Paying Your Way to Greater Sustainability

The growth of eco awareness in the corporate world is creating a more comprehensive understanding of business sustainability. Leading organizations realize the ‘sustainability’ is not just an environmentally or socially focused effort.   By integrating economic stability into the business sustainability discussion, companies are developing an expanded understanding of business sustainability, which includes the performance and success of key stakeholders.

Take for example the health and long-term sustainability of a company’s supply chain. The environmental and social impacts of the sourced materials and services play a significant role in the ‘responsibility’ of the end product; however, the economic stability of the supply base is also major a part of the business and overall supply chain’s sustainability.

The financial health of the suppliers providing environmentally and socially responsible supply is equally as critical to long-term business sustainability. It is not enough to simply align with a set of eco friendly suppliers. Leading companies are investing in transaction efficiency to reduce supply chain costs, improve cycle times, and promote greater business sustainability.

In a recent report, the Aberdeen Group described best-in-class in transaction efficiency as:

•    53% more likely to have electronic payment requirements established as a standard means of conducting business with key suppliers.

•    43% more likely to integrate payment solutions with existing Accounts Payable systems.

•    42% more likely to have standardized payment process enterprise-wide.

Implementing business sustainability in today’s environment can be a delicate balance between planning for today and planning for the future. While many organizations are taking more conservative action, leading businesses are reevaluating and retooling to improve overall sustainable performance. Studies show that integrating sustainability concepts into core business functions makes companies more nimble in a fast-changing world.

At Taiga Company, our small business resources work with clients to define opportunities to integrate business sustainability concepts to improve core processes. With aligned business sustainability strategies, executive support, and engaged stakeholders, businesses will be equipped for the future.