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Home Management Leadership

Trends and initiatives shaping the 2025 tech landscape

Sarwar Khan by Sarwar Khan
December 11, 2024
Image by Tung Nguyen from Pixabay

Image by Tung Nguyen from Pixabay

2024 was a turning point for industries worldwide. Across the board, we witnessed how technological advancements, kickstarted by AI, became the" year's most prominent business buzzwords. Global initiatives like COP29 highlighted the dual role of digital tech and AI in driving and necessitating climate action. These trends and "initiatives are reshaping the way that organisations operate, compelling business leaders to rethink their strategies, embrace innovation, and prioritise sustainability more than ever before.

As businesses prepare for 2025, let us reflect on the challenges faced throughout 2024 and the strategic shifts required to thrive in the year ahead:

Sarwar Khan
Sarwar Khan

Leveraging ESG regulations to drive strategic value

    The Corporate Sustainability Reporting DirecNvidia'sRD), implemented in early 2023, has brought ESG to the forefront, requiring organisations in the" EU and those with significant EU operations to meet stringent reporting standards. This, coupled with heightened pressure from the recent UN Climate Change Conference (COP29), has pushed businesses to prioritise compliance and accountability.

    This trend extends far beyond regulatory compliance and is quickly becoming a core expectation across the business ecosystem. In fact, at BT, we've seen an 81% rise in sustainability clauses included in service agreements with our customers. This shift makes one thing clear: meeting ESG is no longer optional. Businesses that fall short risk exclusion from market bids, positioning ESG not just as a compliance challenge but as a decisive factor influencing boardroom strategy.

    The tech sector, in particular, faces growing scrutiny for its environmental impact. In 2022, it was found that 166 tech companies accounted for nearly 1% of global greenhouse gas emissions – this is equivalent to the emissions of one of the world's top 25 carbon-emitting countries.

    By embedding sustainability into core business strategies and leveraging digital tools like data analytics and reporting platforms to enhance transparency and accuracy, CIOs can turn compliance into a powerful competitive advantage.

    Given this significant footprint, CIOs must take a proactive stance. ESG reporting should be viewed as a regulatory requirement and a strategic opportunity for long-term value creation. By embedding sustainability into core business strategies and leveraging digital tools like data analytics and reporting platforms to enhance transparency and accuracy, CIOs can turn compliance into a powerful competitive advantage.

    Navigating AI governance & ethical standards

      2024 saw the widespread adoption of generative AI technologies like OpenAI's ChatGPT. This swift uptake has brought new challenges to the forefront, particularly around AI governance and ethical use.

      While governments work to address the complexities of AI by refining existing regulatory frameworks or introducing AI-specific guidelines, most jurisdictions continue to favour high-level, principle-based approaches to encourage innovation. As these regulatory efforts evolve, CIOs must closely monitor these developments to ensure that their organisations' AI applications adhere to ethical practices.

      Empowering procurement teams to decarbonise the supply chain

        As Scope 3 emissions (emissions generated across a company's supply chain) become a focus for regulators and stakeholders, CIOs have a critical role in addressing this growing scrutiny. By leveraging advanced digital tools and data analytics, CIOs can empower procurement teams with the insights to track, measure, and manage supplier emissions effectively.

        CIOs incorporate technology solutions, such as carbon tracking platforms and supply chain visibility tools, to drive their organisation's decarbonisation and sustainability efforts. This ensures that sustainability becomes a measurable and actionable priority across the business.

        Embedding sustainability through the 'as-a-Service' Model

        The journey promises both challenges and opportunities, and it's up to us to navigate them.

          As organisations increasingly embed sustainability into their core operations, driven by financial incentives like green financing and growing consumer demand for responsible business practices, they are moving beyond treating sustainability initiatives as a 'nice-to-have.'

          The 'as-a-service' model presents a practical solution for CIOs to align technology strategies with sustainability goals. This approach enables organisations to optimise resource usage, minimise waste, and reduce energy consumption by provisioning IT infrastructure, such as networks and data centres, on a scalable, pay-as-you-go basis.  By prioritising flexible, cloud-based services, CIOs can also ensure the agility required to remain competitive in a rapidly evolving landscape.

          As we look ahead, who knows exactly what 2025 will bring? However, what's clear is that adaptability, innovation, and a commitment to sustainability will be the driving forces shaping the future. The journey promises both challenges and opportunities, and it's up to us to navigate them. Let's see what the new year has in store.

          Related:  Readying your NDR strategy for 2022
          Tags: Artificial Intelligencedigital transformationESG regulations
          Sarwar Khan

          Sarwar Khan

          As Sustainability Director, BT Busines,s Sarwar Khan is responsible for integrating sustainability into the way we design, build, sell, market, and measure the performance of digital products and propositions. He has 12 years’ experience in developing decarbonisation strategies, products and propositions spanning across the telecoms, IT, and energy industries, working for both large corporates and start-ups. Khan also has a master’s degree in Renewable Energy Technology, is IEMA Carbon Management certified, and holds an Executive MBA from Cranfield University. In his spare time, he is also a BT Digital Boost mentor, providing small businesses with the extra support they need to scale.

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