Véronique di Benedetto, Vice-President France in charge of CSR, is featured on the business news website Economie Matin to share her views on the application of the CSRD (Corporate Sustainability Reporting Directive) and the need for the IT sector to adapt to this major challenge.

Find the translated article below. 

By Véronique di Benedetto

Published on 25 May 2024 at 8 am

Chief Information Officers (CIOs): key catalysts in the ecological and digital transition

In a landscape where companies are increasingly scrutinised for their social and environmental responsibility, the Corporate Sustainability Reporting Directive (CSRD) is at the heart of the debate, raising both hopes and criticisms. Despite certain reservations (mainly linked to a normative framework which is sometimes perceived as too restrictive), the CSRD represents a significant opportunity to harmonise practices and encourage transparency in the reporting of extra-financial performance.

6% Carbon emissions from the technology industry account for almost 6% of total emissions.

The CSRD offers two major benefits: it encourages all companies to take action on sustainability by reporting on their initiatives, while at the same time promoting greater comparability of data, enabling a more relevant assessment of ESG performance.

It is crucial to understand that the CSRD should not be seen as an end in itself but rather as a framework which encourages questioning and dialogue with stakeholders. By establishing this dialogue, companies can better understand the expectations of their customers, suppliers and other stakeholders, and thus embark on a virtuous process of continuous improvement.

This is even more true in the IT sector. Indeed, the environmental impact of the information technology (IT) industry is undeniable, accounting for 4 to 5% of global emissions. These emissions are rising steadily as new tools such as Artificial Intelligence become more powerful. Although relatively small compared with other sectors, IT is both a “poison and a potion”: it is at the root of some of the environmental problems, but also makes a significant contribution to decarbonising the economy!

IT offers unique opportunities to effectively target areas where improvements are needed, whether in agriculture by using IoT sensors for more efficient irrigation, in medicine by harnessing AI for more accurate diagnostics, or in the energy transition by promoting electric vehicles. Concrete examples show how digital technology can be a powerful tool for reducing our impact on the environment: from smart farming to education and awareness-raising, from waste management to renewable energy, digital technologies offer innovative solutions for a more sustainable future.

However, it is imperative that companies in the IT sector commit to reducing their own carbon footprint by prioritising recycling, extending product lifecycles and rethinking their business models to offer more sustainable services to their customers.

As drivers of digital transformation, Chief Information Officers (CIOs) are in a unique position to promote sustainability within their organisations and beyond. CIOs can play a crucial role in implementing sustainable practices thanks to their technological expertise and their understanding of the company’s strategic challenges.

CIOs can help to integrate sustainability objectives into the company’s overall strategy by working in synergy with internal and external stakeholders. By adopting best practice – such as optimising the energy efficiency of IT infrastructures and promoting the responsible use of technology – CIOs can reduce their organisation’s environmental footprint.

Furthermore, CIOs play a decisive role in the preparation of ESG reports. By collecting, analysing and reporting relevant data, CIOs help to provide a clear and transparent picture of the company’s sustainability performance. By working in collaboration with other departments (such as finance, human resources and supply chain), CIOs can ensure that ESG reports are complete, accurate and compliant with regulatory standards and stakeholder expectations.

Thereby ensuring that IT definitively becomes a “potion”!