Introduction

In today’s world, sustainability has become an integral part of business operations. Companies are increasingly realizing the importance of operational sustainability, which refers to the ability to operate in a way that minimizes negative impacts on the environment and society.

“Although 90% of business leaders think sustainability is important, only 60% of companies have a sustainability strategy.” – Forbes

What are business operations ?

Operations are about the processes that interconnect the business, internally and externally, for example:

• Workers
• Supply Chain
• Distribution

As Chief Operations Officer, Alaa Khorshid works on the strategy of how our products and people interact with each other and the interaction the business has with the external markets.

What is environmental sustainability?

Environmental sustainability is defined as the responsibility to conserve natural resources and protect global ecosystems to support health and wellbeing, now and in the future.

Alaa highlights that within business, environmental sustainability is how businesses can regenerate what they have consumed so that the global ecosystem and the way we interact with it is balanced and restored to support future business operations and generations to come.

Why is environmental sustainability important for business?

• Resource Efficiency and Cost Savings
• Regulatory Compliance
• Reputation and Brand Image

Alaa gave an interesting perspective on how humans within business interact with the business ecosystem. He said that within business it is easy to consume and forget to give back, but giving back is equally as important as the demand for supply.

McKinsey’s research shows that companies that prioritize sustainability are outperforming their peers in terms of financial performance, and that investors are increasingly considering sustainability as a key factor when making investment decisions.

What is your sustainability matrix?

Getting started with environmental sustainability within your business and/or progressing your current matrix can seem like a daunting task.

But… it doesn’t have to be.

Environmental sustainability KPIs are important for any new and emerging business but also for your fully fledged large enterprise businesses too.

Alaa states that it is crucial to know your targets as a business before you implement a matrix because the matrix you set yourself and your company needs to be consistent.

In short, if you vow to reduce your carbon footprint across the business by 45% then you need to implement a strategy to achieve that.

Micro vs Macro

Micro and Macro are terms often used interchangeably and within the business landscape.

From an operations perspective, micro defines processes that are intrinsic to the business. For example:

• New recycling regimes
• Energy usage by the business
• Internal processes

Whereas macro defines the processes that are on a larger scale and are typically external, for example:

• Interactions with prospective clients and customers
• Carbon footprints (travel, transportation etc.)
• Product supply chain

Alaa pinpointed that understanding what your micro and macro levels are within your business is also critical. Once you understand whether you are working on a micro or macro level, you can strategize your operational sustainability initiatives based on which lens you are looking at.

Hybrid work and operational sustainability

As we all know, hybrid work is here to stay and so far, it has seemed to have done wonders for the environment.  Jugo’s own virtual event platform allows workers to stay connected in more eco-friendly ways.

When the shift to remote work was accelerated by the COVID-19 pandemic, there was such dramatic changes in mobility, production, and consumption patterns there was a temporary reduction global CO2 emissions by 17%, in April 2022 compared to peak 2019 levels.

So, how can hybrid work complement your operations and sustainability programs?

1. Reduced Commuting: One of the most significant ways in which hybrid working can contribute to environmental sustainability is by reducing the amount of commuting that employees have to do. This can lead to a reduction in greenhouse gas emissions and air pollution, which are major contributors to climate change.
2. Energy Savings: When employees work from home, they use less electricity and heating in the office, which can lead to significant energy savings. This can reduce the carbon footprint of the business and help to mitigate the impact of climate change.
3. Reduced Waste: Working from home can also reduce the amount of waste generated by the business. For example, employees may use fewer disposable cups and cutlery, and they may be more likely to recycle at home than in the office.

Alaa made another good point on this topic. He said that when people work from home, they have more headspace to be diligent over the waste that they are creating, and there is an element of accountability. He states that working from home creates a more relaxed environment for the employee, then they have less stressors to impact their direct decisions. Therefore, they have more care surrounding the way that they interact with their ecosystem and their direct consumption and waste.

4. Smaller Footprint: Hybrid working can also allow businesses to reduce their physical footprint by requiring less office space. This can lead to savings in energy use and resources, as well as reduced emissions associated with building and maintaining office space.

Overall, hybrid working can be a sustainable and environmentally responsible way for businesses to operate, while also providing benefits to employees in terms of flexibility and work-life balance.

Please get in touch to find out how Jugo can help you drive your operations and sustainability strategy using our virtual events and meeting platform