Sustainable by Default. Is it?

Roberta Kulikauskė

woman standing spiral stairs
woman standing spiral stairs

Some might assume that a company in compliance with all applicable laws and regulations, including environmental ones, is inherently sustainable and makes a positive impact on specific ESG aspects. But is this really the case?

Compliance with mandatory regulations, including environmental ones, does not necessarily equate to true sustainability. For most enterprises, sustainability goes far beyond simply adhering to regulations. It involves taking additional proactive actions and setting ambitious ESG targets within time horizons.

From an environmental perspective, this could mean striving for carbon neutrality or even net-zero emissions. It also involves continuous monitoring and implementing specific measures to meet these goals.

Similarly, from a social and governance perspective, sustainability includes efforts such as human capital development, promoting overall organizational health, actively engaging with communities, ensuring transparency in operations and decision-making processes, making sustainable investments.

What is more – sustainability and ESG performance are not only about a company itself, but also about the entire value chain.

In essence, true sustainability requires steps above and beyond what is legally mandatory to run a business, aiming for long-term positive impacts on the ESG aspects.