As long as we are talking about the sustainability business case… Not long ago, I wrote a pair of blogs suggesting that ESG/sustainability practitioners look to, and learn from, internal ROI calculations/business cases for adopting AI in their companies (see here and here). I commented:
“What strikes me … is how rapidly and definitively companies adopted AI into operating and financial fundamentals.”
It turns out that perhaps companies are putting the cart before the horse as financial experts are expressing concern with this very thing. According to CFO Dive:
“CFOs are chasing the hope of a bonanza from generative artificial intelligence in one of the most frenzied investments in technology in decades. Yet they have, at best, a loose grip on how to measure the innovation’s ultimate business payoff, according to financial executives and AI experts… To be sure, CFOs gauging ROI in generative AI are trying to map fuzzy terrain, the financial executives and AI experts said. Some payoffs from the emerging technology are potentially illusory, especially in the short term.”
ESG leaders, staff and advisors: You may have an interesting opportunity here. Find and collaborate with the team developing and refining the internal ROI/business case for AI. Offer your experience/perspective navigating issues that are “frenzied,” “fuzzy” and “potentially illusory, especially in the short term” while learning how to refresh your own approach to presenting a business case for sustainability. Form a symbiotic relationship from which everyone benefits. But you need to act quickly while so much activity surrounds AI from which to learn and use for corporate sustainability/ESG programs during the current environment of uncertainty and backtracking.
Our members can learn more about AI in ESG here.
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