Only 21% Organisations Recognise Technology's Role In Sustainability: Kyndryl-Microsoft Study

While as many as 84% of organisations place a high strategic importance on achieving sustainability goals, only 21% use technology to reduce their environmental footprint and shape their overall sustainability strategy, a study released by Kyndryl and commissioned by Microsoft shows. 

Sustainability goals and initiatives are incorporated into existing reporting processes of 54% of businesses. However, only 19% fully use data for strategic planning and decision-making.

Artificial intelligence is also expected to affect sustainability, with 55% believing AI will significantly impact their sustainability goals. Even then, 62% of organisations limit initiatives to analysing historical data for monitoring and reporting, instead of using AI tooling to reshape operational efficiencies and foster sustainable innovations.

According to the study, 38% of organisations leverage IT to reduce their environmental impact, while 17% say data and technology are helping them achieve sustainability goals. In the next year, companies should consider integrating technology into sustainability strategies to turn goals into actionable plans.

Over six in 10 (62%) organisations use AI to monitor energy use and emissions, but only 37% use predictive AI to forecast energy needs based on current trends and patterns. Integrating AI-powered scenario planning and climate risk mitigation can allow organisations to adopt a holistic approach to environmental responsibility, the study suggested.

Disparate data across enterprise planning systems is seen as a challenge, as only 15% use data to guide their business' transformation journeys. By effectively integrating the data, organisations can gain a better understanding of their environmental impact, leading to informed sustainability decisions.

The study also underlined that while the benefits of AI for sustainability are gaining traction, AI's environmental impact is a growing concern. Only 35% of organisations are considering the energy implications of their AI solutions. 

Leaders are recognising the benefits of sustainability initiatives for their organisations, the study indicates. Since 2023, 38% of organisations have increased their sustainability goals and programme execution. By embedding technology into sustainability strategies, organisations can turn goals into actionable, data-driven plans.