As businesses and industries continue to expand, the environmental repercussions of their operations are also on the rise, posing increasingly difficult challenges to manage. This situation heightens the community’s expectations regarding a company’s role, responsibilities, and commitment to both the community and the environment. The commitment to maintaining the sustainability of the environment nowadays is a big matter. Concerning corporate responsibility, environmental transparency is an important part of the effort to maintain the stability of the ecosystem on Earth.
In this article, we will go through environmental transparency and how it gives benefit to corporate sustainability.
Table of Contents
ToggleUnderstanding environmental transparency
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Environmental transparency refers to the concept of sharing detailed information and data on their operations beyond what’s legally required and making it available to the entitled parties. It means environmental transparency can be seen as the disclosure of pertinent information during decision-making processes or the divulgence of material facts, such as the impact of production goods activity on the landfill.
Oswald (2010) explains that environmental transparency is valuable information about how the company works and encourages community involvement and company disclosure. Environmental transparency significantly contributes to the sustainability of a firm and is crucial for decision-making strategies.
Read More: Pentingnya Transparansi dalam Laporan ESG dan Keberlanjutan
Environmental Transparency to Customer Trust
Businesses that embrace transparency have proven to increase their customer trust. In this case, transparency is the fundamental key to capitalizing on a consumer market that today is more focused on sustainability. According to an international study conducted by Unilever, it discovered that one-third of consumers are buying from brands that are seen as sustainable.
Being transparent about the real impact of products or services helps to show potential customers who are trustworthy and helps them to make more informed decisions.
Environmental Transparency for Tighten the Cooperation
Besides the benefit to customer trust, being transparent also will help businesses to improve their relationship with clients which will lead the business to capture future improvements for more cooperation and colaboration.
If businesses are open with what they are doing, businesses are more likely to have people engage in a meaningful way. It all comes back to a very simple concept: doing the right thing is the right thing for your business, your employees, your customers and the planet.
Environmental Transparency to Support Net Zero
One of the important ambitions of environmental discourse is Net Zero. Most companies fail to provide a complete picture of their carbon footprint and environmental impact, thereby slowing progress towards Net Zero.
Given the growing concern regarding the so-called “climate emergency”, environmental transparency on climate issues is essential. Companies that transparently demonstrate environmental initiatives and are able to calculate the reduction in the amount of emissions they produce mean that they are present as parties that concretely support Net Zero.
Consistency to Environmental Transparency
To present as a business that is transparent of its environmental impact requires consistency. Businesses should continuously provide information and data on the impact caused by products, services and businesses. As well as the waste management and emissions it produces.
By being consistent, customers will stay loyal and will open up possible corporations and investors. In supporting the consistency of environmental transparancy of business, now Satuplatform presents an all-in-one solution that gives reliable ESG reports and emission through Sustainabilty Reporting. Consult now with Satuplatform FREE DEMO!
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