This article on sustainability action plan length, complexity and impact is the last in a four-part series analysing how Irish Enterprise is responding to the challenge of delivering a climate resilient future. This series is based on a study of 106 sustainability action plans created mainly by large and medium sized organisations who participated in Skillnet Climate Ready Academy’s Sustainability Leaders Programme (SLP) between 2022 and 2023. SLP uses the UN Sustainable Development Goals (SDGs) as a framework to help businesses develop a sustainability action plan.
Part four of the series covers:
For further context to this article, read part 1, part 2 and part 3 of this series.
As part of Sustainability Leaders Programme (SLP) (for more on SLP see part two), Irish enterprises are asked to identify whether an individual or a team are needed to implement the sustainability action plan. Actions range from tasks which can be carried out solely by an individual, to major actions requiring all team members to contribute to their implementation. In this current study, an analysis of 106 sustainability action plans created between 2022-2023 identified that of the 756 sustainability actions identified:
Figure 1: Analysis of Team Requirement, Ongoing Training and Plan Length
This trend towards short-term delivery is a potential reflection of the early stage that businesses are at in their transition to sustainability when taking part in SLP. However, existing research indicates companies prioritising long-term planning and decision consistently demonstrate a stronger financial performance and greater resilience than those driven by short-term thinking1. This will require building the capacity for strategic skills, which were identified by Skillnet Ireland (2022) as the most needed green skillset in the medium term for Irish enterprise2.
Short-term action does not necessarily mean that actions cannot be impactful to a business, and thus it is important to consider the scope of the actions that enterprises are planning.
Figure 2: definitions of incremental and transformative action
There are varying stances as to whether businesses should be focusing their efforts primarily towards incremental or transformative action, given the current extent of the climate crisis. Whilst the extent to which a business may require engagement with transformative action will vary, literature indicates that 55% of global businesses are either neutral or misaligned with the SDGs6. This has led to an emerging perspective that the need for transformative action is too urgent for time and resources to be spent on incremental actions which encourage a ‘business-as-usual’ approach7.
However, from another perspective, there need not be a dichotomy of choice when it comes to whether a business takes an incremental action or a transformational action, a short-term action or a long-term action8. Particularly if incremental action is aligned with a longer-term strategy of transforming a company9, this gives potential for incremental actions to become transformational to a business over time10. This perspective pivots on the requirement of strategic skills to align incremental quick win actions in the short term with long term transformational plans.
Financial benefits have been documented from approaches where companies use long-term strategies to guide short- and mid-term actions, shaping priorities, policies, and investments which lead to more stable growth and value creation11. Regardless of positioning on how businesses will create the greatest impact through sustainable action by 2030 and 2050, they will require the necessary skills and competencies to decide on the appropriate scope of their actions.
To gain a deeper understanding of the potential impact of short-term actions from this study, an analysis of potential action impact was carried on a total of 756 actions across 106 SLP 2022-2023 action plans. Potential action impact was determined through an analysis of action descriptions and the targets set against each action. From this analysis, it is evident that:
A key next step for the businesses that participated in SLP will be to ensure that their short- to medium- term incremental actions are at the very least linked to longer-term transformative plans. This will require enterprises to build their capacity for sustainability strategy skills in addition to deepening workforce knowledge in key areas of focus (outlined in part 2 and part 3).
Figure 3: Frequency of actions by potential impact category
Figure 4: Frequency of potential impact category per action plan
Engage with the authors of this series Aisling O’Connor, Maria Kelly and Colm Gaskin and the wider Academy team on Climate Action and Upskilling at climatereadyacademy@20fiftypartners.com
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