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After a career start in research (ETH and MIT) Stéphanie joined SAM Sustainability Services (now part of S&P Global Ratings) where she advised the largest stock listed companies worldwide on their sustainability performance and strategy. She lat...
Article originally appeared in HRD Magazine – December 2025
Sustainability policies and values ultimately hold society and the planet in balance. Yet, even with clear goals in place, many organisations continue to lag behind on achieving real ESG transformation.
In 2015, world leaders set the Sustainable Development Goals (SDGs) with 2030 as the horizon for a fairer, greener planet. Ten years later, that horizon feels uncomfortably close, and yet progress has faltered.
Once a distant deadline, 2030 now represents a mirror, reflecting how organisations act, invest, and lead toward the proverbial greater good. As it currently stands, the picture we’re seeing underscores the urgency for increased efforts from all who shape policy, lead organisations, or influence change.
Most large organisations now publish ESG statements and sustainability reports, yet sustainability hasn’t reached the non-executive board level to a structured degree. Governance frameworks may exist, but genuine commitment often stalls at middle management, leaving boards without the competence or confidence to drive change from the top.
Deloitte’s two 2025 ESG4Boards white papers echo this concern, urging boards to treat sustainability risks as seriously as financial ones. In action, this would mean building clear lines of responsibility and ensuring oversight sits firmly at the top.
Across Europe, regulation is accelerating that shift: directors are now being made accountable for non-financial reporting, climate transition plans, and anti-greenwashing integrity. Delegating sustainability to communications or compliance teams is no longer enough. It must be integrated into how organisations design products, manage supply chains, and measure success.
The urgency is not only environmental but economic. Each delay compounds future cost, whether through regulation, disrupted markets, or reputational damage.
Indeed, the most radical ESG innovation often emerges from outside established corporations. Electric mobility, once dismissed by traditional manufacturers, became mainstream only when outsiders proved its viability. The same will hold true for the next generation of sustainable solutions, where entrepreneurs, startups, and universities are driving the redefinition of business models, stepping into the space where large organisations hesitate.
The greatest barrier doesn’t appear to be awareness. It’s a matter of readiness and a willingness to challenge business models. That’s where sustainability delivers real value, and where most boards struggle.
For HR leaders, sustainability is also a talent imperative. In markets where employees have more choice, purpose now rivals pay as a deciding factor. Candidates expect their employers to demonstrate measurable progress on environmental and social goals, not simply to publicise aspirations. This cultural alignment influences engagement, retention, and even innovation, as employees are more likely to invest energy in organisations that align with their values.
For HR directors, embedding ESG understanding into leadership pipelines, training programmes, and reward systems is central to building trust and attracting the right people to drive transformation. Yet ESG remains rarely represented at the C-suite level and, in Europe, around 60% of sustainability roles are held by women. It is a function viewed as socially responsible but not career-boosting, which reveals how sustainability is undervalued within corporate hierarchies.
Deloitte’s research urges companies to recruit at least one director with recognised sustainability credentials and to assess ESG leadership competence annually. When viewed as a strategy rather than sentiment, sustainability earns its place at the centre of leadership decisions.
Progress demands that we shift our focus away from targets and tick-boxes. Global contrasts prove it’s possible. While many Western economies debate compliance, China is transforming transport and infrastructure at a remarkable pace, demonstrating how systemic commitment can reduce emissions even amid rapid growth.
Yet the UN’s 12 tracked environmental indicators remain off course. The world is at a crossroads, where regulation, consumer pressure, and investor scrutiny will intensify, but so will opportunities for those who act swiftly. ESG transformation is no longer about promises; it’s about proof – in actions, investments, and the culture organisations choose to cultivate.