When discussing sustainability, ESG experts typically point to the importance of having a dedicated C-suite member in charge of managing and directing efforts to uphold and improve company-wide sustainability.
In 2004, Linda Fisher, a 13-year veteran of the Environmental Protection Agency, was the first person to receive the title of “Chief Sustainability Officer” or CSO when she was hired by DuPont. Following her, a wave of experienced individuals was hired to fulfil similar roles at major companies. By 2021, the number of CSOs across the globe had tripled since 2016.
As more and more companies recognise the importance of having a CSO on staff, the duties of the position evolved with the ever-changing ESG landscape. It’s true, there’s no particularly correct way for a sustainability officer to perform. However, keeping up to date on the latest corporate trends is a key approach in transforming a company into a paragon of sustainability and eco- and consumer-friendliness.
If you’ve ever asked yourself, “What does a chief sustainability officer do?”, then the following guide is for you.
Responsibilities and Roles of Chief Sustainability Officers
Collaborating with Internal and External Stakeholders
One of the most important duties of a CSO’s remit is to coordinate company-wide sustainability efforts through communication and collaboration with fellow board members, as well as internal and external stakeholders. The aim is to achieve better stakeholder management in sustainability goals.
Working together, they need to identify key issues and concerns or matters important to stakeholders, and to manage sustainability strategy, coordination of how to execute plans, the progress of the initiatives, and sustainability reports. Only by ensuring the cooperation of all executives and board members can a CSO plan and carry out successful ESG efforts to achieve sustainability goals.
Designing Sustainability Initiatives
The primary task of a chief sustainability officer is to plan and carry out a company-wide strategy that increases overall sustainability while maintaining profitability. Strategies typically incorporate efforts like recycling, waste and pollution reduction, energy and resource conservation, and emissions control. Along with these environmental initiatives, CSOs take on community engagement as well as employee welfare and safety.
It falls to a CSO to see that every department and team within the organisation is delegated a part in these efforts, as well as guidelines and resources, to achieve their goals. CSOs may also set up programs to educate employees, stakeholders, and the public on the importance of sustainability and how they’re working to achieve it.
Managing the Sustainability Team
If a company is large enough to have a dedicated sustainability staff, the CSO is typically responsible for leading this team and coordinating its efforts to improve sustainability performance throughout the organisation.
Keeping Up-to-Date with Sustainability Legislation
Chief sustainability officers must also monitor the latest changes to local and national laws relating to environmental, social, and governance in the areas where their companies operate. Because these rules are often constantly evolving, a CSO must make every effort to ensure their companies operate within the most current legal boundaries. Changes to sustainability frameworks and technology on a national and global scale must also be monitored.
The Duties of CSOs in Today’s Corporate Culture
Tracking Sustainability Performance
Chief sustainability officers need to ensure that the initiatives and strategies put in place are on track to achieve the company’s ESG goals. Along with this, they’ll need to assess the current performance against previous years’ output to gather a holistic overview of the company’s position. With comprehensive ESG reports, the CSO can determine if their targets are realistic and achievable and decide what further actions need to be taken.
Working with the ESG Team
If environmental, social, and governance (ESG) tracking and reporting are handled by a separate department, the CSO must also coordinate their efforts with that department. ESG and sustainability, while distinct, overlap in several areas, particularly climate-related and environmental topics.
To demonstrate the effectiveness of a company’s ESG initiatives, firms are required to submit ESG reports within their relevant jurisdictions. Ensuring the quality and consistency of ESG reports and that a company effectively combines overall sustainability and impact reduction are key tasks for a chief sustainability officer.
Ensuring ESG Compliance and Transparency of ESG Initiatives
A leading responsibility for the first generation of chief sustainability officers was ensuring compliance with ESG reporting frameworks and standards. Although other duties have grown in importance, ESG compliance is still a vital aspect of a CSO’s work.
Studies have shown that a company’s high ESG score has a positive impact on its Enterprise Value to Earnings before Interest, Tax, Depreciation, and Amortisation (EV/EBITDA). As such, CSOs play a big role in upholding ESG compliance and progressing in a meaningful and transparent manner to maintain sustainability standards.
Convene ESG: An Essential Asset for Today’s CSOs
Chief sustainability officers at forward-looking companies can count on Convene ESG, the ESG reporting platform from Azeus Systems. This innovative ESG software will substantially increase their efficiency and effectiveness in designing and delivering measurable sustainability results.
Convene ESG offers a wide range of valuable features, including precise ESG data tracking, reporting compliance, and timely sustainability data collection. This program gives CSOs the power to review their companies’ full ESG profile with the latest information to produce boardroom-ready reports and inform initiatives with ease.
Ready to find out more? Then take a look at this page to learn how Convene ESG can help take your company to the next level of excellence in sustainability ESG matters.
