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

Trendingnow

1

OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation

2

Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock

3

Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem

1

OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation

2

Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock

3

Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem
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
  • TikTok icon
  • YouTube icon

Latest in Commentary

t
CommentaryTariffs
Trump’s third tariff tantrum piles more dizzying distractions on top of ever-spiraling failures
By Jeffrey Sonnenfeld and Steven TianJuly 22, 2026
9 hours ago
orson
CommentaryOpenAI
We got California to intervene about OpenAI’s corporate switch from nonprofit status. It’s time for the SEC to come to the table
By Orson Aguilar and Catherine BracyJuly 22, 2026
10 hours ago
ls
Commentarybooks
Confessions of an award-winning AI memoirist — the ‘slop’ debate isn’t really about good writing, and you know it
By Luke StoffelJuly 22, 2026
11 hours ago
b
Commentarythe future of work
Manpower President: The future of work question that even CEOs can’t answer
By Becky FrankiewiczJuly 22, 2026
11 hours ago
k
Commentarypower
What I keep hearing from Fortune 500 CEOs: ‘We have no idea what we’re actually paying for power’
By Kiran BhatrajuJuly 21, 2026
1 day ago
Bolt CEO Ryan Breslow
CommentaryHuman resources
The CEO who fired HR was right. About the wrong thing.
By KeyAnna SchmiedlJuly 21, 2026
1 day ago

Most Popular

OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation
Cybersecurity
OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation
By Jeremy Kahn and Emily ForliniJuly 21, 2026
1 day ago
Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock
Success
Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock
By Sasha RogelbergJuly 20, 2026
2 days ago
Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem
AI
Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem
By Eva RoytburgJuly 21, 2026
1 day ago
Despite a $156 million contract, Knicks star Jalen Brunson still calls his parents for financial advice any time he makes a big purchase
Success
Despite a $156 million contract, Knicks star Jalen Brunson still calls his parents for financial advice any time he makes a big purchase
By Emma BurleighJuly 21, 2026
1 day ago
‘I want to die broke’: Billionaire philanthropist Denny Sanford dies after giving away $4 billion
Success
‘I want to die broke’: Billionaire philanthropist Denny Sanford dies after giving away $4 billion
By Sydney LakeJuly 20, 2026
2 days ago
The millennial generation has split, new Fed research shows: Those over 35 are edging toward boomer-style wealth, while everyone else falls behind
Real Estate
The millennial generation has split, new Fed research shows: Those over 35 are edging toward boomer-style wealth, while everyone else falls behind
By Nick LichtenbergJuly 22, 2026
6 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.