Last updated: 12 July 2023 at 15:55

Key concepts

Sustainability in business is the practice of managing economic growth, social well-being, and environmental protection simultaneously, often referred to as the triple bottom line of 'People, Planet, and Profit'. It's about ensuring our actions today do not put the needs of future generations in jeopardy.

Climate change is the defining challenge of our time, a complex issue rooted in the increasing concentration of greenhouse gases in our atmosphere and associated heating of the planet. Through subtle yet steady changes, it impacts ecosystems, weather patterns, and sea levels. The Intergovernmental Panel on Climate Change (IPCC) emphasises the urgent need for action to limit global temperatures rises to 1.5 degrees Celsius. In turn this has led to governments and companies setting net zero target dates for emissions to encourage reductions in activities that rely on fossil fuels (see here for the UK example). However, many acknowledge that in addition there will need to be novel technical solutions to removing carbon dioxide (CO2) from the atmosphere accompanied by adaptions and mitigations to address the challenge. What is needed is broad-based sustainable development to drive a transition to a greener economy.

The Brundtland Report for the United Nations in 1987 set the stage by defining sustainable development as “development that meets the needs of the present without compromising the ability of future generations to meet their own needs”. Underpinning this approach are the United Nations Sustainable Development Goals (UN SDGs) launched in 2015, that have established 17 interlinked objectives designed to achieve a sustainable future for all by 2030. These range from eliminating poverty to combating climate change, and businesses worldwide are aligning their strategies to contribute to these goals. Goal 13, for example, is Climate Action. For companies, the SDGs can act as a top-level framework that pulls other sustainability concepts together.

Using resources more wisely has led to the concept of circularity or the circular economy. This concept is widely applicable in the Creative Industries, with fashion as the example frequently quoted in the media (the driver is obvious to Createchs involved with fashion due to the huge amount of textile waste that goes to landfill and the resulting social and environmental impact). Other significant examples in the Creative Industries include the the electronic waste (e-waste) associated with data centres and user devices, a key issue for all Createchs. Hence, the circular economy is gaining traction as a key enabler of sustainable development by shifting mindsets about how to achieve responsible consumption and production (UN SDG Goal 12). It's an alternative to our traditional linear economy (make, use, dispose), where we keep resources in use for as long as possible, extract the maximum value from them whilst in use, then recover and regenerate products and materials at the end of each service life. For example, companies such as Fishy Filaments in the UK supply Createchs using 3D printing technology to make fashion and household products with recycled nylon made from used fishing nets (which also prevents these nets ending up dumped in the ocean).

Biodiversity gain is also a rapidly trending topic in sustainability. This is about enhancing the variety of life in a particular habitat or ecosystem. It's a commitment to not just preserving, but actively improving the natural environment and the array of species it supports. Biodiversity gain can be achieved through habitat restoration, species reintroduction, and the creation of new natural spaces. For Createch businesses, this might mean developing strategies that go beyond minimal environmental impact to actively contribute to the restoration and growth of local ecosystems. This can bring multiple benefits including enhanced brand reputation, improved stakeholder relations, and potential cost savings from ecosystem services.

Together, these concepts form the foundations of a sustainable business, with the potential to drive innovation, reduce costs, and create competitive advantages, all while contributing to a more sustainable and equitable world.

For Createchs, as users of energy intensive technologies, net zero and decarbonisation are critical concepts in the sustainability dialogue. 'Net zero' refers to achieving a balance between the amount of greenhouse gases produced and the amount removed from the atmosphere. It essentially means that you are not adding new emissions to the atmosphere. Decarbonisation refers to the process of reducing carbon emissions, with the ultimate goal of removing all carbon dioxide produced by human activities. This involves a shift from fossil fuels to renewable energy sources, increasing energy efficiency, and adopting technologies that can capture and store carbon.

Sustainability terminology

There are many specialist terms used in the context of sustainability. This list of terminology is focused on the key topics relevant to Createch companies and others in the Creative Industries.

Carbon credits and offsets: Carbon credits and offsets are mechanisms that allow companies to compensate for their emissions by supporting projects that reduce greenhouse gas (GHG) emissions elsewhere, such as renewable energy, reforestation, or energy efficiency projects. You can read more here.

Circular economy: The circular economy concept aims to minimise waste and resource consumption by designing products and systems that maximise resource efficiency, extend product lifespans, and enable recycling or repurposing at the end of a product's life. The International Standards Organization (ISO) has a working definition for the circular economy as an “economic system that uses a systemic approach to maintain a circular flow of resources by regenerating, retaining or adding to their value, while contributing to sustainable development.” In practice for Createch companies, embracing circular economy principles depends on whether you offer a physical product where you can design out waste and pollution and design in a second life (e.g., as with the haptic sneakers designed by Groundwaves) or you offer a wholly digital service where procurement and managing suppliers to ensure they are managing end of life for items such as servers may be more important. Key aspects of circular economy in Createch include:

Design for longevity and repairability: By creating products and services with longer lifespans and easy repair options, Createch companies can reduce waste and promote more sustainable consumption patterns.
Use of sustainable materials: Incorporating renewable, recycled, or biodegradable materials into Createch products can help reduce the industry's reliance on non-renewable resources and decrease its overall environmental footprint.
Resource efficiency: Optimising energy and material use in the design, production, and distribution of Createch products and services can help minimise waste and reduce costs.
Collaborative consumption: The Createch sector can leverage digital platforms and emerging technologies to promote sharing, renting, or subscription-based models, which can reduce resource consumption and extend the life of products.
End-of-life management: Developing strategies for recycling, repurposing, or remanufacturing Createch products at the end of their life can help close the loop and reduce waste.

Electronic waste (e-waste): refers to discarded electronic devices that have reached the end of their useful life or are no longer functioning. It encompasses a wide range of electronic equipment, including all types of computers, smartphones, game consoles, VR headsets and more. E-waste can contain hazardous substances such as lead, mercury, cadmium, and flame retardants, which can pose risks to human health and the environment if not managed properly.

With the rapid advancement of Createch technology and shorter product lifecycles, the generation of e-waste has become a significant global issue. Improper disposal of e-waste, such as dumping it in landfills or incinerating it, can lead to the release of toxic chemicals into the air, soil, and water, contributing to environmental pollution and health hazards.

Proper management of e-waste involves various strategies, including recycling, refurbishment, and responsible disposal. Recycling e-waste allows for the recovery of valuable materials like metals and plastics, reducing the need for resource extraction. Additionally, refurbishing and reusing electronic devices can extend their lifespan and minimise unnecessary waste generation.

As the Creative Industries become more reliant on electronic devices, addressing the challenges posed by e-waste has become crucial in promoting sustainable practices and minimsing the negative impact on the environment and society.

Energy Mix: The energy mix refers to the combination of various energy sources used to generate electricity, which can include fossil fuels, nuclear power, and renewable resources such as solar, wind, and hydroelectric power. Companies should aim to improve their energy mix by prioritising clean and renewable energy sources to minimise their environmental impact and contribute to global decarbonisation efforts. Common ways that companies approach evaluating and improving their energy mix include:

Assessing current energy sources: Createch companies should start by evaluating their current energy mix and identifying opportunities for reducing dependence on fossil fuels. This assessment can include reviewing energy consumption data from energy providers and determining the proportion of energy derived from various sources.
Setting targets for renewable energy: Businesses can establish ambitious targets for the percentage of renewable energy in their mix, demonstrating a commitment to clean energy and driving progress towards their sustainability goals.
Transitioning to renewable energy: Companies can transition to a more sustainable energy mix by purchasing renewable energy certificates, entering into power purchase agreements (PPAs) with renewable energy providers, or investing in on-site renewable energy generation, such as solar panels or wind turbines.

Examples of improved energy mix in Createch include:

A digital animation studio that switches from using grid-sourced fossil fuel electricity to purchasing renewable energy certificates, ensuring that 100% of its energy consumption is offset by renewable energy generation.
A virtual reality business that invests in solar panels for its office building, reducing its reliance on non-renewable energy sources and lowering its carbon footprint.
A software development firm that signs a power purchase agreement with a wind energy provider, securing a long-term supply of clean energy and contributing to the growth of the renewable energy sector.

Environmental, Social, and Governance (ESG): ESG reporting has become increasingly important for businesses as investors, customers, and other stakeholders seek greater transparency on a business's sustainability performance. ESG reporting covers a wide range of topics, including environmental management, social responsibility, and corporate governance. In the Createch industry, implementing ESG reporting can help businesses demonstrate their commitment to sustainability and identify areas for improvement. Key aspects of ESG reporting in Createch include::

Adopting recognised standards: Following established guidelines and frameworks, such as the Global Reporting Initiative (GRI), the Sustainability Accounting Standards Board (SASB), or the Task Force on Climate-related Financial Disclosures (TCFD), can help Createch businesses ensure their ESG reporting is consistent, comparable, and reliable.
Measuring and disclosing environmental performance: ESG reporting involves tracking and disclosing data on a business's environmental impact, such as energy consumption, water usage, waste generation, and greenhouse gas emissions.
Social responsibility: Reporting on social aspects of a business, including labour practices, diversity and inclusion, community engagement, and human rights, can help Createch companies showcase their commitment to ethical and responsible business practices.
Governance: Transparent reporting on governance structures, risk management, and ethical conduct can demonstrate a Createch business's commitment to maintaining high standards of accountability and integrity.

Green IT (see also Responsible Computing): Green IT, also known as Green Computing, refers to the practice of designing, manufacturing, using, and disposing of computers, servers, and related subsystems in an environmentally responsible manner. The British Computer Society (BCS) promotes the adoption of Green IT practices to reduce the environmental impacts of technology while supporting a sustainable digital economy. Key aspects of Green IT in Createch, based on BCS recommendations, include:

Energy-efficient hardware: Createch businesses can adopt energy-efficient computing devices, such as ENERGY STAR-certified systems, and implement power management settings to reduce energy consumption and associated carbon emissions.
Data centre efficiency: Createch companies can optimise their data centre operations by implementing energy-efficient cooling systems, consolidating servers, and leveraging virtualisation technologies to reduce energy consumption and associated environmental impacts.
Sustainable software development: Createch businesses should develop software that is designed for efficiency and low resource consumption, minimising energy usage during operation and prolonging the lifespan of hardware.
E-waste management: Proper management of electronic waste (e-waste) is essential to Green IT practices. Createch companies can establish recycling programmes, partner with certified e-waste recyclers, and promote the responsible disposal of their products.
Telecommuting and remote work: Createch businesses can leverage technology to enable remote work and telecommuting, reducing the environmental impacts associated with transportation, office space, and energy consumption.
Employee engagement and training: Createch companies should engage and train employees on Green IT practices, fostering a culture of sustainability and encouraging individuals to make environmentally responsible choices in their daily work.

Impact accounting: Related to ESG reporting, but geared more towards investors, this is the ability to systematically measure, manage, and report the social, environmental, and financial performance of a company's operations. IRIS and Iris+ are frameworks developed by the Global Impact Investing Network (GIIN) that provide a comprehensive set of standardised metrics that can be used across various industries, including Createch, to ensure consistent and comparable reporting of impact data.

Intergovernmental Panel on Climate Change (IPCC): The IPCC is the United Nations body that has responsibility for assessing the science related to climate change. It does not set laws or regulations, but its scientific assessments are a critical source of information for policymakers. Its reports have underpinned global action and agreements on climate change, including the Paris Agreement, which aims to limit global warming to well below 2, preferably to 1.5 degrees Celsius, compared to pre-industrial levels. For a more detailed look at the work of the IPCC, please read the entry here.

Life Cycle Analysis (LCA): LCA is a systematic evaluation of, typically, the environmental impacts of a product, process, or service throughout its entire life cycle, from raw material extraction to disposal or recycling. By conducting an LCA, companies can identify areas for improvement, minimise negative environmental impacts, and make more informed decisions regarding materials, processes, and end-of-life management.See also Life Cycle Thinking (LCT).

Key aspects of LCA in Createch include:

Assessing environmental impacts: LCA helps Createch businesses understand the full range of environmental impacts associated with their products and services, including energy and resource use, emissions, and waste generation, across all stages of the life cycle.
Comparing alternatives: LCA can be used to compare different materials, technologies, or design options to determine the most sustainable choice. This can help Createch companies make informed decisions that reduce their overall environmental footprint.
Optimising processes: By identifying areas where environmental impacts are most significant, Createch companies can focus on improving efficiency, reducing waste, and adopting more sustainable practices in those areas.
Informing sustainable design: LCA provides valuable insights that can inform the design of new products and services, enabling Createch businesses to develop more sustainable offerings from the outset.
Communication and transparency: Sharing the results of LCA studies can demonstrate a Createch business's commitment to sustainability and provide valuable information to stakeholders, including customers, investors, and regulators.

Life Cycle Thinking (LCT): An approach to understanding and managing the environmental, social, and economic impacts of a product or service throughout its entire life cycle, from raw material extraction and processing, through production, distribution, use, and disposal or recycling. For example, in product and fashion design, life cycle thinking might influence decisions about material selection (to minimise extraction and processing impacts), manufacturing processes (to reduce energy and water use), packaging (to decrease waste), and end-of-life management (to enhance reuse, recyclability or biodegradability).

Net positive: The concept of net-positive goes beyond reducing negative impacts and strives to create a positive environmental, social, and economic legacy. By adopting a net-positive approach, companies can contribute to the regeneration of ecosystems, the well-being of communities, and the long-term prosperity of the sector. Key aspects of net positive relevant to Createch include:

Regenerative design: Developing products, services, and spaces that actively restore and enhance ecosystems, such as incorporating green infrastructure, promoting biodiversity, or using materials that sequester carbon.
Positive social impact: By prioritising community engagement, equitable opportunities, and inclusive practices, companies can contribute to social well-being and empowerment, going beyond simply minimising harm.
Innovative business models: Companies can explore alternative business models, such as those based on social enterprise or co-operative structures, that prioritise the creation of shared value and positive outcomes for all stakeholders.
Enhancing human capital: A net-positive approach involves actively investing in the development of human skills, knowledge.
Enhancing natural capital: A net-positive approach involves actively investing in preserving and restoring natural resources and ecosystems for future generations.
Measuring and communicating positive impact: Companies can develop robust impact measurement frameworks and transparently report their progress (for example, in the areas listed above), celebrating successes and learning from challenges.

Net zero and decarbonisation: Net zero refers to reducing greenhouse gas (GHG) emissions to the point at which emissions generated is balanced with an equal quantity of emissions removed from the atmosphere by natural or other means. Decarbonisation refers to the reduction of carbon dioxide emissions, often achieved by transitioning to renewable energy sources, improving energy efficiency, and adopting low-carbon technologies.

Science-Based Targets: Science-based targets offer a clear, actionable roadmap for businesses to reduce GHG emissions, mitigate climate change impacts, and safeguard their growth. These targets align with the Paris Agreement's goals of limiting global warming to below 2°C and striving for 1.5°C above pre-industrial levels. The targets are managed by The Science Based Targets initiative (SBTi).

Scope 1, 2, and 3 emissions: These three categories of emissions encompass direct emissions from a business's operations (Scope 1), indirect emissions from purchased electricity, heat, or steam (Scope 2), and other indirect emissions from sources such as supply chains (through procurement), employee commuting, and product use (Scope 3). Understanding and addressing these emissions is crucial to effectively reduce a business's carbon footprint. The terms first appeared in the Green House Gas Protocol of 2001.

Scope 4 emissions: An emerging term used to describe avoided emissions outside the company’s value chain. Examples include products and services that replace more carbon-intensive alternatives such as digital clothing replacing physical garments and online collaboration tools replacing air travel for meetings.

Triple-bottom line: The triple-bottom line approach involves considering the social, environmental, and economic dimensions of sustainability in decision-making and performance evaluation. Along with the UN SDGs, this holistic framework guides value creation for all stakeholders whilst minimising negative impacts on people and the planet. Key aspects of the triple-bottom line in Createch include:

Environmental responsibility: Businesses should proactively identify and manage their environmental impacts, such as energy consumption, GHG emissions, waste generation, and resource use. They can also seek opportunities to reduce their environmental footprint through innovation and collaboration with other industries. This maps onto SDGs 6, 7, 11, 12, 13, 14, 15.
Social well-being: Companies can promote social well-being by fostering diversity, equity, and inclusion in their workforce and creative projects, supporting community development, and ensuring that their products and services are accessible and beneficial to all. This maps onto UN SDGs 1, 2, 3, 4,5, 8, 10, 16.
Economic prosperity: The sector can contribute to economic growth and development by creating employment opportunities, investing in local economies, and supporting the growth of sustainable and innovative businesses. This maps onto UN SDGs 8, 9, 10, and 17.

Responsible Computing: Responsible Computing and Green IT are two interrelated concepts that focus on making information technology more sustainable, ethical, and beneficial for society. Responsible Computing^TM is also the name of a membership consortium founded by IBM and Dell that “provides a framework for setting responsible corporate policies and practices”.

Both are promoted by professional bodies such as the British Computer Society (BCS). Responsible Computing involves the ethical use and development of computer resources. It's an umbrella term that can cover a wide range of issues, such as data privacy, intellectual property rights, accessibility, digital divide, and the social impact of computing technologies. It promotes using technology in a way that is beneficial to society, doesn't harm others, and considers potential future impacts. Responsible Computing also deals with reducing e-waste and energy consumption, which links it to Green IT. Green IT refers to the study and practice of using computers and IT resources in a more environmentally responsible manner. It focuses on reducing energy usage, minimising e-waste, promoting recycling and reuse of electronic devices, and designing data centres that are energy efficient. Green IT strategies may include things like server virtualisation to reduce power consumption, proper disposal or recycling of old computers to prevent harmful materials entering the environment or purchasing energy-efficient hardware. Relevance to Createch includes:

Ethical design and development: Createch businesses should ensure that their computing technologies are designed and developed with respect for human rights, privacy, and data security, while also promoting fairness, transparency, and accountability in algorithmic decision-making processes.
Energy-efficient computing: By optimising energy consumption in hardware and software, Createch companies can reduce their environmental footprint and contribute to decarbonisation efforts. This may involve adopting energy-efficient hardware components, implementing power-saving features in software, or leveraging cloud-based services that optimise resource use. Given the extensive use of technologies such as generative AI in Createch, adopting effective strategies to reduce emissions during model training and inference is a key issue to be addressed.
Sustainable sourcing and disposal: Responsible Computing includes considering the full life cycle of computing devices, from the responsible sourcing of materials and components to the proper disposal or recycling of electronic waste. Createch businesses can contribute by selecting suppliers with strong environmental and social standards, as well as by providing end-of-life management solutions for their products.
Inclusive access and digital divide: Createch companies can address the digital divide by developing accessible and affordable computing technologies that enable wider participation in the digital world, particularly for underrepresented and disadvantaged communities.
Leveraging technology for sustainability: Createch businesses can harness the power of computing to develop innovative solutions that address environmental, social, and economic challenges. Examples include using data analytics and artificial intelligence for resource management, developing virtual or augmented reality experiences that promote environmental awareness, or designing digital platforms that facilitate collaboration and knowledge sharing on sustainability issues.

The UN Sustainable Development Goals (SDGs): The 17 UN SDGs provide a global framework for achieving a more sustainable, equitable, and prosperous future by 2030. The goals are supported by 169 specific targets that nations have signed-up for. Companies can actively contribute to these goals and targets by incorporating sustainability principles into products, services, projects and business practices. Some relevant SDGs for Createch include:

SDG 9: Industry, Innovation, and Infrastructure: Createch can drive innovation in sustainable technologies, products, and services, supporting the transition to a low-carbon economy.
SDG 12: Responsible Consumption and Production: By adopting circular economy principles and designing products and services with minimal environmental impact, Createch can help reduce waste, promote resource efficiency, and encourage sustainable consumption patterns.
SDG 13: Climate Action: Createch plays a crucial role in raising awareness and inspiring action on climate change through storytelling, visual arts, and other creative mediums.
SDG 17: Partnerships for the Goals: Collaboration between Createch and other sectors, as well as cross-disciplinary partnerships, can facilitate the sharing of knowledge, resources, and best practices, accelerating progress towards the SDGs.

UN SDG poster image provided for information purposes only.

This information is brought to you by the Centre for Sustainable Design (CfSD) at the University for the Creative Arts in the UK. CfSD was established in 1995 in Farnham, Surrey, UK and is based within the Business School for the Creative Industries (BSCI). The Centre has led and participated in a range of high-quality research projects and has organised hundreds of conferences, workshops and training courses in Europe. CfSD works with partners in Europe, Asia, and North America to deliver high quality results.

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