Climate change is a reality and has arrived on our doorstep: a tornado on the Austrian-Czech border, forest fires in Greece and Italy, and dramatic floods in western Germany. Another bitter reality is that humans bear responsibility for global warming and its resulting consequences. Researchers now agree on this. The path we have taken so far can no longer be continued in this form. Neither in our private lives nor in the corporate world.
62 percent of Austrian companies do not pursue a sustainability strategy.
Martin Unger, Head of EYCarbon
A well-founded plan on how to achieve sustainable business in harmony with the environment therefore appears essential. However, the fact that 62 percent of Austrian companies do not yet have a sustainability strategy is all the more alarming. This finding is based on a current survey by Ernst & YoungHowever, the climate tech startup Glacier believes that this very strategy will be essential for both the future of our planet and the survival of companies. Glacier is convinced that climate protection is no longer a "nice to have" issue that only affects a few employees, but should be embedded in the DNA of every company. Why? Climate protection affects all areas of a company.
Climate protection anchored in the company's DNA
This already starts in the HR area and the recruiting of potential new employees, as the current “Global Millennial and Gen Z Study“ by Deloitte clearly demonstrates: environmental protection ranks as one of the most important personal issues for the Millennial generation and is therefore also crucial with regard to the choice of employer. In more detail, this means: companies that take concrete steps against climate change also convince Millennials. Another example can be taken from the financing sector, as the New Green Deal is increasingly linking lending to companies to their sustainability strategy. With regard to a company’s marketing, studies show that greenwashing can have a negative impact on the company’s image and brand value, as well as on the financial performance of companies. Currently, 89 percent of German consumers want companies to focus more on sustainability and environmentally friendly business practices. The pressure to devote full attention to the topic of sustainability is therefore constantly increasing, which is also reflected in the current Deloitte Sustainability Report confirms: 97 percent of executives surveyed agree that the global climate crisis has a negative impact on their companies. Companies that fail to address the climate protection debate risk disappearing from the market sooner or later.
In addition to economic and societal pressure, another aspect is emerging that explains why embedding climate protection in corporate DNA will become inevitable: the costs of emitting CO2 will continue to rise. The CO2 tax announced by the Austrian federal government, effective from 2022, confirms this point without reservation.
“The future is already here, it’s just not evenly distributed yet”
The reasons mentioned above mean that decisive action by all companies is needed to contain the climate crisis. It's not about a few doing it perfectly, but rather about as many as possible taking action. The alternatives to taking action already exist – or, to quote author William Gibson: "The future is already here, it's just not yet evenly distributed." An overview of possible alternatives can be found, for example, at Climate Tech Landscape, which brings together 150 green startups with innovative climate protection technologies in Austria.
Employee awareness is crucial for change
Similar to digitalization, we are facing a transformation, and in addition to new technologies and a change in behavior, a change in awareness will be needed as a long-term lever. This is precisely where Glacier's mission comes in. Through empowerment and continuing education, it aims to create an international community that collectively takes effective measures against climate change. At the heart of this community are the employees, because it is precisely their awareness of greater climate protection that is needed within the company to bring about sustainable change. The community offers exchange with other companies, continuing education, and inspiration to initiate a long-term transformation towards sustainability. This takes place, among other things, within the framework of the Climate Ranger Academy a continuing education program on climate protection topics that makes companies climate-fit and enables networking with other companies.
Another format for companies to get into action is the Climate Impact Week Glacier – a week of action that makes climate protection tangible for all employees and a top priority within the company. Climate Impact Week will take place in October 2022 and is the continuation of the successful Climate Impact Day, which successfully took place as a climate protection action day in September 2021 in more than 140 companies. ÖBAG was also part of the all-day livestream on climate protection topics and actively participated in the action day: instead of driving to the office, employees opted for climate-neutral mobility. Director Aakriti Chandihok also participated in the online panel "Opportunities and Challenges – Climate Change as a Driver of Innovation" and highlighted ÖBAG's contribution in this area.
Climate Impact Day was a successful launching point toward a more climate-friendly future and impressively demonstrated how crucial it is to actively involve a company's employees in its climate transformation journey. Many more steps will be needed to create a sustainable corporate world and preserve a livable planet. Knowledge, exchange, and a strong community will be essential for this.
References: Anderegg et al. (2010) Expert Credibility in Climate Change. Proceedings of the National Academy of Sciences of the United States of America. 107. 12107-9. 10.1073/pnas.1003187107.; Wadsak, Marcus: Climate Change. Facts against Fake & Fiction, 2nd edition, 2021, Vienna.
Ambec, Stefan & Lanoie, Paul. (2008). Does It Pay to be Green? A Systematic Overview. Academy of Management Perspectives. 22. 45-62. 10.5465/AMP.2008.35590353; Akturan, Ulun (2018). How does greenwashing affect green branding equity and purchase intention? An empirical research. Marketing Intelligence & Planning. 36. 10.1108/MIP-12-2017-0339; De Jong, Menno & Huluba, Gabriel & Beldad, Ardion. (2019). Different Shades of Greenwashing: Consumers' Reactions to Environmental Lies, Half-Lies, and Organizations Taking Credit for Following Legal Obligations. Journal of Business and Technical Communication. 34.
Andreas Tschas made a name for himself by founding the Pioneers Festival, the Austrian hotspot of the startup scene. As CEO & Co-Founder of Glacier, he and his team aim to tackle the climate crisis and build the most effective climate protection community to sustainably embed the issue in companies.
