A practical guide for boards and leadership teams on sustainability

In today’s evolving business landscape, companies are expected to deliver more than just financial performance. Societal expectations are reshaping corporate governance, driving organisations to create sustainable value for shareholders, employees, communities and the environment.

As the world shifts toward a low-carbon and sustainable economy, organisations in Singapore are under increasing pressure to integrate environmental, social and governance (ESG) principles into their strategies and operations. One clear sign of this shift is the growing importance of sustainability reporting, with more businesses expected to disclose their impact, targets and progress in line with evolving regulatory standards.

Sustainability is no longer a compliance exercise - it is a strategic imperative that shapes resilience, strengthens reputation and drives sustainable growth. It’s time for sustainability to be at the heart of business, guided by leadership and embedded at the core of business strategy.

Why boards play a critical role

In the wake of global climate agreements such as the 2021 United Nations Climate Change Conference (COP26), leadership is increasingly taking on the responsibility for driving meaningful and measurable change. Boards set the tone from the top - shaping how sustainability is prioritised, embedded and communicated across the organisation.

Their role is vital in ensuring that sustainability initiatives are fully integrated with corporate strategy and contribute to long-term business performance and resilience. Effective governance not only promotes accountability but also builds trust among stakeholders.

To support this shift, the European Confederation of Directors' Associations (ecoDa) and Forvis Mazars have collaborated to develop a practical guide that helps board members and leadership teams navigate their sustainability journey with clarity and confidence.

“ESG considerations are becoming a daily concern for both leadership teams and boards of directors. Engagement is the first step; however, it is vitally important to structure your approach to sustainability as a business, in order to meet your goals.” Leena Linnainmaa Chair of ecoDa

Seven critical success factors for a sustainable board and leadership team

The guide outlines seven key success factors that enable boards and leadership teams to steer their organisations towards long-term sustainability and impact:

• Leadership and tone from the top: Setting clear expectations, demonstrating accountability and leading by example.
• Purpose-led strategy: Aligning business objectives with broader societal and environmental goals to create shared value.
• Stakeholder orientation: Actively engaging and responding to the needs of stakeholders.
• A strong culture of sustainability: Embedding shared values and responsible practices at every level of the organisation.
• Sustainability integrated throughout the business: Ensuring ESG considerations are embedded into strategy, operations and risk management.
• A learning mindset: Continuously adapting to evolving regulations, stakeholder expectations and emerging sustainability trends.
• Openness and transparency in reporting: Promoting trust and credibility through clear, consistent and meaningful disclosures.

Key questions and practical next steps to tackle sustainability

The second section of the guide presents key questions that boards can use to access      their organisation’s current approach to sustainability. This structured reflection helps identify gaps, prioritise opportunities and guide meaningful improvement.

The final section provides a practical assessment tool that enables companies to determine their current maturity stage and chart a clear, actionable path forward.

This guidance is particularly important as sustainability report assurance in Singapore becomes more advanced. With evolving disclosure requirements and heightened regulatory expectations, businesses must strengthen their ESG governance and ensure their reporting frameworks reflect accountability, transparency and long-term vision.

By working through this guide, boards and leadership teams can turn sustainability from a compliance exercise into a driver of growth. With a focused plan, measurable goals and the right governance structures, businesses can enhance performance, build trust and      create lasting value for their stakeholders and society.

“Businesses that attach sustainability as a critical success factor to their board agenda will be the ones that thrive in the future. It is not a matter of compliance or regulation, but an opportunity to create long term value for all stakeholders in your business. Whether businesses are not sure where to start or have already begun their sustainability journey, our guide offers practical, tangible support on achieving sustainable business success.” Gareth Jones (Partner) Partner and Global Head of Privately Owned Business at Forvis Mazars

Find out more in our A practical guide for boards and leadership teams on sustainability  to learn how to turn sustainability into opportunity for your business and for future generations.