Per this Forbes article, the seriousness of commitment to sustainability / carbon neutrality / ESG will cascade through the commercial ecosystem in a profound way.
The article says there are three groups of companies with regard to sustainability / carbon neutrality / ESG, but there is obviously a fourth, which is the first one below:
- Those that have yet to do anything
- Those just dipping their toes in the ESG landscape, making small commitments, and moving slowly in making actual change
- Those making substantial commitments, investments, and operational changes focused solely on strict compliance with their CEO mandates
- Those that recognize there is a substantial opportunity to improve their brand and competitive positioning through their ESG commitments and investments
As to which stage of the above your company is currently at, the article states that if you are unable to demonstrate you are reducing your carbon footprint and being socially responsible, your company will be replaced by a company that is. Net, the sooner your company gets to the fourth stage and uses its sustainability status as a competitive differentiator, the better you will hold your existing clients and win new clients.
As to supply chain, if you are a supplier, regardless of your size or public/private status, be prepared to be required to be certified sustainable and have a carbon program as your clients will be required to have vendors that can prove their sustainability and carbon reduction programs. Again, this is an opportunity to take market share if you are faster than your competitors to become certified sustainable and have a carbon neutral program.
This master class webinar gives you the information you need to proceed through this process.