How to create business value through digital sustainability


· 2 min read
illuminem summarizes for you the essential news of the day. Read the full piece on MIT Sloan Management Review or enjoy below:
🗞️ Driving the news: New research from MIT shows that companies can create business value by embedding digital sustainability into their strategy
• Digital sustainability—using digital tools to track and reduce emissions—can drive financial performance and innovation
• The study analyzed 360 Swiss manufacturers and identified key strategies that improve both sustainability and profitability
🔭 The context: The research outlines four strategic sustainability goals: compliance and efficiency, customer and investor reputation, new revenue, and company purpose
• Companies prioritizing sustainability beyond compliance see significant financial gains, including higher earnings and innovation-driven revenue
• Case studies, like healthcare firm Bupa (See sustainability performance), show that digital sustainability efforts can cut emissions and enhance competitiveness
🌍 Why it matters for the planet: Digital sustainability helps organizations reduce their carbon footprint through greener IT, products, and digital services
• Companies integrating sustainability into strategy are more likely to adopt circular economy practices, reducing waste and regenerating resources
• Aligning business goals with sustainability efforts can accelerate global progress toward net-zero targets
⏭️ What's next: Businesses that embed sustainability into their strategy will gain competitive advantages in efficiency, reputation, and revenue growth
• Adoption of green IT, sustainable procurement, and digital offerings is expected to rise as companies seek to meet investor and regulatory expectations
• The study highlights that success comes from clear goal-setting and capability-building for sustainability initiatives
💬 One quote: “Be clear about your goals and then develop sustainability capabilities to advance these goals.” — MIT CISR researchers
📈 One stat: Companies prioritizing new revenue as a sustainability goal saw 53% more revenue from innovation than those that didn’t
See here detailed sustainability performance of companies like Bupa
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