Half of world's CEOs say business is most crucial way to solve global issues
Companies aren't just tapping into sustainability initiatives to save face anymore -- they're looking to change the world.
A new study from the United Nations Global Compact, a voluntary initiative based on CEO commitments to sustainability and other U.N. goals, found that CEOs across the globe see the Sustainable Development Goals as a critical way to address the world's most pressing issues -- and transform their own businesses.
Also known as the Global Goals, the SDGs make up the U.N.'s latest blueprint to end extreme poverty, fight inequality and injustice, and combat climate change by 2030. Agenda 2030: A Window of Opportunity, released Thursday by the U.N. Global Compact and professional services company Accenture Strategy, surveyed more than 1,000 CEOs in more than 150 countries and 30 industries about their relationships to the SDGs.
You May Also Like
The study showed that 87% of CEOs see the SDGs as an opportunity to rethink approaches to sustainable business models, while 88% said their companies understand the goals are relevant and important to their individual businesses.
Nearly half said business "will be the single most important actor in achieving the SDGs."
"CEOs are accepting a mandate for radical action, and see a window of opportunity for transformation," said Lise Kingo, executive director of the U.N. Global Compact, in a statement.
"CEOs are accepting a mandate for radical action."
"At the U.N. Global Compact, we will engage businesses globally with governments and civil society on the SDGs, aiming to unleash the full potential of the private sector to reshape the global economy and deliver the world we want by 2030," she added.
The study also showed that 75% of CEOs believe digital technology helps their companies move toward more sustainable business models, such as the circular economy -- a model that reduces waste and pollution.
"Managed in the interests of both business and society, digital advances make it possible to unleash radical innovation to create value and deliver the U.N. Sustainable Development Goals by 2030," said Peter Lacy, managing director at Accenture Strategy.
This Tweet is currently unavailable. It might be loading or has been removed.
Since the last study, in 2013, optimism among CEOs has clearly increased; 54% agree that businesses are making sufficient efforts to solve social and environmental issues, as opposed to 29% three years ago. Meanwhile, 15% "strongly agree," as opposed to a lackluster 3% in the last report.
"Now it's all about action, delivery and real impact."
Despite progress, there are still several challenges to address, including the need for more standardized metrics to measure and track impact, and various regulatory obstacles.
The study's participants, which included CEOs at big companies like Unilever, Ericsson, Nestlé and Nikon, identified three main requirements to accelerate progress: expanding partnerships across public and private sectors, working with national governments to effect change on a local level, and driving digital innovation.
"We need to act now," said Paul Polman, CEO of Unilever, in the report. "The tone and focus has changed -- now it's all about action, delivery and real impact." (Unilever is often praised for its progressive sustainability efforts.)
The study's findings are the latest example of a shift in the role of business in addressing global challenges. In the lead-up to the Paris Climate Summit last December, for example, more than 150 companies signed the American Business Act on Climate pledge, joining the White House in an unprecedented show of support from American businesses for a global agreement to tackle climate change.
You can see more of Agenda 2030: A Window of Opportunity's findings in the full report here.
Have something to add to this story? Share it in the comments.
Topics Social Good
Matt Petronzio was the Social Good Editor at Mashable, where he led coverage surrounding social impact, activism, identities, and world-changing innovation. He was based at the New York City headquarters from January 2012 to April 2018, and previously worked as the assistant features editor.
