Bob Bailkoski, Global Chief Executive Officer of Logicalis Group, International IT Solutions and Managed Services Provider.
Sustainability has been climbing up the boardroom agenda for the last decade. With environmental scrutiny impacting businesses at every level, it is no surprise that in recent months, attention has finally turned to the impact of technology itself.
The Sustainable IT Challenge
The tech industry has avoided heavy scrutiny when it comes to sustainability. However, as global business leaders face the challenge of reducing the carbon footprint of their organizations while simultaneously adopting more powerful technologies, such as AI, it’s become imperative for the industry to look at what it needs to change to support sustainable business goals.
While technology is an enabler for sustainable operations, it is also a huge emitter. We know that global e-waste is set to rise to 74 tonnes by 2030, almost double the amount produced in 2014. Meanwhile, the ICT sector is predicted to account for 14% of global carbon emissions by 2040.
The good news is there is clear optimism and appetite among CIOs when it comes to using their experience to contribute to a better future. In our latest Logicalis CIO Report, which surveys over 1,000 global CIOs, 93% said they believe IT is core to the success of their organization’s sustainability goals.
The Role Of The CIO In Affecting Change
CIOs have a huge role to play in aligning business strategy, technology and sustainability to push the business forward. Not only will they need to reduce IT-related emissions but also harness the power of technology to accelerate change across the whole organization.
To fully realize this potential, there are critical steps CIOs need to take to ensure their teams are set to embrace and advocate for sustainable business transformation.
1. Educate
Understanding the scope of the problem and the organization’s strategy to tackle it is imperative. CIOs need to encourage alignment and collaboration across the technology and sustainability teams as early as possible. Only once they fully understand sustainable objectives can they become ambassadors for change across the organization.
2. Evaluate
Adopting a data-driven mindset is essential, especially as ESG data—ranging from energy consumption and carbon emissions to supply chain management—comes under increasing scrutiny for all businesses. Technology teams must be equipped to interpret this data and take actionable steps based on their insights; challenges still exist.
Forty-three percent of tech leaders cited data collection as a barrier to setting and benchmarking sustainability initiatives in their response to our survey, showing that there are still aspects of sustainability and tech alignment where organizations still need to mature. Still, by fully embracing data, businesses can gain a comprehensive view of their current impact and identify effective ways to reduce carbon emissions in the future.
3. Navigate
When investing in new initiatives or refreshing existing ones, sustainability should be a central focus. This includes ensuring tech teams are prioritizing carbon reduction in all IT projects moving forward. For example, when redesigning IT infrastructure or updating aging data centers, the goal should be to make them significantly more energy efficient by design.
4. Mitigate
According to Boston Consulting Group the transition to a circular economy has the potential to unlock $4.5 trillion in GDP growth by 2030. This approach lowers sourcing risks and costs, improves operational efficiencies and unlocks new avenues for innovation, creating long-term value while reducing environmental impact.
With the tech industry having a huge carbon output itself, it has a responsibility to ensure practices are aligned with the corporate sustainability agenda. Whether it is repurposing old equipment to reduce the carbon impact on landfills or ensuring tech partners are taking a like-minded approach to carbon reduction, tech teams need to take steps to mitigate the impact and reduce future carbon output over time.
The role of CIOs and tech leaders is expanding, becoming increasingly integrated into corporate strategy and driving innovation that aligns with environmental goals. The progress already made, both culturally and operationally, toward aligning technology functions with sustainability objectives, gives me confidence that a more sustainable future is within reach. Strong tech leadership will be at the heart of this transformation, guiding organizations toward a greener and more efficient future.
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