Issue link: https://resources.tangoanalytics.com/i/1527886
Copyright 2024 Tango. All rights reserved. T H E C H A L L E N G E S 01 Incomplete Data When different teams work in isolation, critical data may be overlooked. Complying with reporting regulations will require the cooperation of all company teams to cross data silos and collect the necessary sustainability information for financial reports. 03 Risk of Greenwashing Siloed reporting can inadvertently lead to greenwashing—presenting an organization as more sustainable than it is. Without a holistic understanding, companies may emphasize positive aspects while downplaying negative impacts. 02 Missed Synergies Silos inhibit cross-functional collaboration. For instance, finance, operations, and marketing teams may collect sustainability data independently. By breaking down these barriers, organizations can identify synergies, such as cost savings through energy efficiency or shared community initiatives. 04 Lack of Accountability When responsibility is fragmented, no single team feels fully accountable for sustainability outcomes. Silo thinking perpetuates a culture where everyone assumes someone else is addressing the issues. HOW DO YOU BREAK DOWN SILOS? Leadership Commitment: Senior leaders must champion collaboration to break down silos. Encourage cross-functional teams to collaborate on sustainability initiatives. Integrated Reporting: Move beyond standalone sustainability reports. Integrate ESG metrics into financial reporting, demonstrating their interconnectedness. Shared Goals: Align departmental goals with overall sustainability objectives. Encourage dialogue and knowledge exchange. Technology Solutions: Invest in tools that facilitate data sharing and collaboration. Centralized platforms can bridge gaps between functions.