Capgemini Survey Reveals an Optimistic Future for Sustainability
Overview:
Global business leaders are increasingly optimistic about sustainability, with 52% planning to boost investments in 2024. The survey by Capgemini Research Institute involved 2,000 leaders across 15 countries, revealing a rise in confidence, with 56% anticipating future sustainability investments. This shift is driven by increasing awareness of climate disruptions' impact on businesses and government incentives. Government programs like the Inflation Reduction Act and the Green Deal Industrial Plan are influencing climate awareness and sustainable investment plans, with a great number of organizations planning to invest in clean energy technologies.
Summary
The future of sustainability is looking bright as a recent survey by Capgemini Research Institute revealed that over half of global business leaders (52%), particularly those from firms with over $1 billion in annual revenue, plan to increase investments in sustainability in 2024. This marks a significant rise from the previous years, where only a third expressed such intentions. The increased optimism is attributed to growing awareness of climate disruptions' potential impact on businesses, alongside new government incentives for climate tech investments.
The study, titled "Embracing a brighter future: Investment Priorities for 2024," involved 2,000 business leaders across 9 industries and 15 countries. Key findings include heightened confidence in future growth (56% compared to 42% in the prior year) and 52% of organizations anticipating increased sustainability investments in 2024, up from 33% the previous year. Companies also noted generative AI, supply chain management, and cybersecurity as key focus areas for 2024. The recognition of sustainability-related risks and opportunities has also strengthened, with 63% of executives acknowledging a clear business case for sustainability, a significant increase from 21% in 2022. Additionally, 48% foresee climate change causing operational disruptions over the next decade, and 61% believe a lack of sustainable practices poses a long-term existential risk.
Source: Capgemini
Government incentive programs, such as the Inflation Reduction Act and the Green Deal Industrial Plan, are driving sustainability-related investment plans, with 57% of business leaders intending to increase investments in cleantech in the U.S. and the EU over the next 2-3 years. Even more specifically, 88% of organizatoins are planning on investing in clean energy related technologies- a 53% jump from 2023. The survey also indicates the impact of government policies on sustainability considerations, with 52% of organizations adjusting supply chains in response to stricter ESG regulations. Aiman Ezzat, CEO at Capgemini, emphasizes the positive trend of increased investments in critical areas, including sustainability, driven by confidence and advancements in technology and AI.
Source: Capgemini
