With the EU's new omnibus proposal, you may be breathing a sigh of relief or getting frustrated. You may have already embarked on extensive sustainability work and reporting. Or maybe you're just getting started. Either way, it's not a good idea to put your value-creating sustainability work in the freezer!

Value-adding sustainability is here to stay! Sustainability does not slow down your company's competitiveness and it does not have to be a mere administrative burden.

When sustainability is part of the company's or organization's purpose, vision and strategy, sustainability work becomes credible and meaningful. Sustainability then becomes a natural part of daily work. As a result, innovation and resilience may increase throughout the company and trust may improve. This in turn can lead to more meaningful collaborations and strong relationships with stakeholders. Your brand will be stronger and so will your ability to increase both turnover and profits.

Changing or relaxing the regulatory framework will not change customer and stakeholder demands for sustainable business. To create value, sustainability must continue to be part of the DNA of the company or organization. This is as true now as it was a few months ago.

Running the business with a purpose and vision

Your company's or organization's purpose or vision answers the question why the company or organization exists. What are you giving to the world, your customers or stakeholders? It is the DNA of your company. It is important to think through how all aspects of sustainability are covered in this DNA. And if it doesn't, how can it become part of the DNA?

The following are examples of companies that have known visions that include social and/or environmental sustainability:

• IKEA : TO CREATE A BETTER EVERYDAY LIFE FOR MANY PEOPLE.: Creating a better everyday life for the many people.
• Patagonia : Building the best products.: Building the best products, not causing unnecessary harm, using business to inspire and implement solutions to the climate crisis.
• Ørsted : : To create a world powered entirely by green energy: To create a world powered entirely by green energy by developing and implementing renewable energy solutions such as wind and solar power.
• Unilever: Making sustainable living accessible to all by halving environmental impact and improving the health and well-being of billions of people.

From a clear purpose to strategy

Why your company or organization exists (purpose and vision) is the starting point for your strategy. It gives direction and meaning to everything your company does. To build a sustainable strategy, you also need a clear vision. Without a clear guiding principle, departments tend to work in silos, which can lead to conflict.

Start by analyzing the current situation, both internally and externally. With a clear picture of where you are and where you want to go, you can set goals and strategic areas that will lead you there. Company values should be clearly linked to the vision.

When sustainability is an integral part of the purpose, vision and mission, it becomes natural to include sustainability goals and activities in the strategy. If sustainability is treated as a "side issue" and only assigned to the sustainability department, it becomes difficult to work with, measure and follow up. The work needs to be anchored and conducted in the business.

Benefits of sustainability as an integral part of the strategy

Integrating sustainability into your company's vision and strategy is not only beneficial, but it is necessary to create real value and make sustainability a natural part of your business. Value-creating sustainability is much more than a set of rules! Here are some examples of benefits:

• Competitive advantage and strengthened brand: When sustainability work permeates the whole company and is followed up in a structured way, it strengthens the brand and provides competitive advantages. It can also lead to higher pricing.
• Innovation and efficiency: Working with sustainability and a coherent strategy increases innovation and efficiency in the company. This often leads to new ideas and business opportunities.
• Minimize risk: A well thought-out strategy with sustainability as an integral part reduces the risk of fines, crises and damaged trust.
• Meaning and motivation: Sustainability work provides meaning and motivation to all stakeholders, including employees, owners, investors and customers.

Bringing the sustainable strategy to life

When sustainability is a common thread in a company's strategy, it becomes a natural part of all activities. Consider a company whose vision is to improve human health through cleaner air. Their vision could be that no one should have to breathe polluted air, and the goal could be to reduce air pollution by 50% in five years. All the company's activities would then be aimed at this goal.

To succeed, it is important to:

• Establish clear and measurable objectives: 'just' wanting to make the world a better place is not enough. There must be concrete goals.
• Work on leadership, culture and values: Sustainability must be an integral part of the company's culture and values.
• Learn from others: Take inspiration from other companies and their successes.

Where to start?

Do you already have a clear vision and strategy but need to integrate sustainability? Regardless of the regulatory framework in the future, it is still good to do a double materiality analysis and some form of stakeholder analysis. It provides a foundation to build on. Involve multiple stakeholders, both inside and outside the company.

Even if your company or organization is not subject to regulations, it is important to keep sustainability high on the agenda. Sustainability is not about regulations, it is about choosing a higher purpose for your business and working towards it. A desire to create something better for people and the environment will always strengthen your brand and your business! When sustainability is part of your vision and strategy, it becomes credible and creates real value.

The way forward

Regulatory requirements and laws are important to drive progress, but real value is created when sustainability permeates the whole business. This means that companies also need to address issues such as diversity, equity and inclusion.

In my opinion, sound business is about caring for people, society and the environment. Because that's what value-creating sustainability is all about!

Want to know more or need support? Get in touch with us! We have helped many people on their journey!