Deloitte launches AI tool to measure value of sustainability

Deloitte has launched a new framework and artificial intelligence (AI) powered platform designed to help organisations quantify the financial value of sustainable investments.

The consulting firm unveiled Sustainability Fusion, a framework, digital tool and advisory offering developed in collaboration with the Aspen Institute to help chief sustainability officers and chief financial officers evaluate sustainability projects using the same financial metrics applied to other capital investments.

The framework aims to bridge the gap between sustainability and finance by translating environmental initiatives into measurable impacts on revenue, costs and risk, allowing executives to better assess investment decisions.

Deloitte Consulting sustainability fusion co-lead Bill Marquard said organisations were under growing pressure to demonstrates the commercial value of sustainability programs.

"Organisations need this framework now more than ever as sustainability and finance leaders are increasingly expected to quantify sustainability investments," Marquard said.

"When sustainability and finance are equipped to speak the same language, they're able to unlock cost savings, reduce risk and generate new commercial pipelines seamlessly."

To support the framework, Deloitte has also launched an AI-enabled web-based evaluator that allows businesses to assess individual sustainability investments and identify where enterprise value can be created across the organisation.

The framework was developed through workshops hosted by Aspen Institute's Business and Society Program and informed by a working group of more than 25 representatives from corporates, non-government organisations and independent advisors.

Aspen Institute sustainability programming lead Felicia Davis said the initiative was designed to help organisations connect sustainability ambitions with financial decisions making.

"This collaboration with Deloitte builds on insights from our network to help organizations move from intention to action, aligning sustainability investments with the financial realities that drive business decisions," Davis said.

Deloitte Consulting sustainability fusion co-lead Laura Bryce said sustainability leaders required better tools to communicate value rather than additional reporting metrics.

"When organisations can clearly articulate the financial value of sustainability investments, they can make decisions with greater confidence, move more quickly on priorities, and build competitive advantage in an increasingly dynamic business environment," she said.