GCX | 2023 Highlights | 2024 Trends and the Path to Sustainability & Beyond

As we reflect on the journey of 2023, this blog delves into the pivotal moments and key achievements that have shaped both our path and that of our clients. We also peer into the crystal ball to spot some of the trends and opportunities to look out for in 2024.

We proudly acknowledge our collaborations with some of the world’s foremost companies. Together we’ve championed rigorous, authentic, and sustainable change. As we forge ahead on the path to Sustainability & Beyond, we remain committed to pushing the boundaries of innovation and impact.

NOW & NEXT YEAR

By our new Head of ESG, Cathie Lewis

| My work at GCX is the epitome of meaningful engagement, driven by the ambition to enact intergenerational care and justice.

Human-centric actions have catapulted us into the Anthropocene where six of the nine planetary boundaries have already been breached. I view the UN Secretary-General’s dire warning on climate or “a code red for humanity” as a catalyst for change, urging our generation to champion regenerative practices over mere impact limitation.

Despite the gravity of the intertwined planetary and human crises we are facing, I believe that the human race has come a long way in our evolution. Consider the incident during May 2020 when Rio Tinto destroyed the sacred rock shelters of the Puutu Kunti Kurrama Indigenous Peoples at Juukan Gorge, in the Pilbara region of Western Australia. It was a sad day in history, where Rio Tinto admitted that they had fallen short of their own values and had broken the trust of the Indigenous Peoples.

The reality is that these sacred rock shelters cannot be recovered and are lost forever. However, some deep reflections and learnings resulted in a significant change in the way the company now engages with the Indigenous Peoples as a significant stakeholder. The company has shifted from a transactional to a more relational approach. They are working towards tangible outcomes to achieve the cultural, social and economic aspirations of the Indigenous Peoples and have established the Juukan Gorge Legacy Foundation.

This incident illustrates the growing importance of social considerations in corporate decision-making. Rio Tinto has reinvented its policies, shifting from a top down to a truly bottom-up approach, where they now involve affected communities in the executive decision-making process.

| This example reflects a broader economic movement away from the narrow focus on shareholder profits toward a model of conscious or stakeholder capitalism.

Companies are now being challenged to pursue net positive outcomes that balance economic performance with social and environmental regeneration, underpinned by good governance.

Every sector of the economy, and every business, whatever its size or location, depends on nature and its ecosystem services in some way or another. Companies need to move towards a more systemic approach considering the economic, environmental, and social dimensions to ensure business continuity. It is no longer good enough to just consider financial or economic aspects in their strategies and objectives.

| My mission is to transform data into information, information into knowledge, and knowledge into actionable insights.

These insights can guide companies toward sustainable, symbiotic relationships with nature and society. In this complex system, a company’s financial materiality is intertwined with its social and ecological footprint.

As 2023 comes to a close, we stand at the vanguard of a corporate evolution, advocating for a new definition of success where sustainability is integral to a company’s very existence.

OUR TEAM IS GROWING

Beyond our head of ESG and CTO, we have appointed three brilliant professionals to our team –

Nicole Duvenage – Business Development Specialist – A sustainability dynamo with a deep passion and focus on social and environmental matters.

Ryan Kaye – Sustainability Analyst – A detail-oriented specialist with a precision-driven approach and a background in conservation.

Altaaf Parker – Business Intelligence Developer – Experienced BI Data Analyst with exceptional problem-solving skills.

NEW PARTNER ANNOUNCEMENTS

We have had some incredible brands join our stable including:

DisChem
Hulamin
Nandos
Spur
SBV
Stellenbosch University
North-West University
Broll
Goldfields
Remgro

PARTNER SUCCESSES

Many of our partners have continued to make progress on their journeys toward Sustainability & Beyond. Some of the standout stories include:

Datatec

Has verified Science Based Targets (SBTs)
Westcon was awarded the Best ESG Project/Initiative of the Year at the prestigious 2023 CRN awards
The group has seen massive improvement in data quality from all their sites
GCX conducted successful training sessions with both Logicalis and Weston Comstor

Discovery

Launched Discovery Green – Game-changing Renewable Energy Wheeling Platform
The business is committed to publish its plan by 2025 to reach net zero GHG by 2050
Zero Waste to Landfill Certification is underway with DASH assisting with target tracking and achievement

ITL

Set a range of internal targets
Historical scope 1 & 2 from carbon footprint is down 26% absolute from 2019
*Incredibly this impact has been generated by efficiency gains through cultural shifts vs a large solar project
Carbon, Water, Energy Intensity down 3-4%
Waste to landfill has improved and is now at 80% Landfill Free – The target is 95% by 2025
Increase in scope of scope 3 categories – ITL is now managing 8 categories from their own data gathered from their sites
Social indicators have also been added

Emira Property Fund

On track to achieving their Science Based Targets (SBT) by 2030
Completed their decarbonisation plan
Secured a sustainability-linked loan to CDP B score and solar energy commitments – Emira is on track for both

Pick n Pay

We are thrilled to work with the new Group Head of Sustainability Steffen Burrows and Disclosure Analyst Riley van Rooyen
There is a drive to improve data collection and data confidence
Working on reducing and transforming food waste
Deep diving into energy data

Growthpoint Properties

We are excited to work with the new Head of ESG Mary Mahlako Thipe and ESG Specialist Veruna Padayachee
Integrating a new ESG Data collection system for scoring and reporting | GCX collates, reviews, and provides analytics and presentation of this data
Assisted to include in FY23 Report Hospitals and Student accommodation portfolio data sets – which will be added to DASH
Developmentation of a Zero Organic Waste to Landfill Strategy

SUSTAINABILITY MEETS TECHNOLOGY

By our new CTO, Abhijit Nath

Over the past year, environmental, social, and governance (ESG) and carbon reporting platforms have undergone a notable evolution in their software tech stack. The industry has increasingly embraced advanced technologies to enhance data accuracy, automate reporting processes, and meet growing regulatory demands. Cloud-based solutions have become even more prevalent, enabling seamless data storage, accessibility, and collaboration.

| Rapid advancements in AI and data processing will soon enable us to enhance our clients view of their respective sustainability journeys via our DASH platform.

This year we began the exciting journey of evolving from a dashboard analytics platform to building the next phase of our offering, a fully-fledged software as a service (SaaS) solution. This platform will empower our clients to make more informed decisions regarding their ESG responsibilities and overall environmental impact. We are also shifting towards user-friendly interfaces and intuitive dashboards to facilitate a streamlined client experience. The platform will also address how our clients capture and share data with us, leveraging our smart algorithm for data cleaning. We have used cloud technology for our internal data warehouse, which has rapidly improved our extract, transform, and load (ETL) process. Data security for SaaS systems is top of mind and a critical priority for us and our clients, and we are continuously enhancing compliance and conditional access policies to the data we collect.

| The future in the sustainability sector is bright, with the impending advent of digital twin technology. This revolutionary leap will allow us to forge more precise data models, offering our clients near real-time insights into the performance of their assets within the realm of ESG and environmental data.

We’re also excited that by amalgamating building information modelling (BIM) data with geospatial information, we’re set to provide clients with unparalleled accuracy.

In addition, we’re integrating machine learning and artificial intelligence to analyse complex datasets, providing actionable insights for sustainability initiatives. Drawing upon the wealth of knowledge amassed through years of consultancy, we are gearing up to tailor a Language Model (LLM) designed explicitly for sustainability. This will ensure that our clients benefit from a specialised intelligence that comprehensively addresses their sustainability objectives. The integration of ambient intelligence technology will enable us to converge services, data, and endpoint intelligence. By leveraging historical data, we will empower our clients to take proactive measures toward sustainability through predictive analytics and future trend report generation.

| As the demand for transparency and accountability in corporate sustainability practices continues to rise, the integration of blockchain for secure and transparent data tracking is gaining traction.

Overall, the tech stack for ESG and carbon reporting platforms is undergoing a dynamic transformation, aligning with the industry’s commitment to fostering sustainable practices through innovative technological solutions. The prospects for advancing sustainability practices are indeed bright.

As we stand on the cusp of the future, GCX remains steadfast in our commitment to driving positive change through technological innovation.

TRENDSPOTTER

Below are some of the big trends we see making waves in 2024.

Sustainable & Green Finance

Sustainable finance is revolutionising investment, directing capital towards more environmentally and socially responsible businesses, thereby reinforcing positive ESG impacts. This trend not only drives the adoption of sustainable practices across industries but also incentivises companies to develop robust sustainability strategies to attract investors.

Gamification

Gamification has emerged as a powerful tool for engaging stakeholders in sustainability efforts, making environmental and social governance both interactive and rewarding. By embedding ESG-related goals into game-like scenarios, organisations can increase participation in sustainability initiatives and promote long-term behavioural change.

IoT (Internet of Things)

IoT is becoming a cornerstone of ESG strategy, as connected devices enable more efficient use of resources and greater transparency in sustainability reporting. IoT’s real-time data collection and analysis foster proactive environmental management and social governance, aligning technology with sustainability objectives.

Change Implementation

As companies start to implement more and more sustainability processes, tools, projects, and systems into their core strategies, change implementation is becoming a critical success factor in ensuring that businesses and their people can effectively embrace, leverage, and embed these initiatives through a top-down sustainability ethos and workflow.

ESG Linked to Executive Bonuses

Linking executive bonuses to ESG criteria is creating a direct financial incentive for leaders to prioritise sustainability initiatives. This practice aligns executive performance with long-term environmental and social goals, ensuring that top management is accountable for the company’s ESG footprint.

TILL 2024

Reflecting on a pivotal year in the realm of global sustainability, we extend our heartfelt appreciation to the GCX team and our clients for their unwavering dedication, commitment, and outstanding efforts in advancing sustainability transparency, accountability, and equity.

This newsletter underscores that our path is both challenging and rewarding. At GCX, we are dedicated to being a reliable ally and guide, assisting large corporations in transitioning from merely reducing negative impacts to creating a net-positive influence on our planet.

To those celebrating, we wish you Happy Holidays, and to all our readers, here’s to a prosperous and regenerative 2024.