• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

2

Now worth $200 million, Sarah Jessica Parker credits being ‘one of eight kids that struggled financially’ for her hunger, ambition, and work ethic

3

Ikea’s billionaire founder was so frugal that he bought clothes from flea markets and took free salt and pepper from restaurants

1

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

2

Now worth $200 million, Sarah Jessica Parker credits being ‘one of eight kids that struggled financially’ for her hunger, ambition, and work ethic

3

Ikea’s billionaire founder was so frugal that he bought clothes from flea markets and took free salt and pepper from restaurants
CommentaryEnvironment

Why are non-scientists leading the world’s largest companies’ sustainability efforts?

By
Chandran Nair
Chandran Nair
Down Arrow Button Icon
By
Chandran Nair
Chandran Nair
Down Arrow Button Icon
February 23, 2023, 9:10 AM ET
A firefighter battles a brush fire in Jurupa Valley, California.
A firefighter battles a brush fire in Jurupa Valley, California.Qian Weizhong—VCG/Getty Images
Add Fortune on Google for similar content.

Some 23% of Fortune 500 corporations claim to engage with the Sustainable Development Goals framework. Yet, a peer-reviewed study found that a measly 0.2% have developed concrete methods and tools to evaluate their progress toward relevant SDGs.

This illustrates the disconnect between the stated environmental commitments of business leaders and the reality within their organizations and their impact on society at large.

Businesses claim to recognize the need to confront how they participate in the economy, yet they are unwilling to decouple the provision of their goods and services from relentless consumption and externalization of costs. They seem institutionally incapable of acting on this inconvenient truth.

Much of the progress in the global ESG movement has been repeatedly challenged–and even exposed as greenwashing. If the business community truly wants to sink the greenwashing moniker and be part of the solution, then it must embrace a radical transformation that proves it knows how to deal with the issues arising from destructive business models, from climate change to pollution and biodiversity loss.

That doesn’t mean hiring a handful of people who can write an ESG report or even a “head of sustainability” who also runs other corporate social responsibility (CSR) initiatives. Instead, companies need a long-term plan to build institutional competence and hire experts who understand scientific and technical issues.

Most companies do not have qualified people who possess the knowledge on how to reduce carbon footprints, develop mitigation scenarios against growth projections, or even map out their effects on stakeholders.

Only 29% of almost 1,200 Fortune 100 board directors had relevant ESG credentials, according to a 2021 study from researchers at the NYU Stern Center for Sustainable Business. Even then, these credentials are largely concentrated on the social pillar, neglecting environmental expertise.

Meanwhile, over half of the 250 largest companies on the Fortune Global 500 don’t even have leadership-level representation for sustainability, and an alarming two-thirds of NASDAQ 100 companies don’t have a dedicated member of their board or leadership team responsible for sustainability matters.

That lack of in-house capability means turning to external consultants—who try to preserve the status quo and improve efficiency, rather than pursue more fundamental changes to the business model.

No large multinational would pick a non-specialist to manage its treasury, cash flow, or legal compliance. Nor would anyone serving in these key positions serve double duties in another role.

It’s not a question of economics, investor relations, communications, or even risk assessment. It’s about building a science-based system of inquiry, which then drives business values and decision-making. That requires experts who know what they’re talking about and know what they’re doing. Without basic scientific competence, the right questions won’t even be asked.

Unfortunately, companies make the common mistake of outsourcing sustainability transformations to external climate or sustainability experts, consultants, ESG report writers, or green financers. Invariably, they are hired to show that business-as-usual solutions are possible, while still complying with ESG reporting mandates or ambitious–and even unrealistic–net zero commitments. These so-called solutions are positioned as business opportunities to get the buy-in of management, thereby stifling honest inquiry and innovation.

Having worked in sustainability for over 30 years with some of the largest global corporations, I have witnessed the birth of the first CSR projects and reports, reporting exercises from the Global Reporting Initiative (GRI), and now the transition to ESG and sustainability reporting.

In many companies, these efforts take up more resources than actually doing anything to minimize socio-environmental impacts or invest in employees who could surpass the status quo.

Businesses need to start doing three things if they want to stay ahead of the curve, meet the demands of consumers and regulators alike, and fulfill their role in the social contract.

First, A sizeable portion of their workforce should have the opportunity to learn about the key issues, become aware of how their company’s operations affect society, and be allowed to get engaged in finding solutions. Sustainability training should not be viewed solely from a compliance perspective or for a designated small group of sustainability experts but as an opportunity to build competency that empowers employees to act across the value chain and innovate. A minimum critical mass is needed to influence decision-making across the company on a day-to-day basis and lead to the transformation of culture and practices.

Second, they need to hire scientists and technical experts to lead their sustainability efforts–and make sure they can fully grapple with the business model and innovate.

Finally, much like a company’s chief financial officer or general counsel, the head of sustainability must actually have the technical expertise–as well as the autonomy and power–to do their job. The role is too important to be handed off to a senior manager with no experience or expertise, or to one serving in multiple roles.

Without the precondition of an unwavering commitment to widespread competence in the organization, the talk of sustainability sweeping the business world will remain just that–talk.

Chandran Nair is the founder and CEO of the Global Institute for Tomorrow.

The opinions expressed in Fortune.com commentary pieces are solely the views of their authors and do not necessarily reflect the opinions and beliefs of Fortune.

More must-read commentary published by Fortune:

  • A soft landing is playing out—but optimism needs to be for the right reasons
  • Overconfident tech CEOs have overpaid for ‘box tickers’ and ‘taskmasters.’ Here’s why the real ‘creators’ will survive the mass layoffs
  • How the Russian economy self-immolated in the year since Putin invaded Ukraine
  • I am a DoorDash driver who’s been elected to the Colorado State House. Food delivery companies are gamifying your tips and making it harder for drivers to earn a living wage. Here’s what you can do about it

Learn how to navigate and strengthen trust in your business with The Trust Factor, a weekly newsletter examining what leaders need to succeed. Sign up here.

About the Author
By Chandran Nair
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Commentary

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Commentary

nido
Commentary250 Years of Innovation
As an immigrant turned entrepreneur and college president, here is why I celebrate our nation as it turns 250
By Nido R. QubeinJune 25, 2026
15 hours ago
Asia’s defense boom is rewiring the global arms supply chain
Commentaryarms, weapons, and defense
Asia’s defense boom is rewiring the global arms supply chain
By Chris OberoiJune 24, 2026
1 day ago
steve
Commentary250 Years of Innovation
Steve Case: America was built by entrepreneurs. Here’s how we keep that edge for the next 250 years
By Steve CaseJune 24, 2026
2 days ago
t
CommentaryWhite House
Trump mistakes the bully pulpit for bullying leadership — history’s villains were never heroes
By Jeffrey Sonnenfeld and Steven TianJune 24, 2026
2 days ago
mg
CommentaryHealth
The ‘tech neck’ time bomb: why 43 million young Americans could cripple U.S. health care within a generation
By Michael GerlingJune 24, 2026
2 days ago
sb
Commentaryclimate change
The climate policy triangle: why leaders can no longer choose between growth, security and sustainability
By Sebastian BuckupJune 23, 2026
2 days ago

Most Popular

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
Success
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
By Sydney LakeJune 25, 2026
19 hours ago
Now worth $200 million, Sarah Jessica Parker credits being ‘one of eight kids that struggled financially’ for her hunger, ambition, and work ethic
Success
Now worth $200 million, Sarah Jessica Parker credits being ‘one of eight kids that struggled financially’ for her hunger, ambition, and work ethic
By Orianna Rosa RoyleJune 24, 2026
2 days ago
Ikea’s billionaire founder was so frugal that he bought clothes from flea markets and took free salt and pepper from restaurants
Success
Ikea’s billionaire founder was so frugal that he bought clothes from flea markets and took free salt and pepper from restaurants
By Orianna Rosa RoyleJune 25, 2026
19 hours ago
After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup
Success
After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup
By Orianna Rosa RoyleJune 23, 2026
3 days ago
Ray Dalio just finished a 10-day trip to China. He says global leaders know America ‘doesn’t have what it takes to fight to maintain its empire’
Asia
Ray Dalio just finished a 10-day trip to China. He says global leaders know America ‘doesn’t have what it takes to fight to maintain its empire’
By Nick LichtenbergJune 24, 2026
2 days ago
Current price of silver as of Thursday, June 25, 2026
Personal Finance
Current price of silver as of Thursday, June 25, 2026
By Joseph HostetlerJune 25, 2026
14 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.