Taking climate action isn’t only for large organisations – it’s also about small and medium sized businesses (SMEs) taking substantial measures to become environmentally responsible companies. We’re now seeing an increasing number of SMEs voluntarily complying with their climate commitments as their understanding of its benefits increases. So here are four reasons you should start caring for the climate.
In a recent survey, to almost 200 small companies around the world and across sectors, an overwhelming majority (96%) stated that their main motivation to take climate action was ‘doing the right thing’. The responsibility for businesses to do good is also a good business decision that can be reflected into several business areas. Talent attraction and retention is one clear example of how your company’s ethical and environmental commitments can help you attract and retain more employees since a large proportion of millennials chooses a job based on their sustainability values. Failing to recognize this can lead to skills and talent shortages, a critical risk for your organisation.
Small companies also cited that climate action had a significant impact on their brand reputation (73%) and their efforts to differentiate themselves from their competition (61%). Being transparent about your impact on the planet and your efforts to minimise it can help you build and keep trust. Remember that responding positively to climate change can improve your brand perception and uniqueness which are critical for your business performance.
Lastly but not surprising, the final reason is customers. SMEs are stepping up in the fight against climate change to meet their customers’ expectations (42%). Research shows that there is a huge growth opportunity for business that can offer more sustainable options. This means that being clear about the environmental benefits of your products and services can influence customers to buy from you.
Do you need support? If you are an SME looking to understand your climate impacts and to take meaningful action, our consultants are able to guide you through the entire process. Get in touch with us today!
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