4 Questions leaders must ask to navigate sustainability in 2025

illuminem summarizes for you the essential news of the day. Read the full piece on Forbes or enjoy below:

🗞️ Driving the news: In 2024, 90% of companies planned to increase sustainability spending, reflecting its shift from voluntary to mandatory
• However, 2025 has already seen U.S. withdrawal from the Paris Agreement and high-profile ESG setbacks, leaving leaders questioning sustainability’s future
• Despite the uncertainty, experts stress that sustainability remains a core business priority

🔭 The context: ESG has become politicized and contentious, yet businesses still depend on social and environmental systems for long-term value creation
• Companies that proactively manage sustainability risks can outperform competitors and identify strategic opportunities
• A structured approach to sustainability is not greenwashing but a transformational strategy.

🌍 Why it matters for the planet: With regulatory and political shifts, companies must clarify their role in society beyond short-term trends
• Effective sustainability strategies can drive innovation, reduce risks, and unlock long-term value
• Organizations that fail to adapt may face regulatory, reputational, and financial consequences

⏭️ What's next: Leaders should focus on four key sustainability questions:
1️⃣ What are our top 3 sustainability risks and opportunities?
2️⃣ What data do we need to track them effectively?
3️⃣ How do we integrate sustainability into decision-making?
4️⃣ What governance mechanisms ensure long-term accountability?

💬 One quote: “When done with an innovation lens, sustainability is transformational for strategy and your ability to create value.” — Mary Johnstone-Louis

📈 One stat: 90% of businesses planned to increase sustainability spending in the next three years (2024 survey)

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