Climate change and the global increase in temperature have affected almost everyone on the planet. Companies are also increasingly embracing sustainable business practices. When companies become environmentally responsible, they create a positive impact around them. The integration of sustainable practices into their operational activities also helps them flourish.
No two environmentally friendly companies have the same sustainable practices. They differ from one company to another, as each business has its unique values and objectives.
But they all have a similar goal to prevent the devastating effects of climate change on the planet. They make their products reliable, affordable, and sustainable. Here are some best practices followed by the companies under their corporate social responsibility (CSR) portfolios.
Companies Believe They Have an Obligation to Protect the Planet
Most companies feel an obligation to protect the planet. Being green no longer means harming business interests, but it opens new market opportunities and ensures higher profitability.
Multinational corporations (MNCs) are now embracing eco-friendly strategies, practices, and methods to save the ecosystem. As a result, sustainability has become an inevitable part of their business operations.
Take the example of tech giant HP, one of the greenest companies. Sustainability is core to its business. One of its missions is for the planet by transforming its entire business for more efficient operations and a low carbon economy.
Reducing Carbon Emission
A study published in 2017 noted that around 100 companies were responsible for more than 70 percent of the world’s carbon emissions. But, now, hundreds of companies are part of the global efforts to achieve net-zero carbon emissions by 2050. Responsible companies have adopted ambitious targets to reduce their carbon footprint.
German motor manufacturer BMW, for example, aims to reduce its CO2 emissions by over 200 million tons by 2030. It is using fewer resources and materials to produce its vehicles.
Companies have also invested in renewable energy so that they could be 100 percent powered by green power. Some technology companies are already using 100 percent renewable energy in their business operations. In 2021, Cisco, a networking solutions company, announced that 100 percent of its power in the U.S. came from renewable resources.
Digital Transformation
The World Economic Forum (WEF) believes that digital transformation can help the global economy become more sustainable.
Environmentally friendly companies are leveraging artificial intelligence (AI) generated data to design more sustainable business models, solutions, materials, and products. These would minimize the impact on the planet.
Companies are also transforming their supply chains using digital technology. It is reducing their carbon footprint, improving their service and cost. It is also enabling them to offer a sustainable experience to their customers.
German sportswear manufacturer Adidas is pushing sustainability by investing in digital transformation. By doing so, it also expects to increase its online sales. It again highlights that sustainable business practices do not make a company less profitable.
Final Words
Environmentally friendly companies have realized that businesses can only grow and be profitable when societies are safe, and the planet is greener. Hence, they believe in increasing their efforts and investments for eco-friendly production techniques, operations, and management.
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