Kyndryl Study: Tech Driving Sustainability in Indian Firms

Kyndryl, the world’s largest IT infrastructure services provider, released the second Global Sustainability Barometer study, commissioned by Microsoft. The study, conducted by Ecosystm, shows that while 21% of organizations surveyed globally use technology to reduce their environmental footprint and shape their overall sustainability strategy, 54% of organizations in India leverages technology to achieve sustainability goals. Since last year, 31% of Indian organizations have increased their sustainability goals and execution.

“As the world faces increasing climate-related challenges, businesses are under pressure to act decisively and place sustainability at the forefront – and this year’s Global Sustainability Barometer study highlights that organizations must move from intent to collective action to drive change,” said Faith Taylor, Chief Corporate Citizenship and Sustainability Officer at Kyndryl. “By integrating sustainability into a company’s business strategy, processes and systems, organizations can maximize the value of their people and technology to achieve internal goals and deliver positive impact.” 

The study shows that leaders are increasingly recognizing the benefits of sustainability initiatives for their organizations, with specific areas where improvements can be made. By embedding technology into sustainability strategies, organizations can turn abstract goals into actionable, data-driven plans.  

The study highlights the following areas of opportunity: 

• While 59% of Indian organizations say sustainability goals and initiatives are incorporated into existing reporting processes, only 12% fully use data for strategic planning and decision-making.
• 99% of Indian businesses use data to track or measure sustainability efforts to some degree, however 87% don’t use the data from their sustainability initiatives to guide the organization’s transformation journey

• 29% of the Indian businesses believe AI will significantly impact their achievement of sustainability goals. However, 51% of organizations do not consider the environmental impact when implementing AI solutions. 

Matthew Sekol, a Sustainability Global Black Belt at Microsoft, added, “Companies can gain the insights needed to deliver on their commitments and drive resilience by integrating sustainability data with operational and financial data, and using traditional data analytics and robust AI tooling to reshape operational efficiencies and foster sustainable innovations.” 

Taking action to advance sustainability strategies 

The study’s detailed analyses and deep insights can enable organizations to enhance their sustainability efforts. To fully realize an organization’s potential, consider the following guiding principles: 

• Technology must be core to strategic planning. 34% of Indian businesses leverage IT to reduce their technology environmental impact, while 20% say data and technology is helping achieve organizational sustainability goals. Only 18% of businesses focus on achieving both through technology. In the next year, companies should consider integrating technology into sustainability strategies to turn abstract goals into actionable plans. 

• Recast the role of AI. 76% of Indian organizations use AI to monitor energy use and emissions, but only 28% use AI to predict future energy consumption based on current data. Integrating AI-powered scenario planning and climate risk mitigation allows organizations to adopt a holistic approach to environmental responsibility, enhancing readiness for future challenges.  

• Harness data for proactive business transformation. Disparate data across various enterprise planning systems is seen as a clear challenge as only 13% businesses in India use data to guide their transformation journeys. By effectively integrating the disparate data, organizations gain a more comprehensive and accurate understanding of their environmental impact, which leads to informed sustainability decisions. 

• Foster a culture of collective responsibility. CEOs continue to shape sustainability goals and 55% of organizations consider Chief Sustainability Officers and sustainability teams key stakeholders. The next step is for organizations to fully engage cross-functional teams, particularly finance and technology, to move sustainability into a core business priority and ensure implementation.  

While the benefit of AI for sustainability is gaining traction, AI’s environmental impact is a growing concern. Only 46% of Indian organizations are considering the energy implications of their AI solutions. Kyndryl and Microsoft provide actionable strategies for organizations to measure infrastructure baseline emissions and optimize AI architectures, including AI and machine learning models to minimize energy use and reduce waste. The two companies work closely with organizations to ensure that technological advancements contribute positively to sustainability goals without compromising innovation. 

“The study's findings confirmed our understanding of the Indian market: consumers are increasingly demanding sustainable products and services. As customer expectations rise and regulations tighten, Indian organizations must prioritize sustainability initiatives,” says Sash Mukherjee VP Industry Insights Ecosystm. “The power of data and technology extends beyond environmental benefits, enabling organizations to integrate sustainability into their broader strategic goals.”