By Marilyn Waite, below, the author of Sustainability at Work: Careers That Make a Difference
The concepts of sustainability, corporate social responsibility (CSR), and organizations having an environmental, social and governance (ESG) strategy are now a proactive stance that many business stakeholders expect as a minimum.
But while CSR, ESG, and sustainability reporting are now widespread, many people feel that companies are failing to actualise sustainability goals. Research by Deloitte found that fewer than half of Gen Zs and Millennials believe business is having a positive impact on society. This gap between sustainability promises and actions ultimately has a knock-on effect, impacting how a business is perceived by customers and workers.
It therefore makes sense that when businesses commit to sustainable development, they can motivate employees to perform at their best, as well as attract like-minded customers. So how can an SME ensure their business is operating in line with sustainable development in order to reap these benefits?
Using the SURF Framework
In order to assess a business’ sustainability efforts, following the SURF Framework can be very helpful. This involves four points:
“S – Supply chain considerations that address sustainability criteria
This component focuses on the building blocks that constitute a product or service. How does the supply chain measure when it comes to governance, water, energy, land use, waste, biodiversity, pollutants such as greenhouse gases, labour, justice, equity, diversity and inclusion, and long-term profit?
U – User considerations that address sustainability criteria
The user can be a consumer, customer, citizen, or client. What does the user do with your product or service? Do they throw it away immediately to pile up in landfill? Can it be easily reused or recycled? Is it biodegradable and have the proper systems been put in place to render that biodegradability useful?
R – Relations or relationships with employees, colleagues, investors, the surrounding community, and society at large
Referring to both external and internal relationships, you can approach this aspect of the framework as engaging stakeholders. Is the work environment healthy and safe for workers? Do employees feel that there is a positive, inclusive work environment? Are company operations and financing transparent? Do stakeholders participate in decisions that have an impact on them?
F – Future generations and intergenerational equity
The notion that we are responsible to future generations, or intergenerational equity, is one that keeps us questioning the impact of our operations. Does your business have a ten-year plan? Or a 50-year plan? The consideration of future generations is what distinguishes sustainability from other concepts.”
The benefits of sustainable development
There are multiple benefits to sustainable business development, including:
- Employee recruitment
SMEs can attract and retain talent by showing that sustainability is integral to the business model. Over two-thirds of staff want to work for a company that is trying to have a positive impact on the world. This is particularly true for the generations that make up the majority of the global workforce – Gen Zs and Millennials. According to Gallup, these two generations are the most likely to leave a company if their personal values are not met.
- Employee performance
A 2024 Culture Amp survey found that employees at companies deemed genuinely committed to sustainability reported a substantial 16% increase in engagement levels. Gallup research shows that just a 10% improvement in employees’ connection with their organisation’s purpose leads to an 8.1% decrease in turnover and a 4.4% increase in profitability. Sustainability practices therefore can lead to better productivity at work.
- Employee retention
A Net Impact report found that 52% of workers have considered leaving their job due to the poor social and environmental impact performance of their employer. And one-third of employees have resigned from their jobs because they felt the efforts by their company to tackle environmental and societal challenges were insufficient.
- Reducing costs
SMEs are continually aiming for lower costs and higher revenues and can achieve both through critical approaches in sustainability. For example, when an SME reduces waste, they also reduce the waste bill. Companies can also attract new customers who value sustainability attributes, thereby increasing revenues.
- Brand and reputation management
46% of consumers are buying more sustainable products as a way to reduce their impact on the environment, according to a 2024 PwC survey. SMEs can therefore improve brand perception through sustainability pursuits.
The Earth is moving into a less forested, less biologically diverse, and more climate extreme state that is bringing about massive displacement and human suffering – and rapidly. By adopting the SURF Framework, SMEs can become a force for good and offer both employees and customers what they want – the chance to reverse these negative trends and support a business that makes sustainability a reality.
Marilyn Waite is the author of Sustainability at Work: Careers That Make a Difference. Marilyn has worked across four continents in low carbon energy, climate modelling and investment. She currently leads the Climate Finance Fund and teaches ESG Strategies at Sciences Po and other universities across the globe. Find out more at marilynwaite.com
