Sustainability managers: role, tasks and their value for companies
The challenges of climate change and increasing regulatory requirements have led to a large number of new professional fields. In particular, companies that are committed to the goals of the Paris Climate Agreement and have to comply with comprehensive sustainability requirements are increasingly creating specialized roles - one central position is that of sustainability manager.
According to a survey by Novata, companies with their own sustainability teams are significantly more confident in their preparation for CSRD reporting. 52% of these companies say they are well prepared, compared to only 27% of companies without such teams.
In this article, we look at what characterizes the role of sustainability manager, when it makes sense to fill this position and what benefits are associated with it. Discover what qualifications make a competent sustainability manager and how you can assess whether a person is suitable for this position.
What is a sustainability manager?
A sustainability manager is responsible for the strategic development, implementation and monitoring of a company's sustainability goals. The focus of this role is on the strategic analysis and optimization of the environmental, social and economic impact of the company's activities in order to promote long-term sustainable value creation. The responsibilities of a sustainability manager are often industry-dependent, but typically include these core areas:
- Strategic integration of ESG (Environmental, Social & Governance): Incorporating environmental, social and governance criteria into the corporate strategy.
- ESG reporting: Ensuring compliance with current environmental regulations and continuous assessment of ESG performance.
- Innovation and exploration: Identifying and testing new technologies or methods that can help the company achieve its sustainability goals.
- Stakeholder engagement: Engaging and sensitizing stakeholders to sustainable goals.
- Employee training and engagement: Training and empowering employees to understand their role in sustainability.
- Greenhouse gas (GHG) emissions reporting: Preparation and publication of annual emissions reports to transparently communicate the company's environmental impact.
When should you hire a sustainability manager?
Hiring a sustainability manager should be considered if the company is subject to sustainability reporting requirements, such as the CSRD (Corporate Sustainability Reporting Directive) or EU taxonomy, or is experiencing increasing demand for sustainable action on the part of stakeholders. The regulatory requirements in the area of sustainability are often complex and require intensive analysis in order to ensure precision and reliability in reporting. A sustainability manager creates the necessary structure and clarity to pursue the company's environmental goals, set up management processes and successfully implement a sustainable strategy.
Which skills are required in this role?
The role of the sustainability manager requires strategic thinking, entrepreneurial vision as well as strong communication and leadership skills in order to foster acceptance of sustainability issues both internally and externally.
Many companies rely on a sustainability task force or a project team that includes representatives from all relevant departments (e.g. purchasing, strategy, facility management, logistics, HR and finance/compliance). This requires a project manager who leads the team in a structured manner and keeps it on track, without necessarily being an expert in sustainability.
Key competences for sustainability managers:
- Strong project management skills
- Strategic understanding and support of the management
- Expertise in sustainability and compliance
- Interest in regulatory developments and the ability to present complex requirements to the business in an understandable way
- Analytical skills and a precise way of working
Value for companies
A sustainability manager drives the company's systematic orientation towards a lower-emission and more environmentally friendly future, monitors progress towards achieving sustainability targets - and strengthens awareness as well as the implementation of concrete measures throughout the company.
- Regulatory compliance and risk mitigation: Ensures compliance with environmental and sustainability regulations (e.g. EU directives) and reduces the risk of penalties and reputational damage.
- Cost savings and increased efficiency: Drives resource efficiency by reducing energy consumption, waste and operating costs
- Improved stakeholder relations: Builds trust and alignment with customers, investors and regulators who prioritize sustainability in their decision-making.
- Innovation and competitiveness: Promotes the development of sustainable products and innovations to remain competitive in an increasingly sustainability-oriented market.
- Building internal expertise: Develops effective and automated processes for reporting and compliance and provides sustainability insights to various departments to accelerate innovation.
How does Tanso support sustainability managers?
The best sustainability managers think sustainability as a whole system and therefore work with Tanso as a software partner to have an all-in-one solution for all sustainability topics. The Tanso sustainability platform enables precise and automated carbon accounting across all scopes and supports compliance with regulatory requirements such as the CSRD and the EU taxonomy. By integrating extensive databases and automated data processing functions, Tanso facilitates the collection and analysis of ESG and emissions data. This creates transparency and forms the basis for effective decarbonization strategies. In addition, Tanso offers reporting functions that enable the exchange of primary data with stakeholders and simplify collaboration with auditors. With a focus on industrial manufacturing companies, Tanso provides market-leading expertise and technology so that sustainability managers can perform their tasks more efficiently and make an active contribution to the sustainable transformation of their company.
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