New research shows running a sustainable business is essential for profitability and growth.
The research, commissioned by NZI, looked at where businesses are at on their sustainability journey and the benefits of running a sustainable business.
Donna Williams, NZI’s general manager of customer experience and marketing and a regular on the judging panel for the annual NZI Sustainable Business Network Awards, says NZI is constantly seeking information to help businesses.
“It’s important to continue to investigate best practice for businesses to thrive and this research confirms a sustainable workplace is key for a company’s long-term success.”
TRA managing director and sustainable business researcher Andrew Lewis said the survey showed those who fully embraced sustainability saw a broad range of benefits, but there was still more work to be done to help more companies get on board.
“Most businesses want to be more sustainable, but lots don’t completely understand what it means and are putting the concept in the ‘too-hard’ basket.”
A sustainable business is defined as one that was environmental, economic and social. Despite this, only 45% of business owners surveyed associate all three ideas with being sustainable.
Those being proactive in all three areas reported improved productivity, lower costs, a strong image and a platform for competitive advantage.
“Cost is the main barrier to starting the sustainable journey, which is ironic considering reduced costs is one of the main benefits,” Lewis said.
“For those less involved with being sustainable, it’s about allaying fears regarding costs and for those more proactive, the sense is it’s simply about helping them activate a vision already central to their business.”
Williams said some New Zealand businesses were already succeeding in sustainability, including last year’s winner of the NZI Greatest Contribution to a Sustainable New Zealand (Supreme Award), NZ Post.
“NZ Post introduced an innovative electric vehicle – the Paxster – to minimise carbon emissions, pollutants and noise while still increasing delivery capacity.
“500 of NZ Post’s electric vehicles are now in regular use from Invercargill to Whangarei,” Williams says.
There are signals from government for stronger policies and greater investments that will see sustainability in areas like climate change, renewables, public transport and circular economy receive greater attention.
Williams said businesses already operating in this space would benefit.
“For us to continue to support New Zealand businesses, we need to make sure companies are here for the long-run too.
“The sustainability story needs to be told to unlock growth.”
The research was commissioned by NZI in collaboration with the Sustainable Business Network https://sustainable.org.nz/
