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Nasdaq Executive Report: The ROI of ESG & Sustainability Software

Nasdaq Executive Report: The ROI of ESG & Sustainability Software

Published 07-17-24

Submitted by Nasdaq

Nasdaq logo, "Nasdaq 2024 Executive Report The ROI of ESG & Sustainability Software"

Nasdaq

Organizations are under increasing pressure to demonstrate ESG and sustainability excellence—and are investing in software to do so. Nasdaq surveyed 150 sustainability, finance, and legal executives to understand how organizations are using ESG and sustainability data management and reporting software.

THE OPPORTUNITY:

Invest in ESG and Sustainability Software

On average, respondents report a full ROI within 3 years of software implementation.

As software use cases increase and teams further leverage its capabilities to meet changing ESG and sustainability demands, this time to value is expected to shorten. Anticipating increased spend to support ESG and sustainability initiatives, organizations should:

  1. Leverage software to prepare for forthcoming regulatory reporting requirements
  2. Employ software to improve cross-functional collaboration
  3. Integrate software into risk mitigation strategies
  4. Understand how software can help improve ESG and sustainability performance

THE TAKEAWAY:

Leverage Software to Ensure Success

Survey findings reveal how investment in software is helping improve organizational collaboration, mitigate risks, and meet ambitious ESG and sustainability goals. Key takeaways include:

86% Reporting & Communications

Respondents state software improved the quality of ESG and sustainability reporting and stakeholder communications

78% Progress Towards KPIs

Respondents note software improves their ability to manage progress towards ESG and sustainability KPIs

86% Data Collection & Validation

Respondents report software significantly boosts the efficiency of data collection and validation processes

74% Risk Mitigation

Respondents state software helps mitigate risks related to inaccurate ESG and sustainability data

68% Time Savings

Respondents experience at least 25%-time savings when validating and ensuring data accuracy, including internal audit processes

THE VALUE:

Users View Software as an Advantage

Over 60% of respondents state they experience at least 25%-time savings when using software to collect ESG and sustainability data and validate accuracy.

In addition to time savings, users indicate other software advantages across key areas like automation, engagement, and decision-making—all from a single platform.

The primary advantage is that it automates complicated procedures like data collection, calculations, and formatting, which is a really valuable way to save time and resources.

VP and Head of Legal Compliance, Food and Beverage Manufacturing, APAC

Software has enabled us to engage with our stakeholders, including investors, customers, employees, regulators, and communities, more effectively.

Finance Director, Pharmaceuticals and Life Sciences, North America

To our advantage, the most significant benefit is that all sustainability data is housed on a single platform, enhancing data consistency and accessibility between departments.

Finance Director, Pharmaceuticals and Lifesciences, Europe

The Solution: Discover Nasdaq Metrio™

Investment in ESG and sustainability data management and reporting software, like Nasdaq Metrio, is helping organizations improve collaboration, mitigate risks, and meet ambitious ESG and sustainability goals.

Discover Nasdaq Metrio

Download the full report to learn more about how organizations are using software to demonstrate ESG and sustainability excellence.

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Nasdaq

Nasdaq

Nasdaq is on a mission to fuel inclusive growth and prosperity through technological innovation and expert insights. We develop and deliver purpose-built ESG and climate solutions for hundreds of businesses globally, empowering them to collect, measure, disclose and communicate audit-grade environmental, social, and governance data.

We support our clients to meet stakeholder demands and regulatory compliance, improve efficiency, attract investors & reduce cost of capital, all while driving towards a more sustainable world.

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