How can a business be sustainable when moving people and their belongings across the world? More ways than one!
In this day and age, it is becoming increasingly important for organizations to show that they are ethical and progressive to attract investors, clients and top talent. One way stakeholders evaluate a company’s ethics is through examining their ESG efforts. The term ESG (environmental, social and governance) refers to many issues that factor into sustainability, and is all over the investing industry headlines. Environmental factors involve conservation of the earth, social factors relate to people and relationships and governance refers to the way a company is run. The idea is that a company with high ESG ratings will be more sustainable overall, making it a more sound investment for stakeholders.
When we hear the word “sustainability” we often think of only environmental conservation, but it is actually much more than that. So how can global mobility companies make their business model more sustainable? The key is looking at the bigger picture and considering the environmental, social and governance factors that make up sustainability.
Environmental sustainability is potentially the most challenging area for global mobility and relocation management companies. It is difficult to get around the fact that moving people across the world typically involves transferees flying and shipping their belongings to their destination. However, companies can make an impact in this area by tracking their carbon footprint and making efforts to reduce and compensate for it. Organizations can improve their environmental impact by investing in energy efficient lighting and windows to reduce office power consumption, minimizing unnecessary business travel by holding virtual meetings and partnering with vendors that are also committed to sustainability. Global mobility companies can also reduce their environmental impact by supplying transferees with eco-friendlier transportation options like hybrid instead of gasoline-powered rental cars. Read about CapRelo’s commitment to sustainability here.
This area is all about your relationships with your clients and employees, so topics like data privacy, diversity and community relations are key. In a recent CapRelo research report, in partnership with HR.com, 63% of survey respondents say updates have been made to their relocation initiatives to improve diversity, equity, inclusion and belonging (DEI&B). The most common updates, cited by a third of respondents, is that they have added greater flexibility in their relocation initiatives.
You may find that your organization is already making steps towards social sustainability, as these efforts go hand in hand with DEI efforts. Some of CapRelo’s efforts include providing accessible information about career paths and emphasizing DEI training across the organization.
Finally, governance relates to the way a company is managed, so factors can include board composition, stakeholder engagement and ethical standards. Some methods for improving an organization’s governance include establishing procedures to ensure board accountability, measuring and reporting progress, prioritizing communication with stakeholders and, most importantly, creating a culture that values ESG and pushes for progress.
There are many ways to improve your organization’s sustainability, even if you are in an industry that makes it challenging to be eco-friendly. The key is remembering that sustainability is not only about your environmental efforts, but also how you treat your employees, govern your business and interact with the community around you. A global mobility company can help you make your organization’s relocations more sustainable by connecting you with an eco-friendly supplier network, offering greener transportation choices and helping you develop a mobility plan that reduces your carbon footprint every step of the way.