Explore the risks of greenwashing and how to improve your organization’s environmental footprint. Find out more.
Greenwashing refers to the deceptive marketing practices used by businesses to appear more environmentally friendly than they really are. To gain insights into greenwashing and its impact on businesses, consumers and the environment, we interviewed Emanuiel Dumitru, SGS Australia Sustainability Program Manager.
So, what is greenwashing?
Greenwashing occurs when an organization intentionally or unintentionally exaggerates its environmental credentials to appear more environmentally friendly than it actually is.
In other words, it's false advertising. What is the impact of greenwashing on organizations?
Greenwashing not only affects consumer trust, it can also lead to a loss of customers, a decrease in brand value, discouragement of investors, and negative financial impacts due to reduced sales, fines and difficulty in winning future business.
How can organizations avoid greenwashing?
Organizations can usually prevent greenwashing by taking steps to ensure that their environmental claims are true and substantiated. This can include conducting thorough research, using third-party certifications and being transparent about their sustainability efforts.
What are the benefits of implementing greenwashing initiatives in organizations?
Recent studies have shown that there is an increase in consumers choosing products based on the brand's impact on the planet and whether they are environmentally friendly. In the case of B2B transactions, larger supply chain organizations such as Woolworths, Coles, Amazon, Qantas, AusPost, etc., are moving towards doing business with more sustainable companies.
How is SGS contributing to reducing its climate impact?
In 2021, we launched our SA30 – Sustainability Ambitions 2023. By 2022, we became the first testing, inspection and certification (TIC) company to receive approval for our 1.5°C and net-zero targets from the Science Based Targets initiative (SBTi). As part of our SA30, we created a new division named Sustainability Assurance, enabling us to focus on the value we make in our direct operations and supply chain management, and the value we deliver through our Sustainability Solutions.
How can SGS help your organization?
As a leader in sustainability for over 30 years, we continue to be an active participant in demonstrating best practices and developing international standards and guidelines. As a result, we have experts across many industries to provide a wide range of sustainability assurance services. We can help you to:
- Establish your vision and road map through comprehensive services, tailored to your needs
- Create trust and certainty in your sustainability efforts, whatever your organization’s size, complexity or sector
- Measure your sustainability impacts
- Enhance your Environmental, Social and Governance (ESG) management
- Reduce energy use, carbon footprint and waste
- Implement more efficient processes
- Address stakeholder concerns and risks
- Avoid greenwashing
- Accomplish your sustainability goals
For further information on our Sustainability Assurance services, please contact:
Emanuel Dumitru
Sustainability Project Manager
t: +61439642050
About SGS
We are SGS – the world's leading testing, inspection and certification company. We are recognized as the global benchmark for sustainability, quality and integrity. Our 99,600 employees operate a network of 2,600 offices and laboratories, working together to enable a better, safer and more interconnected world.
