It is very easy to think, “I know how it works. It has worked like this for years!” Ignoring the up-gradation of a business model considering the high expenses today could cost a lot more tomorrow. Climate activism is increasing by the day. The consumers today are bent towards associating themselves with brands that are more sustainable. In such a scenario, even if the current model is working now because of the lack of sustainable alternatives, does not mean it will. Which is why it is important for the businesses to buck up and do the following seven things to brace themselves for the future.
Stakeholder Management
Movements to demand climate action or gender equality is not enough. In order to sustain for a long time, businesses need to keep up with the emotional shifts that society is going through and work in a manner which is more acceptable to all the stakeholders.
Keeping the promises
Goodwill plays an immense role in every business. And to earn it, it is important that the businesses keep the promises they make to the people. Eighty-seven companies are signed up to 1.5C science-based targets or a commitment to achieve net-zero emissions. While the announcements are very promising and inspiring, it is important for businesses to start working towards keeping these promises.
Work with the government
No development can ever occur without coordination between the government and the private sector. During such turbulent times when the economy is slow, global warming is increasing and there is a shortage of natural resources, the government is bound to make harder policies. Instead of spending time and energy opposing it, the businesses need to start embracing the good policies and focus on achieving their goals.
Partnerships instead of competition
Leaders are leaders for a reason. They have the intellect, knowledge and experience to propagate change. However, many times, their talents get used up in competing against one another. Collective effort made by them towards a common goal can reap miraculous results.
Addressing social equality through Climate Action
It is important for everyone to understand that the momentum behind environmental sustainability could help in tackling critical social issues. Human right abuses, the uncertainties of the gig economy and growing inequality are not the firm foundations for a sustainable future. Climate crisis affects the most to poor and vulnerable. Addressing climate change could help not only save the planet but also in tackling these issues.
Embrace Transparency
People today are fed up of corrupt practices in the government as well as the business. With the emergence of new technological tools, getting information is not very difficult. Instead of people finding out about something a business does from other sources, it makes more sense for the business to keep their operations transparent to build trust among people.
Make changes or get replaced
There are more and more new business models emerging of companies offering great food, fashion and finance in a much more sustainable way. Some are hitting $1bn in valuation. Just as the coal industry once laughed at renewables, the car companies at EVs and the meat industry at a plant-based diet, out there lurks your sustainable nemesis too. Either wait till it replaces you completely or make changes now.
