How organisations can centre sustainability ambitions around people

Sustainability is undoubtedly on the agenda for all stakeholders. For example, the EY Lane4 Purpose-led Transformation Survey found that 84% of employees feel it’s ‘very important’ or ‘important’ for them to work for an organisation that positively impacts society.³ Moreover, the EY Future Consumer Index suggests 43% of global consumers want to buy more from organisations that benefit society, even if products or services cost more.⁴ Investors also increasingly demand for organisations to be more sustainable, with the EY Global Institutional Investment survey 2022 highlighting how 89% of investors would like consistent reporting of ESG performance measures to become mandatory and that 74% of investors are likely to divest based on poor ESG performance.⁵
 

Despite sustainability being high on the agenda, many organisations continue to grapple with achieving their sustainable transformation ambitions. A report found that only 4% of sustainability programs end in success.⁶ A probable cause for the failures of sustainability transformations is that many overlook the power of people. Research from EY and Oxford Said Business school, points to employees as an often-untapped repository when going through transformation. This study found that organisations who put humans at the centre of their transformation journey are 2.6 times more likely to be successful than those that do not, increasing their chance of successful transformation from only 28% to 73%.⁷ As such, ensuring that people are put at the forefront for sustainability transformations, in addition to being empowered and equipped to make more sustainable decisions, is critical to actualising success in this space. Thus, in this article we explore how organisations can put humans at the centre of sustainability transformations.
 

Ignite behaviour change to achieve sustainability ambitions

Whilst systemic action plays a significant role in sustainability transformations, systemic change can only be realised when individuals take action. International Panel for Climate Change (IPCC) predicts that 40% to 70% of net-zero transformations will be about entrenching sustainable behaviours and business models, rather than solely focussing on technological innovations.⁸
 

In essence, it is the small day-to-day behaviours of people that coalesce into impactful change. Studies also show that employees have a desire to deliver on sustainability ambitions, with 63% wanting to learn green skills to become more valuable in the workplace.⁹ Studies show that 88% of business school students consider learning about social and environmental issues in business a priority, with 67% wanting to incorporate environmental sustainability into their future jobs.¹⁰ However, as with any behaviour change, an understanding of the benefit of behaviour and having the intention to engage in behaviour is not enough. Behaviour change frameworks, such as the Capability, Opportunity, Motivation, Behaviour (COM-B) model highlight how this behaviour-intention gap arises and what is needed to shift behaviour. Specifically, this model demonstrates that capability, opportunity and motivation are crucial to behavioural change.¹¹ These three factors have a dynamic relationship and can either sustain or block habit formation.  As such, leaders must consider how they can break down break any barriers to their people’s motivation and capability and provide opportunity to achieve sustainability ambitions.

Creating an environment where sustainable behaviours are inevitable

Having the systemic structures in place which make sustainable behaviours and decision making instinctual for employees are critical to successful sustainable transformation. Below are methods and considerations that can be used to unlock the power of people:

1. Bolster capability: consistency and congruency in messaging and lived experience ​

It is important that sustainability is not seen as an ad-hoc initiative but embedded into how an organisation operates. Leaders must role model sustainable actions and advocate for change. In doing so, it signals to employees that contributing to sustainable outcomes is possible. This could start with discussion forums and employee awareness campaigns, to ensure that employees understand how sustainability works in a way that is authentic to the organisation. It is also key to upskill people to meet sustainability deliverables. For this behaviour change to occur, it must be evident to employees that there is an investment in their skills to contribute and thrive in the green economy.

2. Creating opportunity:

Developing people’s capability is just the first step. It is vital that organisations tap into the care and energy that already exists within people surrounding sustainability challenges. Organisations must create opportunities to actualise business and employee ambitions. To do this, leaders must create clear systems and channels with easily identifiable deliverables that encourage unabating transformation. A mature approach to creating opportunity is empowering employee activists to create communities that boost engagement around sustainability and effectuates corporate governance. For instance, the implementation of a sustainability strategy that is authentic to an organisation exemplifies the mature approach. Harnessing the power of employee activism creates the opportunity to leverage the skills of employees in a way that meets sustainability targets.

3. Provide motivation: incentivising sustainable behaviours

Reward, renumeration and recognition are key catalyst for behaviour change. Not only do they signify importance, but they encourage behaviour change.  Sustainability should be embedded into the process end-to-end. Organisations must consider how to reward employees for engaging with sustainable behaviours that contribute to achieving organisational sustainability commitments. For example, the use of eco-friendly corporate gifting. Great ways organisations have motivated more sustainable behaviours is through incentivising greener commuting or leveraging technology to look at individual and team carbon footprints and creating rewarded competitions in carbon footprint reduction.