Published on 02-19-2025
Businesses will continue to pursue their core priorities, whether labeled as “sustainability” or not. Reducing input costs, accurately assessing internal and external risks, and deepening engagement with products and employees will remain essential. These are not just sustainability initiatives — they are fundamental business imperatives, especially when building long-term value.
The future of sustainability reporting, particularly in the U.S., remains uncertain. Meanwhile, Europe appears to be taking a more pragmatic approach, with other countries looking to embrace their own versions of it. However, as sustainability matures, it will become more integrated across senior leadership roles rather than siloed into a single position. Reporting will likely transition into an assurance function within financial teams, much like traditional financial reporting. This shift reflects a broader trend: embedding sustainability within core business functions rather than treating it as a standalone effort.
With some companies cutting sustainability efforts and others reconsidering their approaches, many are asking: Is this the beginning of the end for environmental, social and governance (ESG) sustainability?
It’s not. This is simply the next stage.
The backpedaling we see today is not the collapse of sustainability — it’s the stripping away of hype. Efforts driven primarily by branding or public sentiment are disappearing because they lack substance. Big promises without measurable impact were never built to last. What remains are sustainability initiatives that create real business value — those that drive efficiency, mitigate risk and unlock competitive advantages.
It’s time to rethink sustainability — not as a buzzword, but as an integrated part of how businesses operate. This shift isn’t a retreat; it’s an evolution.
Daniels School alumnus Kyle Newell is a seasoned leader with more than two decades of experience in developing sustainable business solutions globally. He most recently served as the managing director of the Aspen Network of Development Entrepreneurs, where he launched sustainability standards with SAP across their supply chains and worked with companies to enhance biodiversity in the Brazilian Amazon.
