How Many Companies Meet Their Annual Sustainability Targets

Find out what percentage of companies actually meet their sustainability goals each year. Includes performance stats and insights.

Sustainability goals are no longer just nice-to-haves. Today, they’re essential for long-term business success. But here’s the hard truth: most companies struggle to meet these goals year after year. Some don’t even track them properly. So, what’s going wrong?

1. Only 25% of companies fully meet their sustainability goals each year

Understanding the Reality

It’s a sobering stat: just one in four companies actually follow through on their sustainability plans. These are not just minor delays—they’re outright failures to meet the goals set at the beginning of the year.

There are a few major reasons for this. Some companies bite off more than they can chew, aiming too high too fast. Others lose momentum over the months due to shifting priorities, lack of leadership support, or limited resources. Some never establish a clear roadmap in the first place.

Why Does This Happen?

The issue is usually not bad intent. Most businesses want to be sustainable. But without a clear structure, good intentions collapse under pressure. And when goals are vague—like “reduce energy use”—no one knows what success really looks like.

What Can You Do?

Here’s how to improve your odds:

 

 

  • Start with fewer, clearer goals. It’s better to fully achieve three sustainability targets than fall short on ten.
  • Build milestones into your timeline. Break each annual goal into quarterly steps. It helps track progress and catch problems early.
  • Make one person accountable. A clear owner ensures things don’t slip through the cracks.
  • Set aside a sustainability budget. If you don’t allocate money, your team won’t be able to act.

Most importantly, get buy-in from leadership. If your CEO isn’t excited about sustainability, no one else will be.

2. 65% of companies fall short of at least one major sustainability target annually

What’s the Missing Link?

If nearly two-thirds of companies miss at least one major goal, something’s definitely not working. Often, the challenge lies in overpromising. Companies want to look bold and progressive, especially in press releases or annual reports. But lofty promises without infrastructure to back them up lead to disappointment.

The Common Pitfalls

  • Relying too much on future tech: Some companies plan to hit sustainability goals using solutions that aren’t ready yet.
  • Underestimating cost or operational impact.
  • Poor coordination between teams. Sustainability isn’t just the job of the CSR department.

Tactical Advice

To avoid missing big targets:

  • Use historical data. Look at last year’s results before setting this year’s goals.
  • Align sustainability with operational KPIs. If your supply chain can’t support a target, you’re setting up to fail.
  • Bring in an external advisor once a year for an audit. They’ll see things you might miss internally.

When companies hit even one major goal consistently, it boosts internal morale and builds momentum. Start small. Win big.

3. Approximately 35% of Fortune 500 companies publish sustainability reports

Why Transparency Matters

Only about a third of the largest companies are sharing their progress publicly. This shows that even the biggest players aren’t all-in on accountability. Transparency doesn’t just build public trust—it also forces companies to stay on track.

When your progress is public, you work harder to stay the course.

Why Aren’t More Companies Publishing?

There’s fear involved. Publishing sustainability reports means you must own up to what you haven’t done yet. It can also open the door to scrutiny—from investors, activists, or even customers.

But avoiding reporting just delays progress.

Here’s What to Do

  • If you’re not publishing, start with an internal report. Track your data, create summaries, and evaluate your gaps.
  • Keep reports simple. A glossy booklet isn’t necessary—what matters is honesty.
  • Report on both wins and setbacks. Authenticity earns more trust than fluff.

Companies that make reporting a habit improve performance year over year. Don’t wait to be perfect. Just start.

4. Just 11% of companies integrate sustainability into core business strategy

What This Means

Most companies treat sustainability as a side project. But if it’s not baked into your strategy, it won’t survive budget cuts or shifting leadership.

This stat shows that only one in ten companies truly operate with sustainability at the heart of their mission.

How Integration Looks in Practice

When sustainability is central:

  • Product design considers environmental impact.
  • Supplier contracts include ESG criteria.
  • Executive bonuses link to carbon targets.

That’s when real progress happens.

How You Can Start

  • Begin at the board level. Add sustainability as a standing item on the board meeting agenda.
  • Tie sustainability to long-term risk planning. Investors care about this more than ever.
  • Include your sustainability team in strategy meetings. If they’re not in the room, they can’t influence outcomes.

Sustainability shouldn’t be a department. It should be a mindset that shapes everything your business does.

5. 45% of companies have science-based emissions targets; only 28% are on track

The Gap Between Setting and Achieving Targets

It’s encouraging that nearly half of companies now set science-based emissions targets. These are goals aligned with climate science to limit global warming. But here’s the kicker: less than a third of those companies are actually on track.

That means most are setting goals, announcing them publicly, and then falling behind quietly.

Why the Drop-Off?

It usually comes down to a few predictable issues:

  • The targets are too aggressive without a practical implementation plan.
  • There’s little coordination between departments.
  • Key staff lack the training or tools to measure and reduce emissions.

And sometimes, companies simply don’t know where to start. Scope 1, Scope 2, Scope 3—it gets confusing fast.

How to Move From Planning to Progress

  • Break your target down. Set yearly goals aligned with your long-term target.
  • Automate emissions tracking with good software. Manual tracking fails over time.
  • Make carbon reductions part of everyday operations. For example, use energy efficiency as a cost-saving tool.

One more tip? Incentivize departments. Offer rewards for the best ideas that reduce emissions. It builds engagement and results.

6. 70% of companies claim to have set sustainability goals

The Intent Is There

Seventy percent is a strong number. It tells us that most companies do understand the importance of having sustainability goals. That’s great. But as we’ll see in the next few stats, simply having goals isn’t enough.

The Problem With This Stat

The word “goal” is vague. For some, it means a detailed carbon reduction plan. For others, it could be a line in a PowerPoint that says “Be greener by 2030.”

The result? Tons of inconsistency. And very little real progress.

Getting Clarity

If your company is part of that 70%, ask yourself:

  • Are your goals specific? “Reduce energy by 20% by 2026” is better than “be energy efficient.”
  • Are your goals public? If not, they’re easier to ignore.
  • Are they assigned to teams or individuals? Ownership is critical.

And always review goals mid-year. If they’re not being tracked, they’re not being taken seriously.

7. Of those, only 26% have measurable KPIs

Turning Goals Into Action

This stat is a red flag. It means that even though most companies set sustainability goals, only about a quarter know how to measure them properly. And what you can’t measure, you can’t manage.

This is often the biggest reason companies don’t hit their targets.

What’s Missing?

Let’s say your goal is to reduce waste. How will you track that?

  • Volume of waste produced?
  • % of waste diverted from landfill?
  • Monthly waste audits?

Without clear Key Performance Indicators (KPIs), there’s no way to know if you’re making progress—or drifting off track.

Setting Real KPIs

Start small:

  • Pick just 2–3 KPIs for each sustainability goal.
  • Make sure you have access to the data.
  • Set baseline numbers so you can track change over time.

Let your team get used to the tracking process before scaling up.

A goal without a number is just a wish. And businesses can’t afford to wish anymore.

8. 60% of ESG initiatives fail to deliver the expected ROI

The ROI Struggle

Environmental, Social, and Governance (ESG) programs sound great in theory. But 60% of them fall short when it comes to delivering financial or operational returns.

That leads to skepticism, budget cuts, and eventually, abandonment of sustainability programs.

Why ESG Falls Flat

Many ESG projects are launched without:

  • A business case.
  • Clear outcomes.
  • Stakeholder alignment.

For example, planting trees is a great PR move—but if it’s not linked to emissions data or stakeholder value, it won’t be seen as a return-driving initiative.

How to Turn That Around

  • Align ESG with your brand and revenue model. If you sell physical products, focus on sustainable materials. If you’re in tech, work on reducing data center energy use.
  • Set clear KPIs not just for environmental outcomes, but also cost savings, customer engagement, or brand equity.
  • Tell the story. Document your journey and show how ESG contributes to company goals.

When ESG is done right, it doesn’t just reduce risk—it boosts innovation and drives growth.

9. 29% of companies report full progress on energy efficiency targets

The Bright Spot

Here’s some good news. Nearly 30% of companies are meeting their energy efficiency goals. That’s one of the better stats in this list—and it makes sense. Energy use is one of the easiest sustainability areas to measure and improve.

You can see results quickly and save money in the process.

Why Energy Efficiency Works

  • It usually requires upgrades rather than major overhauls.
  • Savings are tangible. Lower utility bills = proof of progress.
  • Employees can contribute directly (turning off machines, reducing idle time).

That combination of visibility, quick wins, and cost reduction makes energy efficiency an ideal starting point for any company.

How to Boost Your Chances

  • Conduct an energy audit. You can’t improve what you don’t measure.
  • Replace old equipment with energy-efficient models.
  • Involve facilities teams—they often know where the biggest inefficiencies are.
  • Set up a usage dashboard so teams can monitor progress.

Companies that show progress on energy usually gain the confidence to tackle tougher goals next.10. Less than 20% of companies achieve their zero-waste goals

10. Less than 20% of companies achieve their zero-waste goals

The Challenge With Waste

Zero-waste sounds amazing, but it’s one of the toughest sustainability goals to achieve. Only a small fraction of companies actually pull it off.

Why?

Because waste is generated at nearly every step—production, packaging, distribution, even in office operations. Managing it all takes deep commitment, education, and sometimes, a full redesign of systems.

Because waste is generated at nearly every step—production, packaging, distribution, even in office operations. Managing it all takes deep commitment, education, and sometimes, a full redesign of systems.

The Key Issues

  • Lack of control over supplier packaging.
  • Poor recycling infrastructure.
  • Employees not trained in waste separation.

Even small businesses find zero-waste a tall order.

What You Can Do Instead

  • Don’t start with “zero.” Start with “less.”
  • Track what types of waste you produce most.
  • Work with vendors to reduce incoming waste.
  • Set up sorting stations that are easy to use.

And here’s a smart tactic: reward departments that reduce waste the most. It creates healthy competition and faster improvement.

Zero-waste is a noble goal. Even if you don’t reach it, striving for it puts you miles ahead of doing nothing.

11. Only 23% of companies meet their water usage reduction goals

Why Water Reduction Is So Difficult

Despite growing concern over water scarcity, less than a quarter of companies meet their annual goals related to water use. This is troubling, especially for industries like manufacturing, agriculture, and textiles, where water is critical to operations.

So what’s stopping progress?

Often, water goals are vague, data is hard to collect, and companies don’t see an immediate financial incentive to conserve—unlike energy, where savings are more visible.

Common Roadblocks

  • No metering systems in place.
  • Inconsistent water usage reporting across locations.
  • A “set it and forget it” mindset—no ongoing monitoring.

Another issue? Some companies over-rely on technology, assuming that installing low-flow fixtures or water recycling units will solve everything without behavior change.

What You Can Do

  • Install smart meters to track real-time usage.
  • Compare water use across facilities and identify outliers.
  • Educate staff on efficient water use—especially in production areas.
  • Partner with your local utility to explore rebates or water audits.

Also, if your product or service involves water (like beverage or agriculture), include water data in your sustainability reports. Being transparent about your water footprint builds trust—and motivates improvement.

12. About 30% of firms meet their annual emissions reduction goals

Carbon Cuts Still Elusive for Most

Only about 3 in 10 companies are successfully meeting their annual emissions targets. That means 70% are still falling short.

The reasons are clear. Emissions reduction often touches every part of the business—transportation, operations, logistics, sourcing. It’s complex, and even small missteps can add up.

Another major reason? Scope 3 emissions. These are emissions that come from your suppliers, vendors, and customers—areas you don’t directly control but are still held responsible for.

Bridging the Gap

  • Prioritize low-hanging fruit: switch to renewable energy, optimize transportation routes, or install energy-efficient HVAC systems.
  • Use an emissions dashboard to track progress monthly—not just annually.
  • Push for supplier collaboration. Encourage them to report emissions data and offer shared incentives for reduction.

Most importantly, don’t just focus on carbon offsets. Reducing actual emissions always creates a stronger impact and builds credibility.

13. 18% of companies meet biodiversity-related sustainability targets

Biodiversity: The Forgotten Pillar

Only 18% of companies are on track when it comes to biodiversity goals. That’s alarmingly low.

Why? Because biodiversity is hard to measure and even harder to influence directly unless you’re in industries like agriculture, construction, or forestry.

And yet, biodiversity loss has a massive long-term impact on supply chains, ecosystem stability, and even raw material pricing.

Challenges to Address

  • Lack of clear KPIs for biodiversity.
  • Disconnect between office-level teams and field operations.
  • Limited access to local environmental data.

Often, companies want to help protect biodiversity but don’t know how their actions actually affect it.

What You Can Do

  • Conduct an ecosystem impact assessment in the regions where you operate.
  • Create natural buffers—like green roofs or planting native vegetation around facilities.
  • Avoid sourcing materials from endangered habitats.
  • Partner with local conservation groups for measurable community impact.

Protecting biodiversity may not have immediate PR value, but it shows deep, long-term commitment—something that investors and regulators are increasingly watching.

14. 33% of companies track Scope 3 emissions consistently

The Scope 3 Puzzle

About a third of companies track their Scope 3 emissions consistently. That means the rest—nearly 70%—are not regularly measuring the biggest part of their carbon footprint.

Scope 3 emissions can account for more than 70% of a company’s total emissions. Yet, they’re also the hardest to control because they come from activities outside your direct operations—like product use, supplier emissions, or business travel.

Why It’s Tough

  • Data isn’t always shared by suppliers.
  • There’s no universal standard across industries.
  • Tracking requires deep coordination and often new tools or consultants.

But that’s no excuse. Investors, regulators, and even customers are increasingly demanding full emissions transparency.

What to Do Next

  • Start by identifying your top 5 emissions-heavy suppliers.
  • Ask them to share basic emissions data or use third-party estimates if needed.
  • Use standard frameworks like the GHG Protocol to categorize and track emissions.

Even partial Scope 3 tracking is better than ignoring it altogether. Over time, this transparency builds pressure for cleaner supply chains—and better results.

15. 12% of companies achieve 100% renewable energy targets in a year

The Renewable Energy Challenge

Only about 1 in 10 companies manage to run entirely on renewable energy for a full year. That’s a low number, but also a reflection of how ambitious this goal is.

It requires a mix of the right geography, strong supplier partnerships, and often, serious investment. Many companies can’t flip the switch overnight.

What Makes It So Hard?

  • Availability of renewable power varies by region.
  • Some companies lease buildings and can’t change the energy source.
  • The upfront costs of switching are high, even if long-term savings are real.

Despite all this, renewable energy remains one of the clearest paths to real, measurable sustainability.

Here’s What You Can Do

  • Start with partial goals: aim for 20%, 50%, or 75% renewable within a few years.
  • Buy Renewable Energy Certificates (RECs) if direct sourcing isn’t yet possible.
  • Work with your landlords or building managers if you don’t own your facilities.
  • Consider Power Purchase Agreements (PPAs) for larger operations.

Every percentage of renewable energy counts. And reaching even 50% puts your business well ahead of the curve.

16. 31% of companies meet their sustainable sourcing goals

Sourcing Sustainably Is a Work in Progress

Roughly a third of companies achieve their sustainable sourcing goals annually. That’s better than many other sustainability metrics, but it still shows a significant gap.

Sustainable sourcing means choosing suppliers and materials that align with environmental and ethical standards. This could include using recycled materials, buying from certified green vendors, or ensuring fair labor practices.

Sustainable sourcing means choosing suppliers and materials that align with environmental and ethical standards. This could include using recycled materials, buying from certified green vendors, or ensuring fair labor practices.

What Gets in the Way?

  • Limited availability of verified sustainable suppliers.
  • Higher costs for certified sustainable materials.
  • Complexity in managing multi-tier supply chains.

Many companies also struggle to verify the claims made by suppliers, especially when operating across borders.

Here’s What You Can Do

  • Identify high-risk suppliers and start with them. Focus on industries or regions where labor or environmental issues are common.
  • Require sustainability certifications in RFPs and contracts.
  • Build long-term partnerships with suppliers who share your values. Trust and collaboration lead to better outcomes.
  • Use supplier audits to check if stated practices match reality.

The more visibility you have into your supply chain, the easier it is to make smart, responsible choices that protect your brand—and the planet.

17. Over 50% of corporate sustainability targets lack clear accountability

The Accountability Crisis

This is a big one. More than half of corporate sustainability goals don’t have a clear owner. That’s like launching a major product with no product manager. It just doesn’t work.

When no one’s responsible, things fall through the cracks. People assume others are handling it, and by year’s end, the goal is missed with no clear explanation.

Why It Happens

  • Sustainability goals are added on top of people’s regular duties.
  • No one wants to take ownership of goals that feel unrealistic.
  • Leadership doesn’t assign clear responsibilities from the start.

Without accountability, progress stalls. And without progress, goals become just another bullet point in a report.

How to Fix It

  • Assign one owner per goal. This person doesn’t need to do everything—they just need to be responsible for tracking and driving progress.
  • Tie sustainability performance to job reviews, promotions, or bonuses.
  • Make sustainability part of team OKRs so everyone’s aligned.

When accountability becomes part of company culture, sustainability shifts from “initiative” to “standard.”

18. 24% of companies hit their carbon neutrality milestones on time

Carbon Neutrality: A Steep Climb

Less than a quarter of companies meet their carbon neutrality deadlines on schedule. That shows just how hard this goal is to achieve, despite its popularity.

Carbon neutrality means offsetting all emissions through reductions or verified offsets. It sounds simple but involves a deep transformation of operations, supply chains, and sometimes even product design.

Why the Delay?

  • Many companies set ambitious “net zero” goals without planning the steps.
  • The cost of offsetting can increase over time.
  • Internal teams lack the tools or experience to manage such a complex initiative.

It’s also common to underestimate how long the process will take.

What You Can Do Differently

  • Plan backward from your target date. Break the timeline into monthly or quarterly checkpoints.
  • Choose high-quality offsets if you use them, and verify their legitimacy.
  • Prioritize emissions reductions first—offsets should be a last step, not the first.
  • Get expert help. A good sustainability consultant can save you months of trial and error.

Reaching carbon neutrality is possible—but it takes more than big declarations. It takes clear planning, consistent effort, and a willingness to adapt along the way.

19. Only 16% of firms have sustainability targets aligned with the UN SDGs

Missing the Global Picture

Just 16% of companies align their sustainability efforts with the United Nations Sustainable Development Goals (SDGs). That’s a missed opportunity, both for impact and credibility.

The SDGs provide a global framework that addresses everything from clean energy and climate action to gender equality and poverty. Aligning your goals with them not only shows purpose but also helps measure impact in a way that matters on the world stage.

Why Don’t More Companies Align?

  • Lack of awareness about the SDGs or how to integrate them.
  • Perception that the goals are too broad or abstract.
  • Internal focus on short-term or local goals.

But aligning with SDGs can boost investor confidence, open access to grants, and attract talent who care about purpose-driven work.

But aligning with SDGs can boost investor confidence, open access to grants, and attract talent who care about purpose-driven work.

How to Start Aligning

  • Map your existing goals to the 17 SDGs. You might be contributing to more than you realize.
  • Choose 2–3 SDGs that make sense for your industry and geography.
  • Use the UN’s SDG Compass tool for guidance and examples.

Being part of a global movement adds weight to your sustainability message—and helps you avoid reinventing the wheel.

20. 22% of companies meet their annual waste reduction goals

Waste Is a Sticky Issue

Only about one-fifth of companies successfully hit their yearly waste reduction targets. This includes all kinds of waste—paper, packaging, food, industrial byproducts, and more.

Waste is everywhere in a business. And because it’s produced in so many different ways, it’s hard to manage unless there’s a coordinated plan.

What’s Holding Companies Back?

  • Goals aren’t specific enough. Saying “reduce waste” doesn’t guide daily actions.
  • Teams aren’t trained on sorting and reducing waste.
  • Waste data isn’t tracked or reviewed regularly.

In many businesses, waste management is viewed as a facilities issue—not a company-wide responsibility.

Practical Steps That Work

  • Set up clear bins with visuals so people sort correctly.
  • Run a monthly “waste audit” to see what’s actually being thrown away.
  • Work with vendors to reduce packaging before it gets to you.
  • Reuse materials creatively—old packaging, display items, even digital equipment.

Every pound of waste you avoid saves disposal costs and improves your environmental footprint. When waste reduction becomes part of everyday thinking, goals become easier to hit.

21. Nearly 40% of companies face difficulty measuring sustainability performance

When You Can’t Measure, You Can’t Improve

Around 4 in 10 companies struggle to track their sustainability performance accurately. This is a critical issue. If you don’t have reliable data, it’s almost impossible to understand what’s working—and what’s not.

The trouble often starts early. Companies jump into sustainability without building systems to collect or interpret performance data. So, even if efforts are being made, there’s no real way to assess impact or ROI.

What Causes the Data Gap?

  • Siloed departments using different reporting methods.
  • Inconsistent data from international branches or suppliers.
  • Lack of software or dashboards to centralize sustainability metrics.

Even companies with strong operational teams often fail to integrate sustainability into their core data systems.

What You Can Do

  • Choose a central system for sustainability data. Excel spreadsheets may work at first, but eventually you’ll need a more robust tool.
  • Define what success looks like for each goal before the year starts.
  • Assign one data lead per department to collect, check, and submit results monthly.

This doesn’t just help with tracking. It also makes your reports stronger, which boosts internal confidence—and external credibility.

22. 34% of companies report “good” or “very good” progress in sustainability

One-Third Are Getting It Right

About a third of companies feel confident in the progress they’re making. That’s a positive sign. It means there’s a growing group of businesses who are not just setting goals—but also making measurable headway.

What do these companies have in common?

  • Leadership buy-in from the top.
  • Integration of sustainability into day-to-day operations.
  • Strong internal communication about goals, wins, and roadblocks.

What Makes Progress Possible?

These companies treat sustainability like any other business priority. They assign budgets, track performance, and hold people accountable.

They also celebrate progress publicly—whether it’s reaching a milestone or just getting closer to one. That builds momentum.

What You Can Learn From Them

  • Set a monthly check-in to review sustainability updates.
  • Share “wins of the month” in company newsletters or all-hands meetings.
  • Encourage cross-functional collaboration. Finance, HR, ops, and marketing all play a role.

Even small wins help shift company culture. And once that shift happens, good progress becomes great progress.

23. Less than 10% of companies achieve full transparency on sustainability data

Why Full Transparency Is Rare

Under 10% of companies fully open up about their sustainability data. That includes showing both progress and setbacks, clearly and in a way that stakeholders can understand.

Many companies fear backlash if they share poor results. Others simply don’t have the data quality to feel confident going public.

Many companies fear backlash if they share poor results. Others simply don’t have the data quality to feel confident going public.

But here’s the thing: full transparency builds trust. And in a market where trust drives brand loyalty and investment, that’s a huge advantage.

The Risks of Withholding Data

  • Investors may see you as a higher risk.
  • Customers may choose competitors with clearer commitments.
  • Regulators could impose stricter disclosure rules.

Transparency isn’t about being perfect. It’s about being honest—and showing a plan for improvement.

How to Be More Transparent

  • Publish both targets and actual outcomes—whether good or bad.
  • Explain the context: why goals were missed, and what you’ll do next.
  • Use charts, not just text. Make it easy for anyone to understand your performance.

Transparency isn’t just a reporting tactic. It’s a competitive edge.

24. 41% of firms adjust sustainability goals annually due to missed targets

Goals Are Constantly Being Rewritten

Nearly half of companies change their sustainability targets each year—usually because they missed the ones they set previously.

This creates a dangerous pattern: set a goal, miss it, lower the bar. Repeat.

Instead of building momentum, companies create a culture of uncertainty. And that makes employees and stakeholders less likely to take the goals seriously.

Why the Adjustments Happen

  • Goals are unrealistic or not backed by resources.
  • Changes in leadership reset priorities.
  • Market shifts or crises disrupt focus.

Some flexibility is okay, but changing goals too often makes progress impossible.

How to Avoid the Reset Cycle

  • Use historical data to guide next year’s goals.
  • Make goals achievable, then build on them.
  • If a goal is missed, analyze why. Was it execution or planning?

Most importantly, communicate any changes openly. Don’t hide them—explain the logic behind them. That helps keep your credibility intact.

25. 14% of organizations link executive compensation to sustainability outcomes

Incentives Drive Action

Only 14% of companies tie executive pay to sustainability performance. That’s a missed opportunity. If the people in charge aren’t personally invested in the outcome, sustainability efforts often fall flat.

Linking bonuses or salary increases to environmental, social, or governance goals sends a clear message: this matters.

Why It Matters

  • Executives prioritize what affects their paychecks.
  • It aligns personal goals with company values.
  • It creates accountability from the top down.

Without this link, sustainability is often seen as optional—or worse, a branding exercise.

How to Make the Connection

  • Start small. Tie just 10% of executive bonus to a single sustainability metric—like carbon reduction or employee diversity.
  • Use third-party verification to ensure targets are real, not manipulated.
  • Communicate the link internally and externally. It shows your leadership is walking the talk.

When executives are invested, the whole company follows. And that makes sustainability stick.

26. About 27% of companies report on all ESG pillars (Environmental, Social, Governance)

Reporting on All Fronts

Roughly one in four companies share updates on all three ESG pillars. That’s a step in the right direction—but it means 73% still leave out at least one critical area.

ESG isn’t just about being green. It’s about being responsible across environmental actions, social impact, and governance structures. All three are deeply connected, and together they shape a company’s long-term sustainability and trustworthiness.

Why Many Companies Fall Short

  • The “E” is the most visible and gets the most attention.
  • Social and governance data is harder to track and sometimes more sensitive.
  • Teams are not set up to handle cross-functional reporting.

It’s easier to talk about reducing emissions than to tackle board diversity or fair labor practices.

It’s easier to talk about reducing emissions than to tackle board diversity or fair labor practices.

What You Can Do

  • Create a shared ESG framework early in the year. List specific goals for each pillar.
  • Assign ownership for each pillar—environmental, social, and governance—so they get equal focus.
  • Share one complete ESG report annually, with updates each quarter.

Covering all three areas gives your stakeholders the full picture. And it keeps your company honest about the areas that need work.

27. 20% of firms have real-time data tracking for sustainability performance

Real-Time Data Changes the Game

Only 20% of companies track sustainability performance in real time. That means 80% are relying on outdated snapshots—monthly, quarterly, or even yearly reports.

Real-time data creates agility. You can catch problems early, adjust on the fly, and respond to risks before they snowball.

Why Real-Time Tracking Matters

  • It reduces reporting lag, so decisions are based on current performance.
  • It helps teams course-correct faster.
  • It creates better visibility for leadership and investors.

Most companies want to improve faster. Real-time data is how you do that.

How to Set It Up

  • Use sensors and automation for things like energy use, water consumption, or waste output.
  • Link sustainability dashboards to existing systems like your ERP or CRM.
  • Create alerts for when performance dips below target.

Even if you start with one or two metrics, moving toward real-time insights builds momentum—and confidence.

28. Less than 30% of companies pass third-party sustainability audits annually

Failing the External Test

Under a third of companies pass external sustainability audits each year. That should be a wake-up call.

Third-party audits test the accuracy of your claims, your data, and your real-world practices. Failing them means you’re either over-reporting your success—or not doing enough to begin with.

Why Companies Fail

  • Gaps between what’s written in reports and what’s done in practice.
  • Poor documentation of sustainability activities.
  • Lack of training for staff who handle audits.

An audit doesn’t just test your numbers. It evaluates your systems, processes, and culture.

How to Improve Your Results

  • Perform internal mini-audits twice a year.
  • Make sure your data is complete and easy to verify.
  • Document everything—from sustainability policies to employee training logs.
  • Run mock audits to prepare your teams.

A passed audit doesn’t just validate your work. It enhances credibility with regulators, investors, and customers.

29. 43% of companies report delays in reaching sustainability targets due to supply chain challenges

Supply Chains Can Make or Break You

Nearly half of companies cite their supply chain as a reason for missing sustainability goals. That’s no surprise. Most emissions, waste, and risk live outside your walls—in the hands of suppliers and logistics partners.

From raw materials to transportation, your supply chain touches everything.

Why It Causes Delays

  • Suppliers may not share your sustainability priorities.
  • Data from third parties is hard to obtain or unreliable.
  • Global disruptions (like pandemics or shipping delays) slow progress.

Without control over your supply chain, even the best internal efforts can be undermined.

How to Strengthen the Chain

  • Include sustainability clauses in supplier contracts.
  • Share your goals and work with vendors to help them meet them.
  • Diversify your suppliers to avoid overdependence on high-risk regions.
  • Develop a scoring system to rate suppliers on ESG performance.

You can’t fix every supplier issue overnight. But with strong partnerships and clear expectations, you can reduce risk and keep your goals on track.

30. 19% of companies report achieving their annual diversity and inclusion sustainability targets

D&I Goals Often Go Unmet

Only 19% of companies meet their yearly diversity and inclusion goals. That’s low—and it speaks volumes about how difficult real progress in this area can be.

D&I is a core part of the “S” in ESG, but it often lacks clear planning, ownership, and follow-through. It’s also deeply tied to company culture, which makes change slower and harder.

Why Progress Is So Limited

  • Goals are often vague, like “increase representation” without a plan.
  • Data on employee demographics isn’t always collected or analyzed.
  • There’s resistance to change, especially in leadership or hiring teams.

D&I isn’t about checking a box—it’s about creating an inclusive culture where everyone can thrive.

D&I isn’t about checking a box—it’s about creating an inclusive culture where everyone can thrive.

How to Improve D&I Outcomes

  • Set specific targets by department, level, and timeline.
  • Offer training that goes beyond compliance—focus on bias, allyship, and inclusive leadership.
  • Create safe feedback loops where employees can share their experiences.

And most importantly, lead by example. When leadership reflects the diversity you aim to create, the entire company shifts with it.

Conclusion

Sustainability isn’t a finish line—it’s a journey. And as the stats above show, most companies are still figuring out how to walk the path effectively.

Whether you’re just getting started or trying to get back on track, the key is the same: set real goals, measure progress clearly, take ownership, and keep going—even when it’s hard.

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