Challenges in digital transformation
To achieve digital transformation sustainably, there are other aspects that come into play ecologically and socially.
“We need to change as humanity in order to be able to live on this planet for the next few years. And that has multiple perspectives,” says Löwenthal. “People need to change the way they approach things, which is something that they are reluctant to do.”
According to Löwenthal, the current challenges in digital transformation include the fact that it requires people “to change the way that they are doing whatever they’re doing right now”. In addition to reducing the effect of digital transformation on global warming being one of the challenges – in terms of the increase in energy consumption and heat production – he explains that people needed to find a way to filter the available data.
“All the information we need is available right now, today. But many don’t really have the proper concepts or tools for making sense of all that information at this point of time. This is where we can utilise technology” he says. “It’s not about availability of information, it’s about filtering out the core insights of that huge pile of information, filtering out whatever is necessary for you at this specific point in time, and then acting upon that information.”
However, according to Löwenthal, the next actual question is how to filter all that information in the search of validation.
“How do we make sure that the information is correct? If you take a look at what is currently going on in the war in Ukraine and Russia and how Russia and Ukraine are reporting the same numbers but in different ways so that people are influenced by it – that is the whole challenge that we currently see in terms of sustainability, with greenwashing being an example.”
Meanwhile, according to GMVK Head of Sustainability Felix Dalstein, the major challenge faced by companies that use GMVK’s services is that they are “overwhelmed by the availability of options in this field”.
“There are countless companies working and getting into the field of sustainability, in terms of carbon footprint, in terms of supply chain visibility, in terms of compliance” he says. However, “we see a clear difficulty in defining company goals as well as a systematic plan to reach those goals, especially in terms of sustainability.”
“It’s really hard for companies to find and figure out the proper partner that matches its sustainability vision and goals. It is not just about choosing a flashy tool or a name because another company or a friend recommended it, you have to find the appropriate tool to make sense of your data to reach your specific sustainability goals in a transparent and systematic way.”
Dalstein added that GMVK helps its clients in reaching economic and sustainability transparency, combining these data to lay the foundation for sustainable company development.
“The real key piece for business resilience and visibility doesn’t stop at getting the data and creating transparency,” says Dalstein. “The goal shouldn’t be to stop there. It should be to use this information to improve your procurement, to improve your entire supply chain and make those processes along the supply chain more sustainable along the way so that you and all your suppliers and the end customers get a more sustainable product out at the end.”
