Sustainability In Business: 5 Key Facts For Medium-Sized Companies

Duration

1 hour

Speakers

Delivery

Online

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Regulatory pressure may be easing in the EU, but market pressure is not — customers, lenders, insurers, and employees continue to demand clear evidence of sustainability risk management.

Double materiality is not just compliance — it helps firms identify financial risks and opportunities, integrate sustainability into finance, and strengthen internal governance.

Medium-sized firms can apply a “lightweight” approach to sustainability — using simple assessments to prioritise actions that create both business and environmental value.

Many organisations were not prepared for the speed of EU regulation — reporting requirements expanded faster than internal capabilities, data systems, and audit frameworks.

Board engagement remains a critical gap — without the right competence at leadership level, companies risk mispricing threats, missing opportunities, and weakening strategic decisions.

Sustainability As Business Strategy And Value Creation

Stormer framed sustainability as a core strategy rather than a compliance exercise.

Though the EU has pulled back reporting requirements, companies face ongoing expectations from customers, lenders, insurers, and employees – and other reporting frameworks. She said that “even if the pressure from regulators may be eased, customers will still be asking for evidence that you are effectively and proactively managing risks to your business.”

Reporting As A Strategic Management Tool

Rasche emphasised that CSRD and double materiality were underappreciated when they’re viewed just as compliance tasks.

In practice, they help medium-sized companies identify risks and opportunities, integrate sustainability into finance functions, and improve internal governance. “You can, of course, legally speaking, exempt companies from regulations, but you cannot exempt companies from social and environmental risks.”

Practical Integration: How Sustainability Creates Value In Practice

Andersen said that rather than treating sustainability as a standalone initiative, firms can integrate it into strategy, services, and everyday decision-making.

He said a ‘lightweight’ double materiality assessment offers a strategic diagnostic to prioritize initiatives based on risks, opportunities, and financial value. “Sustainability offers a fresh lens… and a crystal ball in some sense. If companies have been working on process optimization for years and years, and they have been honing their procurement disciplines, a new angle reveals new stuff.”

Policy Lessons: Pace, Capacity, And Implementation Challenges

Panelists highlighted that the EU’s sustainability agenda placed significant strain on company capacity.

Many organisations faced rapid expansion of reporting requirements before guidance, auditing frameworks, data infrastructure, and internal capabilities were fully ready.

Executive And Board-Level Priorities

For C‑suite leaders, sustainability competes with - but is also interconnected with - geopolitics, AI, and operational priorities.

Boards play a critical role: without sufficient competence or engagement, companies risk mispricing strategic threats, overlooking value drivers, and failing to respond credibly to stakeholder expectations.

Practical Recommendations From Each Speaker

• Susanne Stormer: Follow the money — understand where financial value and long‑term viability intersect with sustainability considerations.• Andreas Rasche: Engage the board — ensure leadership has the competence to assess sustainability risks and opportunities.• Ole Bach Andersen: Conduct a simple double materiality assessment to prioritise actions that matter for both business performance and planetary impact.