SAP presented its second edition of the sponsored report on advances in sustainability in Latin American companies, a study that compiles information provided by more than 400 senior executives from companies in Colombia, Mexico, Brazil and Argentina and revealed which are the main motivators and barriers of companies when adapting sustainable strategies and what is the role of technology in this matter.
69% of senior executives of medium and large companies in Argentina, Brazil, Colombia and Mexico expressed that they have a sustainability strategy in their organizations, which represents a notable growth compared to the figure registered in 2021, which had reached 46%.
Within the study, 30% admitted having added more pillars related to the Sustainable Development Goals of the HE-SHE-IT during the last twelve months, while 15% claim to have managed to put into practice the sustainability initiatives proposed during the previous year. In addition, 40% expect to increase investment in the topic in 2022 compared to 2021 and 51% plan to maintain their efforts.
cristina palmakapresident of SAP Latin America and the CaribbeanHe stated: ´This new study also makes it very clear to us that when profitability and sustainability are on the same page they are a very powerful combination.’
‘Both can be carried out simultaneously and both consumers and investors are inclined to choose companies that are responsible with the environment and with the communities in which they operate,’ he said.
‘Today more than ever, companies that take into account the triple bottom line – people, planet and income – will have more advantages and will be more successful in an increasingly competitive and globalized economy.’
In relation to diversity and inclusion, these work as one of the main entrances to the world of sustainability: in such a way that 63% consider it among their plans. They are followed by socially responsible value chains (53%), the prepared workforce and actions related to the emission of carbon footprint (both with 45%) and the circular economy (32%). In any of the cases, 39% of those consulted indicate that they have already begun to see the results of their sustainability actions and 29% expect to see them during the course of 2022.
According to data from IDCthe continuous adoption of cloud solutions can prevent the emission of more than 12 million metric tons of carbon dioxide in the region between 2021 and 2024. This is further proof that technology is not only a great ally to generate sustainable impact , but it is also a great promoter and support to manage sustainability.
Another important fact from the study is that 71% already use some type of technology to manage and show results related to sustainable actions.
Peter PereiraDirector of Sustainability of SAP Latin America and the CaribbeanHe stated: ‘A great cultural leap is that companies no longer do this just for reputational reasons, but also to fulfill their purpose as responsible companies,’ he analyzed. There are still many challenges ahead and there is an urgent need for companies around the world to take action, especially those related to the environment, but the progress that has been made in just twelve months invites us to be very optimistic’.
There is not a single product in the portfolio of SAP right now you don’t have goals to be prepared for sustainable agendas. We are talking about all the programs, and products and we also have new generations of solutions that effectively help us accelerate the process to achieve sustainability goals.
Companies in Colombia and the evolution of their strategies
From the data obtained in this edition of the study, two findings are presented that are interesting to highlight: on the one hand, 34% of the organizations in Colombia confirm that they have incorporated more pillars related to the Sustainable Development Goals of the organizations into their sustainability strategies. United Nations (SDG) in the last 12 months.
This number puts Colombia above the average for the region (30%) and places the country as the second country with the greatest progress behind Argentina (38%), followed by Brazil (28%) and Mexico (21%).
With these data, Colombia shows today that 77% of companies have a sustainability strategy already implemented, 32 percentage points more than the data from the study carried out in 2021, when only 45% answered that they have implemented sustainable policies.
When understanding what are the motivations that have led companies in Colombia to make this significant progress in the implementation of sustainability strategies, the most prominent motivator is the “purpose” (67%), above the regional average (63 %). It is followed by the commitment of the members of the board of directors and its CEO (66%) and the reputational value of the company (64%).
Sustainability in Argentine leadership
38% of Argentine organizations confirm that they have incorporated sustainability into their strategies, placing Argentina above the regional average (30%) and placing the country as the country with the greatest progress, followed by Colombia and Brazil, respectively.
With these data, Argentina shows today that 74% of companies have a sustainability strategy already implemented, 23 percentage points more than the study carried out in 2021, when only 51% answered that they have sustainable policies in place.
The motivations that have led Argentine companies to make this significant progress in terms of implementing sustainability strategies, the most prominent issue is reputation (66%). Although it is true that reputation is also present on the regional agenda (63%), the truth is that only in Argentina is it the main motivator.
Results of the study in Mexico
In relation to 21% of the organizations (vs. 30% at the regional level), they confirm that they have incorporated more pillars related to the Sustainable Development Goals (SDGs) of the companies into their sustainability strategies. United Nations in the last 12 months and adds that 14% launched their sustainability strategy.
With these data, Mexico shows today that 55% of companies have a sustainability strategy already implemented, 12 percentage points more than the data from the study carried out in 2021, when only 43% said they have sustainable policies already implemented.