Gone are the days when 'sustainability' was a mere whisper in annual reports, and 'impact investing' a niche corner of the financial universe. Today, these terms resonate as battle cries, rallying points for a new generation of leaders who understand that profit and purpose are not adversaries but intricately woven threads of success. In this paradigm shift, Vipul Kumar, Senior Partner, Xynteo, India, emerges as a seasoned guide.
With over two decades of expertise in management consulting and global development, Kumar steps to the forefront to explore the transformative role of technology in seamlessly blending business success with positive impacts on the planet. In this thought-provoking article, Kumar illuminates the intersection of technology and Environmental, Social, and Governance (ESG) principles, offering valuable insights into how businesses can navigate this dynamic landscape. He not only identifies the challenges faced by modern corporations but also provides a compelling roadmap for embracing sustainability through innovative technological solutions. His article serves as a guidebook, demonstrating how companies can achieve remarkable success while making a meaningful difference for the planet.
Dive into this compelling narrative to discover how technology can act as your catalyst for both profit and purpose:
What if business success and taking care of people and the planet were one and the same? New technologies are making this vision of “profit with purpose” an everyday reality across industries. Driven by investor and consumer demands for ethics with economics, companies worldwide are strategically prioritising Environmental, Social and Governance (ESG) best practices. The results reveal an exciting synergy between profitability and planet-positive impact.
ESG principles originated from the realisation that corporate accountability extends beyond financial returns to include environmental stewardship, social responsibility and governance transparency. This holistic worldview mirrors the interconnected nature of today’s global challenges and opportunities.
Technologies that promote traceability, efficiency and sustainability are proving invaluable allies on the journey towards ESG integration. Blockchain-enabled supply chain transparency allows businesses to ensure ethical sourcing while reducing waste. Cleantech innovations help companies decarbonise operations, aligning environmental sustainability with cost savings. Even the tech sector itself is deploying solutions such as renewable-powered data centres and e-waste recycling programmes to improve its own ESG performance.
Urban development also stands to benefit from smart technologies that enable walkable, liveable cities planned around people, community and environmental quality of life. And digital tools provide scalable training to equip workforces with the skills to transition towards purpose-led jobs.
The formula of using technology to seamlessly pursue planet-positive business practices could reshape entire industries. More importantly, it fosters hope for society’s greater challenges.
Enhancing supply chain transparency via technology
One of the foremost contributions of technology to ESG goals is its ability to provide unprecedented transparency by shedding light on human and environmental impacts each step of the way to empower both business success and ethical integrity.
Sustainable supply chain technology, including Internet of Things (IoT) sensors, blockchain, and automated compliance platforms, facilitates traceability and transparency in the entire supply chain, allowing companies to monitor supply chains in real time, tracking ESG metrics from source to shelf, as well as ensuring adherence to ethical and environmental standards. Rather than operating in isolation, businesses can visualise their interconnectedness across industries, workforces and communities worldwide. The result is a collective step towards exponentially greater accountability, accuracy and stakeholder trust.
By closely monitoring supplier relationships, these solutions address concerns such as child labour, unsafe working conditions, and environmental violations. In response to increasing consumer and regulatory demands for responsible sourcing, these tools are becoming integral to global corporations' ESG strategies, enhancing supply chain visibility and accountability.
Cleantech innovations for energydecarbonisation
Clean technology is fast-tracking the global sustainability transition. Innovations such as renewable energy, electric transport, smart power grids and carbon capture provide cleaner alternatives across sectors, while satellite monitoring generates real-time emissions tracking. Emerging solutions such as clean hydrogen are fast gaining ground to decarbonise hard-to-abate sectors.
The International Energy Agency predicts renewable energy will rise from 29% to 35% of global power generation by 2025 – stellar progress towards net zero.
However, there is a need to forge collaborations between start-ups, industry and investor communities to solve the challenges of techno-commercial feasibilityand further accelerate the adoption of such solutions. For example, Xynteo’s Energy Leap programme, which aims to catalyse high-potential clean hydrogen start-ups in commercialising and scaling their solutions, by building an ecosystem and enabling collaboration between stakeholders across the value chain. This also aligns with India’s 2030 target to produce 5 million annual tonnes of clean hydrogen locally.
Addressing the carbon footprint of transportation is also a critical aspect of ESG goals.Intelligent transport systems could also allow vehicles to effortlessly sync with public infrastructure, minimising carbon footprints. The result is cleaner, more efficient mobility: less congestion, fewer accidents and lower stress. It’s a mobility ecosystem designed around people’s needs instead of cars’ limits. And with transportation currently responsible for nearly one-fourth of energy-related carbon emissions, these innovations couldn’t emerge sooner.
Green buildings and smart cities: Urban development for sustainability
Urban innovation is revolutionising city planning, emphasising sustainability and well-being through the integration of digital infrastructure. Smart building tools and advanced planning software are key components, enabling the incorporation of efficiency measures, renewable energy sources, and circular resource utilisation directly into project blueprints. This transformative approach to urban development goes beyond accommodating growing urban density; it prioritises enhancing resident well-being by creating environments that are ecologically responsible and technologically advanced.
The utilisation of digital infrastructure in smart cities involves the implementation of IoT devices, real-time monitoring, and data analytics to optimise resource consumption and energy efficiency. Smart cities leverage interconnected systems to enhance public services, streamline transportation, and improve overall urban living conditions.
However, to start with the basics—building smart, green infrastructure requiresthe deep decarbonisation of the built environment acrossthe entire construction value chain. The need for all stakeholders, including construction material producers, consumers, financiers, building rating agencies, industry associations and technology providers,to work together and rapidly accelerate the adoption of new technologies and the use of low-carbon materials including cement, concrete and steel, has led to coalitions such as Build Ahead.Companies such asGodrej Construction, JLL, JSW Cement, Lodha and SED Fund are part of this industry-first coalition committed to scale decarbonisation efforts across the Indian construction value chain.
The message for cities is clear: technological progress need not compromise - but rather enhance - community livability and environmental resilience.
The significance of digital healthcare
Over the last decade, digital healthcare has gained critical importance, particularly in the wake of global health challenges such as COVID-19, when telemedicine consultations alone grew 300%. Yet internet infrastructure still evades rural reach, while systemic complexities constrain inclusive adoption. With a major portion of rural India offline and validation processes ensnared in bureaucracy, innovative health solutions face go-to-market barriers - even as their predictive, preventative promise expands.The market potential remains commanding nonetheless: the Indian Artificial Intelligence software market is poised to be worth $6,358.8 million in 2025, at a CAGR of 18.1%. Online pharmacy and telehealth services could even scale to billions of dollars within years. And the human impact potential is greater still.
Realising this seismic shift requires comprehensive efforts: on-ground pilots to demonstrate possibilities, coalition-building to align incentives, thought leadership to inspire change agency. Partnerships across public and private sectors can drive policies and de-risk ideas for uptake. And consistent community engagement will provide the crucial last mile to expand access and awareness. Such initiatives focusing on health impact demonstrate the potential of technology to drive positive outcomes in healthcare, aligning with the broader ESG framework.
The rise of ESG investing and ratings
A new generation of sustainable finance is merging investment and ethics through better data, more choice and greater transparency. Impact investing has surged at an 18% annual growth rate, skyrocketing from $420 billion to nearly $500 billion in the past year alone. Behind the numbers lie emerging digital solutions democratising investors’ ability to evaluate ESG priorities when allocating capital. Big data analytics, AI and fintech apps are dismantling information barriers, providing comprehensive insights so that both returns and values can shape decisions.
Accessible ESG scoring also spotlights gaps, allowing stakeholders to guide companies towards more responsible and resilient practices. It’s a virtuous cycle where capital allocation progressively shifts entire industries onto a more sustainable track.
With transparency fueled by connectivity, collective capabilities can stretch beyond isolated corporate walls. The formula is clear: technology-enabled businesses acting in concert drive exponential progress against environmental and social challenges. The collective force being mobilised now far outsizes any isolated impact. It’s almost as if our shared sustainable future is being co-authored among industries in real-time. So rather than isolated entities just checking sustainability boxes, networks of empowered partners are converging around common ESG ambitions. And their symbiotic, tech-charged efforts might just change the course of business—and the planet—for good.
