Ep. 20: Reclaiming the lost corporate sustainability narrative

In this timely Thinking Out Loud episode, host Mike Hower examines the evolving landscape of corporate sustainability as we enter 2025, offering a candid assessment of the shift from the "ESG Golden Age" to today's more complex reality.

Drawing from his extensive experience in sustainability communications, Mike presents six key strategies for companies to reclaim their sustainability narrative: acknowledging trade-offs, focusing on material impact, bridging economic and environmental concerns, emphasizing practical solutions, breaking out of echo chambers, and embracing humility about private sector limitations.

Despite highlighting significant challenges, including missed emissions targets and record-breaking temperatures, Mike maintains optimism, pointing to strong public support for corporate climate action and advocating for a more mature, honest approach to sustainability communication that balances acknowledging difficulties with maintaining commitment to necessary change.

You can also listen to this episode on Spotify, Apple, Amazon, and Youtube.

TRANSCRIPT

Mike Hower: Hey everybody, and welcome to The Sustainability Communicator – the podcast that dives deep into how companies can better tell their sustainability stories and drive real impact.

I'm your host, Mike Hower, and I've spent the last 15 years living and breathing sustainability communications – first as a journalist for GreenBiz and other outlets, and then in the corporate world helping global companies craft and share their sustainability journeys.

Each episode, we cut through the jargon and greenwashing to explore the real challenges, risks, and opportunities in sustainability communications. We'll hear from leaders who are walking the talk and learn how they're navigating this complex landscape.

Whether you're a sustainability professional, communications expert, or just someone who cares about how businesses are addressing our world's biggest challenges – you're in the right place. Let's get started.

Hey everyone, Mike here. Given that this is the first episode of the year, I wanted to dive into something that's been keeping me up at night - the state of corporate sustainability as we head into 2025. And let me tell you, we need to have an honest conversation about where we are and where we're going.

You know, it's fascinating - and a bit frustrating - to think about how much has changed. We're coming off what many called the "ESG Golden Age" of 2020 to 2023, when it felt like sustainable business practices were unstoppable. Every company was making bold commitments, investors were all in, and it seemed like we were finally turning the corner.

But here's the reality check: 2025 is showing us just how complex this journey really is. Nearly a third of companies are missing their direct emissions targets. More than half are behind on their supply chain goals. And 2024? It was the hottest year on record, the first to break that 1.5-degree Celsius threshold we've been dreading.

Let me paint you a picture of where we are. Right now, corporate sustainability professionals - myself included - are grappling with a brutal truth: we've lost control of the narrative. The story we've been telling about sustainability being inevitable, painless, and always profitable? Well, that story isn't holding up anymore.

But here's the thing - and this is crucial - losing the old narrative doesn't mean the game is over. It means we need to create a new one. A better one. A more honest one. Let me share six strategies I think are essential for reclaiming our narrative in 2025.

First up: We need to acknowledge trade-offs. No more pretending that sustainability is always a win-win with no downsides. When a company needs to invest heavily in renewable energy infrastructure, yes, it's going to cost money upfront. We need to be upfront about that while making the case for why it's still worth doing.

Second strategy: Focus on material impact. Companies need to stop trying to solve every social issue under the sun and concentrate on areas where they can make real environmental and social progress. If you're a retailer, maybe focus on your supply chain emissions and packaging waste rather than trying to solve every global challenge.

Third - and this is critical in today's economy - we need to bridge economic and environmental concerns. With inflation hitting people hard, we need to show how sustainability initiatives can actually help address cost concerns. Think about programs like HP's printer cartridge recycling - it saves customers money while reducing waste. That's the kind of win-win we need to highlight more.

Fourth: We need to emphasize practical solutions. Instead of just throwing out ambitious 2050 targets, companies need to outline specific five-year milestones and concrete action plans. I worked on Mars' Net Zero Roadmap, and let me tell you, the devil is in the details.

Fifth: We've got to get out of our echo chambers. The sustainability community can sometimes feel like we're just talking to ourselves. We need to develop messages that resonate with broader audiences - connecting environmental goals to job creation, cost savings, and risk reduction.

And finally - this is something I feel strongly about - we need to embrace humility about what the private sector can and can't do alone. Companies need to advocate for smart regulation that levels the playing field. Look at Interface - they're reducing their own emissions while pushing for carbon pricing. That's the kind of balanced approach we need.

Let me be clear about something: The path forward isn't about choosing between blind optimism and cynical retreat. It's about building a more mature narrative that acknowledges difficulties while maintaining our commitment to necessary change.

As I wrap up, I want to leave you with this thought: The question isn't whether corporate sustainability will continue - it has to. The question is how we'll adapt to meet this pivotal moment with renewed relevance and impact. The fires currently devastating Los Angeles are just a preview of what's at stake if we don't get this right.

But here's what gives me hope: A clear majority of people in the United States actually want more climate action from the private sector. More than two-thirds believe that major businesses aren't doing enough to address the climate crisis. That's not a criticism - that's an opportunity. An opportunity to step up, to be more honest, more focused, and more practical in how we approach sustainability.

Thanks for listening, everyone. If you found this valuable, please share it with your network, and let's continue this conversation. The future of corporate sustainability depends on all of us getting this right.

And that brings us to the end of today's episode of The Sustainability Communicator. I really appreciate you spending this time with me today, diving into these crucial conversations about sustainability storytelling.

If you'd like to stay connected, you can find me, Mike Hower, on LinkedIn, or subscribe to my monthly ENGAGE newsletter – where I share deeper insights about sustainability communications and what's moving the needle in our field. All the links are right there in the show notes.

Speaking of staying connected – if you're finding value in these conversations, I'd be incredibly grateful if you could spread the word. Share this episode with a colleague who might benefit from it, or take a quick moment to leave us a five-star review on Apple Podcasts, Spotify, or your preferred platform. Your support helps us reach more sustainability professionals and continue bringing you these important discussions.

And as always, wherever you are in your sustainability journey, good luck and keep at it. We need you out there.