What: Bain & Company’s report provides insights, strategies, and practical advice for CEOs to navigate the challenges of sustainability, emphasizing the need for technological advancements, behavioral changes, and policy regulations to achieve sustainability goals.

Why it is important: The report highlights the importance of understanding consumer preferences and the potential for cost savings and faster adoption through sustainable innovation. Moreover, it addresses the gap between public commitments and actual delivery on sustainability goals, offering a mix of vision and pragmatism to address the trade-offs that come with sustainability efforts.

The document discusses various topics that CEOs will face in terms of long-term sustainability projects:

1. Need for Change:

• Achieving sustainability will require unprecedented change.

• There is a gap between public commitments and actual delivery on sustainability goals.

• CEOS are advised to ask critical questions about the purpose of their company and the potential obstacles and shortages they may face.

1. Technology Advancements:

• There is an importance of leveraging technology in sustainable practices.

• Companies are encouraged to rediscover the technology experience curve and drive sustainable innovation.

• Companies should anticipate policy shifts and build future-proof portfolios to stay ahead of competitors.

1. Behavioral Changes:

• There is a need for behavioral changes to address sustainability challenges.

• Data shows that consumers are willing to pay a premium for sustainable products and expect to spend more on them in the future.

• CEOs need to listen to the struggles of P&L owners and translate them into team-sized challenges to drive progress towards a sustainable future.

1. Policy Regulations:

• Policy regulations play a big role in driving sustainable practices and changing consumer behavior.

• Companies need to get out in front of regulations and work precompetitively as an industry to shape the regulatory framework.

• Government policies have a big impact on market dynamics and the need for companies to understand and navigate policy uncertainty.

Overall, the report provides guidance for CEOs to incorporate sustainability into their long-term strategies and drive positive impact.

The visionary CEO’s guide to sustainability