Why sustainability and communication professionals should be working together

Last month I attended the Sustainability Leaders Summit, which took place in the shadow of the ACCC announcing a crackdown on corporate greenwashing and ASIC announcing its first greenwashing legal case.

It was evident that sustainability professionals are often time-poor and juggling multiple priorities. While the tension between regulatory requirements, investor relations, c-suite engagement, internal communication, marketing and pursuing an ambitious sustainability agenda was clear.

What was also clear is that sustainability and corporate communication professionals can and should work together more often. Our work naturally aligns – so how can sustainability and communication professionals work together to protect and enhance the reputations of the organisations we work for - while also making a positive impact?

One: Evolving sustainability storytelling beyond reporting

There was a sense that many sustainability managers viewed reporting as the communication ‘job done.’ Clear and transparent reporting is crucial from a regulatory perspective and for investors, but reporting should be seen as the start of the communication journey.

Most people do not read corporate sustainability or annual reports, and while these documents are crucial, more can and should be done to effectively communicate corporate sustainability stories.

eBay was one of the companies at the conference that has evolved its sustainability story telling. It has fostered strong links between the corporate sustainability strategy, investor relations and the marketing and corporate communication teams. The company takes an audience-centric approach to sustainability communication and tailors sustainability communication plans for investors (sustainability actually sits within Investor Relations at eBay), for their people as well as for customers and the general public via sustainability focused brand campaigns and social content.

Climate-conscious Millennials are now the largest demographic in Australia, and a growing proportion of people prefer to spend their money with responsible brands. In this new consumer environment, organisations that are willing to tell their sustainability story openly and authentically while others stay quiet and simply file reports, are the ones that will get ahead.  

Two: Building the business case for sustainability as a strategic priority

Many sustainability professionals spoke of the challenge they face in securing organisational buy-in for the sustainability strategy. While sustainability managers are time-poor, internal communication must and should be a priority for all sustainability professionals.

Securing Board and C-suite buy in for the sustainability strategy starts with the business case. What do current and potential investors want to see from an ESG perspective? What are the consumer trends you need to anticipate? What are your competitors doing? What is the strategic alignment between the business strategy and the sustainability strategy and what growth potential is there through ESG? Where is government regulation heading?

These are questions that can be collectively answered by sustainability professionals working together with investor relations and corporate communications – and sustainability professionals should look to cultivate those relationships.

Once the business case is made and accepted by the Board and C-suite, sustainability may become a key pillar of the business strategy and sustainability communication – both internally and externally – will become valued, prioritised, and more effectively resourced.

Three: Avoiding allegations of greenwashing – where marketing, communications, investor relations, legal and sustainability converge

The fact this conference took place as ASIC and the ACCC were announcing action against corporate greenwashing shows the issue is no longer simply a reputational risk. Greenwashing is now a major risk that can impact an organisation’s share price, share of market and its bottom line.

The best way to avoid allegations of greenwashing is to tell authentic stories – supported by evidence of impacts and outcomes. While there is natural friction between legal and marketing departments, sustainability professionals can play an important role in bringing functions of the business together to tell authentic stories and engage with stakeholders in a way that enhances an organisation’s reputation.

There can be a desire to portray a ‘perfect image’ externally, however our audiences want authentic stories, and can smell spin from a mile away. Even clothing brand Patagonia – widely perceived to be one of the most sustainable brands on the planet – is not perfect and has had to reckon with human rights issues in its supply chain.

Authentic sustainability stories should be the pillar of any sustainability communication strategy – take your people, your customers, and your investors on the journey. Celebrate the successes, openly discuss the challenges, and admit where the issues are. Authentic stories can include clearly explaining challenges, hurdles, issues, and 'imperfections' in the sustainability journey and demonstrating a commitment to constant learning and improvement while helping others – including your customers and suppliers to become more sustainable.

Telling authentic sustainability stories internally and externally will not only enhance your reputation, but it will play a role in encouraging positive change within your organisation and emphasise the importance of sustainability to your business, to your customers and to your suppliers.

Chris Williams - chris@kaizenco.au