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How to make change management happen in the most effective way

Many things can put your business at risk, including changes to your organisation, people or technology. The current pandemic has put many businesses under unprecedented pressure, and some even teetering on the brink of survival. Crises like this quickly turn change...

Future-ready part 2: Diversity – an essential ingredient for a future-ready organisation

In his seminal 1937 essay, “The nature of the firm,” the economist and eventual Nobel laureate Ronald Coase argued that corporations exist to avoid the transaction costs of the free market. Yet with transaction costs plummeting (spurred by rising connectivity)...

Future-ready part 1: What does a future-ready business look like in the new normal?

The pressure to change had been building for years. Well before the COVID-19 pandemic, senior executives routinely worried that their organisations were too slow, too siloed, too bogged down in complicated matrix structures, too bureaucratic. What many leaders feared,...

Organisation Design: Restructuring or Reshuffling to enable Strategy

Customer expectations are not just changing; they are exceeding the ability of a business to deliver on time. They are looking for alternatives, with more emphasis on experience and convenience. To keep up, companies are evolving their offering to meet the...

How to fill the gap between Strategy and Execution

Organisations are great at setting their strategy and identifying their goals, but they fall short when it comes to their operating model review and redesign, the key component that enables the strategy and drives the achievement of goals. Operating models consist of...

Culture PART 2: The role of leaders in a culture shift

In the previous article in this series we examined the effect of COVID-19 on an organisation’s culture. Now, we turn the focus onto the role of leadership and technology in leveraging culture. When an organisation decides to change its culture – be it planned or...

Culture PART 1: Did COVID-19 signal the end for hierarchical organisations?

According to the Organisation for Economic Co-operation and Development, human capital is defined as: “the knowledge, skills, competencies and other attributes embodied in individuals or groups of individuals acquired during their life and used to produce goods,...

Meet MAC’s Executives: Karina Jardim, Senior Executive

“Exceptionally talented consultant” “An absolute pleasure to work with” “Driven by a desire to see people grow” If you know Karina Jardim, you know that these phrases used to describe Karina ring undoubtedly true. She is a name that is valued to every MACer, whether...

Thriving in the Age of Digital Adoption: Embracing the Workforce Ecosystem (part 2)

In the first part of this series, we looked at how the fears of technological innovation are resulting in an unproductive resistance toward modernisation, even as it gains extraordinary pace in 2021. We also delved into the importance of a growth mindset in allowing...

Thriving in the Age of Digital Adoption: Overcoming the Fear of AI (part 1)

“What if artificial intelligence takes over my job? What if I become redundant?” Every one of us has experienced technology encroaching on our lives, more and more so with each year that passes. It appears that technological innovation is a certainty that is only...



Mac Consulting

SUSTAINABILITY STRATEGY AND THE SDGS

SUSTAINABILITY STRATEGY AND THE SDGS
SUSTAINABILITY STRATEGY AND THE SDGS

The United Nations (UN) Sustainable Development Goals (SDGs) are a global call to action to achieve a more sustainable world for all, mobilising governments and the private sector to address the global challenges we are facing (climate change, economic inequality, poverty, sustainable consumption and environmental degradation). 17 Goals represent the action plan to transform our planet and society by 2030, creating a just and equal world for everyone.

Across the world, companies are declaring their support by embedding the SDGs into their business and sustainability strategies. Companies are realising it is the ethically and morally correct thing to do and that achieving the SDGs is good for business – Attaining the Global Goals could bring about approximately $12 trillion in market opportunities (Business and Sustainable Development Commission Better Business Better World report). By aligning business and sustainability strategies with the SDGs, companies can capture these opportunities in market share and shareholder value.

MAC Consulting recently helped one of our clients – a large JSE-listed chemical manufacturing company – develop a refreshed Sustainability Strategy aligned to the SDGs. We broadly followed a six step approach to develop their Sustainability Strategy, taking into consideration the risks towards and opportunities for value creation and their contribution to the SDGs:

Step 1: Analysis of Sustainability Strategy Drivers

We started the process by conducting a comprehensive analysis of the impact that the external market drivers have on the Sustainability Strategy of our client and further engaged with key internal and external stakeholders identified by the client. This included identifying sustainability best practices and understanding industry trends to ensure that the Sustainability Strategy would create value for the business and its stakeholders.

Step 2: Review Existing Initiatives

We reviewed the clients existing sustainability initiatives to unpack existing momentum and to identify where performance could be improved. This also involved mapping all existing initiatives to the SDGs in order to identify broad themes.

Step 3: Develop the Sustainability Vision and Purpose

Together with our client’s Sustainability Executive, and with input from the Group Exco, a Sustainability Vision and Purpose was developed that closely aligned to the organisation’s strategy and business model. An ambitious vision was chosen to reflect the scale of the progress required to ensure we achieve prosperous and sustainable world for all.

Step 4: Identify Strategic Objectives and Align to SDGs

The materiality concept was used to identify and prioritise SDGs and targets according to the company’s environmental, social and economic impact on the SDGs, and the potential risks and opportunities the SDGs pose the company and its stakeholders. In general, targets were aligned with the SDGs most relevant to the company’s core business.

5. Design Strategic Framework

The strategic framework underpinning the Sustainability Strategy was designed to ensure smooth socialisation and implementation across the organisation.

6. Finalise the Sustainability Strategy

The last step involved finalising the Sustainability Strategy and getting sign-off from Group Exco and the Board.

NOW UNTIL 2030 AND BEYOND

Forward thinking companies will want to understand how their business impacts the SDGs and what action they can take to achieve the 17 Goals by 2030. By focusing on the SDGs that are most relevant to their core business, companies can impactfully address challenges such as economic inclusion, diminishing natural resources, environmental degradation and the negative effects of climate change.

Not only will this ensure long-term business sustainability and increase shareholder value, but it will also align with stakeholder expectations, which will improve trust and strengthen their license to operate.

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