Business Sustainability in 2023, 3 Key Developments and Reasons for Optimism
– Jan. 19, 2023 –
Expect to see accelerated progress toward resolving some of the planet’s most vexing challenges and more organizations (like yours) to step up!
Fueled by rapidly changing regulatory and reporting standards and investor appetites for ESG performance, more products, services and supply chain practices are being developed with sustainability in mind. As a result, businesses are looking to improve their reputations and operational efficiencies while saving on waste, resource and energy consumption costs.
So, how should a company like yours think, plan and take action in 2023? Review the three key sustainability developments below and allow the information to guide those areas — including who you should partner up with to really put your operations on the right track.
Electric Vehicle Transition
What’s Going On: The world is clearly charging down the road toward electric vehicles, with some saying that EVs will represent two-thirds of global vehicles by 2040. However, there’s also been a lot of talk about the sustainability complications with EV batteries and whether manufacturers can supply enough of them when the world transitions. At the current rate, serious progress needs to happen – and fast – or we can anticipate raw material shortages to drag on.
What We’ve Learned: There have been some breakthroughs in the production process of EV batteries. Manufacturers, equipment suppliers and OEMs are looking at the technology used to extract and refine critical materials (cobalt, nickel and lithium) to unlock cost reduction and greatly improve performance and output – ultimately impacting the sustainability behind the entire process. This year, we should have a better idea of whether the next wave of technology, like direct lithium extraction and recycling techniques, will be effective solutions in the upcoming era of resource scarcity.
What’s Applicable: Sometimes, the issue is not always just the broken parts but the machine or system itself. Instead of hiring someone to correct the problem at hand, think more comprehensively and partner with a company that’s set on your organization’s operational efficiency. Having tabs on the ins and outs of your business (and the waste it produces) can be the ultimate move toward sustainability.
Green Industrial Revolution
What’s Going On: With the manufacturing industry responsible for nearly a quarter of carbon emissions and consuming 54% of the world’s energy sources, there’s an urgent need to address the challenges of decarbonization. New policy developments are pushing manufacturers to get serious about it with their operations and supply chains. Significant penalties are on the horizon. What company wants to have less money in their pocket and brand damage?
What We’ve Learned: It’s no surprise that more companies are recognizing the societal and financial value of reducing waste, conserving energy and decarbonizing their practices. In anticipation of further regulatory developments, companies are trying to stay ahead of the curve, invest wisely and create strong relationships and partnerships.
What’s Applicable: This calls attention to the importance of quality data and reporting. This is where the future is going, and you don’t want to be the business struggling to keep up but rather the one leading the charge. So, analyze your practices and strengthen your competitive advantage by working with a waste provider that knows what it takes to keep you compliant and efficient.
What’s Going On: In recent years, farmers, food suppliers and grocery stores have been affected by labor shortages, diseases and destructive weather. Have you noticed the availability of eggs in the supermarket lately? Plenty has occurred to speed up our search for solutions to our food problems and build more sustainable and resilient systems.
What We’ve Learned: We are seeing many exciting partnerships aimed at transforming the food system. People worldwide are going through similar struggles and are reaching out about sustainable production, open trade, and supporting international initiatives. (Look at DeHaat for inspiration in sustainable farming.) This growing recognition to make drastic changes to the status quo could lead to significant developments in 2023.
What’s Applicable: This response highlights the benefits of engagement and collaboration. Like any business relationship, you want to work with the people who align with your values, have your best interests at heart and are willing to have the conversations you need to survive and thrive during any obstacle.
Much is going on in the world, and change is constant. It’s a lot to keep up with, and it can create confusion on how one should adapt. Don’t hesitate to get the help you need, so you can focus on what you need.