Accelerate Business Growth by Rethinking Sustainability
In today’s volatile global landscape, where regulations tighten and climate risks escalate, most business leaders are still asking the wrong question: “What’s the cost of sustainability?” The real question should be: “What’s the cost of ignoring it?”
In a recent episode of the Luhn Impact Podcast, sustainability strategist Anna Haakansson, co-founder of Tulia, joined Luhn’s founder Deeshana Basnayake to unpack what’s holding businesses back—and what’s possible when they stop seeing sustainability as compliance and start seeing it as a business accelerator.
From Check-the-Box to Competitive Advantage
Many companies still treat sustainability as a reporting requirement. Tick the boxes, submit the data, and move on. But the truth is, companies that integrate sustainability into the core of their operations outperform competitors through efficiency gains, customer loyalty, risk mitigation, and access to new markets and capital.
“You can’t achieve sustainability without creating better efficiencies,” said Deeshana. “And efficiencies lead to better customer experience, reduced cost, and increased profitability. It’s not an obligation—it’s a business opportunity hiding in plain sight.”
Anna adds, “The mistake many businesses make is treating the report as the goal. But reporting is only the outcome. Strategy is the driver.”
The New Rules of Business Are Taking Shape
Across 30+ authorities, mandatory sustainability reporting is now the norm—led by frameworks like IFRS S1 and S2 and Europe’s double materiality approach. This is driven not by regulators alone, but by investors demanding transparency and resilience.
The message? If you’re not measuring your sustainability impact, you’re not future-proofing your business.
And this pressure is trickling down the supply chain. SMEs that were once believed to be too small to matter are now being asked for emissions data, environmental risk disclosures, and ethical sourcing proof. “Scope 3 emissions—those outside your direct control—often make up over 90% of your impact,” noted Anna. “That means your suppliers, logistics, and even how your customers use your product all matter.”
Sustainability Creates Growth—When It’s Done Strategically
Anna shared a key insight from recent research: while 90% of business leaders agree that sustainability is critical to long-term success, most still only associate it with intangible benefits like brand and reputation.
Few connect it with tangible growth drivers like
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Operational savings
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Access to green loans and sustainable investment capital
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Increased sales from ESG-conscious customers
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More stable supply chains
This disconnect exists because sustainability data is often sold but rarely integrated with financial performance metrics. But that’s changing.
“AI will be a game changer,” Anna said. “When we can connect sustainability KPIs with financial KPIs, the business case becomes crystal clear.”
What Does It Take to Start?
Start small. Focus on what matters. Measure. Improve. Communicate.
That’s the roadmap Anna and Deeshana recommend, especially for SMEs.
“Don’t wait for a perfect plan,” said Anna. “You don’t need to report on everything. Just identify the 2–3 sustainability topics most material to your business and stakeholders and start building your capabilities around them.”
Some key moves:
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Form a cross-functional sustainability task force—don’t silo it to one person or one department.
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Align your strategy with global frameworks (GRI, IFRS, SASB) even if you’re not yet mandated to report.
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Engage your top customers and banks early; they’ll become your biggest advocates and motivators.
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Take advantage of local grants and government incentives, like those offered in Singapore to reimburse up to 70% of sustainability transformation costs.
Mindset First, Then Metrics
Change begins with a mindset.
“The most dangerous belief in business is, ‘We’ve always done it this way,’” said Deeshana. “Sustainability forces you to challenge the status quo—and that’s where innovation happens.”
Anna agrees: “Each of the UN’s 17 Sustainable Development Goals is a business innovation opportunity. When companies stop seeing them as obligations and start seeing them as design principles, entirely new markets open.”
Looking Ahead: Sustainability Becomes the Norm
In the next 5–10 years, both leaders believe sustainability will no longer be a department or initiative—it will simply be how business is done.
“Sustainability will be embedded into the DNA of strategy, accounting, incentives, and operations,” said Anna. “It won’t be an add-on—it’ll be the foundation.”
Takeaway for Leaders: Start with Curiosity. Act with courage.
You don’t need to overhaul your entire business overnight. But you do need to start. Ask better questions. Engage your teams. Understand the risks of inaction—and the rewards of transformation.
Sustainability isn’t a burden. It’s your next growth strategy.
And the companies bold enough to lead today will own the markets of tomorrow.