The Sustainability Business Case: A Model for Incorporating Financial Value Drivers

Many past sustainability business case analyses have not effectively incorporated key financial value drivers into the discussion. Companies should consider a framework to link environmental actions to financial value drivers. Of course, agreement on core sets of indicators will not produce sustainable enterprises overnight. A company’s own time frame, as well as the level of (un)certainty associated with longer term scenarios, are critical in its investment decision making and business case analysis. But focusing on core financial value drivers helps capture the real longer-term value creation potential (three to five years and beyond) of environmental actions and green innovation.