According to a recent Gartner survey, 69% of CEOs view sustainability as a key growth opportunity for their businesses in 2024. The survey, which included over 400 CEOs and senior business executives across various regions and industries, highlights the increasing importance of environmental sustainability in corporate strategy.
“Sustainability has become a top business priority, even surpassing productivity and efficiency,” said Kristin Moyer, Distinguished VP Analyst at Gartner. The survey indicates that CEOs are leveraging sustainability to drive business growth through sustainable products and services (33%), sustainable business practices (18%), stakeholder engagement (18%), and decarbonisation (18%).
AI
AI plays a crucial role in achieving these sustainability goals. Digital technologies, including AI, can significantly enhance both financial and sustainability outcomes. For example, AI, combined with the Internet of Things (IoT), can optimize wind turbines, reducing both costs and greenhouse gas emissions. Additionally, AI and IoT can minimize food loss and waste, contributing to both economic and environmental benefits.
Moyer emphasized, “Digital technology can accelerate progress toward sustainability goals, going beyond compliance to help companies reach targets, enable new business models, and create new revenue streams.” The integration of AI in business operations is not just about meeting regulatory requirements but also about transforming business models to be more sustainable and profitable.
The Gartner survey also reveals that 54% of CEOs acknowledge that their businesses are moderately affected by changing weather patterns. This has led over half of the respondents (51%) to plan or implement operational changes. The most significant impact cited is on operating dynamics, such as logistics and supply chain adjustments, which are crucial areas where AI and technology can provide substantial support.
AI in Supply Chain Management
The survey highlights that changes in logistics due to climate shifts (30%) and the adoption of automation, technology, and data (13%) are among the top areas impacted. AI’s ability to analyze vast amounts of data and optimize logistics can help businesses adapt to these changes more effectively. For instance, AI-driven predictive analytics can optimize warehousing, delivery timing, and routing, thereby enhancing efficiency and reducing environmental impact.
