Australian businesses are increasing resources for environmental sustainability by more than 50 per cent, the latest Business Assurance Report by SAI Global says.
SAI Global environmental management systems expert Saeid Nikdel said the report showed sustainability could be the major focus of Australia’s post-pandemic recovery.
“The COVID-19 crisis has caused a fundamental shift in our current trajectory and presented an opportunity for businesses to rebuild more sustainably. The pandemic presented many challenges to businesses, but the silver lining of the crisis is that it allows us to rethink our future and build resilience to other challenges such as climate change,” Saeid said.
The report, which surveyed 328 Australian business leaders, found:
- 85% of businesses were already working to improve their environmental impact;
- 57% said they were improving waste management processes; and
- 48% were reducing their energy consumption.
Waste management was the leading and most manageable concern, with the main waste reduction management processes being adopted including reusing, refurbishing, recycling, and disposal.
It also found 24 per cent were increasing local sourcing and 23 per cent were reducing travel and product transportation.
“While many businesses say they are taking strides to reduce their waste management, energy consumption and emissions, not enough businesses are taking a holistic approach to environmental sustainability to also look at the lifecycle of their products, better uses of raw materials and natural resources, and better utilisation of space.
“The end-of-life treatment of products, how they are stored and how raw materials are acquired and extracted all have an impact on a company’s environmental impact and should be considered when developing an environmental strategy,” Saeid said.
Large organisations (more than 501 employees) seemed to be taking charge in reducing emissions, with two thirds (66 per cent) focusing on reducing their energy consumption, compared to 41 per cent of small businesses (less than 50 employees).
More than a quarter (29 per cent) are reducing their travel and transportation emissions, compared to 21 per cent of small businesses.
Saeid said the pandemic also hastened the transition to a hybrid working model, which has resulted in employees avoiding unnecessary face-to-face meetings as well as domestic and global travel, in turn, reducing fossil fuel depletion and the associated impacts on climate change.
“As we emerge from the pandemic, it’s imperative that businesses looking to put more resources toward environmental sustainability create a multi-faceted approach that focuses on a range of measures,” he added.
He also cautioned against company’s simply developing a statement that outlines its sustainability commitment.
“Adopting an environmental management system, such as the ISO 14001 standard, will improve an organisation’s ability to develop and implement policies, objectives, procedures, and governances to deliver environmentally responsible and sustainable business practices,” he explained.
He said that when an organisation certifies to a management system, they focus beyond their organisation.
“To properly address sustainability, businesses are best to look across their entire operations, to their suppliers and partners, to ensure there is environmental consideration in the production, design, transportation and disposal – the full lifecycle – of their products or services.”
A number of major food and beverage companies have detailed sustainability action plans this year:
