Portfolio Management, Renewable Energy offtake & trade, open access services, Renewable Energy Projects management, to name a few. Being one of the leading CERC (Central Electricity Regulatory Commission) approved power trading companies in India, Altilium is managing a trade volume of over 15 MUs (million units) of Renewable Energy every month for its clients PAN India, as on date.

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