In addition to the life goals for the planet that allow humankind to survive, the safeguarding of such values would have an important business economic impact, for example, through the defense, protection, and recovery of forests and green spaces. As stated in the report that the World Economic Forum has drawn up in collaboration with Dalberg, entitled “Investing in Forests: The Business Case Insight Report June 2021,” the value for companies would be expressed in three different ways:
Despite the increasing need to put a stop to the continuous violence against natural resources and behaviors contrary to healthy sustainability, wildfires of great magnitude have devastated various parts of the world in recent months. Therefore, the lesson is still not clear. But beyond the virtuous behaviors that every rational mind should expect, the use of new technologies, especially blockchain, offers us a useful tool to move towards the right path.
- Business resilience: investing in the conservation and restoration of forests would protect companies from the loss of natural capital and the physical effects of climate change.
- Profitability and business growth: the economic value of forests is estimated to reach $150 trillion, roughly twice the value of global stock markets.
- Values-based leadership, which results in strong corporate positioning.
The cornerstone of a new system that can reward correct behavior and trace its authenticity, discouraging so-called “greenwashing” attitudes, which are virtuous for opportunism and commercial maneuvers, is blockchain technology, which is often talked about but, unfortunately, too often improperly and with “knowledge gaps.”
In line with what has been asserted so far, I found a paper, curated by António Miguel Rosado da Cruz and Estrela Ferreira Cruz of the University of Portugal, entitled “Blockchain-based Traceability Platforms as a Tool for Sustainability,” which explains how blockchain technology has a value, not only economic but also intimately social since consumers are starting to be prepared to pay more for socially and environmentally responsible products, but, to make this decision, they must be sure, through transparency, that the products they choose are truly environmentally friendly.
What struck me the most is the opening statement, which reads: “Sustainability can be defined as the way ‘natural systems function, remain diverse and produce everything they need to ensure the ecology remains in balance.’ Sustainable development is made up of a set of ecologically correct, economically valid, socially fair strategies and ideas to preserve that balance.”
The pursuit of profit and capitalist interests creates logics and mechanisms such that production, whether in the manufacturing, energy, or food fields, is transferred to third countries where legal protection, both in terms of sustainable behavior and work, is close to zero, and production facilities are far from distribution centers, increasing carbon footprints! This position paper aims to support the principle that, in the name of sustainability, it is mandatory to know every phase of the supply chain of products, allowing traceability as a way to strengthen transparency: “traceability of information plays a pivotal role particularly in those supply chains where multiple parties are involved and rigorous criteria must be fulfilled to lead to a successful outcome.”
The undeniable usefulness of blockchain technology emerges from the following step: “traceability platforms are the key for tracing a set of social and environmental parameters, promoting sustainability improvement. And, public blockchains are the technological answer for registering this traceability information, enabling public scrutiny and helping backing consumers choices, by allowing them to take informed decisions on the selection of products with lower carbon footprint or products which help improving people’s lives, either because they were produced by ethical and fair paying businesses or because they are based on better long-lasting products with lower carbon emissions.”
Sustainable development is based on three dimensions: social, environmental, and economic.
Social sustainability aims to provide future generations with the same, or greater, access to healthcare, food, and education, as well as the cultural resources of today’s generation. It is about enabling society to function continuously at a good level of social well-being.
Environmental sustainability aims to maintain a certain level of environmental quality and to preserve the capital of natural resources. Therefore, the consumption of renewable resources should not exceed the level at which they are renewed.
Economic sustainability consists of ensuring the financial performance of a company, managing its intangible assets, considering its influence on the economy, and how it addresses social and environmental aspects.
One of the sectors analyzed in the paper as a vehicle for “polluting” behaviors is the fashion industry, responsible for about 10% of humanity’s carbon emissions (Sanders et al., 2019), as well as the second-largest consumer of water in the world. The fashion industry also causes water pollution problems, accounting for 20% of all industrial water pollution worldwide (McFall-Johnsen, 2019).
The authors therefore conclude that: “To make transparent supply chains possible, allowing product traceability from raw material production to final product sale to the end consumer, information at each stage of the supply chain must be collected, stored and made available for public consultation. Thus, consumers will have the opportunity to make conscious decisions when choosing and purchasing their products.”
In short, at the end of this document, there is a clear understanding of what needs to be done: safeguarding the planet is not just a marketing and business slogan, but the result of awareness, especially following the global pandemic crisis, that caring for the health and well-being of the world we live in is the best way to take care of ourselves.
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