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December 2023 | sustainabilitymag.

com

CSOs

AWS
Kara Hurst,
Vice-President and
SAP Head of Worldwide
Sustainability
LEADING THE WAY at Amazon

ON ENTERPRISE
SUSTAINABILITY
MANAGEMENT
Sophia Mendelsohn & Gunther Rothermel discuss sustainability at SAP

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The Sustainability Team


EDITOR-IN-CHIEF FEATURE DESIGNERS PRODUCTION DIRECTORS MEDIA SALES DIRECTOR
TOM SWALLOW JULIA WAINWRIGHT GEORGIA ALLEN CHARLIE MCGILL
VICTORIA CASEY DANIELA KIANICKOVÁ
EDITOR EMMA WALLER MANAGING DIRECTOR
CHARLIE KING PRODUCTION MANAGERS LEWIS VAUGHAN
ADVERT DESIGNERS JANE ARNETA
CHIEF CONTENT OFFICER CALLUM HOOD MARIA GONZALEZ CEO
SCOTT BIRCH DANILO CARDOSO YEVHENIIA SUBBOTINA GLEN WHITE
ADRIAN SERBAN KENDRA LAU
HEAD OF DESIGN
ANDY WOOLLACOTT VIDEO PRODUCTION MANAGER MARKETING MANAGER
KIERAN WAITE INDIA BERRY
LEAD DESIGNER
SAM HUBBARD DIGITAL VIDEO PRODUCERS SENIOR MARKETING MANAGER
ERNEST DE NEVE LAUREN HAYES
SENIOR DESIGNERS THOMAS EASTERFORD
SAM HUBBARD DREW HARDMAN PROJECT DIRECTOR
REBEKAH BIRLESON SALLY MOUSTAFA JONATHAN MOORE
FOREWORD

WOMEN ARE GOOD


AT SUSTAINABILITY
Last month we published the first ever
Top 100 CSOs list, which was born as a
supplement to this magazine.
One thing I certainly noticed in this
process was the sheer number of female
CSOs, which was great to see and had
me thinking about the suitability of
women as sustainability leaders – and
overall diversity as a means of allowing
businesses to evolve.
Sustainability LIVE’s Women in
Sustainability panel really shed a light
on this and, thanks to the four very
passionate speakers, It makes sense.
For that insight, you’ll have to read on,
but what I want to highlight here is
the impact this could have on wider
industry positions as ESG integrates into
businesses.
Will the women in business lead
sustainable transformation and drive
companies to make the necessary
changes? I’m excited to see what
happens in this space.

SUSTAINABILITY MAGAZINE
IS PUBLISHED BY TOM SWALLOW
tom.swallow@bizclikmedia.com

© 2023 | ALL RIGHTS RESERVED

sustainabilitymag.com 7
CONTENTS
UP FRONT
014
014 THE SUSTAINABILITY
INTERVIEW
Adam Grant, General
Manager of Mars Wrigley UK

020 LIFETIME
OF ACHIEVEMENT 020
Kara Hurst, Vice-President
and Head of Worldwide
Sustainability at Amazon
024
024 PEOPLE MOVES
ESG investing generates a shift
among sustainability leaders

026 THE MONTH


THAT WAS
An abundance of corporate 026
sustainability insights

000
030
8 December 2023
DECEMBER 2023

048

FEATURES 064
030 TOP 10
CSOs

048 SAP
Leading the way on enterprise
sustainability management

064 ESG
Sustainable SMEs can leverage
tech partnerships for the 3Ps
074
074 SAP
SAP’s Joule taking supply
chain AI to the next level

092 DE&I
Sustainability careers
breed diversity in 092
business and society

sustainabilitymag.com 9
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6 - 7 M ARCH 2024
QEII CENTRE, LONDON

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IN-PERSON & VIRTUAL INTERNATIONALLY NETWORKING, CONFERENCE
ATTENDEES ACCLAIMED & EXHIBITION EVENT
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Connect with The World’s


Net Zero Leaders

Sean Jones Ulrike Sapiro


Chief Sustainability Officer Virginie Helias Chief Sustainability Officer
Chief Sustainability Officer

EARLY BIRD TICKETS BECOME A SPONSOR IN 2024

EXPO • CONFERENECE • WORKSHOPS • NETWORKING


DECEMBER 2023

178

100
128

152

100 DANFOSS DRIVES 152 IRON MOUNTAIN


The journey to net zero DATA CENTERS
and energy efficiency The twin infrastructure
impacts of generative AI
118 NET ZERO and how to deal with them
Is carbon offsetting really
a sustainable net-zero solution? 164 MASTERCARD
FOUNDATION
128 ETIX EVERYWHERE Mastercard Foundation
Edge data centres in invests in the future of
Europe – and now Asia African youth

144 SUPPLY CHAIN 178 SIEMENS ENERGY


Supply risk mitigation Driving sustainability
must cover impacts with digitalisation

sustainabilitymag.com 11
The Portfolio
WORK WITH US
THE SUSTAINABILITY INTERVIEW

Growing best-loved
confectionery brands
sustainably Adam Grant, General Manager
of Mars Wrigley UK, takes us on
a journey of sweet sustainability
for a leading confectioner of
the UK’s favourite brands

W
orking at one of the UK’s
most iconic chocolate
manufacturers is the best
job in the world according to Adam
Grant, General Manager of Mars Wrigley
UK. Over the past few years, he has
had the opportunity to grow some of
the UK’s best loved brands, such as
ADAM GRANT Galaxy, EXTRA, Maltesers and Skittles,
TITLE: GENERAL MANAGER having previously held the position of
COMPANY: MARS WRIGLEY UK Regional Vice President, UK, Belgium,
Netherlands and Ireland, for food and
INDUSTRY: F
 OOD AND BEVERAGE
beverage manufacturer Danone, where
MANUFACTURING
he spent nearly 20 years.
LOCATION: UNITED KINGDOM But Mars UK goes much further
than just the iconic Mars Bar, whether
Adam Grant has been the General it’s looking after the health of your
Manager of Mars Wrigley UK since pet, inspiring moments of everyday
2021. Previously, he spent 17 years at happiness through snacks, or supporting
Danone in roles including Regional GM, family nutrition with delicious balanced
Danone Dairy UK, Belgium, Netherlands meals, with Mars Foods. The brand is
and Ireland, where he led the team to part of the furniture in Britain, having
deliver significant growth in sales and been a part of UK households for over
category share. 90 years. With that understanding,
the company knows that it is setting a
standard of sustainability.

14 December 2023
Adam Grant
THE SUSTAINABILITY INTERVIEW

Q. WHAT DOES SUSTAINABILITY


LOOK LIKE AT MARS WRIGLEY UK?
» It is an exciting time to be GM of Mars
Wrigley in the UK and I have made it my
responsibility to ensure we think about
sustainability in every business decision
we make. Through partnerships, science,
and immediate action I believe that we
can both grow the business and accelerate
to net zero.
The UK is leading in its sustainability
efforts. In just a few years in the UK we’ve
reduced our carbon footprint by sourcing
100% renewable electricity across all our
UK manufacturing sites, led on packaging
developments, and been working hard
on our cocoa supply chain to prevent
deforestation.
We know there is a lot more to do and
I’m incredibly proud that Mars is taking
bold action to reduce GHGs emissions not
only across our business but also in our
full value chain. I look forward to delivering
positive change through ambitious “We know
commitments and action in our market.
The next few years will be fundamental there is no
place for
in achieving net zero. Every business
globally, including us, has a massive

exceptions or
responsibility to deliver on our promises
and as Mars Wrigley UK GM I am

excuses and
passionate about leading by example
through ambitious commitments and
action in our market.

Q. WHAT STEPS CAN FOOD


that we need
COMPANIES LIKE MARS TAKE
TO EMBED SUSTAINABILITY INTO
to ensure
THE FOUNDATIONS OF BUSINESS?
» At Mars, we recognise that business is performance
a powerful driver for good – we’ve always
been driven by this ethos, and we think is prioritised
over promises”
in generations, not quarters, so lasting
impact is always a key priority.

16 December 2023
to make genuine impact. Our packaging
journey over the past few years is a great
example of this. We’ve made significant
strides to look at how we use virgin plastics
across the UK business including our
recent paper packaging pilot for Mars bar
in the UK, as well as Mars Petcare’s move to
remove 180 tonnes of plastic from cans of
Pedigree, Whiskas, Chappie and Kitekat in
the UK every year.
It’s not been easy, but one thing we’re
big on is transparency – we can all benefit
from sharing lessons learned along
the journey with each other across the
business and industry. Our roadmap clearly
and powerfully demonstrates what Mars
is doing to help tackle climate change, at
scale. In fact, our Mars Net Zero Roadmap
serves as an open-source strategy that
other companies can use to start making
meaningful Net Zero action right now.

What many people don’t know is that Q. WHAT CHALLENGES


we’re also a family-owned business and DO THEY CURRENTLY FACE?
have been for more than a century. That » Balancing sustainability amongst many
means we have autonomy over the way other competing business priorities and
we do business, always sticking to our resourcing challenges can be difficult. But
Five Principles – Quality, Responsibility, here’s the deal – businesses must keep
Mutuality, Efficiency, and Freedom – sustainability front and centre to compete
guiding us to strive for a better world, both for consumers and to attract and
placing great value on our relationships keep talent.
and responsibilities. We know there is no place for
Looking at the road ahead, outlined exceptions or excuses and that we need
in our new Net Zero Roadmap, we are to ensure performance is prioritised over
committed to real, meaningful progress. promises. In developing our Net Zero
For us, this means having both technical Roadmap we found that our plans and
experts who know what works when it targets were not only possible to deliver,
comes to sustainability and marketers with existing science and technology, but
who bring these ideas to life through they were entirely affordable too.
our brands. Our Associates range from There are no shortcuts here. We’re
marine biologists to rice buyers, pet talking about big structural shifts that can
neurosurgeons and packing specialists take many years to come to fruition. While
– we have a huge breadth of expertise such challenges may impact the pace of

sustainabilitymag.com 17
THE SUSTAINABILITY INTERVIEW

progress, we at Mars are committed to good for business. Creating mutual


scaling up solutions where they exist benefits for the people in our supply
and to test, learn, partner and advocate chain and mitigating our impact on the
where they don’t. In short, we know that environment are sound business choices.
we can grow our business and cut our An example from another of our brands
emissions – we’re not just about making is Galaxy’s commitment to responsibly
money, we’re about making a difference sourced cocoa and support for people
too, and our consumers and Associates in our supply chains.
want both. Progress will be imperfect, but the
roadmap demonstrates that the business
Q. WHAT BENEFITS case to act now is both achievable and
CAN A SUCCESSFUL affordable.
SUSTAINABILITY STRATEGY
HAVE FOR BUSINESSES LIKE MARS? Q. HOW MUCH AUTONOMY
» Protecting our planet tomorrow starts DO GEOGRAPHIC REGIONS – LIKE
with how we do business today. This MARS UK – HAVE ON THE WIDER
vision is at the heart of our Sustainable STRATEGY AND TARGETS OF
in a Generation Plan, working towards a GLOBAL BUSINESSES?
healthy planet, where people and pets » Sustainability touches every part of
thrive, and society is inclusive. Our Net the business. Our thinking is global but,
Zero Roadmap isn’t just about doing we’re realising projects and initiatives at a
better; it’s about doing what is necessary. regional and local level. This is especially
We’re doing this because it’s the true here in the UK where we really
right thing to do, but also because it’s kickstarted our sustainability in 2016 with

18 December 2023
the Moy Wind Farm where Mars agreed
to buy its electricity from Eneco UK’s Moy
“We know there
Wind Farm, a company that generates
its power from wind turbines in the
is a lot more to
Highlands.
Since then and moving forward to
do, but we’re
this year, Mars has been investing in
packaging innovation – from increasing committing
recycled packaging content to exploring
innovative alternatives to plastic – such to taking big
as our in-store Bean Board trial in Tesco
stores, to pilot a new material made strides towards
from cocoa bean shells for promotional
displays. Mars UK has also invested our goals”
in reductions to its carbon footprint
through new and improved logistics big strides towards our goals and I’m
and fulfilment centres – including the incredibly proud that Mars is taking
opening of the London Thames Gateway bold action to reduce GHGs emissions
facility, in partnership with DHL, which across the business. we’re putting
will reduce Mars UK’s logistics carbon sustainability at our core; improving
footprint by 7.7% and remove a million our environmental footprint, operating
miles a year from roads. and sourcing responsibly and bringing
We know there is a lot more to more innovative, sustainable choices to
do, but we’re committing to taking consumers across the country.

sustainabilitymag.com 19
LIFETIME OF ACHIEVEMENT

Kara
Hurst
We honour Kara Hurst, Vice-President and Head
of Worldwide Sustainability at Amazon, for guiding the
company towards a more sustainable future

A
WRITTEN BY: AMBER JACKSON

s Vice President and Head Hurst also co-founded the Electronic


of Worldwide Sustainability Industry Citizenship Coalition (now
at Amazon, Kara Hurst the Responsible Business Alliance) and
is a trailblazer in the worked in Silicon Valley as Executive
sustainability sector Director of OpenVoice, where she built
who is committed to mitigating global out early teenage channel content
climate change. for AOL and others.
She leads the company’s sustainability She also holds a Bachelor’s degree
strategy, which includes addressing its from Barnard College of Columbia
ESG issues and the Climate Pledge team. University and an MPP from the
She also manages sustainability reporting University of California, Berkeley.
for the company, such as Amazon’s 2022 Having worked across both local
Sustainability Report. and federal government, Hurst now
Part of her current role is leading places her focus on driving connections
Amazon’s investment into renewable between science, consumer products,
projects across Europe. Having led the
development and global evolution of
environmental and social responsibility
at Amazon since 2014, Hurst continues KARA HURST
her reign of sustainable transformation. TITLE: VICE-PRESIDENT AND HEAD
OF WORLDWIDE SUSTAINABILITY
Delivering Amazon’s COMPANY: AMAZON
climate goals – ahead of time
INDUSTRY: SUSTAINABILITY
Prior to joining Amazon, Hurst was
CEO of The Sustainability Consortium, LOCATION: UNITED STATES
a multi-sector group across academia,
the retail industry and the public sector. With a background in sustainability,
The organisation was named one of global strategy and management,
Scientific American’s ‘Top Ten World Kara Hartnett Hurst is on a mission
Changing Ideas’ in 2012. to lead the corporate charge towards
Before that, she worked as Vice a sustainable future. She now heads
President of BSR where she built several worldwide sustainability at Amazon
global industry practices and led the to continue its goal of becoming the
company’s New York and Washington DC most sustainable company, hoping
offices, as well as the global partnership to make it net zero by 2040.
practice with governments, multi-laterals
and foundations.

sustainabilitymag.com 21
LIFETIME OF ACHIEVEMENT

Kara Hurst, Vice President, Worldwide Sustainability,


Amazon, at US Climate Action Summit

WATCH NOW

technology and sustainability. Part of it co-founded The Climate Pledge and


this is leading Amazon’s Climate Pledge announced its commitment to achieve
team, which was co-founded by Amazon net-zero carbon emissions across the
with Global Optimism. entire business by 2040.
The Climate Pledge is powered by The findings showed a 0.4% decrease
445 companies in 38 countries around over the course of the year in absolute
the globe and has a goal of reaching net- carbon emissions as the company
zero carbon emissions by 2040. Amazon continues to move towards net-zero
has pledged to do this by investing in carbon emissions.
renewable energy, scaling solutions and Hurst recognises that more needs
collaborating with partners to broaden to be done in order to combat climate
its impact. change globally and is continuing work
to solidify this mission and make Amazon
Partnering science with sustainability one of the leading companies in net-
Amazon’s 2022 Sustainability zero strategy. Whilst it is already on the
Report builds on the company’s 2040 pathway, Hurst is also keen to
sustainability progress over the last continue driving the company’s circular
decade, particularly since 2019 when economy, recycling work, sustainable

22 December 2023
transportation and electric vehicles
and sustainable products and materials.
At the time of writing this, the
company has just announced that it is
decarbonising transportation across
the entire business by increasing fleet
efficiency, expanding the use of low-
carbon fuels, and scaling electric and
alternative-fuel vehicles.
Speaking on these changes in her
report summary, Hurst said: “In 2022,
we had more than 9,000 electric delivery
vehicles in our global fleet, and 145
million packages were delivered by
EVs in the US and Europe.
“Our goal is to get 100,000 electric
delivery vehicles from Rivian on the
road by 2030. Today, we have more than
5,000 vehicles operating in the U.S. and
recently announced the first 300 to hit
the road in Germany.”
Hurst also announced on LinkedIn in

“These projects
October 2023 that Amazon has added 39
new renewable energy projects across

don’t just help Europe in 2023 so far, bringing its total to


more than 400 across the globe.

us power our “These projects don’t just help us


power our operations, they also provide
operations, they economic benefits to the communities

also provide
where they’re located. To quantify
this impact, our research shows that

economic
Amazon’s renewable energy projects in
Europe created €2.4bn (US$2.53bn) in

benefits to the economic investment, and more than


3,900 jobs in 2022 alone,” Hurst said.
communities “We plan to power all of Amazon’s
operations with renewable energy by
where they’re 2025, and we’re getting there in part by

located”
continuing to add wind and solar projects
around the world.”

sustainabilitymag.com 23
PEOPLE MOVES

ESG INVESTING GENERATES A SHIFT


AMONG SUSTAINABILITY LEADERS
Looking back on the year, SHERRY MADERA
there have been a number JOB FROM: S
 VP PUBLIC POLICY
of sustainability leader AT MASTERCARD
appointments, of which JOB TO: C
 EO OF THE CARBON
many will result in ESG- DISCLOSURE PROJECT (CDP)
driven investments and
commerce A former investment banker and diplomat,
Madera combines a unique skill set,
incorporating business, policy making, and
diplomacy, which are all key traits to bring
to her latest role.
On the 3rd October 2023, Sherry Madera
took on the role as CEO of CDP, which is
a driving force in global environmental
disclosures. Her leadership at the non-
profit will continue to rise in demand for
sustainability insight, of which the world is
at a critical point of uncovering its progress
towards UN sustainable development goals.
“I am honoured to join such an established
organisation as CDP, especially at this
moment when we acknowledge the pivotal
role data plays in assessing and managing
climate actions,” says Madera. “I look forward
to collaborating with our talented global
team, CDP’s stakeholders worldwide and with
our valued partners, to drive more ambitious
and urgent climate action and to build on our
unique position in the environmental data
ecosystem.”

24 December 2023
KRISTEN BROWN DAVID GOATMAN
JOB FROM: D
 IRECTOR OF FUTURE JOB FROM: P
 ARTNER, HEAD OF
ENERGY SYSTEMS UK&I ENERGY, SUSTAINABILITY AND
JOB TO: V
 P OF STRATEGY UK&I NATURAL RESOURCES EMEA
JOB TO: G
 LOBAL HEAD OF ENERGY
VP of Strategy for the UK and Ireland was AND SUSTAINABILITY SERVICES
earned by Kristen Brown, a role in which she
will dedicate her efforts to group operational The real-estate consultancy based in London,
strategy and ensure the execution of short- UK, has appointed Goatman to lead the
term strategic goals. changes happening in the world of property.

FRANCESCO STARACE LORRAINE BECKER


JOB FROM: C
 EO & GENERAL JOB FROM: I NTERIM HEAD OF ESG
MANAGER AT ENEL AT DIF CAPITAL PARTNERS
 HAIR OF THE SCIENCE-BASED
JOB TO: C JOB TO: H
 EAD OF ESG AT DIF
TARGETS INITIATIVE (SBTI) CAPITAL PARTNERS

Having left Enel in May 2023, Starace still After leaving her post as a Principal
retains positions, such as the Chairman of the Consultant for Environmental Resources
Board at Sustainable Energy for All (SEforALL) Management (ERM), Becker entered DIF
and is a partner at EQT Group. Capital Partners as its Interim Head of ESG
in April 2023 before swiftly taking on the
permanent role.
DENISE WONG

“Over the coming


JOB FROM: V
 ENTURE CAPITAL INVESTOR
AT VU VENTURE PARTNERS
JOB TO: H
 EAD OF SUSTAINABLE years, DIF will
have an ongoing
AND IMPACT BANKING,
ASIA PACIFIC AT BARCLAYS

Moving to Barclays from her prior position commitment to


as a Venture Capital Investor, Denise Wong
is now the Head of Sustainable and Impact
being a responsible
Banking for the bank. investor”

sustainabilitymag.com 25
THE MONTH THAT WAS

AN ABUNDANCE Consultancies like


PwC, EY and Bain

OF CORPORATE
have provided
a number of
materials to support

SUSTAINABILITY companies with


their sustainability

INSIGHTS
outlook and
strategic action

PWC SURVEYS
INVESTORS ON
CORPORATE
SCHNEIDER ELECTRIC: SUSTAINABILITY
SUSTAINABILITY CONSULTING REPORTING
DRIVES SUCCESS “We are moving from
a period of awareness-
Recognised as the most sustainable business in raising around the
our Top 100 Companies, Schneider Electric is well importance of climate
positioned to share information and insights on and technological
business strategies for decarbonisation and long- change to a time
term compliance with environmental, social and where investors are
governance (ESG). increasingly asking
More than just an electrical equipment innovator, specific and tough
Schneider has mastered the power of digital to questions about
support its customers in energy management how companies are
and emission reductions, but also automation to addressing those
achieve the same great results time and time again. issues in their strategy.”

READ NOW READ NOW


ACCENTURE’S SERVICES TO SUPPORT
BUSINESS GROWTH SUSTAINABLY
The pressures of sustainability can be seen and heard across
a number of industries as they emphasise their commitments
to economic growth in line with environmental and social
causes. With this comes a number of actions, including net-
zero emissions reduction strategy—comprising measurement.

READ NOW

EY SHARES BAIN: BCG READIES


CONSUMER EXECUTIVES BUSINESSES
SUSTAINABILITY HAVEN’T EMBEDDED FOR EU CLIMATE
AND CLIMATE SUSTAINABILITY AND ESG
SENTIMENTS EFFECTIVELY REGULATIONS
Research from the 75% of executives Insight from Boston
management consulting surveyed by Bain & Consulting Group (BCG)
firm shows the trends Company say that follows the increased
in consumer behaviour, sustainability has not been uncertainty around the
which could inform the implemented effectively European Union’s (UN’s)
choices of companies across their organisations. most recent environmental,
in the consumer goods This isn’t to signify the end social and governance
industry. of the road for businesses. (ESG) regulations.

READ NOW READ NOW READ NOW

sustainabilitymag.com 27
IT’S TIME TO
GET NOTICED
10T H S E P T E M B E R
BUSINESS DESIGN CENTRE, LONDON

ENTER NOW SPONSORSHIPS

In Association with:

M AG A Z I N E
CSOs Following the Top 100 CSOs, Sustainability Magazine
looks back at those leading their businesses towards
environmental and social efficacy

WRITTEN BY: GEORGIA WILSON

30 December 2023
TOP 10

s
sustainabilitymag.com 31
TOP 10

10
Jim Andrew
Chief Sustainability Officer
PepsiCo

Food & Beverage Services


Revenue $86bn
315,000 Employees

Leading PepsiCo’s global sustainability


strategy, Andrew is focused on the growth “I think that’s one of the real keys
and transformation of PepsiCo through pep+,
to making sustainability work.
the company’s strategy which includes the
integration of sustainability across its brands
You’ve got to embed it in the
and business. He also builds the company’s business strategy, the business
capabilities and partnerships, designing the processes and the actions
roadmaps, and executing the programs to
everybody takes every day”
transform PepsiCo into the next decade.

32 December 2023
TOP 10

9
Bea Perez
SVP / Chief Communications, Sustainability
and Strategic Partnerships Officer
The Coca-Cola Company

Food & Beverage Services


Revenue $44.14bn
79,000 Employees

Joining The Coca-Cola Company in 1994,


Perez – for the last 30 years – has climbed “I’m a firm believer in the
through the ranks. As CSO, she is responsible transformational power
for the company’s global sustainability strategy, of partnerships. It is
supporting its new growth model. Key focus
part of our DNA that we
areas for Perez include water stewardship,
sustainable packaging, environment and must work together”
women’s economic empowerment.

sustainabilitymag.com 33
TOP 10

8
Virginie Helias
Chief Sustainability Officer
Procter & Gamble

Manufacturing
Revenue US$82bn
106,000 Employees

“I’m honored to receive this recognition,


Helias has over three decades of experience which is a testament to the dedication
at Procter & Gamble, and since 2011 she has of everyone at P&G who champions
been honing her focus on sustainability and sustainability as a driving force behind
corporate citizenship. Her mission is to embed our innovation, brand-building, and
sustainability into the innovation, brand
business operations. Our journey
towards sustainability is marked by
building, and everyday business operations,
the unwavering commitment, tenacity,
making sustainability a core business strategy and resilience that characterizes
and a catalyst for a more resilient organisation. our extraordinary team”

34 December 2023
TOP 10

7
Paulette Frank
Chief Sustainability Officer
Johnson & Johnson

Hospitals & Health Care


Revenue US$122.51bn
150,000 Employees

Inspired by the understanding that


healthy people need a healthy planet,
Frank is passionate about sustainability. “We are wasting no time making
As CSO of Johnson & Johnson she is progress because we know there is
responsible for developing and leading no time to waste – the world needs
global environmental sustainability and
bold climate action to advance
human rights strategies to strengthen the
business and propel it towards a more both human and planetary health”
sustainable, resilient, and equitable future.

sustainabilitymag.com 35
TOP 10

6
Jon Chorley
Chief Sustainability Officer
Oracle

IT Service & IT Consulting


Revenue US$49.95bn
199,000 Employees

With more than 30 years of experience in the


software industry, Chorley joined Oracle in 1997.
“The way people think about
In his role as CSO, Chorley drives and coordinates the environment is quite a bit
all initiatives both internally and externally different than it was several
that related to environmental sustainability. years ago. That’s forcing all
Chorley ensure that the company operates an
businesses to take sustainability
efficient, clean, and circular cloud infrastructure
to not only drive business value, but lower concerns out of the closet and
the company’s environmental impact as the bring them into the boardroom”
world shifts towards a zero-carbon future.

36 December 2023
TOP 10

5
Kathryn Alsegaf
Global Chief Sustainability Officer
Deloitte

Business Consulting & Services


Revenue US$60bn
430,000 Employees

For more than a decade, Alsegaf has been


an influential leader in the sustainability “The decisions we make today
field. As CSO at Deloitte, her responsibilities
can impact the quality of life for
include overseeing and advancing Deloitte’s
WorldClimate Strategy, as well as its
the generations to come. A better
overall environmental objectives. Alsegaf future is entirely possible, but it
is also responsible for the company’s will require a profound and lasting
greenhouse gas inventory, development
change in attitudes and behaviors”
and tracking of carbon reduction goals.

sustainabilitymag.com 37
TOP 10

4
Melanie Nakagawa
Chief Sustainability Officer
Microsoft

Software Development
Revenue US$211.91bn
224,000 Employees

Joining Microsoft at the start on 2023 as


CSO, Nakagawa has worked in and around
“There are just so many
sustainability for 20 years. In her role, incredibly talented people
Nakagawa reports directory to the Corporate who are dedicating their life
Vice President, partnering with teams across mission to sustainability.
Microsoft to lead company-wide environmental
How can one not be optimistic
sustainability work. She will also help the
company to accelerate its momentum when you see this growing,
when it comes to sustainable efforts. talented workforce?”

38 December 2023
The Portfolio
TOP 10

40 December 2023
3
Wayne Balta
Chief Sustainabilty Officer
IBM

IT Services & Consulting


Revenue US$60.52bn
310,000 Employees

Responsible for the global environmental affairs, energy “There is no question in my


efficiency, toxicology and chemical management, mind that sustainability is
and product safety and related hardware compliance
good for the bottom line.
functions at IBM, Balta is dedicated to growth that drives
innovation and shifts in business and technology. For
Someone once said ‘if you
nearly 40 years, Balta has been an integral leader at IBM, think education is expensive,
he has served on the company’s Global Enablement try ignorance.’ That
Team for Kenya and East Africa and is the company’s
applies to environmental
Partnership Executive for Carnegie Mellon University
(where he received a degree in civil engineering).
sustainability as well”

sustainabilitymag.com 41
TOP 10

42 December 2023
2
Rebecca Marmot
Chief Sustainability Officer
Unilever

Manufacturing
Revenue US$62.07bn
149,000 Employees

A pioneer in promoting and ensuring the adoption of “The world faces enormous
sustainable practices at Unilever, Marmot guides the challenges, from runaway
company towards a more eco-friendly future. Being
climate change to hunger and
a leading figure at the company, Marmot is known
for her energy and drive to make a positive change
dire poverty. Interconnected
in the world by fostering transformational change issues that will not be solved
in Unilever’s priority areas of water, sanitation, and unless we take collective
hygiene; climate change and ending deforestation;
action – across businesses,
opportunities for women; plastics and the circular
economy; impact finance; and health and wellbeing.
governments and civil society”

sustainabilitymag.com 43
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46 December 2023
1
Kate Brandt
Chief Sustainability Officer
Google

Software Development
Revenue £257.63bn
289,000 Employees

An inspirational leader, Brandt is passionate about


both sustainability and DE&I. In her role as CSO for
“Sustainability has truly
Google, Brandt leads the company’s sustainability been a core value since
efforts across its worldwide operations, products and
our founding over 20 years
supply chain to ensure the company is capitalising on
opportunities to strategically advance sustainability. ago. We believe that every
Prior to joining Google, Brandt was the first business has both the
Federal CSO in the US, and a recipient of the opportunity and the obligation
Distinguished Public Service Award – the highest
award a civilian can receive from the US Navy. to protect our planet”

sustainabilitymag.com 47
LE ADING THE
WAY ON ENTERPRISE
SUSTAINABILIT Y
MANAGEMENT
AD FEATURE
WRITTEN BY:
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JONATHAN MOORE

48 December 2023
SAP

Sophia Mendelsohn & Gunther Rothermel


discuss sustainability at SAP, being
Co-General Managers and why they
are excited to be in sustainability today

S
AP was founded in 1972 when
computers filled an entire
room and were connected to
monochrome CRT displays.
This group of early technology
pioneers went on to become the global
leader in enterprise resource planning (ERP)
software. SAP built and installed solutions
that help run critical business functions from
finance to supply chain to human resources.
Ninety-nine of the 100 largest companies
run SAP solutions, also 97 of the greenest
companies. The company’s reach into
global business is impressive – SAP
customers account for US$46tn, or
87% of all global commerce.
SAP’s mission now is to embed
sustainability into the core business of
its customers. Using its formidable scale
and reach, SAP connects sustainability data
with other cloud-based corporate data
so that companies have a more complete,
accurate and actionable understanding of
their sustainability performance. By bringing
sustainability into finance, procurement
and business networks, the aim is to make
sustainable business the standard
operating procedure.
While SAP has offered sustainability
management solutions for many years,
only a few years ago did it make the strategic
move to develop a portfolio of specialised,

50 December 2023
Gunther Rothermel is
Chief Product Officer for
SAP Sustainability. He’s been
with the company for 25 years
leading development teams.

Sophia Mendelsohn is Chief


Sustainability and Commercial
Officer for SAP Sustainability
and has focused on advancing
sustainable business for 20 years.
SAP

cloud-based software solutions to help


customers tackle difficult sustainability
challenges at industrial scale. These
solutions cover a number of areas,
including climate action, circular
economy, social sustainability, as well
as holistic steering – the evaluation of
corporate impacts on society and
wider economy – and reporting. Under
a co-general management structure,
a team was formed within SAP to build and
help customers adopt the new solutions.
Together, Rothermel and Mendelsohn
are Co-General Managers for Sustainability
at SAP.
Rothermel spent most of his career
in SAP. “I work more on the technology
platform side of the house,” he says.
Alongside his personal interest in the
topic, Rothermel realised that there was
a massive data challenge in corporate
sustainability and this is why he began
solving problems in this area.
Meanwhile, Mendelsohn cut her
sustainability teeth in China. “That’s
where I really became committed to
the idea of marrying up free-market
solutions with sustainable outcomes,”
she says. “I’m often called an OG in
corporate sustainability. Before,
we called it EHS and then CSR, then
sustainability and then ESG. Now, we
are moving towards business integration.”
A co-general manager structure
makes sense for SAP and sustainability
solutions, Mendelsohn adds: “I think
what Gunther and I combine very well
at SAP is my understanding of the
market need with his understanding
of sustainability data and integrating
it with other corporate data.”
This is exactly where SAP
combines ambition with reality.

52 December 2023
WATCH NOW

ESG data management foundation


“We cover a broad range of sustainability
challenges for our customers,” he says.
“A lot of things are coming fast. It’s an
exciting time because there’s a lot of new
ways we are applying advanced technology
to sustainability management while at the
same time there’s a lot of regulatory
changes happening.”
One major challenge, however, is to
find solutions for the problems at hand,
while some of the standards and industry
regulations are not there yet, he said.
For Mendelsohn, SAP’s ESG data
management strategy and solutions,
like the SAP Sustainability Control
Tower, is about creating the best data
foundation so companies can level
up to holistic, enterprise-wide
sustainability management.
“One thing Gunther has taught me
at SAP is that there is still a huge amount
of uncertainty with sustainability data,”

sustainabilitymag.com 53
SAP

GUNTHER ROTHERMEL
TITLE: C
 HIEF PRODUCT OFFICER
AND CO-GENERAL
MANAGER
INDUSTRY: S
 OFTWARE
DEVELOPMENT
LOCATION: GERMANY

Gunther Rothermel helps businesses


on their transformation journey with
a new set of sustainability related
capabilities offered by SAP. As Chief
Product Officer and Co-General
Manager for SAP Sustainability,
Gunther and his team deliver
product innovations on sustainability
addressing four dimensions: holistic
steering & reporting, climate action,
circular economy, and social
responsibility. A seasoned leader with
a future oriented, strategic mindset,
Gunther has an impressive track record
in product development and delivering
cloud services. Principles like agile
development, design-led innovation,
DevOps and cloud engineering are
essential parts of Gunther’s leadership
approach. Gunther was key in
defining and delivering SAP’s platform
technology and the overall integration
and orchestration portfolio of SAP.
says Mendelsohn. “With so much of

“BECAUSE MORE the regulation and ambition oriented


around reporting and transparency,
THAN 80% OF CARBON our challenge is to make reporting
EMISSIONS ARE SCOPE easier so they can focus on
transitioning their business
3 EMISSIONS LOCKED activities to be more sustainable.”
AWAY IN YOUR Data is core to the overall ESG
foundation, she adds. The data has
SUPPLY CHAIN, YOU to be accessible, accurate and stable
FUNDAMENTALLY NEED to be effectively integrated with other
corporate data and used for strategic
TO GET ACCESS AND planning or in-the-moment operational
AGGREGATE THIS DATA” decisions.
“What the sustainability stack at SAP
does is go from data aggregation to
GUNTHER ROTHERMEL
CHIEF PRODUCT OFFICER AND CO-GENERAL data analytics,” she says. “The ability to
MANAGER, SAP SUSTAINABILITY connect the data, see it and use it from

sustainabilitymag.com 55
the boardroom to the shop floor, is what

“WE ARE NOT ONLY can help people make more informed,
more sustainable business decisions.”
USING THE STRONG
CAPABILITIES THAT Tackling Scope 3 emissions
across supply chains
WE HAVE IN-HOUSE When it comes to climate action and
IN SAP, BUT WE ARE accounting for carbon emissions, SAP wants
to help companies move past estimates
ALSO INCORPORATING and error-prone spreadsheets to effectively
AND USING THE calculate overall corporate carbon
VERY SPECIALISED footprints, and then move to calculating
footprints at the individual product level.
CAPABILITIES FROM Because SAP helps companies run their
DIFFERENT PARTNERS” global supply chains, SAP is ready to get
down to the data details when it comes
to Scope 3 accounting. Upstream and
GUNTHER ROTHERMEL
CHIEF PRODUCT OFFICER AND CO-GENERAL downstream carbon emissions transparency,
MANAGER, SAP SUSTAINABILITY however, remains a challenge for companies
SAP

across industries. One of SAP’s key maintained in a financial ledger,” he says. “But
approaches is to enable companies to share companies still have a big challenge to deliver
accurate emissions data along the supply data of a quality worthy of a green ledger.
chain, instead of everyone making often- “There are two key parts to SAP’s
incorrect assumptions and calculations. greenhouse gas protocol coverage across all
Enterprises need an accounting system scopes,” he says. The first is SAP Sustainability
for their emissions data that is as auditable, Footprint Management which is a solution
transparent and reliable as their financial that increases accessibility by pulling data
data. The current accounting system for from many sources, and then uses the data
supply chain emissions is severely flawed as a basis for footprint calculations.
as it relies on data that often lacks access, “Because more than 80% of carbon
accuracy, granularity and comparability, emissions are Scope 3 emissions
Rothermel added. SAP’s transactional carbon locked away in your supply chain, you
accounting capabilities focus on recording, fundamentally need to get access and
reporting and acting on carbon emission data aggregate this data,” he adds. “If we don’t,
and ultimately syncing the emissions data with we will continue to work with averages
financial data leading to a “green ledger”. instead of actuals.”
“We envision carbon to be accounted for Gathering and calculating emissions data
in a green ledger, just like your financials are more accurately is one thing, but companies

sustainabilitymag.com 57
SAP

happen in the cloud,” she says. “It’s going


to happen with AI with the amount of data
we’ll have to synthesise. We’re talking
about envisioning a supply chain that
shares sustainability related information
more openly and fluidly than they share
financial information.
“There’s a gap between where the
regulations are envisioning what’s possible
and where we see technology delivering.”

Moving to a circular economy


The co-GMs both made the point that
we can only deal with about half of
global emissions by moving to renewable
energy. We have to tackle the other half
by designing out waste, keeping materials
in use longer, and adopting regenerative
practices across all areas of production.
One hundred billion tonnes of
materials are used each year in our
current “linear” economy. Just 7.2%
is reused or recycled. The SAP team
wants to change this and aims to help

need to move the data from one


supplier to another.
“We want to rely on real data that “THERE’S A GAP
customers can share,” says Rothermel.
“This is why we cover carbon sharing BETWEEN WHERE
capabilities in our SAP Sustainability Data THE REGULATIONS
Exchange solution, for example, that uses
standards and protocols established by ARE ENVISIONING
the World Business Council for Sustainable WHAT’S POSSIBLE
Development’s PACT programme, the
Pathfinder framework, and other
AND WHERE WE
standards over time.” SEE TECHNOLOGY
Mendelsohn sees the need for companies
to move to the cloud to accelerate how
DELIVERING”
they can take advantage of next-generation
carbon accounting. SOPHIA MENDELSOHN
CHIEF SUSTAINABILITY AND
“The reality is that the energy transition COMMERCIAL OFFICER,
and the materials transition are going to SAP SUSTAINABILITY

58 December 2023
SOPHIA MENDELSOHN
TITLE: C
 HIEF SUSTAINABILITY AND
COMMERCIAL OFFICER FOR
SAP SUSTAINABILITY
INDUSTRY: S
 OFTWARE
DEVELOPMENT
LOCATION: UNITED STATES

As Chief Sustainability and


Commercial Officer and co-GM
for SAP Sustainability, Sophia and
her team oversee SAP’s corporate
sustainability and bring sustainability
to market for customers. Sophia’s
long-standing area of focus is in
guiding organisations on how to
balance immediate financial goals with
sustainability and ESG governance for
long-term business viability. She has
deep expertise in sustainability and
specialises in executive stakeholder
engagement. She designed and taught
the first ESG at Harvard Extension
School, is a recognised public voice
on ESG, and was chosen as one of the
top 10 sustainability leaders of the
year. Sophia has a master of science
in sustainable management from
Columbia University.
companies build a more circular economy “Customers use this for the operational
using the SAP Responsible Design and compliance on a plant level for emissions
Production software. management and waste management
Rothermel built this cloud-based solution related topics, but it also has a strong health
based on SAP’s Business Technology and safety component,” explains Rothermel.
Platform, its flexible development and “It covers incident management, because
customisation platform. The solution helps SAP operates in many industries that are
companies react to quickly changing plastics also very regulated.”
taxes, for example, and adapt product Mendelsohn emphasises that
packaging specifications to respond to new sustainability can’t all be about
Extended Producer Responsibility policies. carbon emissions.
“Fundamentally, we still talk too
Ensuring social sustainability much about carbon and climate as an
SAP’s social sustainability software and environmental problem, as if this is
ESG packages are an important part of something separate than social. At SAP,
its offering, which SAP has been investing we have the ability to measure the social
into for years and covers more operational elements. What I want to emphasise is
aspects of sustainability. that when we talk about treating carbon

60 December 2023
SAP

like money or the importance of accurate bring the software to our clients. They
carbon data, we see it as a social issue for help us implement the software and of
communities, for our customers and for course they also advise our customers on
our own employees.” their strategic transformation journey.
“We support other important metrics, “We are not only using the strong
such as women in management positions, capabilities that we have in-house in SAP,
D&I related components and human but we are also incorporating and using
rights,” adds Rothermel. the very specialised capabilities from
different partners. They co-innovate with
Collaborating for Impact us because we believe nobody can solve
SAP is also supported by a global network these tough issues of sustainability alone.”
of partner companies helping to customise SAP will continue on its mission
and install SAP solutions. It’s a big ecosystem. to embed sustainability across the
Partners are an intrinsic part of SAPs businesses it works with and Rothermel
strategy and how they go to market and Mendelsohn will lead the
and build solutions. sustainability team together. Over
“Our partners play several important the next year, there’s a lot in store
roles,” says Rothermel. “They help us to for the company.

sustainabilitymag.com 61
SAP

“WHAT THE
SUSTAINABILITY
STACK AT SAP DOES
IS GO FROM DATA
AGGREGATION TO
DATA ANALYTICS. THE
ABILITY TO CONNECT
THE DATA, SEE IT AND
USE IT, FROM THE
BOARDROOM TO THE
SHOP FLOOR”

SOPHIA MENDELSOHN
CHIEF SUSTAINABILITY AND
COMMERCIAL OFFICER,
SAP SUSTAINABILITY

“Big sustainability transformations are


really just beginning. It’s what I am here for
and why I get up in the morning,” Rothermel
added. “I want to help customers solve
problems with the help of good software
in the sustainability space.”
“It’s a very important year for us at
SAP, but also for the whole industry and
for sustainability,” says Mendelsohn. “I’m
looking forward to 2024 when we deliver
new capabilities and help customers really
take advantage of technology and data and
speed up their transitions. It’s going to be
a year of new proof points and ultimately
positive impact. That’s what I am looking
forward to.”

62 December 2023
SUSTAINABLE SM
CAN LEVERAGE T
PARTNERSHIPS F
THE 3Ps
Awareness of sustainability means that SMEs should
understand the 3Ps. Microsoft’s Sherif Tawfik explains
how digital partnerships enable true action
WRITTEN BY: TOM SWALLOW
ESG

MEs S
ustainability is often mistaken
for environmental, social
and governance, which have

TECH
connotations and relevance,
but fail to define what the term
really means. People, planet and profit,
known as the 3Ps in many circles, are the key

FOR
components of sustainable action, but as
they are referred to as environmental, social
and economical factors the confusion arises.
Nevertheless, these are the key areas of
focus, and it’s important that businesses
endeavour to meet all three for that
coveted ‘sustainable’ status. But how much
do businesses know about their impact
on communities, the planet we live on,
and the economic growth as a result of
decarbonisation and social prosperity?
While the focus is often on large
corporations and their impacts—because
they do have the platforms and reach to
facilitate them as such—SMEs must also
understand how this affects them, especially
when collaborating with said companies.
“In the bustling arena of sustainability
conversations, the ‘People’ aspect often
finds itself in the shadows, not quite
catching the limelight like its counterparts
‘Planet’ and ‘Profit,” says Sherif Tawfik,
Chief Sustainability Commercial Officer
of Central, Southeast Europe, Middles
East, and Africa at Microsoft. “The talks
about environmental conservation and
economic gains are everywhere, while
the important discussions about social
sustainability – think equity, diversity, and
social responsibility – don’t always get to the
same stage.”
“This oversight might be because gauging
social sustainability isn’t as straightforward
as counting carbon emissions or dollars. It’s
a bit elusive, dealing with a wide canvas of
human experiences and societal nuances.

sustainabilitymag.com 65
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global collaboration. reduces design errors
and scrap, provides visibility into component
environmental impact, and accelerates time
to market to help meet commercialization
and sustainability goals.
Learn more at arenasolutions.com
ESG

“SUSTAINABILITY IS MORE THAN JUST


CUTTING EMISSIONS – IT’S ABOUT CREATING
A POSITIVE RIPPLE EFFECT ACROSS THE
ENVIRONMENT AND SOCIETY”
SHERIF TAWFIK
CHIEF SUSTAINABILITY COMMERCIAL OFFICER,
MICROSOFT

Unlike a company’s carbon footprint or that organisations that fail to digitise will
bottom line, you can’t easily put a number be left behind along with their outdated
on concepts like social equity or community legacy systems.
well-being.” “In the modern business landscape,
relying on outdated technology is
Digital transformation aligned similar to still using fax machines for
with sustainable development all communication – it just doesn’t cut
Two of the key components that enable it anymore,” says Tawfik. “Technology
companies to fully understand their business is foundational, and when it comes to
are knowledge and technology. With digital sustainability efforts, digital tools are
evolution well under way, and likely to absolutely crucial. After all, you can’t
be a staple in the future, Tawfik suggests progress what you can’t measure.”

sustainabilitymag.com 67
Businesses that already exist in the digital
ecosystem need not get complacent that
“WHEN ORGANISATIONS
adoption is the solution to ensuring that JOIN FORCES, THEY
CAN LEVERAGE EACH
their teams can instantly gain access to
the insights and knowledge that will allow
them to track the progress of company’s OTHER’S STRENGTHS,
activities.
“Microsoft, with its roots in the mission KNOWLEDGE, AND
of placing a PC on every desk and in
every home, has evolved to a powerful
RESOURCES”
commitment of empowering every person
and organisation on the planet to achieve SHERIF TAWFIK
CHIEF SUSTAINABILITY
more. This pledge inherently speaks to COMMERCIAL OFFICER,
inclusion—for all people and organisations, MICROSOFT

68 December 2023
ESG

HOW DOES MICROSOFT


SUPPORT SMEs
WITH THE 3PS?

In order to educate companies about


the 3Ps, Microsoft shares knowledge
and insights that help them understand
not only the necessity for action, but the
benefits of it. A key part of this work is
targeted towards workforce development
and ensuring that employees are better-
equipped to work in compliance with
sustainability. Initiatives across Tawfik’s
regions of activity, such as the Central
Eastern Europe, Middle East, and Africa
Academy, help organisations understand
ESG as they should see it through their
business lens.
Furthering this, the company
provides SMEs with the necessary
digital technologies to respond to the
challenging world sustainably. The
emergence of artificial intelligence (AI)
and tools like its Azure and Azure IoT
regardless of their size,” says Tawfik. “It’s Hub, assist companies in monitoring
about democratising technology access, ecosystem changes and creating models
seen as a critical booster of productivity, based on climate and human behaviour.
and making sure that small-to-medium “Through these avenues, Microsoft
enterprises (SMEs) are central to this ensures that SMEs are not just
transformative journey.” beneficiaries but also contributors in
With technologies in place, onboarding the journey towards sustainability,”
is necessary to allow, hopefully, a diverse says Tawfik. “Empowering SMEs is aligned
workforce to learn the system and the with Microsoft’s mission, embodying
company’s approach to sustainability a dedication to the 3Ps by democratising
reporting and analysis. To this point, technology access and knowledge,
there are three key ways in which firms ultimately fostering a sustainable and
can combine technology with their inclusive future.”
sustainability efforts.

sustainabilitymag.com 69
ESG

The first one is to embrace it. From of them exploratory; showing promise for
the perspective of Microsoft, it’s about sustainable improvement nonetheless.
companies working with providers that align Tawfik believes that innovation is at heart
their goals and have the solutions to support. of any progressive sustainability strategy.
“Leveraging Microsoft’s Cloud Services, “Simulating real-world scenarios through
businesses can tap into sustainable practices Digital Twins and exploring the Industrial
that lead to a whopping 98% reduction in Metaverse, businesses can experiment,
emissions compared to traditional IT setups. innovate, and drive sustainability
It’s about ensuring that the tech backbone of seamlessly. Microsoft, for instance,
a company is geared towards sustainability provides businesses with the opportunity
right from the start,” says Tawfik. to mirror and migrate their processes within
“Next, it’s essential to prioritise advanced Digital Twins and Metaverse
measurement using advanced digital tools. environments, fostering innovation and
Having accurate, intelligent, and analytic sustainability simultaneously.”
data is the cornerstone of making real
progress. Businesses should transition from Partners are the enablers of the 3Ps
rudimentary Excel-based reporting to more “Partnership and collaboration are like
sophisticated tools that allow for automation the secret sauce in bringing the 3Ps –
and trend identification. This shift ensures People, Planet, and Profit – to life. No single
that sustainability efforts are not just organisation can claim to have access to
tracked but are also strategically aligned everyone or hold the keys to all methods
for impactful decision-making.” of sustainability. The beauty of partnership
The final point addresses some of the lies in its foundation: it’s about coming
most advanced solutions for visualising together and pooling diverse resources,
a company’s sustainability footprint—some ideas, and energies.”

SHERIF TAWFIK the Chief Sustainability Commercial


Officer for Microsoft in Central, Southeast
TITLE: C
 HIEF SUSTAINABILITY Europe, Middle East, and Africa, Sherif
COMMERCIAL OFFICER
leads the region’s commercial and go-to-
CENTRAL, SOUTHEAST EUROPE,
MIDDLE EAST, & AFRICA market strategy for Microsoft Cloud for
Sustainability. His contributions play a
COMPANY: MICROSOFT
vital role in advancing the company’s
INDUSTRY: SOFTWARE DEVELOPMENT mission of “empowering every person
LOCATION: UNITED ARAB EMIRATES and every organization on the planet to
achieve more”. Leveraging the power of
Sherif is a highly accomplished Senior Tech technology, digital transformation, and
Sector Executive with an impressive career innovation, Sherif harnesses Microsoft’s
spanning over 25 years, overseeing diverse resources to drive positive change
geographical regions. Currently serving as towards a healthier planet.

70 December 2023
Use more image
captions as often
as possible
ESG

“EMPOWERING
SMES IS ALIGNED
WITH MICROSOFT’S
MISSION, EMBODYING
A DEDICATION TO THE
3PS BY DEMOCRATISING
TECHNOLOGY ACCESS
AND KNOWLEDGE”
SHERIF TAWFIK
CHIEF SUSTAINABILITY
COMMERCIAL OFFICER, MICROSOFT

“Just think about it: one of the key


elements of the ‘People’ aspect is the
celebration of diversity, inclusion, and
equality. This spirit of togetherness and
embracing different perspectives is
exactly what partnership is all about.”
Partnership should be more than just
a commercial endeavour. As sustainability
takes precedence, businesses at the
forefront of the digital era have the ability
to show SMEs how to adapt to these
changes. This also opens the door to lessons
in both directions as, what Tawfik suggests,
companies can learn valuable lessons from
each others’ strengths.
“Why is teamwork so crucial?,” he asks,
answering: “When organisations join forces,
they can leverage each other’s strengths,
knowledge, and resources. It’s like putting
together pieces of a puzzle. One company
might have groundbreaking environmental
practices, while another may excel in
ensuring worker well-being. Together,
they can create a complete picture of
sustainability, addressing all 3Ps more
effectively.”

sustainabilitymag.com 73
SAP’S JOULE
TAKING SUPPLY
CHAIN AI TO
THE NEXT LEVEL
WRITTEN BY:
SEAN ASHCROFT

PRODUCED BY:
GLEN WHITE

74 December 2023
sustainabilitymag.com 75
SAP

Darcy MacClaren, Chief Revenue Officer for SAP


Digital Supply Chain, on why Joule takes AI out of
the sandbox and places it at the heart of businesses

I
n launching Joule – SAP’s natural- “This capability is now available across the
language, generative AI ‘co-pilot’ SAP portfolio, and it’s going to be incredibly
– SAP CEO Christian Klein spells important to supply chains,” she says. “You
out how it has the power to redefine can interrogate Joule. You can ask questions
both the way businesses and people such as, ‘Were there any issues in my last
work. “Joule will know what you mean, not supply planning run?’ Joule will then let
just what you say,” Klein tells the world. you know what’s going on in your planning
Joule will be embedded throughout cycles, and what you need to do about
SAP’s cloud enterprise portfolio, and it. It will make suggestions by comparing
is aimed at the estimated 300 million different planning runs.”
enterprise users around the world who
work with SAP cloud solutions. It is built to SAP ‘will become the
deliver proactive and contextualised insight largest AI enterprise bar none’
from across the breadth and depth of SAP Because AI is embedded across its
solutions and third-party sources – and solutions, MacClaren explains that Joule “is
one area in particular is set to reap huge set to make SAP ‘the largest AI enterprise
benefits from it: supply chain. out there, bar none’.”
Darcy MacClaren, Chief Revenue Officer “Supply chain is the key area where
for SAP Digital Supply Chain, says: folks are using AI for,” she adds. “Joule can
“AI has the potential to revolutionise contextualise data from multiple systems.
supply chain management because it’s This results in insights that help people get
going to enable better decision-making, work done faster and drive better business
improved efficiency, reduced costs and outcomes in a secure, compliant way.”
meaningful sustainability initiatives. As “Think of well-known consumer apps that
AI becomes more accessible, we will see have AI embedded, such as Siri, Uber and
increased adoption and integration of Microsoft Office,” says MacClaren. “We have
it across supply chain operations. It’s that now in SAP. Our mission is to enable
a game changer.” and accelerate the adoption of AI to create
Based on an understanding of business value. It’s infused in the business
a customer’s processes, Joule is able process, and that’s what SAP’s business AI is.
to provide the customer not only with It’s an integrated feature.
intelligent insight, but can also make “We are also exposing business AI to
recommendations designed to extend services through our business
deliver outcomes faster. technology platform.”

76 December 2023
sustainabilitymag.com 77
SAP

WATCH NOW

MacClaren is in no doubt that Joule – Making supply chains resilient ‘is our goal’
and SAP’s wider business AI offerings – She and her team are responsible for
are milestone events for supply chain, working with SAP customers to help
a discipline in which she has been transform their supply chains to be
involved for more than 25 years. resilient, risk proof, and agile.
She joined SAP 12 years ago. Unlike “We’re the point of contact between
many in the supply chain, MacClaren has SAP and our audience,” she says, adding:
an economics rather than engineering “As Chief Revenue Officer, I am on the
background, and also gained an MBA customer side of things. But there is also
early in her career when she was with a solution and marketing aspect to what we
Hewlett-Packard, where she worked in the do, and we’re also involved with engineering
manufacturing technology space. product development. We work together to
At SAP, MacClaren is responsible for the determine the go-to market for the supply
go-to market for SAP’s digital supply chain chain at SAP globally.”
solution set. “It’s what we call ‘design to Throughout her career, MacClaren
operate’,” she says. “It’s basically everything has developed deep experience in building
from how a company designs its products and scaling niche supply chain companies.
to how it plans, schedules, manufactures, She started out with a planning and
delivers and operates.” scheduling company, whose solutions

78 December 2023
“SAP’S ALWAYS
BEEN POSITIONED
BETWEEN TECH AND
BUSINESS, AND WE’RE
NOW APPLYING THAT
TO REALLY SEIZE THE
OPPORTUNITY OF AI”
DARCY MACCLAREN
CHIEF REVENUE OFFICER,
SAP DIGITAL SUPPLY CHAIN

DARCY MACCLAREN
TITLE: CHIEF REVENUE OFFICER
INDUSTRY: S
 OFTWARE
DEVELOPMENT
LOCATION: UNITED STATES

Darcy MacClaren is a strategic global


leader who has spent 30 years
growing, differentiating, and improving
businesses through technology
transformation with a focus on supply
chain. She has held various leadership
roles at SAP over the last ten years,
most recently serving as the Senior
Vice President of Digital Supply
Chain and Industry 4.0 for SAP North
America. Today, she serves as Chief
Revenue Officer of SAP Digital Supply
Chain, overseeing the global supply
chain business.
SAP

82 December 2023
“A BUSINESS MUST
CONSTANTLY BE
WORKING ON ITS
DATA. IT’S A JOURNEY,
NOT A DESTINATION”
DARCY MACCLAREN
CHIEF REVENUE OFFICER,
SAP DIGITAL SUPPLY CHAIN

now reside at Oracle, and has also worked


across most of the ‘design-to-operate’ pillars,
including planning, transportation, and design.
MacClaren finds the potential of Joule
“exciting and inspiring,” and feels the same
way about supply chain in general.
“From the beginning, I just loved supply
chain,” she says. “I loved the mathematical
complexity of it, and I loved how it could be
optimised and the strategic decisions that
are made. It made me realise how powerful
and important the supply chain is in any
business.”
At SAP, MacClaren is on a self-declared
mission to work with customers to transform
their supply chain – something she sees as
a global imperative. “Supply chain always
was very important,” she says, “but the
pandemic brought it to the forefront of
people’s thinking, both at boardroom
and government level.”
Continuing with this theme, MacClaren
points out that the release of Joule comes
at a time when the stock of supply chain
executives has never been higher – their
influence at board level never stronger.
“CEOs are now being recruited from the
supply chain side of the business because
supply chain execs understand the entire

sustainabilitymag.com 83
Activate your purpose
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supply chains. Transform your organization into a Kinetic
Enterprise™—anticipate change, adapt swiftly and empower
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Use more image
captions as often
as possible

organisation and what runs it,” she says. “If you look at our warehouse management
“A study we did recently with Oxford solutions, we use AI for intelligence slotting,”
Economics shows how important it is in she says. “This optimises warehouses through
today’s world for businesses to make supply stock replenishment, based on product
chain the heart of any business strategy, characteristics, product demand and sales
because of the seemingly never-ending forecasts.”
run of disruptions. It must never be an She adds: “Then if you look at generative
afterthought.” AI in transportation, it examines goods
With Joule now turbo-charging SAP’s received and delivery notes, and optimises
solutions, senior supply chain executives which loads you should unload first. So it’s
are set to bring a greater degree of insight quite powerful.
and control to the boardroom. “Demand planning customers, meanwhile,
are using market data promotion, weather
SAP solutions have AI and ML at their core calendars, and tens of thousands of data
MacClaren reminds us that SAP’s solutions points with machine learning to create
have for some time been built on AI and forecasts by country, which makes it far
have offered machine learning capabilities. more efficient.”

sustainabilitymag.com 85
SAP

Of course, SAP does not work in a vacuum, innovation across their supply chain.
but within a collaborative ecosystem far SAP RISE is a complete offering of
greater than the sum of its parts. One key cloud solutions, infrastructure and
SAP collaborative partner is Deloitte, who services that helps businesses migrate
recently expanded its deployment of SAP SAP ERP. Deloitte now has RISE
Business Technology Platform, an open cloud Premium Supplier designation, which
solution with data management, analytics, AI, increases the breadth of the SAP cloud
IoT, blockchain and application development services that the company is able to
services to help connect companies. bring to its clients.
Deloitte has also expanded its SAP RISE “We have a deep commitment to
deployment so companies can access working closely with SAP to empower

86 December 2023
supply chain transformation in pursuit of means AI “is no longer just a sandbox
business agility and resilience,” a Deloitte pilot but the beating heart of your business.”
spokesperson says. “We look forward to SAP partner – IT implementation
continuing to support our joint clients specialist, LeverX – also lauds the power
through the waves of industry change, of Joule, with company Chairman and
with SAP as a prized collaborator.” Co-founder Victor Lozinski saying that Joule
Pointing out that Joule takes the “provides new-found capabilities that enable
power of SAP’s solutions to another SAP customers to improve the decision-
level. MacClaren Echoing Klein that making process, accelerate problem
Joule knows what you mean, not just resolution, and determine the sustainability
what you say, she explains that Joule quotient of their delivery operations.”
SAP

`He adds: “The world of logistics faces


several hurdles throughout the delivery
process, impacting efficiency, transparency,
and overall costs.
“The growing and dynamic power of AI
can address these challenges and bring
to life groundbreaking solutions that
revolutionise the entire supply chain
landscape. By leveraging SAP Digital Supply
Chain, companies can orchestrate and
monitor all delivery cycles in real-time.”
Another SAP partner to welcome the
introduction of Joule is Camelot ITLab,
a leading SAP consultancy for digital
supply chain management.
A Camelot ITLab spokesperson said: “The
impact of AI in supply chain is not limited to
a specific function, but offers transformative
benefits across the entire design-to-operate
process.
“With its generative AI application Joule,
SAP will dramatically change how businesses technological curve – marooned in a world of
run, and it marks a new era of transformation siloed data and offline spreadsheet analysis.
and innovation. Joule will be a game changer For MacClaren and her team, guiding
for SAP’s Digital Supply Chain customers.” such business through their transformation
But of course, many businesses currently journeys is central to what they do.
have no access to this game-changing “Like many areas of business, supply
AI power, because they are behind the chain practitioners are very comfortable
with Excel, which they use for offline data
manipulation,” says MacClaren. “This is
why SAP uses Excel-like interfaces, the big
“JOULE MEANS AI IS difference of course being that our solutions

NO LONGER JUST A are dealing with live data accessible in the


cloud when the business user needs to make
SANDBOX PILOT BUT game-time decisions.”
THE BEATING HEART She adds that as well as weaning supply
chain folk off Excel, SAP solutions help them
OF YOUR BUSINESS” move away from departmental silos, to be
more collaborative – both within their own
DARCY MACCLAREN organisation and externally.
CHIEF REVENUE OFFICER, “If you are a demand planner, you need
SAP DIGITAL SUPPLY CHAIN
to be communicating with supply planning,”
says MacClaren. “Design needs to be

sustainabilitymag.com 89
communicating with manufacturing, which
needs to communicate with logistics – and
they all need to be communicating with one “AI HAS THE
another as part of a digital thread.”
POTENTIAL TO
Disparate technologies REVOLUTIONISE
can affect data quality
As for the many businesses that have already
SUPPLY CHAIN
embarked on transformation, they too face MANAGEMENT”
barriers to progress.
“A business must constantly be working
on its data,” she says. “It’s a journey, not a DARCY MACCLAREN
CHIEF REVENUE OFFICER,
destination, and the more a company uses SAP DIGITAL SUPPLY CHAIN
disparate technologies the more important
it is that it keeps that data clean.”

90 December 2023
SAP

One of the most important things do that, and we take it very seriously.
SAP helps its clients with, says MacClaren, That’s what I really enjoy about it. The
is clean data. impact supply chain has across society,
“Look, data is never going to be 100% globally.
clean but you have to start the journey “When you add our existing capability
of cleaning it as soon as possible, and of to natural-language AI it is going to be
course we have a lot of machine learning truly transformational.
tools to help here.” “SAP has always been positioned
Whatever stage a business is at on its between technology and business,
transformation journey, MacClaren says and we’re now applying that to our
her team’s aim is the same: “We want to long standing customers to really
delight the end consumer, and do it in seize the opportunity of AI.
a sustainable and cost-effective way.
“We have a strong sense of ownership
and responsibility in helping companies

sustainabilitymag.com 91
DE&I

SUSTAINABILITY CAREERS
BREED DIVERSITY IN
BUSINESS AND SOCIETY
Following on from Sustainability LIVE london,
we’re tapping into key insights from the Women in
Sustainability panel about leaderships and gender roles

WRITTEN BY: TOM SWALLOW

W
hat defines the perfect be perceived as a means of bringing female
sustainability leader? Perhaps it’s leaders to the fore, but also recognising the
someone with a significant level potential of a diverse leadership in altering
of empathy towards the climate scenario the course of an unsustainable business.
and the social implications of business as However, such a conclusion also throws
opposed to a die-hard activist. out questions around work-life balance,
Over the years there have been many particularly among parents in executive
types of scrutiny among very passionate roles where preconceived ideas about
people in the world as to whether the family dynamic are under question.
sustainability is truly achievable, but
more pressingly whether authorities A non-traditional approach
and businesses are doing enough to to diversity in the workplace
eliminate the possibility of a 1.5-degree When was it deemed necessary for men
temperature rise. to work a living and their wives to remain
Such a challenge hinges on great at home with their children? This is the
leadership, but not in the historical sense. conundrum that has plagued society for a
While a militant approach to major while and led to an overwhelming majority
challenges might have worked for countries of male representation in leadership. With
in the past, now is the time for more that said, the women of industry are certain
empathetic leaders to take charge, making that women have a role to play in developing
necessary changes environmentally and sustainability in the time frame presented
socially. by the Paris Climate Agreement – along with
The movement for empowering women many ethical practices required to shape a
is becoming more than what may previously future of global equity.

92 December 2023
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“Diversity leads to greater innovation. to climate change. We have to look at ways


It’s always combing back to that stat that to innovate in totally new ways. If we don’t
we all know – we’ve all seen the report – do that, then ultimately we will all fail.”
but ultimately because we’re dealing with The ‘ways’ that Mills refers to are the
some huge social issues and our societies efforts to promote diversity and understand
are made up of all different types of people,” that employment is not about who fits
says Katie Mills, Head of Zeigo Power at the mould of society, but who has the
Schneider Electric, and a keen advocate right passion, mindset and expertise to
of workplace diversity. develop business’ sustainability strategies,
“Ultimately, we’re failing right now. We and women in particular are seen as more
haven’t reached our targets when it comes empathetic in many cases.
According to Michelle Davies, Global Head
of Sustainability at EY Law, a sustainability
leader should not be confined to a single
role. The position that person plays within
an organisation is to embed sustainability
in conversations among all internal
stakeholders.

“ULTIMATELY,
WE’RE FAILING
RIGHT NOW.
KATIE MILLS
TITLE: H
 EAD OF ZEIGO POWER WE HAVEN’T
COMPANY: SCHNEIDER ELECTRIC
REACHED
OUR TARGETS
INDUSTRY: ENERGY
LOCATION: UNITED KINGDOM

Mills is the Head of Zeigo Power for the WHEN IT COMES


TO CLIMATE
Schneider Electric Sustainability Business
and her role focuses on democratising

CHANGE”
the Green power purchase agreement
(PPA) market. Prior to this, she co-founded
CarbonFix, a business manufacturing
semiconductors for the renewable
KATIE MILLS
energy sector. HEAD OF ZEIGO POWER,
SCHNEIDER ELECTRIC

sustainabilitymag.com 95
MICHELLE DAVIES
TITLE: G
 LOBAL HEAD OF
SUSTAINABILITY
COMPANY: EY (LAW)
INDUSTRY: CONSULTING
LOCATION: UNITED KINGDOM

Michelle Davies is a partner at EY and the


Global Head of Sustainability within its
legal division. She advises clients across
the energy sector on transitioning to a
cleaner future, alongside further aspects
of sustainability among corporates.

“If it is only compliance and they’re


not responsible for infusing sustainability
throughout the entire organisation, which
means having a greater impact on strategy,
a greater impact on value driven strategies,
if it’s just compliance, they’re not going to
get a significant budget,” says Davies.
The key point here being ‘budget’ whereby
the consensus is that women are unlikely to
be awarded significant funding for major or
high-risk business activities over their male
counterparts.

96 December 2023
DE&I

“I THINK IT IS
INCUMBENT
UPON US AS
LEADERS WITHIN
OUR OWN
ORGANISATIONS
TO HELP
WOMEN SEE
THAT IT IS
A BALANCE”
MICHELLE DAVIES
GLOBAL HEAD OF SUSTAINABILITY,
EY (LAW)

“It can’t be that you have a sustainability


lady walking around asking people, ‘could
you please maybe incorporate sustainability
criteria in procurement or we need to invest
this in renewable energy,” says Angela
Hultberg, Global Sustainability Director
at Kearney.
“It doesn’t work. They need to have
a mandate also to influence the business
strategy, not a sustainability strategy, but
a sustainable business strategy.”
This point highlights one of the concerns
among women, and in fact all advocates of
women in sustainability roles, businesses
can be very subjective in the way they
treat male leaders versus women. This isn’t
just bad for business from a diversity or
image perspective, but will likely hinder the

sustainabilitymag.com 97
Use more image
captions as often
as possible
DE&I

performance of sustainability strategy.


This is somewhat alarming as there are
only two ways this scenario can go.
Either women are less respected in the
workplace due to the lack of progress –
a result of smaller budgets – or they are led
down treacherous paths in order to show they
are worthy of the support they need. However,
listening to some of influential women working
in sustainability, their drive to take action is
what allows them to power through adversity. JOANNA BONNETT
TITLE: S
 USTAINABILITY
Addressing the expectations COMMITTEE MEMBER
of females in society
COMPANY: PAGEGROUP
As the carriers of the next generation,
historically women have found it difficult INDUSTRY: RECRUITMENT
to pursue careers of influence, which has LOCATION: UNITED KINGDOM
also presented challenges for a diverse
group of individuals – minority, sexuality Joanna Bonnett is recognised as the
and other factors of discrimination Outstanding Corporate Treasury D&I
creeping into the workplace. Leader of 2019, championing diversity
The ladies of the industry, as seen and inclusion. She demonstrates key
in the Women in Sustainability panel skills in process improvements, business
as Sustainability LIVE London, are keen to partnering, and team-building. Joanna
address the idea of not role-reversal, but also focuses on creating ESG value and
role equality. Not only does maternity has recently taken on roles as President
pose risks to their careers, but it can also and Chair.
put many female leaders on the back foot
if their work and personal environments
show little incentive to develop their careers her family dynamic is very untraditional,
– this goes for any industry. therefore proving that roles can shift.
Listening to the women on stage, “I don’t know my children’s shoe size.
it becomes apparent that work-life I learned one of them because one of my
balance isn’t just about managing tasks, daughters has the same shoe size as me
but also creating a new understanding and she broke one of my heels. So I learned
of parental roles. it in an indirect way,” Bonnet says.
“I think it is incumbent upon us as leaders “I don’t know my youngest children’s shoe
within our own organisations to help women sizes, I never have. That’s not my role within
see that it is a balance. If they want their the family. But it is also about making sure
careers to progress, there are certain things that others that are coming up understand
that they will need to do,” says Davies. that, ‘well, that’s my life. This is what I’ve
Joanna Bonnett, Sustainability Committee done’. Maybe that‘s the same for them,
Member at PageGroup, then divulges that maybe it’s not.”

sustainabilitymag.com 99
DANFOSS DRIVES

DANFOSS
DRIVES:
THE JOURNEY TO NET ZERO
AND ENERGY EFFICIENCY
WRITTEN BY:
HELEN ADAMS

PRODUCED BY:
BILLY EVANS
sustainabilitymag.com 101
DANFOSS DRIVES

D
Danfoss Drives’ Chief anfoss Drives is a member
of Danfoss Group, a Danish
Technology Officer family-owned company, with
Janne Kuivalainen 42,000 employees, sales in
explores the company’s more than 100 countries and
factories in more than 20. Danfoss Group
net zero goals, is a powerhouse in energy efficiency and
energy efficiency and electrification, with sustainability at the
decarbonising industries very centre of the company.
“We are present all around the globe, but
we are well-known to few,” explains Chief
Technology Officer, Janne Kuivalainen.
“Our ambition is to become our customer’s

102 December 2023


preferred choice partner in decarbonisation those companies that owned both power
and we want to create long-term value for plants and factories consuming the electric
our stakeholders, customers, employees, energy. They started to look at the dynamic
shareholders and partners as the global optimisation of electricity production and
leader in energy efficiency.” consumption. This is a reality today with
Kuivalainen began working in the distributed energy production.”
hydroelectric power plant business with Kuivalainen also explored the early days
ABB, where he learned about the merits of of the industrial ethernet, before joining
dynamic optimisation of energy production Vacon Plc in 2005, which he found to be an
and that high reliability and availability are exciting journey, with the growth of versatile
key drivers for success. and dedicated solutions. Kuivalainen was the
“Energy production optimisation started Global Head of Research and Development,
to raise its head in the 1990s, specifically for when Vacon was acquired by Danfoss.

sustainabilitymag.com 103
DANFOSS DRIVES

JANNE KUIVALAINEN
TITLE: CTO, HEAD OF TECHNOLOGY
COMPANY: DANFOSS
LOCATION: FINLAND

Janne Kuivalainen is CTO of


Danfoss Drives business, a global
leader in AC/DC and DC/DC power
conversion, as well as variable speed
control for electric motors.
He is a strong advocate of search
solutions by offering dynamic and
impressive products as innovation
platforms for customers. Before his
current position, he served as Head of
Product Management & Development.
Earlier in his career, he has headed
technology with ABB Marine & Ports
and R&D with Vacon Plc next to being in
power generation sales with ABB. He is
passionate about learning, lean, equality
and sustainability.
Now, the biggest challenge in
Kuivalainen’s role is ensuring an effective
and efficient working environment, from the
CEO’s office to the factory floor.
“We are very aware that we have had great
success in working effectively and efficiently
across our teams, and with our people,
to help all of us understand the business
better every day. I want to emphasise that
next to the leaders, we need top-notch
key-knowledge experts who are able to
then pick up the right priorities, organise
efficiently and be inspirational and
motivational to their surroundings.”
So far, Kuivalainen’s proudest
achievement has been scaling and
organising electrification businesses.
“We have a fast-emerging business in Danfoss Group committed to reducing
electrification,” he explains. “I set up a its emissions to 46.2% of the absolute scope
dedicated team with a startup mentality of Scope One by 2030, 2019 being the base
in 2019, to make room for specific year. The company has also committed to
exploration. The green transition has been reducing absolute Scope Three emissions
gathering momentum in recent years, and by 15% in the same timeframe.
following the ambidexterity principles for “We have decided that, to reduce our
businesses, our team was able to become Scope One and Two to zero by 2030, we
a business unit in the beginning of 2023.” must use energy-efficient measures, reuse
excess heat from the process and source
Net zero pathways and software renewable energy.”
engineering create energy efficiency As a last resort, the company will offset
Danfoss Group has one of the world’s its emissions.
strongest portfolio components for Danfoss Group has a three-step approach:
decarbonising the three most emission- Reuse, Reduce and Recirculate, which
intensive sectors: industry, transport Kuivalainen views as a method of medicine.
and buildings. The company is introducing

sustainabilitymag.com 105
By Scott Parent, VP & Field
CTO, Energy, Aerospace,
and Industrial, Ansys

World-class companies use Ansys


Achieving sustainability goals that are crucial to the long-term health of
this planet involves consuming fewer of our current resources so more
will be available to future generations. Simulation enables companies
to save resources, energy, and emissions before products are ever
built, and build more energy-efficient products and processes. Digital
engineering is key to meeting these goals. It encompasses the design,
simulation, optimization, and operation of systems and processes
over their life cycles. Two major concepts of digital engineering are
sustainability by design and digital twins. Simulation is essential to
both concepts.

Sustainability by Design
Incorporating sustainability into the design process from its earliest
phases is important because more than 80% of a product’s
cost, material requirements, and ecological impact are
determined during the development and design cycle.

Simulation is crucial to sustainability by design. Using


Ansys Granta MI materials database software can help
engineers reduce the carbon footprint of a product by finding the
best material for the application based on its physical properties and
recyclability. Ansys Mechanical can help optimize both the volume and
the topology of a component to use as little of the material as possible.

Digital Twins
By implementing Ansys Twin Builder, you can improve top-line revenue,
manage bottom-line costs, and both gain and retain a competitive
advantage. This enables organizations to track the efficiency of the
process and monitor any wear and tear. Using software like Ansys Twin
Builder, engineers can run simulations on the digital twin to determine
any interventions necessary to increase the efficiency or extend the
lifetime of the physical mechanism. In many instances, a longer lifetime
can mean better resource utilization.

Digital engineering, with simulation at its core, is key in helping to


ensure sustainability in product design and operation.
108 December 2023
DANFOSS DRIVES

WATCH NOW

the Danfoss circularity framework of one very public reference, which is its
(Rethink Reduce Recirculate) as an integral Project Zero – a public-private partnership
part of its new product development. in the south of Denmark.
By 2030, Danfoss’ ambition is to apply “Since 2007, Project Zero has been
it to all product development. able to cut 50% of emissions in the city
According to Kim Fausing, Danfoss of Sonderborg. That’s a reduction from
President and CEO of Danfoss Group, 700 tonnes to 339 tonnes of CO2, from
“A third of the reduction needed in 2007 to 2020.”
energy-related CO2 emissions this decade
according to the IEA Net Zero by 2050 Software engineering in the age of
scenario must come from improvements digitalisation, cybersecurity and IoT
in energy efficiency. The good news is that Software engineering is not what it used
the solutions are there to improve energy to be. Digitalisation comes with industrial
efficiency in all sectors. We don’t need to internet connectivity, cybersecurity and
wait. We need action because the greenest data privacy, which is also an important topic
energy is the energy we don’t use.” in the business environment. Kuivalainen is
It is not about how much new green tasked with working out how to improve and
energy can be produced, but how the manage this in a sustainable way.
company can use the energy it has in a much “We have applied DevOps to the
more efficient way. Danfoss Drives is a part embedded systems. The IT industry has

sustainabilitymag.com 109
Hardware-in-the-Loop
Based Digital Twins
for Motor Drives

*An example motor drive schematic.

Drive your competitiveness Empowering Danfoss


with Hardware-in-the-Loop MyDrive® HIL Digital Twin
based models: users by:
▪ Streamline embedded software testing ▪ Reducing digital controller testing and
and lifecycle maintenance for motor integration time from days to hours.
drives.
▪ De-risking motor drive integration and
▪ Enable continuous testing and agile interoperability challenges.
DevOps processes.
▪ Streamlining product lifecycle maintenance
▪ Integrate component design and testing with virtualized simulation.
with system integration and
interoperability testing. ▪ Automated testing of new software updates
and upgrades.
▪ Supercharge product lifecycle with
portable HIL based digital twins.

https://www.typhoon-hil.com/
https://www.typhoon-hil.com/
Typhoon HIL
https://www.typhoon-hil.com/
https://www.typhoon-hil.com/
https://www.typhoon-hil.com/
DANFOSS DRIVES

“To reduce our been using DevOps in development and


integrated operations for quite a while.”
emisssions we The company has now applied that
to the embedded software, which requires
must use energy hardware-software integration, so that

efficient measures,
Danfoss Drives can carry out testing
seamlessly.

reuse excess
Danfoss Drives has been using solutions
offered by its partner, Typhoon HIL, in

heat and source the hardware-in-the loop (HIL) testing.


Continuous integration and delivery requires
renewable energy” investments in testing.
“We applied robotic process automation
for testing and lifecycle requirements, for
JANNE KUIVALAINEN example, due to cyber security, which meant
CTO, HEAD OF TECHNOLOGY,
DANFOSS that we needed to create an architecture
that has these elements built in, so that it’s
easy to maintain.”
Kuivalainen knows that Danfoss Drives
can increase the performance on a
continuous basis for years to come.
“If I look back to the product itself, we
have decided on more extensive use of

sustainabilitymag.com 111
DANFOSS DRIVES

“It has been great


to work directly
with customers
and look at
different optimised
systems there”
JANNE KUIVALAINEN
CTO, HEAD OF TECHNOLOGY,
DANFOSS

modelling and simulation. This depends very


much on the different physics like thermal,
vibration, and EMC simulations.”
Danfoss Drives can generate the software
itself for the product, but also the simulation
models needed for digital twins, at the same
time, from the same source code.
“We envisioned the benefits to ourselves Electrification in manufacturing,
regarding simulation and modelling-based sustainability and energy
engineering. It has been great to see how we Danfoss Drives electrification solutions
can use it with our customers now. can be used across the manufacturing,
“Requirements by both customers sustainability and energy sectors. The
and regulators will change regarding company has firm ESG targets, ranging
embedded software. Cybersecurity and data from implementing Net Zero to a radical
management requirements and regulation reduction of greenhouse gases.
will also continue to develop.” “We found out there are tools and very
Kuivalainen anticipates that updates will much our own products, for this, readily
become more common over the lifecycle available, which are financially profitable.
of a product and they need to be controlled, Financing of companies is becoming
safe and secure. increasingly dependent on how well they
“I see that the best practices of it, for do on their ESG journey.”
example, the DevOps type of operating In manufacturing industries, Danfoss
model is coming into the development Drives brings the solutions in electrification
of embedded systems as well. It’s a reality to the site level, enabling tangible savings
for us today.” in decentralised conveyor systems,

112 December 2023


sustainabilitymag.com 113
DANFOSS DRIVES

providing drive solutions for local


battery-energy storage systems and
advanced drive arrangements.

Danfoss Drives and Ansys collaboration


empowers digital transformation
Danfoss Drives’ collaboration with Ansys
started over a decade ago. As the leading
provider of multiphysics simulation software,
Ansys has the engineering expertise and
comprehensive solutions needed to help
innovators push boundaries by using the
predictive power of simulation.
“What we value with Ansys is their
responsiveness in tool development,”
said Kuivalainen. “Optimisation requires
high fidelity modelling and simulation.”
Throughout Danfoss Drives’ digitalisation
journey, Kuivalainen noticed a barrier
to entry for new users of the high-end
simulation tools, which could be difficult
to understand. This caused a bottleneck
for product development.
But with Ansys simulation solutions,
such as Ansys Discovery, users can quickly
understand how to use the tools; achieve
fast, high-fidelity results; and explore
multiphysics and multiple physics scenarios.
“With Ansys, we can democratise the in the design process. This saves time and
simulation, making it more available, effort on prototyping as users can explore
so that customers get the right support hundreds of design concepts virtually in the
to get started.” time it would take to build and test just one
With Ansys Discovery, Ansys Mechanical, physical prototype.
Ansys Fluent, Ansys Icepack and Ansys Danfoss Drives is also co-innovating
SIwave, Danfoss Drives can combine fast, with customers with help of simulation
accurate physics simulations that are easy and modelling.
to use, meaning that this digitalisation is “We started to pivot systems in our own
democratised. For example, Ansys Discovery application development centres with a
features interactive modelling and multiple customer facing platform. We have physical
simulation capabilities, which enable users locations, where we can go to innovate
to answer critical design questions early and develop solutions with our customers.”

114 December 2023


“We can help our customers run
earlier full scale virtual testing and
performance assessments before
they have any physical hardware
realised for their product”
JANNE KUIVALAINEN
CTO, HEAD OF TECHNOLOGY,
DANFOSS

sustainabilitymag.com 115
DANFOSS DRIVES

Danfoss Drives has


made a commitment to
reduce its emissions,

46.2%
of absolute scope of Scope One,
Two GHG emissions by 2030,
2019 being the base year

Danfoss Drives has committed


to reducing absolute Scope
Three emissions by

15%

Danfoss Drives provided hardware in


the loop solutions, which Kuivalainen has
found rewarding.
“It has been great to work directly with
the customers and look at different
optimised systems there. We can see how
greatly we can help our customers to speed
up productive development and run earlier
full-scale virtual testing and performance
assessments before they have any physical
hardware realised for their product.”
Simulation and digital engineering help and being responsive to change. The
to transform business at Danfoss Drives, as simulation and modelling products Danfoss
the company can start work much earlier Drives offers to its customers is based on
with its customers looking to develop their the customers’ needs.
next generation of products or systems. For the next year at Danfoss Drives,
Simulation and modelling systems Kuivalainen will continue to be more
support software solutions like Ansys effective in bringing the message to the
Twin Builder which helps the customers market of energy savings and opportunities
to integrate, no matter what tools they available through the Drives solutions.
are using. “The journey continues, while we look
“Simulation modelling helps customers at how we can use the same technologies
to build better solutions.” internally, to drive better quality and
Danfoss Drives makes this easy for productivity,” said Kuivalainen.
its customers, co-developing tools with
customers, reaching out and piloting with
the customers to understand their needs

116 December 2023


IS CARBON OFFSE
REALLY A SUSTAIN
NET - ZERO SOLUT
NET ZERO

Carbon offsetting allows


companies to meet sustainability
and carbon neutrality targets,
but will it ever really be part of
a successful net-zero strategy?

WRITTEN BY: CHARLIE STEER-STEPHENSON

C
arbon offsetting continues to stir
debate in the world of sustainability.
The process involves investing in
environmental schemes that set out to reduce
greenhouse gas (GHG) emissions elsewhere in
the world, therefore allowing
a company to compensate for its own release
of carbon into the atmosphere. Recently,
carbon offsetting has come under scrutiny
due to the controversial nature of this
‘counterbalancing’ premise; we
are increasingly being urged to consider
whether it’s actually just another form
of greenwashing.
The practice of carbon offsetting involves
companies purchasing ‘carbon credits’ from
project developers like Green Mountain
Energy, which are then used to fund different
carbon offsetting projects. one credit = the
equivalent of one tonne of carbon dioxide.
There are three main categories
of offsetting projects:

ETTING
• Carbon removal projects, aiming to remove
emissions already in the atmosphere (e.g.
afforestation or direct air carbon capture).

NABLE
• Avoidance projects which aim to avoid the
release of emissions (e.g. nature-based
conservation schemes to prevent forest

TION?
destruction).

• Reduction projects which aim to reduce the


amount of emissions released (e.g. circular
waste management programmes).

sustainabilitymag.com 119
ECO-ACTION
MADE EASY.

The all-in-one tool to engage employees


in volunteering and sustainability action.

Find out more


NET ZERO

“CONSUMERS With over 25,000 registered carbon


projects available, companies that are
WANT MORE unable to cut out all emissions can still strive

CLARITY, BETTER
to meet their goal of carbon neutrality.
However, the contribution of carbon
EXPLANATIONS, credits is minor compared to the global-
scale of change needed to reduce carbon
CLEARER CLAIMS emissions. As a result, the practice has been

AND MORE criticised as a greenwashing technique that


allows companies to pay-off their actions
EVIDENCE” and continue releasing harmful emissions
into the atmosphere. Let’s take a look
JOHN NEWTON at some top companies whose carbon
DIRECTOR, offsetting practices can give us more
CARBON TRUST insight into the realities of its impact.

Offsetting schemes and


the drive for net-zero
According to a report by Ecosystem
Marketplace, companies who purchase
carbon credits are more likely to make
an effort to reduce their emissions than
businesses not taking part in the practice of
offsetting. The report concluded that buyers
of carbon credits were 1.8 times more likely
JOHN NEWTON to be pursuing a goal of ‘decarbonisation’,
TITLE: D
 IRECTOR and three times more likely to include Scope
3 emissions in their climate targets. It seems
COMPANY: CARBON TRUST
that the act of investing in sustainability
INDUSTRY: ENVIRONMENTAL SERVICES projects beyond a company’s borders is
LOCATION: UNITED KINGDOM a great motivator for addressing climate
change concerns head on.
John Newton, an expert at the Carbon “When implemented effectively, high-
Trust, leads the Carbon Label Delivery quality carbon credits can add value to an
Programme. With 20 years of business organisation’s climate and sustainability
strategy experience, mainly in ICT, strategy and provide quantifiable evidence
he helps organisations implement of their commitment to supporting the
sustainability agendas. An alumnus of the transition to a low carbon future and a just
University of Cape Town, he emphasises transition,” says James Ramsay, Director of
the importance of transparently Sustainability Solutions at ENGIE Impact.
communicating climate impacts One large corporation renowned for its
through the Carbon Label. carbon offsetting contributions is Google’s
parent company, Alphabet. In 2020 the

sustainabilitymag.com 121
BUILDING TRUST IN
ENVIRONMENTAL ACTIONS

The Carbon Trust stands as a respected


institution, serving as a reliable compass
for attaining net-zero carbon emissions.
It extends its assistance to businesses,
governments, and organisations,
aiding them in the establishment and
achievement of their carbon reduction
objectives.
Originating with a distinct mission company claimed to be the first large
to propel decarbonization, it was corporation to achieve a lifetime net-zero
inaugurated under the auspices of the carbon footprint, thanks to the purchasing
United Kingdom government. This of high-quality carbon offsets that allowed
entity bestows valuable knowledge Alphabet to eliminate Google’s entire carbon
and proficiency to facilitate the legacy (even prior to emissions before
comprehension and execution of becoming carbon neutral in 2007). Now,
net zero strategies. Alphabet is planning to operate on 24/7
Prioritising sustainability and carbon-free energy in all data centres and
environmental stewardship, the campuses across the world by 2030.
Carbon Trust plays a pivotal role in However, in 2022 Alphabet came under
confronting the challenges of climate scrutiny for the vagueness of its annual
change by aiding diverse stakeholders in environmental report, which ambiguously
diminishing their carbon footprint and stated: “We plan to invest in nature-based
transitioning towards more sustainable and technology-based solutions to neutralise
methodologies. our remaining emissions.” In response, capital
management group Green Century Funds

122 December 2023


NET ZERO

proposed that Alphabet should revisit its climate commitments very closely, and
carbon offsets disclosure policy in order we want to see that claims of emissions
to give investors clearer insight into the reductions using offsets are actually true.”
company’s environmental strategies. Another prominent carbon offsetting
“Green Century, and I expect many, leader is JetBlue. In 2020 the company
many investors, value insight into how became the US’ first major airline company
Alphabet is managing its climate risk. I to achieve its goal of becoming carbon
believe embracing transparency will only neutral on all domestic flights. Today, the
help it select offsets wisely and avoid the company website offers customers the
greenwashing label,” said Green Century opportunity to purchase their own carbon
Funds President, Leslie Samuelrich. credits and thereby ‘cancel the emissions
Green Century Funds Shareholder from your flight’. Most importantly, the page
Advocate, Andrea Ranger, added: “Becoming has access to further information about
a leader in carbon offsets seems like a ‘where offsets go’ and ‘is offsetting enough?’.
natural step forward [for Alphabet]. I think However, in December 2022 JetBlue stated
our proposal was a wake up call for Alphabet. that it would no longer use carbon offsetting
Investors like us are analysing corporate for domestic flights, and would instead focus

sustainabilitymag.com 123
“WHEN IMPLEMENTED on funding industry-wide environmental
projects such as the development of
EFFECTIVELY, HIGH- sustainable aviation fuel (SAF). Although

QUALITY CARBON JetBlue claims to “still strongly believe there


is a role for high-quality carbon offsetting
CREDITS CAN ADD solutions”, it has decided to “reallocate
its offsetting spending into operational
VALUE TO AN investments that align with its science-
ORGANISATION’S based target”: finding a sustainable solution
to the reduction of air travel emissions.
CLIMATE AND
SUSTAINABILITY Carbon offsetting –
sustainable or greenwashing?
STRATEGY” In September 2023 one of the leading
environmental certification schemes,
Carbon Trust, stopped awarding companies
JAMES RAMSAY
DIRECTOR OF SUSTAINABILITY SOLUTIONS, a ‘carbon neutral’ label if that status was
ENGIE IMPACT based on the practice of offsetting.

124 December 2023


NET ZERO

Google Sustainability
Our most ambitious decade yet

WATCH NOW

Climate journalism specialist Carbon


Brief recently condemned the harmful
social effects of carbon offsetting, referring
to cases where Indigenous peoples in the
Republic of the Congo and the Brazilian,
“Consumers want more clarity, Colombian and Peruvian Amazon have been
better explanations, clearer claims and forcibly removed from their homelands
more evidence. We have looked at best due to forestation projects. They suggest
practices around the world to help our that the distance between companies and
customers make sure they are ready for the projects they are funding allows for
future regulations. That’s the driver behind a dangerous sense of detachment from
dropping the carbon neutral labelling,” says the reality of carbon offsetting practices.
John Newton, Carbon Trust Director, in Consequently, huge companies like
discussion with the Guardian. Shell, Nestlé and Gucci have pulled out of
In the same month, the Guardian investments into offsetting projects. When
released an investigation undertaken criticised for ‘watering down’ their climate
alongside transnational corporate watchdog ambitions, these major firms simply pointed
Corporate Accountability. They found that to Carbon Trust’s statement that carbon
78% of the top 50 emission offset projects credits are not actually an effective way
were categorised as ‘likely junk’. Since then, to reduce global heating.
multiple reporters on climate change have Newton adds: “Generally, companies
spoken out about the controversial or even are quite cautious and nervous about the
‘useless’ nature of carbon credit projects. impacts of offsets. But they were certainly

sustainabilitymag.com 125
NET ZERO

“INVESTORS LIKE
US ARE ANALYSING
CORPORATE
CLIMATE
COMMITMENTS
VERY CLOSELY,
AND WE WANT TO
SEE THAT CLAIMS
OF EMISSIONS
REDUCTIONS
USING OFFSETS ARE
ACTUALLY TRUE”
ANDREA RANGER
SHAREHOLDER ADVOCATE,
GREEN CENTURY FUNDS

bought with good intentions. The people


we’re working with definitely didn’t go out
there thinking these are controversial. I think
there was a lot of confidence in the fact that
we’re doing the right thing because they
come from credible organisations.”
Although carbon offsetting seems like
a good idea at first glance, it’s vital that
companies undertake in-depth research
into the on-site realities of the projects their
carbon credits are paying for. Unless it’s
evident that these investments are having
a positive impact on the environment and
surrounding societies, then corporations
large and small should consider whether
they’re using the practice of carbon
offsetting as a force for good, or as an
excuse to wipe their carbon-producing
conscience clean.

126 December 2023


LOGO

EDGE DATA CENT


EUROPE – AND N
WRITTEN BY: PRODUCED BY:
KATE BIRCH LEWIS VAUGHAN

128 December 2023


ETIX EVERYWHERE

TRES IN
NOW ASIA
sustainabilitymag.com 129
ETIX EVERYWHERE

Group CEO Louis Blanchot


shares how edge data
centre pioneer and leader
Etix Everywhere is taking
its successful formula from
France to Southeast Asia

A
rtificial intelligence,
autonomous vehicles, and
augmented reality are just
three of the technological
advancements that are gaining
headlines globally.
While consumers get excited about
how these may change their lives, and
business leaders wonder how to leverage
the opportunities they offer, there is one
essential element necessary for success –
edge data centres.
While edge data centres may not enjoy
the hype of generative AI, they are a vital
piece of the infrastructure required to make
these technologies tick, due to low latency,
increased security, greater bandwidth, and
more sustainable operation.
Etix Everywhere is a leader and pioneer
in edge data centres in Europe – and is now
expanding that successful formula into Asia.
Formed in 2012, Etix Everywhere now
operates 15 data centres, and has grown
quickly in the last three years. The number
of data centres has tripled in that time,
while turnover has grown eight-fold.
Etix Everywhere is committed to
providing colocation solutions that are
both sovereign and environmentally
friendly, all within 200km of its partners’
headquarters. This USP has really helped
to drive the business.

130 December 2023


sustainabilitymag.com 131
ETIX EVERYWHERE

“We only focus on the edge market,


LOUIS BLANCHOT which for us means bringing the service to
TITLE: GROUP CEO the customer and not the customer to the
COMPANY: ETIX EVERYWHERE service,” says Etix Everywhere Group CEO
Louis Blanchot.
Armed with a civil engineering “Our core mission is really to develop a
degree from a top-tier French platform of data centres to really bring the
institution, Louis Blanchot has helmed infrastructure close to the data end user.”
Etix Everywhere since inception, and So, what makes Etix Everywhere different
played a pivotal role in laying the firm’s from other edge data centre operators?
foundation. With a track record of Blanchot points to the main USP and
successful partnerships over a decade reason why customers move to Etix is its
and eight years spent overseeing scalable edge network with its strong IT
European operations, Blanchot marketplace. On top of the colocation
embodies the essence of leadership. factor, Etix is able to deliver interconnection
He spearheaded a strategic turnaround to a long list of IT Partners that can bring
during Etix’s acquisition three years added services to its customers to support
ago. In addition to being a shareholder them in their digital transformation.
of the Company, Blanchot shoulders “Edge data centres provide customers
responsibility for the company’s vision, with access to a lot of solutions to develop
strategy, and overall direction. their hybrid cloud infrastructure, but also
what we see is that there are more and
Etix Everywhere Group
CEO Louis Blanchot

sustainabilitymag.com 133
“What we like in
the Southeast Asia
market is that we can
use the same recipe
that we used in
Europe – developed
and duplicated
quickly”
LOUIS BLANCHOT
GROUP CEO,
ETIX EVERYWHERE

more services that require low latency those tier one locations, it creates virtual
– for example, autonomous vehicle, IoT, traffic congestion. When the data can be
streaming, gaming, all these new trends,” computed straight away, locally, it will save a
says Blanchot. lot of bandwidth.”
“There is a growing demand for Over the past two years, Etix Everywhere
low latency and also the question of has refocused its efforts on its core expertise
traffic congestion that you can have – offering a multi-site, sovereign, and
on connectivity. So, when all the telco decarbonised colocation solution.
companies want to bring a service to their The acquisition of CIV has doubled the
customer, if they had to send data from Lille company’s capacity in the Hauts-de-France
to Paris to come back to Lille, or basically and in 2024, Etix will inaugurate Lille #4 – a
to send the data to be computed, like in all new data centre just 500 metres from Etix

134 December 2023


ETIX EVERYWHERE

Louis Blanchot
on edge DCs

WATCH NOW

with colocation capacity now reaching


17.3MW,” he says.
But the company’s ambitious expansion
strategy does not stop here, with a “vision
to establish a leading edge data centre
platform in Europe and Southeast-Asia,
and guarantee our clients highly scalable
and connected facilities close to the data
end user.”
Lille #2, thereby creating a 2.5 MW IT campus Data sovereignty is also a key
with the best connectivity in the region. consideration and a hot topic of
Blanchot also points to the recent conversation when it comes to security,
acquisition of Zcolo France, which has and Etix is committed to providing
broadened the firm’s horizons – enabling customers with colocation solutions within
the offer of colocation solutions in three 200km of its partners’ headquarters.
new regions and, as a result, strengthening With data invariably crossing borders with
territorial coverage. hyperscalers, protecting data sovereignty is
“This acquisition represents a key a challenge, and that’s why more businesses
milestone in cementing our undisputed are taking greater control of their data and
leadership in the French regional market and keeping it within domestic borders, or even
accelerates our development in Europe – closer to home via edge data centres.

sustainabilitymag.com 135
ETIX EVERYWHERE

Sovereignty is a cornerstone principle for


Etix. Domiciled in France with a majority of
its capital held by French stakeholders, Etix
operates under the jurisdiction of French law
for the provision of all its services.
It’s a commitment to sovereignty that not
only underscores the company’s dedication
to maintaining the highest standards of
ethical conduct and legal compliance, but
also ensures accountability and compliance
within the French regulatory landscape.
“In this way, Etix demonstrates an
allegiance to home turf while contributing
to the growing French business ecosystem,”
says Blanchot.
Along with a commitment to sovereignty,
what makes Etix particularly appealing
is its offering of a modular solution, a
feature it has provided since its inception
in 2012. Back in 2012, it was innovative,
but now many operators are trying to use
modular architecture.
“It’s funny. It’s what we created,” declares
Blanchot. “It was our innovative design when
we created Etix, and the design that we
have sold to all our customers ever since –
because the benefits are obvious.
“Having the support
“Firstly, you only invest in what you from a big partner
need, and you align your CAPEX with
your sales ramp-up. like Schneider
“The other main benefit is that we know
that the Power Usage Effectiveness (PUE)
Electric is huge.
is really related to IT usage. So, when you That’s why we only
achieve around 50% usage and exceed
that, the PUE is better. That’s why having a
work with such a
modular data centre improves the IT load
and helps you achieve a good PUE.”
world-class supplier”
PUE is essential for data centres as
LOUIS BLANCHOT
they try to become more sustainable, GROUP CEO,
and that is a core focus for Etix Everywhere. ETIX EVERYWHERE
As well as aiming for PUE 1.3 for all of their
ETIX EVERYWHERE
ETIX EVERYWHERE

“Power Usage
Effectiveness is data centres, the Nantes-headquartered
essential for data company also strives to use no water for
cooling (WUE <0.01 L/kWh), employ
centres as they low-carbon electricity, recycle residual

try to become heat, repurpose existing buildings, and


add solar panels.
more sustainable, It’s a bold ambition, and one that was
cemented when Etix joined the Climate
and that is a core Neutral Data Center Pact in 2021 with the

focus for Etix goal to achieve carbon neutrality by 2030.


So how will it achieve those goals?
Everywhere” “We have three ways, the first being to
work on the energy efficiency of the data
centre and improve the PUE,” says Blanchot.
LOUIS BLANCHOT
GROUP CEO, “Renewing the technical equipment can
ETIX EVERYWHERE really improve performance.
“Then you need to work on how you ‘feed’
your data centre with green energy, and how

138 December 2023


to recycle the energy that you are producing.
Ultimately, the idea is to switch from being DECADE OF DATA CENTRES
an energy consumer to an energy producer, “When we started in 2012,
to create a virtuous circle.” we were talking about kilowatts
Evidence of how Etix is looking to expand or megawatts,” says Group CEO Louis
its footprint in a sustainable manner comes Blanchot. “Now it’s not rare to speak
with its first edge data centre in Thailand’s in gigawatts. So, the size of the project
capital Bangkok. is totally different now.
Etix has chosen to focus its development “This new hyperscale market
on the capitals of emerging countries demands finding a huge plot of land
with what it considers exponential growth with a lot of possibility to scale and
potential. These include Bangkok, Ho Chi also – a lot of power.
Minh City, and Manila. “It’s totally different to our edge
The Bangkok site is strategically DC market, really a medium-sized
located in an industrial zone that offers data centre close to the city with a
a stable and reliable power source, big and deep IT ecosystem and
and also has good road access and customer portfolio.”
telecommunications infrastructure.

sustainabilitymag.com 139
Escaping Datacenter Obsolescence:
Embrace the Future!

IT infrastructure, cooling, power backup and management


cannot do without a large amount of energy. Fortunately,
with today’s technology you can make your datacenter
more sustainable - and more cost-efficient!

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How to achieve cost-efficient data centers

A more digital world through innovation – with data centers that


At Schneider Electric, we believe a are sustainable, efficient, adaptive, and
more electric and digital world is key to resilient in the cloud and at the edge.
addressing the climate and energy crises.
Together with our customers, we will build Schneider Electric not only has the products
the New Electric World everywhere: in our to enable the best sustainability in data
homes, buildings, industries, infrastructure, centers, but also has all the software to
grids… and of course also data centers! digitize the entire lifecycle and the knowledge
to act as a strategic partner for part or all
Smart & Green of the sustainability process. The result?
But what does this mean for our customers? data centers that are faster, more accurate,
We focus on the huge potential of two major more cost-efficient, and more sustainable.
pillars: Digitalization and Electrification. Or
in other words: Smart & Green. Ultimately, Change the world
we build the technology around digitalization For us, sustainability is not a buzzword,
and electrification that guides our customers it is ingrained in our DNA. We have fully
towards efficiency and sustainability. integrated sustainability into our strategy
over the past 10-15 years, with concrete
Our collaboration with Etix Everywhere, and ambitious short-term and long-term
leader and pioneer in edge data centers, is targets. Only recently we were included on
a prime example of how we work. They are the Fortune 2023 “Change the World” list
committed to providing colocation solutions – a ranking of the top companies in the world
that are both sovereign and environmentally making positive social or environmental
friendly, and as a world-class supplier we impact through activities integral to their
are in the best position to support them core business strategy and operations.
with smart and innovative solutions.

Strategy, product and software Curious to know more?


Because to meet the needs of the new
digital world, we must transform how
we deploy and manage IT. Schneider
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Electric is leading digital transformation
“We only focus on the edge market,
which for us means bringing the
service to the customer and not
the customer to the service”
LOUIS BLANCHOT
GROUP CEO,
ETIX EVERYWHERE

The modular infrastructure provides


flexibility when it comes to scalability,
meaning Etix can meet the future growth
needs of operations at the same site.
“What we like in the Southeast Asia
market is that we can use the same recipe
that we used in Europe – developed
and duplicated quickly,” says Blanchot.
“That’s why we started with Bangkok. The
government is really supporting the digital
economy, the country is stable, there is a
high number of ‘eyeballs’, not to mention
a high number of telcos.”
Instrumental in this expansion into Asia
is trusted partner Schneider Electric – the to deliver the same level of quality in a
energy consultancy regularly voted the new country.
world’s most sustainable company. “Working with Schneider, they helped
Blanchot points to several factors provide a turnkey solution, so we can just
that Etix Everywhere had to tackle, from push the button and know exactly the price,
culture to climate, and how Schneider the timing, and the level of quality.
Electric’s expertise helped them to navigate “It’s just a copy and paste of how we
these challenges. worked with Schneider Electric in Europe,
“Having the support from a big partner and being able to rely on them has been a
like Schneider Electric is huge,” says big comfort and given me the confidence
Blanchot. “That’s why we only work with that we can deliver for our customers.”
such a world-class supplier. They have Looking ahead to the opportunities
been brilliant for us, and have been able on the near horizon, from artificial

142 December 2023


ETIX EVERYWHERE

intelligence to autonomous driving, those “When we started Etix in 2012 and began
are going to require eye-watering amounts investing in edge, I think it was a little early,
of data, which has to be good news for data but now the market is ready. There are more
centre operators? and more investors trying to develop huge
Blanchot agrees, but reckons it is a little platforms to invest in edge, because this is
bit of a ‘chicken-and-egg’ situation – the the future.”
technology cannot really take off until the If this is indeed the future, you can
capacity is there to enable it. bet that Etix Everywhere will be there,
“We discuss this a lot with our customers, leading from the front when it comes
and urge them to think about the world to edge data centres.
tomorrow,” he says. “I can tell you that all the
main telcos understood it well and see these
trends coming.

sustainabilitymag.com 143
SUPPLY RISK
MITIGATION MUST
COVER IMPACTS
Leveraging data and analysis, companies can spread or share the risk, but
what happens to the climate when risks are managed between businesses?

WRITTEN BY: TOM SWALLOW

144 December 2023


SUPPLY CHAIN

D
igital technology is key to realising can deliver the promises that data suggests.
the potential of the supply chain, The key here, as expressed by many supply
particularly in the sustainability chain professionals, is to first put data into
sense. Industry 4.0 is driving major shifts perspective, then undergo analysis to fully
across industries and the emergence of appreciate the insights gained, therefore
more and more data allows companies to determining two things: whether the data
truly measure the impacts that they have; is applicable to the organisation’s goals and
whether they are actually doing enough to how it can be used to meet them.
push the needle back. These procedures come in as standard for
The abundance of data available today any digital supply chain, but what exactly are
will not stand the test of time without the impacts to be had in line with specific
proper treatment – some that can be supply chain management targets?
facilitated using the correct digital tools
to connect companies to a number of Dual sourcing strategies for resilience
suppliers. This can ensure that production Strategies for mitigating risk take various
flows as it should, and that transportation forms, but to focus specifically on dual

sustainabilitymag.com 145
ey.com/supplychain

What if resiliency
isn’t about
withstanding today
but envisioning
tomorrow?

© 2022 EYGM Limited. All Rights Reserved. ED None.


SUPPLY CHAIN

“INVEST IN YOUR
PROCESSES
TO ENSURE
YOU CAN DO
MORE WITH
THE SAME,
OR FEWER,
RESOURCES”
BRIAN ALSTER
GM NORTH AMERICA,
BRIAN ALSTER
FINANCE & RISK, TITLE: G
 M NORTH AMERICA,
DUN & BRADSTREET FINANCE & RISK
COMPANY: DUN & BRADSTREET
sourcing for a moment, we understand
the importance of identifying alternative INDUSTRY: ANALYTICS
suppliers or solutions in building resilience. LOCATION: UNITED STATES
Dual sourcing, if not a strategy that
involves multiple suppliers, as a suitable At Dun & Bradstreet, Alster is responsible
means of adjusting to global disruptions for the strategy, product development,
or shortages in a particular strand of the and sales efforts for the company’s
supply chain. There’s a significant demand third-party risk and compliance product
for this across a number of industries, from portfolio.
semiconductor procurement in the EV
sector to healthcare supplies where multiple
vendors are offering similar products from brings alternatives to this. Companies must
different locations globally. Of course, one pay attention to other factors as well, such
way to ensure geographical resilience, as the cost of shifting to another vendor in
particularly in an organisation with sites the event of disruption and the reliability
across the globe, is the selection of a of their distribution. Optimisation comes
similarly configured supplier business. with a solution that is capable of leveraging
However, to truly build resilience to real-time data in order to visualise vendor
international events as well as isolated inventories and assess the cost of shifting,
incidents, dealing with two or more vendors albeit temporarily or on a permanent basis.

sustainabilitymag.com 147
“TO DO DUE DILIGENCE PROPERLY,
ONE NEEDS A TECHNOLOGY AND
ANALYTICS PLATFORM THAT
ENABLES REAL-TIME MONITORING,
BENCHMARKING AND THE
MITIGATION OF ESG RISKS”
BRIAN ALSTER
ADVISORY MD, LRQA

148 December 2023


SUPPLY CHAIN

Manage the risk of manufacturing This is where supply chain solutions, again
and delivery localisation looking at real-time data visibility, are crucial
When outsourcing manufacturing, the for ensuring that customers’ needs are met
ability to work with multiple providers in such circumstances while minimising the
globally can present a number of benefits. spike of climate impact that will inevitably
Getting closer to the end customer is vital come from switching to a provider in Europe,
in ensuring that products are supplied for example, if it becomes the nearest
locally with minimal carbon footprints, vendor following disruption at a site in
but can also leverage key resources the Middle East.
available to different businesses. From “There is still no better data than
a risk mitigation perspective, this that sourced directly from your own
also provides a fall back if a supplier operations or suppliers on-the-ground and
experiences issues internally, but both independently verified, which is especially
the financial cost and carbon cost can the case in higher risk markets,” says Dr Kevin
also be impacted in this process. Franklin, Advisory MD for LRQA. “Transparent

sustainabilitymag.com 149
DR KEVIN FRANKLIN
TITLE: A
 DVISORY MD
COMPANY: LRQA
INDUSTRY: RISK ASSURANCE
LOCATION: HONG KONG

Franklin has a proven track record


as a thought leader in the field of
sustainability, corporate responsibility
and responsible-and-sustainable
sourcing. He has pioneered the
development and implementation
of risk mitigation and resilience
strategies for numerous multinational
corporate clients.

150 December 2023


SUPPLY CHAIN

and trustworthy due diligence is


nearly impossible without quality
data and analytics.”
The same approach can be applied
to freight and logistics when leveraging
multiple businesses. “Invest in your
processes to ensure you can do more
with the same, or fewer, resources.
This usually means automating your
supply chain data, so you’re finding new
suppliers or managing existing suppliers,”
says Brian Alster, GM North America,
Finance & Risk at Dun & Bradstreet.

Is joint risk management sustainable?


Suppliers are also incentivised by risk,
so it’s important to ensure that both
strategies align. With a solution that allows
sharing of data and insights from business
to business, working collaboratively with
supply, manufacturing, or distribution
partners is much easier. Collective
analysis of partnerships can determine
the implications of scaling up or scaling
down workloads to meet demand levels,
but also buffering a reduction in capacity
with another supplier.
“To do due diligence properly, one
needs a technology and analytics
platform that enables real-time
monitoring, benchmarking and the
mitigation of ESG risks,” says Franklin
Investment in digitalisations provides
all parties with more clarity of the supply
chain risks, which can also be a factor
that impacts how a product is designed
or tested. Joint risk management from
a sustainability standpoint relies on all
parties’ abilities to disclose their sourcing
data to determine the overall impact
of a product, but also the end-of-life
risks that can also have a negative effect
on targets.

sustainabilitymag.com 151
THE TWIN INFR
IMPACTS OF G
AND HOW TO DE
PRODUCED BY: IRON MO

152 December 2023


IRON MOUNTAIN DATA CENTERS

RASTRUCTURE
GENERATIVE AI
EAL WITH THEM
OUNTAIN DATA CENTERS

sustainabilitymag.com 153
IRON MOUNTAIN DATA CENTERS

Sustainability leader
Iron Mountain Data Centers
is investing heavily in next
generation carbon reduction
measures which will be vital
to sustain the exponential
growth of generative AI

2023
will be looked back on as the year
generative AI burst into the public
consciousness and businesses frantically
adapted their models to accommodate
it. The ability of Large Language Models
(LLMs) to bridge the linguistic gap
between humans and machines has
caught the popular imagination and
raised awareness of the potential to
automate and improve many aspects
of our lives.
In this initial flurry of speculation it
can be difficult to find reliable
forecasting models on which to base
sound business decisions. However, in
data centre infrastructure the impacts
are more predictable than most, and Iron
Mountain Data Centers (IMDC) believes
they will drive an industry-wide design
revolution fuelled by sustainability.
Smart data centre users undertaking
AI investment should be aware of this
and start planning for it now.

154 December 2023


sustainabilitymag.com 155
Power surge of power. One of IMDC’s larger campuses,
It is clear to Iron Mountain Data Centers that in Northern Virginia, has capacity for 10 data
by far the greatest challenge in supporting centres on it. The whole of the power load
generative AI is the huge surge in power for this campus would be required to train
loads. Generative AI models use graphics ChatGPT 3.5. While LLMs are definitely at the
processing unit (GPU) chips which require most power-hungry end of the generative
10 to 15 times the energy of a traditional AI boom, every generative model IMDC has
CPU. Many models have billions of worked with has processor and power needs
parameters and require fast and efficient which grow exponentially, either doubling or
data pipelines in their training phase, which tripling each year.
can take months to complete. ChatGPT Forecasting the power requirements of
3.5, for instance, has 175 billion parameters generative AI over time is hard to do with
and was trained on more than 500 billion any accuracy, but most analysts agree
words of text. To train a ChatGPT 3.5 model that it will ramp up current requirements
requires 300 to 500MW of power. Currently, hugely. If one estimates current data centre
a typical data centre requires 30 to 50MW compound growth at a relatively modest

156 December 2023


IRON MOUNTAIN DATA CENTERS

AI’S APPETITE IN ACTION

IMDC provides the infrastructure for 26 petabytes of processing power storing


many High-Power Compute (HPC) close to two billion datasets. In less than
configurations running generative AI, and has two years a petaflop of processing power
developed specialist facilities that meet their will be needed.
needs. High-density power, modular architecture,
high-bandwidth training – input – and inference Research
– output – connectivity and advanced cooling are The Computational Research Accelerator
all critical factors for customers. department at Arizona State University was
running out of network ports, space and power
Healthcare for ‘Agave’, its supercomputer, so they built a
One of IMDC’s healthcare customers has new supercomputer called ‘Sol’ in 2022 in one
developed a supercomputer for AI-driven of IMDC’s Phoenix data centres. Sol is a Dell-
imaging apps. While the total consumption built system spanning 178 nodes. It uses AMD
is not massive and training cycles are much Epyc 7713 CPUs, consisting of around 18,000
shorter than for LLMs, the data growth curve cores, with the bulk of the nodes carrying
of this supercomputer since it was first built in 512GB of memory and five large-memory
2018 has been steep. It began with just 10,000- nodes equipped with 2TB. It has 56 GPU nodes
50,000 images and achieved 85% accuracy. with quadruple Nvidia A100, 80GB, GPUs each
Now it uses up to half a billion images with and four nodes with triple Nvidia A30, 24GB,
accuracy of 95% and runs 50,000 deep GPUs. The system is networked with Nvidia’s
learning training experiments per month. 200GB/s HDR InfiniBand and supported by four
Despite the compactness and efficiency Petabytes of Dell BeeGFS scratch storage. The
of the GPUs, a few racks in the data centre R&D potential of Sol is extremely exciting, and
have become a full module of 60 racks with a steep physical growth curve is anticipated.
IRON MOUNTAIN DATA CENTERS

15%, global capacity will double in five years back end; a stream of used equipment. AI is
and quadruple in 10. With generative AI in driving faster server innovation, particularly
the mix, CAGR could rise as high as 25%, in chip design, and the latest AI chips such as
tripling capacity in five years and increasing it the Nvidia H100 have had so many billions
up to tenfold in a decade. That is more than advanced against their manufacture and are
double the current growth rate. Enterprises, in such short supply that they are even being
AI startups and Cloud Service Providers are used as debt collateral and made available
already racing to secure data centre capacity for rent. While this refresh rate will be key to
for their workloads, with the hyperscale improving efficiency it will also – in tandem
clouds leading the pack. This is happening with the rise in capacity – increase the scale
fast. Analyst TD Cowen reported “a tsunami of e-waste.
of AI demand” with 2.1GW of data centre E-waste is one of the fastest-growing
leases signed in the US, a fifth of current total waste streams in the world. By 2030, annual
supply, in Q2 of 2023. e-waste production is on track to reach a
staggering 75 million metric tonnes. Global
A mountain of e-waste e-waste is thought to hold roughly US$60
The second AI-generated challenge is at the billion-worth of raw materials such as gold,

What if Data
Security,
Serviceability,
Safety and
Satisfaction
Could all be
Achieved by
Design?
Explore how Mission
Critical facility types
are becoming defining
elements of
architectural design.

158 December 2023


Use more image
captions as often
as possible

palladium, silver and copper. However, just

“To address the 17% of global e-waste is documented to be


collected and properly recycled each year.
twin challenges Looming climate targets
of capacity Combine these factors with the broader

growth and
issues society now faces. These challenges
will need to be addressed as the climate

e-waste the
crisis deepens and zero emission targets
loom. There will be unprecedented

industry will
pressure on power grids to provide new
electrical power for industries that are

have to be at the
weaning themselves off fossil fuels. Iron
Mountain Data Centers is a firm believer

top of its game” that generative AI in particular will be under


intense environmental, and therefore

sustainabilitymag.com 159
IRON MOUNTAIN DATA CENTERS

“AI may be a key


to solving the
problem, not
just for our own
industry but for
other sectors”

popular, scrutiny. To address the


twin challenges of capacity growth and
e-waste the industry will have to be at
the top of its game.

Addressing the challenge: Carbon


elimination and circularity
How should the industry react? As ever,
by solving the problems one by one.
Low-to-no-carbon power sources will Data centre owners will now need to
be the key to addressing power challenges. follow the leaders and we are already
The power demands of generative AI making headway. Following Google’s lead,
will accelerate this focus and drive new two years ago IMDC committed to provide
innovations in microgrids and backup not just 100% renewables but 24/7 carbon-
power sources such as battery, hydrogen free energy – you can see how IMDC and
and nuclear. Renewables will also be key. its partners have gone about this in a recent
Most hyperscalers and a growing number documentary ‘Transforming our Future’. This
of colocation providers have been growing is a major step up from ‘attributing’ power
the green grid and eliminating carbon to the used to renewables credits, and we believe
point that today, hyperscalers are the biggest that this approach will in time replace the
buyers of renewables in the world. On the current year-by-year Virtual Power Purchase
colocation side, the Iron Mountain Group is Agreement model.
now one of the top 20 renewable buyers in When it comes to circularity, new
the world. chips and superfast GPUs will drive the

160 December 2023


AI revolution, but what will happen to of US$1bn for clients via remarketing and
the old ones? For both efficient performance recycling. Most recently, Iron Mountain
and impact reduction, Iron Mountain invested a further US$200 million in
Data Centers says AI providers will need acquiring Regency Technologies, which
to check that IT asset lifecycle optimisation will add even more robust remarketing and
and recycling, remarketing and secure recycling capabilities to support circularity
disposal are available. The industry has for the world’s largest digital businesses.
been fairly slow to integrate this, but this Iron Mountain sees huge potential for this
will accelerate, and IMDC is changing the segment to service AI customers over the
shape of its business to be in a position coming years.
to address this issue.
The IMDC Asset Lifecycle Management The AI opportunity for the industry
(ALM) division, which now covers 32 In the same way that generative AI
countries, sanitises more than three million will revolutionise the industries that run
drives a year and has generated in excess its applications, it is set to revolutionise

sustainabilitymag.com 161
IRON MOUNTAIN DATA CENTERS

STATS:

• To train a ChatGPT 3.5 model


requires 300-500MW of power
• With generative AI in the mix,
data centre CAGR could rise as
high as 25%, tripling capacity in
five years and increasing it up
to tenfold in a decade
• By 2030, annual e-waste production
is on track to reach a staggering
75 million metric tonnes
• The IMDC Asset Lifecycle
Management (ALM) division,
which now covers 32 countries,
sanitises more than three million
drives a year and has generated
in excess of US$1bn for clients via
remarketing and recycling
• Click here to read the IMDC
Infrastructure Service Sheet
on the Top 10 considerations
when planning AI infrastructure

the infrastructure industry that supports in the list of the world’s largest companies,
it. It promises to deliver immense economic innovation has accelerated and serious
value over the coming decade, but will also fact-based commitments have been made
consume immense amounts of power. Many by industry leaders to tackle the climate
generative AI applications can be hosted crisis. In fact AI may be a key to solving the
in a specialised shared facility. Different problem, not just for our own industry but
models have different infrastructure for other sectors.
requirements, but all share the need for Data centre customers interested in
high-density power, advanced cooling and developing generative AI applications should
modular design. plan and invest early to keep ahead of the
The scale of the power challenge does steep upward curve in power and space
not mean it cannot be overcome. In an era in uptake. They should also pay close attention
which Big Tech has displaced many oil giants to new infrastructure design impacts,

162 December 2023


efficiency, energy sourcing and e-waste.
“Iron Mountain This means scrutinising the energy track
record and targets of their cloud or data
is now one centre provider and sharing data on climate

of the top 20
target progress and day-to-day access to –
preferably 24/7 carbon-free – renewables.

renewable
You can find more detail on the market
forecasts and detailed infrastructure impacts

buyers in
of generative AI in IMDC’s Generative AI
Solution Guide.

the world”
sustainabilitymag.com 163
164 December 2023
MASTERCARD FOUNDATION

Mastercard
Foundation
invests in
the future of
African youth

WRITTEN BY: PRODUCED BY:


GEORGIA GLEN
WILSON WHITE

sustainabilitymag.com 165
MASTERCARD FOUNDATION

Enabling young leaders to


own their futures, Mastercard
Foundation invests in African and
Canadian youth providing vital
opportunities to learn and prosper

E
veryone deserves the opportunity to
learn and prosper.
Working with visionary organisations,
the Mastercard Foundation is one
of the world’s largest enablers of
providing access to dignified and fulfilling work
for young people in Africa and Indigenous
communities in Canada.
“We want a world where young people are
included and are thriving and their leadership
and contributions matter,” says Mastercard
Foundation. “A future where young people are
driving transformative change and achieving
their full potential.”
Bringing together the private sector, donors,
young people and civil society, Mastercard
Foundation is a developer of effective
ecosystems and infrastructure, as well as a
supporter of policies and an environment
where young people can find work and
entrepreneurs can succeed and grow.

Education, women and employment


Working in 33 countries across Africa, the
Mastercard Foundation has a three-step long-
term plan for its operating areas:

• Improve the quality of education and


vocational training to equip young people
with the skills employers need
• Leverage technology to connect employers
and job seekers, as well as drive growth
• Enable entrepreneurs and small businesses to
expand through access to financial services

166 December 2023


Example of
an image caption

sustainabilitymag.com 167
“We expect to work in a diverse group
of countries with high levels of young
people living in poverty who are vulnerably
employed. These countries will have an
enabling environment for growth, job
creation, education and skills development,
and an ability to influence within regions.
We will also prioritise working with African
organisations,” explains the Mastercard
Foundation.
To date, the foundation has improved the
lives of more than 50 million people, unifying
its work around the single most complex
challenge young people face in Africa –
unemployment.

Enabling young women to ‘own their futures’ “This magnificent investment [US$10mn]
Providing secondary education, financial by the Mastercard Foundation will enable
literacy and entrepreneurship opportunities, Camfed to expand opportunities for girls
the foundation helps more than one and young women,” says Ann Cotton,
million young women from disadvantaged Camfed’s Executive Director. “Together, we
backgrounds and rural communities gain will help a new generation of young women
access to vital skills. to access vital skills in financial literacy and

168 December 2023


MASTERCARD FOUNDATION

Philanthropy in action:
The Mastercard Foundation

sustainabilitymag.com 169
Grantmaking simplified.
Impact amplified.

The World’s Most Trusted Grants


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Fluxx provides the only cloud-based grants


management software solution that enables
data-driven grantmaking so you can improve
decisions and maximize your impact.

Fluxx connects givers and doers, creating capacity,


increasing visibility, and improving collaboration for
organizations throughout the philanthropy ecosystem.
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entrepreneurship which will empower Giving women a platform in agriculture


them to own their own futures.” Backing an initiative established by Alluvial
First launched in 2011, Camfed’s Agriculture, the foundation enables training
programme enables a continuum of and financial support for women in Nigeria
support during school and post-school to become tractor owner-operators.
years, enabling young women to complete “For too long, women have been excluded
secondary education, gain financial from agricultural finance and mechanisation,
knowledge and test new approaches to despite the fact that they are the backbone
launch innovative and diverse businesses of our industry,” says Dimieari Von Kemedi,
in their rural communities. Co-founder and Managing Director of
“Camfed’s holistic approach enables Alluvial Agriculture. “Our programme is an
young women to become leaders of important step in addressing this imbalance.”
change and role models who re-invest The initiative began in 2021, with training
back into their communities,” notes Reeta provided by a joint venture between Tata
Roy, President and CEO of The MasterCard International and Alluvial Agriculture.
Foundation. Providing female-led farms with John

sustainabilitymag.com 171
MASTERCARD FOUNDATION

Deere tractors, a percentage of fees earned Entrepreneurial skills and fostering


are used to repay the tractor loan. Based a network ecosystem of support
on expected earnings, new female-led In a bid to support more than 300,000
businesses could own between 20 and young adults, the foundation has partnered
50 tractors by 2028. with Digital Opportunity Trust (DOT) to
“The Mastercard Foundation is very provide access to entrepreneurial skills and
excited about this partnership as it is an foster a network ecosystem of support.
opportunity to drive inclusive growth “Young people have the potential to
for women in farming,” says Chidinma be at the forefront of innovation and
Lawanson, Nigeria's Country Head at entrepreneurship in high-growth sectors
Mastercard Foundation. such as technology, climate-smart agriculture

172 December 2023


MASTERCARD FOUNDATION

and renewable energy. Women and girls, in comprehensive digital and business skills
particular, can play a crucial role as powerful training, leadership development, coaching,
agents of change in their communities, peer-to-peer learning, and networking.
contributing to economic growth and social Reeta Roy, President and CEO of
progress,” says the Mastercard Foundation. Mastercard Foundation says: “Going Beyond
Dubbed The ‘Going Beyond – Partnering is designed to envision young people as
for a Youth-Led Future’ project, the two leaders in their communities, and we believe
organisations will scale DOT’s evidence- that a combination of YLO capacity building,
based, peer-to-peer model in four African locally appropriate 21st-century skills,
countries (Côte d’Ivoire, Malawi, Zambia and entrepreneurship and MSME support will be
Tanzania). Scaling DOT’s model will ensure an effective means of bringing this vision to

sustainabilitymag.com 173
life while addressing youth employment and socially responsible Scholars with a
in the four countries this project will be pathway to bolster their social enterprises
executed in. and deepen community impact.
“In addition, Going Beyond’s work, which “Africa’s young leaders are brimming
is also in line with the Young Africa Works with ideas, energy and a desire to have
strategy, will help young women and men a positive impact on their communities.
find dignified and meaningful work.” But few have the tools, resources and
access to the mentorship they need
Social venture challenge to successfully launch social venture
and climate action projects in their communities,” notes
Providing a pathway to action for socially the foundation.
responsible young leaders, the Mastercard Competing in a multi-step competition
Foundation in partnership with The designed to recognise and celebrate
Resolution Project offers entrepreneurial young leaders committed to social

174 December 2023


MASTERCARD FOUNDATION

Duaa Mohamed, Lead of Transformative


Leadership Programmes at the Mastercard
Foundation, says: “Congratulations to the
2023 Resolution Project Social Venture
Challenge winners! Over the past eight
years, in partnership with the Resolution
Project, the Social Venture Challenge has
showcased the immense potential of
Mastercard Foundation Scholars dedicated
to community impact.
“It’s not just about recognising their
change in Africa and beyond, Social achievements, but also acknowledging the
Venture Challenge (SVC) – since 2016 – profound influence these projects will have
has awarded more than US$581,200 to 267 on their communities.”
Mastercard Foundation Scholars. With the
support of The Resolution Project, Fellows Green technology and youth employment
have gone on to positively impact more Examining the gaps and opportunities of
than 904,792 people across Africa to date. green technology programmes to engage
and benefit Africa’s youth, the Mastercard
The Social Venture Challenge 2023 Foundation’s report – ‘Green technology
Now in its eighth year, SVC has selected and youth employment potential in Africa:
37 young African social entrepreneurs as A continental scoping report’ – shines a light
winners of the challenge that provides on how African governments can seize these
seed funding, mentorship and access opportunities to spur green technology
to a network of global changemakers. growth and youth employment.

sustainabilitymag.com 175
MASTERCARD FOUNDATION

“With climate change posing a


major challenge to African economies,
governments have been implementing
policies and programmes to address its
impacts. These are particularly focused on
the energy and agriculture sectors, which will
need to undergo significant changes to adapt
to climate change. Green technologies offer
opportunities for job creation and increased
entrepreneurial activity in these sectors,”
highlights the foundation.
An opportunity waiting to be harnessed,
the continent could benefit from green
tech initiatives given the high levels of youth
unemployment and their potential for
innovation and entrepreneurship.
Dr Eunice Muthengi, Director of
Programme and Strategic Research at
the Mastercard Foundation, says: “While
climate change presents significant risks to
Africa’s development agenda, the required
green transition also presents a unique
opportunity. This report highlights that
greater policy dialogue to support Africa’s
green tech industry can contribute toward
improving young people’s access to jobs that
are not only dignified and fulfilling, but that
are also environmentally sustainable.”
In particular, information and
communication technologies (ICTs), hold
significant promise for developing climate-
smart solutions for greener economies.

The report was presented and discussed by


a panel of experts, including Dr Fadekunayo
Adeniyi from the African Development
Bank, Mwayi Kampesi from Planet Green
Africa, and Chiemela Anosike from Solaris
GreenTech Hub on November 8, 2023.

176 December 2023


DRIVING SUSTAIN
WITH DIGITALIS
AD FEATURE
WRITTEN BY:
MARCUS LAW

PRODUCED BY:
OLIVER REEK

178 December 2023


SIEMENS ENERGY

NABILITY
SATION

sustainabilitymag.com 179
SIEMENS ENERGY

Siemens Energy VP Simona Rossetti on how the


company is spearheading the decarbonisation of
the energy industry through digitalisation

F
or more than 150 years, Digitalisation and decarbonisation
engineers at Siemens Energy – Describing it as our greatest challenge,
one of the world’s leading energy energy transition poses a number of
technology companies – have questions: first and foremost how to reduce
been spearheading the electrification greenhouse emissions while also increasing
of the world. energy supply. “It is an uphill battle, and
The company works with its customers there is no silver bullet,” Rossetti says.
and partners on energy systems for the “But finding solutions has always been
future, supporting the transition to a more in our DNA.”
sustainable world. With its portfolio of Digitalisation can contribute to
products, solutions and services, Siemens decarbonisation in several ways, firstly by
Energy covers almost the entire energy making energy production more efficient,
value chain – from power generation meaning the same amount of electricity
and transmission to storage. can be produced with less fuel and fewer
“Our mission is to support companies emissions.
and countries with what they need to reduce “Secondly, digitalisation helps to
greenhouse gas emissions and make energy integrate renewable energy sources into the
reliable, affordable, and more sustainable,” grid by managing power flows, balancing
describes Simona Rossetti, Senior Vice supply and demand, and optimising energy
President within Siemens Energy’s Gas storage,” Rossetti says. “For example, digital
Services Business, who first joined the control systems such as Omnivise T3000
company’s energy business in 2003. can help manage the intermittency of
In 2020 Siemens Energy was founded solar and wind power by predicting energy
as an independent company, opening a output and adjusting supply accordingly.”
new chapter in Siemens’ extensive history Integrated data management is another
of energy technology. Its aim today is to solution that supports decarbonisation.
energise society. “Integrating operations and engineering
“An estimated one-sixth of the electricity data can enable engineers to do their jobs
generated worldwide is based on more efficiently,” Rossetti says. “Overall,
technologies from Siemens Energy,” Rossetti digitalisation can enable the optimisation
says. “Today we are a team of 94,000 sharing of energy and resource use, reduce fuel
the same passion, vision, and values. Our consumption, and promote sustainable
diversity makes us strong and helps us to practices, contributing to decarbonisation
find answers together with our partners.” efforts.

180 December 2023


“SIEMENS ENERGY
BELIEVES INCLUSION
AND DIVERSITY
CREATES MORE
OPPORTUNITY
FOR SUCCESS...
EVERYONE HAS
AN EQUAL PART TO
PLAY IN ENERGISING
SOCIETY”

SIMONA ROSSETTI
TITLE: SENIOR VICE PRESIDENT
COMPANY: S
 IEMENS ENERGY
INDUSTRY: ENERGY
LOCATION: GERMANY

Simona Rossetti is a Senior Vice


President within Siemens Energy’s Gas
Services Business. She is leading the
Europe and Africa region for all service
activities in Controls and Digitalisation.
Her goal is to support all European
and African customers with tailored
sustainable solutions for servicing
and decarbonising their portfolio to
secure energy supply and achieve CO2
reduction goals. She aims to directly
contribute to business growth and
strategic direction of the organization,
drive change management, and
effectively role model, inspire and
mentor the next generation of
professionals in the energy industry.

182 December 2023


SIEMENS ENERGY

WATCH NOW

Digitalisation boosting to trim Operational Expenditures (OPEX)


efficiency in power generation across its maintenance and operations,
Digitalisation is a potent tool to enhance wanted to introduce a remote expert
efficiency in power generation. Siemens centre at its headquarters.
Energy offers a number of solutions from “The OAM software forms the central
their Omnivise portfolio, engineered to technical backbone to deliver critical
refine maintenance operations within services to their entire fleet of assets,”
power plants and foster predictive Rossetti says. “Our solution will enable the
maintenance strategies. customer to reduce operational costs while
The company’s Omnivise Asset increasing reliability and availability of key
Management (OAM) offering is a modern assets at 23 power plants.”
software suite combining deep domain With OAM, Siemens Energy also supports
know-how, the latest technologies and broader use cases from remote operator
methods, and modern software design rounds and inspections all the way to
to support plant personnel. autonomous plants. As Rossetti describes,
An example of these capabilities can to reach this milestone there are a number of
be seen in the operations of one of Latin challenges for plant operators to overcome.
America’s largest electricity suppliers, “The growing percentage of renewable
which manages a vast fleet of diverse power energy sources in the grid is steadily
generation assets – ranging from fossil to increasing the pressure on gas power plants
renewable sources. The company, in a bid to operate more flexibly and efficiently.

sustainabilitymag.com 183
SIEMENS ENERGY

A massive shortage of skilled control room and other sensors mounted on the plant or
and maintenance personnel is also looming installed on robots, and that request support
on the horizon.” when needed. Off-site maintenance and
Ultimately, the vision of power plants control room personnel can support several
that operate autonomously is about to power plants simultaneously.”
become a reality, with increasing advanced
technologies increasing the efficiency of the Digital control systems helping manage
plant itself but also of the plant operators. new challenges in the energy industry
“Developers are now taking the next step The energy landscape is changing and the
towards autonomy by fine-tuning digital number of renewable energy sources is
twins, data analyses, and AI to provide growing steadily. With that comes pressure
smart forecasts and instructions. on fossil-fueled power plants to operate
“Autonomy doesn’t start with the more flexibly and efficiently. Digital control
autopilot. Long before that, power plants systems such as Omnivise T3000 from
are supported by smart analyses, smart Siemens Energy can help to manage
forecasts, smart recommendations, and these new challenges.
smart instructions,” Rossetti comments. This system with its SCADA functionality
“AI-supported analysis algorithms is capable of managing a variety of different
regularly filter out signs of irregularities from decentralised energy resources including
the data supplied by cameras, microphones, wind offshore, automated, autonomously

184 December 2023


and in a coordinated way, ensuring reliable
24/7 operation.
“DIGITALISATION WITH
“At the same time, it is flexible and OMNIVISE CAN ENABLE
scalable to support a larger number of assets
when needed,” says Rossetti. “Omnivise
THE OPTIMISATION OF
T3000 is the perfect solution not only for ENERGY AND RESOURCE
fossil power generation and renewables, USE, REDUCE FUEL
but also for large and mid-size microgrids,
such as IPPs, islands, industries, data centres CONSUMPTION, AND
and mines.” PROMOTE SUSTAINABLE
Together with German utility MVV,
Siemens Energy has built and recently PRACTICES,
put into operation a large-scale heat pump CONTRIBUTING TO
plant at the GKM power plant in the city of
Mannheim. The plant uses river water as DECARBONISATION
a heat source, helping to replace a coal-fired EFFORTS”
power plant.
This new heat pump will be a major
SIMONA ROSSETTI
contributor to MVV and the City of SENIOR VICE PRESIDENT,
Mannheim’s goals to become CO2 neutral SIEMENS ENERGY

sustainabilitymag.com 185
SIEMENS ENERGY

“AN ESTIMATED
ONE-SIXTH OF
THE ELECTRICITY
GENERATED
WORLDWIDE
IS BASED ON
TECHNOLOGIES
FROM SIEMENS
ENERGY”
SIMONA ROSSETTI
SENIOR VICE PRESIDENT,
SIEMENS ENERGY

in heating production by 2030. The facility is


expected to supply district heating for 3,500
households and save some 10,000 tonnes
of carbon emissions per year.
“Our proven Omnivise T3000 control
system integrates the control of the new
heat pump and an existing thermal storage
into the existing GKM power plant,”
Rossetti explains. “The control system
uses its multi-unit functionality to manage
multiple generation units from a central
control room.”

Using data insights to unlock


new opportunities to decarbonise
A powerful tool to improve operational
efficiency and reduce emissions is
harnessing the power of data. Integrating
operations and engineering data enables
engineers to do their jobs more efficiently,
while data scientists and modelers use this
integrated data to predict the future.
One good example of this, Rossetti
describes, is Siemens Energy’s Omnivise
Energy Management solution. “Power

186 December 2023


SIEMENS ENERGY

producers also have the challenge to sell


their energy most profitable. Every day, they
have an increasingly complicated decision
to make: How can I plan the dispatch of my
assets to satisfy market demand, but in the
most beneficial way?”
For dispatchers with combined-cycle
power plants this question is challenging.
The introduction of renewables like solar
and wind can create wider fluctuations
in demand for dispatchable energy from
traditional power producers.
“When solar and wind are available,
they are prioritised on the grid,” Rossetti
explains. “This situation leads to shorter
market intervals for power generated by
fossil-fueled plants. These dispatchers now
must access and understand weather data
to know when neither wind nor solar will
be available, and they will need to fill the
generation gap in a cost-efficient way.”
Aimed at solving this problem, Siemens
Energy’s Omnivise Energy Management
solution combines the power of AI-driven
forecasting and predictive asset models.
“With Omnivise Energy Management our
customers are able to do rapid multi-
dimensional or multi-branch scenario
simulations and create day-ahead and
short-term future generations plans that
are economically optimised to the plant’s
circumstances,” Rossetti says.

Ensuring the safety and security of


control systems and customer data
As part of critical infrastructure, plants in
the energy market must fulfil more stringent
requirements than ever before. With the risk
of cyber-attacks, this means looking beyond
operational concerns and protecting plants
against hacker attacks – and documenting
compliance according to a wide range of
legal requirements.

sustainabilitymag.com 187
As Rossetti describes, thanks to
built-in security and Siemens Energy’s
“OUR MISSION IS TO
comprehensive cybersecurity portfolio, SUPPORT COMPANIES
Omnivise T3000 is ideally suited to help
operators protect their infrastructure.
AND COUNTRIES
“We provide long-term support so WITH WHAT THEY
you can rely on a system that is always
up to date,” she comments. “We support
NEED TO REDUCE
current hardware on a long-term basis and GREENHOUSE GAS
provide tried-and-tested security patches
for software at any time during operation. EMISSIONS AND MAKE
For our customers, this means long-term ENERGY RELIABLE,
security with no downtime.”
One of Rossetti’s most significant career AFFORDABLE, AND
achievements, she describes, has been MORE SUSTAINABLE”
the spearheading of Siemens Energy’s
Cyber Security Operation Center (cSOC)
SIMONA ROSSETTI
in Germany to help organisations defend SENIOR VICE PRESIDENT,
against and resolve cyberattacks 24/7. SIEMENS ENERGY

188 December 2023


SIEMENS ENERGY

“The energy sector has become a The energy transition relies on seamlessly
primary target for cyber-attacks,” she says. connecting physical assets with digital
“Collaborating with my dedicated team, technologies to foster innovation, reduce
I saw the need to develop cybersecurity emissions, and improve efficiency, but this
services that could be seamlessly integrated future depends on strong cybersecurity
into our customers’ contracts and help across the whole supply chain. Siemens
them when confronting the growing cyber Energy’s Managed Detection and Response
threats they are exposed to. To meet this (MDR) solution provides scalable protection
need, I took the initiative to establish a against disruptive cyberattacks in the energy
Cyber Security Operation Center (cSOC) sector using innovative AI. “It defends critical
for our European customers from the infrastructure against cyberattacks, helping
ground up. protect communities around the world
“This undertaking allowed us to promptly from supply chain disruptions,” comments
respond to an emerging trend and fulfill Rossetti.
a critical customer requirement with our Siemens Energy partners with Amazon
cyber protection, detection, and monitoring Web Services (AWS) to quickly collect and
solutions. I am proud of our ability to analyse large volumes of data to monitor
identify a new industry trend and swiftly for cyber threats, giving energy sector
create effective solutions to address it.” chief information security officers (CISOs)

sustainabilitymag.com 189
SIEMENS ENERGY

“OUR PROVEN CONTROL SYSTEM SUPPORTS


YOU WITH INNOVATIONS YOU NEED TO
BUILD A BRIDGE TO THE ENERGY SYSTEM OF
TOMORROW. FOR CONVENTIONAL POWER
PLANTS AS WELL AS DECENTRALISED POWER
GENERATION WITH RENEWABLE ENERGY
SOURCES, FOR ANY PLANTS AND ANY SIZE
– PERFECTLY TAILORED TO OUR DIGITAL
SOLUTION PORTFOLIO. CONTROL THE ENERGY
SYSTEM OF TOMORROW WITH OMNIVISE T3000”
SIMONA ROSSETTI
SENIOR VICE PRESIDENT,
SIEMENS ENERGY

the power to detect and uncover attacks the AWS Partner Network as a Technology
before they execute. “These secure cloud Partner to provide customers with industrial
capabilities that can integrate digital cybersecurity, analytics and data storage
applications and leverage sensitive data – solutions and partnering with Air Liquide
such as real-time monitoring and detection on building a sustainable hydrogen economy
– add an important and cost-effective in Europe.
tool to the defensive arsenal for CISOs “At Siemens Energy, our innovation
and industrial security analysts.” strategy is not just about technology and
products. It is about empowering people
A wide range of collaborative partnerships and partners, both within the company
Siemens Energy is collaborating with and outside of it, to accelerate progress
numerous companies around the world, on the journey to net-zero,” Rossetti says.
from the marine sector to hydrogen “We strive to create a culture and
production, from eFuels to heavy industries. framework where individuals and teams can
“We are working on open innovation with take ownership of innovation and bring new
customers, industrial partners, universities, concepts to market with the goal of better
and research centres like the Karlsruher serving our customers and becoming the
Institut für Technologie (KIT) in Germany, world’s premiere energy.
the Georgia Institute of Technology in the US “Partnerships represent a key step in
and the University of Cambridge in the UK.” helping the power industry drive toward
As Siemens Energy invests in growth and a more sustainable, profitable future and
optionality, it has engaged in partnerships in offering our customers a more efficient
with a number of ventures: including joining solution for their business.”

190 December 2023


SIEMENS ENERGY

The importance of inclusion


and diversity in energising society
Every day, people are treated less favorably
or face discrimination because of their
ethnicity, gender, religion or ideology,
disability, age, or sexual identity. As
Rossetti explains, this has to change.
“Siemens Energy believes inclusion
and diversity creates more opportunity for
success. It doesn’t matter the gender, age,
ethnic background, sexual orientation, or
disability − everyone has an equal part to
play in energising society. Here, more than
94,000 employees worldwide join forces
with welcoming colleagues who encourage
equality and belonging, to passionately and
energetically pursue a shared goal: to shape
the energy systems of the future.”
With the energy industry playing
a crucial role in addressing climate change
and reducing carbon emissions, there has
never been a more important time to make
positive change.
“The world needs people who do
not look the other way when they see or
hear racism and discrimination. We can all
doa great deal in our everyday lives and at
work to make our society more supportive,
open, and tolerant.
“At Siemens Energy, we believe that
creating a society worth living in involves
demonstrating solidarity and creating
an environment in the here and now
that not only leaves room for diverse
identities and lifestyles but also sees them
as an enrichment to our lives,” Rossetti
concludes. “If we all work together toward
this goal, nothing less than great things
can come of it – for us, for the future,
for all of us.”

sustainabilitymag.com 193
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