A recent study reveals that a significant majority of high-ranking executives in the technology sector believe their industry is engaging in greenwashing.
The findings are part of the Sustainability in Technology report released by iResearch Services to align with the COP27 climate conference held in Egypt. According to the report, 91% of the 550 surveyed C-suite leaders feel that at least some tech companies are misleading the public about their sustainability efforts.
Furthermore, 89% of these executives emphasize the importance of being perceived as a sustainable and ethical company. This perception is deemed crucial not only for regulatory compliance but also for attracting customers and achieving enhanced financial performance, as noted by 52% and 38% of the respondents, respectively.
The study highlights a notable discrepancy: while 80% of leaders recognize the significance of sustainability, only 65% are satisfied with their own company’s sustainability practices.
Yogesh Shah, CEO of iResearch Services, commented that the report "reinforces the focus of C-suite executives on sustainability but indicates that there is still substantial work to be done to reach our goals." He stressed the necessity for private capital to intensify its efforts, noting that the tech industry is one of the fastest-growing sectors globally, traditionally oriented towards growth and innovation. "This report underscores the need for a shift in focus towards sustainability," he stated.
The financial sector has also faced mounting scrutiny over claims of greenwashing. Notably, DWS, an asset manager, saw its CEO resign amid such accusations, and the UK’s Financial Conduct Authority has recently implemented new regulations to combat the practice.
For those interested in sustainable finance, Finextra has announced the upcoming fifth Sustainable Finance Live conference and hackathon on November 29. More information and registration details can be found on the event page here.