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Sustainatech: Applying Data Insights and Technology to Enable the Sustainability Journey
Posted by Sondra Scott, ADEC Innovations CEO, U.S. and Europe on Jun 8, 2021 4:13:00 AM
Throughout my career I have sought the nexus of purpose, mission and growth. Thirty years later, I have finally found what I’ve been seeking! I am thrilled to join ADEC Innovations as its CEO, U.S. and Europe, and to be a part of this passionate, driven and (as I am quickly learning) kind and inclusive team.
ADEC Innovations is at the center of a rapid global movement where companies, coalitions and governments aim to apply data insight and software technology to enable their sustainability journey – a movement I refer to as Sustainatech. Like Fintech or Insurtech, data and technology are leveraged to help the industry be successful. For Sustainatech, success is providing efficient and effective ways to reach sustainability goals.
Over the past few decades, I have witnessed the evolution of environmental, social and governance (ESG) responsibility in companies: from pioneering to common practice compliance, and now to a beyond compliance growth differentiator. I have participated in the ever-changing technology shift whereby today we find ourselves applying technology, both software and data, to assist companies as they evolve. And, as everyone is aware, the amount of data and information being created, distributed, analyzed and reported on has simply exploded. Sustainatech recognizes that the next phase of this journey is identifying, understanding and harnessing the enormous reams of sustainability data and automating the analysis and applicability with necessary technology solutions — to support business decisions throughout an organization.
How big is Sustainatech? And, how quickly is it growing?
It isn’t an easy question to answer. A complex ecosystem of data, software and professional consulting and advisory providers ranges from small, niche players to large generalist service providers. This is good; it means companies have choice when it comes to selecting the services that are right for their stage of the journey. And, like any other choices, it can be overwhelming.
A good indicator of how Sustainatech will grow can be garnered from the projected growth in assets under management that have ESG related focus. Today these are estimated at about $30-$40 trillion globally, up from less than $10 trillion about 5 years ago. According to a recent Bloomberg study, ESG assets under management will grow to over $50 trillion or about one third of all assets under management globally by 2025. If companies want to be part of this growing portfolio, they need to set targets, put plans in place and demonstrate progress on their ESG code of conduct. This is increasingly for their own operations, and also that of their suppliers.
Companies must recognize that embracing sustainability makes sense for all their stakeholders. Employees are more engaged when they can identify with a mission; customers (who are also more ESG-focused) are more loyal; the communities impacted by operations feel more respected; and shareholders benefit from strong performance. Analyses suggest that companies with strong ESG programs outperform their peers, particularly in a downturn, because they have stronger governance, higher efficiency from greater employee engagement and communications, and better customer relations, all of which lead to a more robust balance sheet.
ADEC Innovations is uniquely positioned to provide a one-stop solution for clients because we guide them throughout their sustainability journey: develop corporate and supplier strategies; outline specific codes of conducts; identify, collect, process and analyze data; develop ESG implementation plans; score against frameworks; and provide tools and platforms for ongoing tracking and monitoring and reporting to stakeholders.
ADEC Innovations also believes in partnership. We know what we do well, and we know what others do well. As a result, we will always be open to combining and customizing services to provide our clients the best solution to meet their individual needs. Collaboration and flexibility is the name of the game in ESG products and services. I’ve learned through my experience working in the sector that we are all working towards the same goal of advancing sustainable business practices around the world – so collaboration is vital.
Simply put, Sustainatech is why I came to ADEC Innovations. We have a mission, we have a vision and we have expertly driven technology and services. My plans for the U.S and Europe will further build on these strengths and transform us into the leading Sustainatech business.
ADEC Innovations is a leading provider of ESG solutions, including fully-integrated industry expertise, software solutions and data management. To stay current on global sustainability issues, subscribe to our monthly newsletter, GreenWatch.