A few years ago, “ESG” was shiniest new object that captured the attention of business leaders. Today, AI sparkles above all else and ESG/sustainability seem to be tarnishing. The change should have been expected as a normal cycle of business trends, but there may be more to it than that.
KPMG reported on a survey of current UK CEO sentiment which was not particularly optimistic when it comes to ESG/sustainability matters:
- “Just 55% are confident they can meet their net zero goals by 2030.”
- ” 86% expect it will be three years or more until they see a significant rate of return on their ESG investments.”
Layer on a new report from executive recruiting firm Korn Ferry that found “more than 70% of American CEOs admit they struggle with imposter syndrome. Other leaders also feel this way…” Looking globally, 58% of both CEOs and Senior Executives feel the same way, along with 49% of “senior leaders.”
Taking these data points holistically, it makes more sense why corner offices are less enthusiastic about their ESG/sustainability programs and spending – they may be struggling with their own feelings of being overwhelmed and “faking it till they make it,” combined with skepticism about climate plans.
ESG leaders, staff and advisors: Facing a drop in executive support and enthusiasm can be daunting, but recognizing that they are overwhelmed and may feel they are faking it actually creates an opportunity for you. Change the way you communicate and present business value – make it a priority to simplify your approach to improve clarity. Helping your executives become comfortable with the topic, reducing their sense of having to “fake it”, will go a long way to achieving credibility and top-level support.
A common theme of our blogs – and PracticalESG.com resources – is improving how sustainability/ESG professionals communicate with others that are critical to the success of programs and goals. Members can find more information about communicating ESG here.
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