Corporate leadership in sustainability: Driving global goals forward

Jamal El-Masri
1 day ago
4 min read

Throughout this age where climate change and social equity dominate global discourse, corporate leadership in sustainability has emerged as a pivotal force in achieving the United Nations’ Sustainable Development Goals (SDGs). TIME’s 2025 World’s Most Sustainable Companies list, published on June 24, 2025, highlights firms like Volvo Cars and Sanofi for their strides towards net-zero goals.

These efforts underscore a broader trend: corporations are increasingly filling voids left by inconsistent governmental policies. Addressing sustainability is critical not only for environmental preservation but also for fostering equitable economic growth, ensuring resource security, and building resilient global societies.

The rise of corporate sustainability

Corporations are no longer mere economic entities; they are influential actors in the global push for sustainability. The SDGs, adopted in 2015, provide a roadmap for addressing pressing challenges like climate action (SDG 13), responsible consumption and production (SDG 12), and decent work and economic growth (SDG 8). According to the 2023 UN Global Compact Progress Report, 94% of companies surveyed have integrated sustainability into their strategies, yet only 57% have set science-based targets aligned with the Paris Agreement. This gap highlights the need for robust corporate leadership to translate ambition into action.

The urgency is clear. The Intergovernmental Panel on Climate Change (IPCC) warns that global emissions must halve by 2030 to limit warming to 1.5°C. Corporations, responsible for approximately 70% of global greenhouse gas emissions, are uniquely positioned to drive systemic change. By embedding sustainability into operations, supply chains, and governance, businesses can accelerate progress towards net-zero emissions and support global goals.

Volvo Cars: Electrifying the path to net-zero

Volvo Cars, a standout on TIME’s 2025 list, exemplifies corporate commitment to climate action. The company aims to reduce CO2 emissions per car by 65-75% by 2030 (2018 baseline) and achieve net-zero emissions by 2040. Its strategy hinges on electrification, with models like the EX40 and EX90 leading the charge. Since 2008, Volvo’s European plants have run on hydroelectric power, and its Chengdu facility uses 100% climate-neutral electricity.

The company’s transparency, evidenced by life cycle assessments (LCAs) for its electric vehicles, aligns with SDG 12 by promoting responsible production. However, Volvo recently adjusted its 2030 all-electric goal to include up to 10% mild hybrids, citing uneven market adoption, a move critics argue could dilute its climate ambitions.

Volvo’s supply chain transparency is notable. It addresses emissions from steel, aluminium, and battery production, which account for 75% of material emissions in electric vehicles. By committing to low-emission materials and collaborating with suppliers, Volvo supports SDG 17 (partnerships for the goals). Yet, challenges remain, as global supply chains often lack uniform sustainability standards, raising questions about the depth of its commitments.

Sanofi: Sustainability in healthcare

Sanofi, another TIME 2025 honoree, embeds sustainability into its healthcare mission. Targeting net-zero emissions by 2045, Sanofi focuses on energy efficiency and renewable energy in its manufacturing processes. Its “Planet Care” initiative reduces emissions across its value chain, supporting SDG 3 (good health and well-being). Sanofi’s transparency in reporting aligns with GRI standards, but its complex global supply chain, spanning raw materials to distribution, faces scrutiny for inconsistent sustainability practices among suppliers.

Greenwashing or genuine progress?

The spectre of greenwashing looms large. While Volvo, and Sanofi tout ambitious goals, their supply chains reveal mixed realities. A 2022 report by the NewClimate Institute found that 25% of companies with net-zero pledges lack credible plans, often overstating progress. Volvo’s partial retreat from its all-electric goal continued production of diesel vehicles highlight potential inconsistencies. Sanofi’s pharmaceutical supply chain, reliant on energy-intensive processes, faces similar challenges.

Transparent reporting, as mandated by frameworks like the GRI and the Task Force on Climate-Related Financial Disclosures (TCFD), is critical to distinguishing genuine efforts from superficial claims.

Global society and collaboration

The global society’s role in sustainability cannot be overstated. Corporations operate within a web of stakeholders, governments, NGOs, and consumers, whose collaboration is vital for systemic change. The SDG 17 emphasis on partnerships is evident in initiatives like the First Movers Coalition, where Volvo commit to low-carbon technologies alongside global giants like Amazon. The Science Based Targets initiative (SBTi), endorsed by all three companies, ensures alignment with climate science, fostering trust and accountability.

Consumer demand also drives progress. A 2024 Morgan Stanley survey found that 88% of global investors prioritise sustainable investing, pushing companies to act.

The road ahead

Corporate leadership in sustainability is a linchpin for achieving the SDGs. Volvo and Sanofi illustrate how businesses can drive climate action, responsible production, and partnerships. Yet, the risk of greenwashing underscores the need for rigorous transparency and accountability. By aligning with frameworks like the GRI and SBTi, and fostering global collaboration, corporations can bridge the gap between ambition and impact. For a deeper dive into global sustainability efforts, explore the UN Global Compact (unglobalcompact.org) and the Science Based Targets initiative (sciencebasedtargets.org).