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May 7, 2025

Upcycling Sustainability Data - Part 2: Building a Data Strategy for Success

Learn how to create a sustainability data strategy to streamline operations, meet goals, and leverage insights for impactful business decisions.
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May 7, 2025

Upcycling Sustainability Data - Part 2: Building a Data Strategy for Success

Learn how to create a sustainability data strategy to streamline operations, meet goals, and leverage insights for impactful business decisions.
Headquarters:
Company Size:
Industry:

Companies aiming to meet stakeholder expectations, align with evolving regulations, and positively impact our planet, must have a robust data strategy in place. But how can businesses move from theory to implementation?

This blog builds on Part 1, where we explored the challenges of managing sustainability data and the gaps. We’ll tackle how companies implement solutions by establishing a cohesive data strategy. We'll also recommend tools, mechanisms, and processes organizations can employ to turn data into measurable impact.

Why Businesses Need a Sustainability Data Strategy

Before creating a data strategy, it’s essential to understand why one is needed in the first place. Becoming a sustainable organization is much more than being reactionary to new compliance regulations. It’s a complex process requiring accurate tracking, management, and analysis of metrics across areas like GHG emissions, water usage and waste, and biodiversity impacts. A strong data strategy allows businesses to:

  • Centralize fragmented data from various internal departments and operations across global supply chains.
  • Track progress and quality against key sustainability goals like carbon neutrality or waste reduction.
  • Equip business leaders with direct, comprehensive insights for necessary decision making.
  • Discover new opportunities for innovation, revenue generation, and cost savings.
  • Prevent greenwashing and strengthen trust amongst stakeholders via transparent reporting.

Without a clear strategy, businesses risk making decisions based on incomplete, unreliable, and outdated data - leading to missed opportunities, regulatory penalties, and reputational damage.

Building a Winning Data Strategy

A successful data strategy goes well beyond just data collection. It requires clearly defined mechanisms for managing, tracking, and analyzing data to drive outcomes that your specific organization can actually use and that matter. Here’s how businesses can set themselves up for success.

1. Start With a Comprehensive Data Audit

Businesses need to know what data they already have, where it’s stored, and where gaps exist. A sustainability data audit should include:

  • Mapping Current Data Practices: Identify what metrics are being tracked (e.g., energy usage, emissions, or supplier practices) and assess their quality.
  • Spotting Duplicates or Gaps: Ensure there’s no redundancy and pinpoint where critical data is missing.
  • Including All Stakeholders: Data collection isn’t just an IT department issue. Collaborate with suppliers, teams, and executives for a holistic overview across the enterprise.

If your company manages complex supply chains, invest in software tools that can scan disparate sources like PDFs, spreadsheets, and emails to centralize information efficiently.

2. Define Clear Metrics and KPIs

Many businesses fail to track meaningful sustainability data because they lack clear objectives. A successful strategy starts with defining what matters most for your organization.

  • Context-Specific Metrics: Identify KPIs relevant to your industry. For example, CPG companies may focus on waste reduction and circularity, while manufacturers might prioritize reducing GHG emissions.
  • Dynamic Benchmarks: Use historical and industry benchmarks to provide context for your performance.
  • Standardized Reporting Frameworks: Align metrics with recognized frameworks like the Global Reporting Initiative (GRI) or Carbon Disclosure Project (CDP) to ensure comparability and credibility.

3. Leverage Technology for Data Centralization

Fragmented data is one of the biggest barriers to effective sustainability tracking, especially for businesses with multiple locations or suppliers. Centralizing this data is critical.

  • Implement sustainability data platforms to centralize tracking and reporting.
  • Use IoT devices for real-time monitoring of energy, water, and emissions, directly feeding data into centralized systems.
  • Connect existing tools through APIs to create seamless data sharing and improve transparency.
  • Build interactive dashboards for real-time insights, enhancing collaboration and decision-making.

We at Clearyst specialize in tackling these challenges, helping companies centralize sustainability efforts while supporting operational goals.

4. Create Processes for Data Validation and Quality Control

For sustainability data to become actionable, it must be reliable. To achieve this, businesses should implement processes that validate information as it’s collected or submitted. Steps include:

  • Using integrated AI tools to flag inconsistencies or errors.
  • Encouraging transparency from suppliers by providing support for their own data processes.
  • Setting up regular reviews of data quality to ensure ongoing accuracy.
  • Using flexible architecture and data pipelines to be able to adapt to changing regulations, compliance processes, and general sustainability initiatives.

5. Enable Team Collaboration and Accountability

An effective data strategy isn’t just about technology; it’s about people. For sustainability metrics to create meaningful change, all relevant teams need buy-in and clear roles.

  • Executive Oversight: Members of the C-Suite should lead, ensuring alignment with broader organizational goals.
  • Cross-Department Collaboration: Include operations, HR, IT, marketing, and finance when formulating strategy and collecting input.
  • Training Programs: Educate teams on why the data matters, how it drives success, and how to use the tools available.

6. Build on Insights for Continuous Improvement

Once the data is collected, the real work begins. Armed with insights, businesses can make strategic decisions that create enterprise value.

  • Use predictive models to forecast future performance.
  • Implement action plans for areas with lagging metrics.
  • Share progress reports transparently with stakeholders to maintain trust.

Clearyst's Expertise in Sustainability Strategy

When it comes to simplifying sustainability efforts, Clearyst brings unique expertise to the table. Our tools and methodologies are designed specifically for organizations facing the challenges of fragmented data, regulatory pressures, or the need for clear performance benchmarks. With experience working across industries like retail, manufacturing, and CPG, we understand how to customize solutions that create measurable impact.

By partnering with us, companies can turn sustainability into a competitive advantage, from managing day-to-day complexities to creating a long-term roadmap for success.