High-performing companies view ESG as value creator, with senior executive accountability
Bengaluru, India – December 8, 2022
Increased ESG investment correlates with higher profits, according to new research from the Infosys Knowledge Institute, the thought leadership and research arm of Infosys (NSE, BSE, NYSE: INFY), a global leader in next-generation digital services and consulting. The report identified actions that companies should take now to achieve ESG goals and generate financial returns across sustainability initiatives.
The Infosys report, ESG Redefined: From Compliance to Value Creation, reveals that nearly all (90%) executives said their ESG spending led to moderate or significant financial returns. Most respondents (66%) experienced ESG returns within three years. The report acknowledges that despite ESG’s clear link to profit growth, budgets are likely to be an obstacle in the current economy. This is worrisome, as companies need more financial resources and operating model changes to achieve ESG goals and sustain profit growth.
Mohit Joshi, President, Infosys, said, “There is nothing novel about the idea that you have to spend money to make money. However, although 90% of respondents in our study say ESG gives ROI, there is still a lag in applying strategy to ESG as it is done for other parts of their businesses. Companies must shift views to recognize ESG as a value creator to reap the financial benefits of ESG investments and to achieve maximum impact in creating a better, more sustainable world.”
Strategy alignment and execution will allow businesses to accelerate their ESG initiatives with greater payoff. The Infosys Knowledge Institute revealed several insights to guide companies to accelerate ESG’s financial rewards:
To read the full report, visit here.
Infosys used an anonymous format to conduct an online survey of 2,500 business executives across industries across the US, UK, France, Germany, the Nordics, Australia, New Zealand, China, and India. To gain additional, qualitative insights, the researchers interviewed subject matter experts and business leaders.
Infosys is a global leader in next-generation digital services and consulting. Over 300,000 of our people work to amplify human potential and create the next opportunity for people, businesses and communities. With over four decades of experience in managing the systems and workings of global enterprises, we expertly steer clients, in more than 50 countries, as they navigate their digital transformation powered by the cloud. We enable them with an AI-powered core, empower the business with agile digital at scale and drive continuous improvement with always-on learning through the transfer of digital skills, expertise, and ideas from our innovation ecosystem. We are deeply committed to being a well-governed, environmentally sustainable organization where diverse talent thrives in an inclusive workplace.
Visit www.infosys.com to see how Infosys (NSE, BSE, NYSE: INFY) can help your enterprise navigate your next.
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