A significant shift has occurred in how companies view and implement sustainability in their operations. Though the sustainability-led strategy has now become an element in long-term growth, there are remaining concerns that it may be insufficient. For context, nearly $125 trillion in climate investment is needed by 2050 to achieve net zero.
WHAT IS “REGENERATIVE”
Regenerative business centers around the idea that strategies are used to promote the restoration and regeneration of our natural resources and social systems. This idea goes beyond simple sustainability, aiming to impact the environment, society, and our economy. A regenerative model considers not only the singular business’ impact but also that of the broader temporal and geographical system it exists in. The model aims not only to limit the negative impact but also simultaneously creating positive impact on the economy and world, focusing on both net zero also net positive effects.
HOW TO MAKE BUSINESS REGENERATE?
While implementing or creating a regenerative business model can seem daunting, critical steps can aid. Firstly, it is integral that one clearly understands one's vision for change. The company can articulate its current position by fully understanding organizational purpose, impact, and influence. Once that has been done, it will be easier to navigate a firm's potential to reshape the economy. Secondly, mapping out the internal systems in the business can lead to successfully identifying points that can be used as leverage for change. After the critical areas of impact have been identified, it is also imperative to note how the company intends to deliver value through regenerative outcomes. This can be done through regenerative practices or strategies; reviewing the business model can help focus value on the service provided. Lastly, understanding that these approaches can drive financial value creation is instrumental in the success and longevity of the model.
Implementing a regenerative business model is a GREAT step toward achieving net zero. As more and more organizations shift their mindset regarding sustainability and incorporate it into their operations, we come closer to reaching our goals. This model tackles sustainability on a broader spectrum, addressing the environment, other societies, and the economy.