Integrating Sustainability Across Business Practices
Embedding sustainability in business isn’t just a trend; it’s a necessity. Whether you're here because you're passionate about the topic or simply trying to figure out how to get your company on board, the struggle to gain buy-in is real. But don’t worry — you’re not alone in that battle.
In a recent webinar, our team at Foresight hosted a conversation on how sustainability can be woven into the fabric of an organization. Danny and Wendy were joined by Lisa Brunie-McDermott, Corporate Head of CSR for HNI, a global leader in workplace furnishings and residential building materials. They shared their experiences, offering practical insights into how each department can engage in sustainability, from product development to finance and supply chain. Here’s a recap of the main points and some food for thought on how you might apply these lessons.
Sustainability in Product Development: Moving Beyond “Nice to Have”
If you’re in product development, you’ve likely been caught in the debate over how (or if) sustainability fits into your team’s objectives. At HNI, they’ve spent the last few years refining their Design for Environment (DfE) process to ensure sustainable thinking is baked into product design from day one. Rather than clean up negative impacts after the fact, they’re using life cycle analysis (LCA) to measure impacts and using those insights to design out environmental hot spots and carbon.
Product designers should be brought in often — and early — for any of your sustainability goals and objectives. Creating more sustainable, innovative products from the get-go will greatly reduce your footprint.
Finances: A Roadblock or a Catalyst for Sustainability?
Gaining financial approval for projects is often the biggest hesitation for sustainability departments. Some initiatives don’t hold up to the ROI standards, and projects can get nixed before they even get off the ground. But HNI has found ways to bring finance into the fold.
One practical approach they shared? Embedding a sustainability checklist into their capital expense process at the corporate level. By making sustainability a formal consideration, they ensure that decisions about individual brand or facility budgets include factors like energy efficiency and waste reduction. This helps prevent the finance team from defaulting to traditional ROI calculations that don’t account for the long-term value of goal alignment.
As SEC regulations and external pressures increase, finance teams are starting to realize how critical sustainability is for compliance and investors. Now is a great time to be proactive and start having conversations with finance — you’ll be better positioned to meet both your sustainability and business goals.
Supply Chains: Engaging Your Partners for Data
Up to 90% of your carbon emissions could be in your supply chain, posing a unique challenge for both data collection and Scope 3 reduction goals. HNI has found success by using a third-party tool to rank suppliers on their publicly available sustainability data, reducing the burden on suppliers while still getting the information they need.
They’ve also added a sustainability score to their supplier scorecards, so suppliers are not only evaluated on things like quality and on-time delivery but also on their sustainability practices. —Regulations around Scope 3 reporting are coming, and they’re going to require a lot more transparency than many companies are prepared for. Begin by developing processes and an approach for engaging with your supply chain, mapping out your value streams, and understanding what data points you need and from whom.
Marketing: Telling Your Sustainability Story
Sustainability isn’t just an internal operation; it’s a story you tell. If you want to stand out in today’s market, sustainability has to be part of your brand narrative — and you need the data to back it up.
Your marketing team should be deeply knowledgeable about sustainability so they can become your chief storytellers. Whether it’s talking to customers, employees, or investors, being able to explain the “why” behind your efforts will give you a leg up. With consumers more educated than ever (and asking questions!), this is your opportunity to set your brand apart in an area that matters to customers.
Advice for New Sustainability Managers: Where Do You Start?
Starting out as a sustainability manager can feel like you’ve been thrown into the deep end. So where do you even begin? The experts agreed: start with a materiality assessment. This helps you figure out what sustainability issues matter most to your internal and external stakeholders. From there, set realistic, achievable goals for reporting and initiatives and rally cross-functional teams to support you.
And don’t forget to measure. Accountability and continuous improvement are critical to ensuring sustainability efforts don’t stall out or become greenwashing.
From product development to supply chains and finance, embedding sustainability into the company’s DNA is essential for long-term success. While the path might not be easy, the companies that take proactive steps now will be the ones that thrive in a future where sustainability is non-negotiable.