AI & digital alignment drive business gains in sustainability
Research by Kyndryl and Microsoft indicates a shift in how leading organisations use technology for sustainability, with 78% now regarding IT as essential to achieving environmental objectives. This is a significant departure from prior years, when technology was mainly used to monitor rather than enable environmental action.
Technology and strategy
The latest Global Sustainability Barometer Study, which draws on the views of over 1,200 enterprise leaders in 20 countries, shows that companies integrating sustainability into core business operations outperform their peers. These businesses align sustainability strategies with digital transformation, making environmental outcomes a driver of operational resilience and competitiveness.
Notably, 56% of IT teams now lead sustainability initiatives beyond their own departments, an increase from 38% last year. This reflects deeper cooperation between technology and sustainability teams, as companies aim to connect policy, people and operational objectives across the enterprise.
Role of AI
Artificial intelligence is increasingly central to sustainability efforts. More than half of the top-performing organisations use predictive AI to anticipate environmental challenges and respond proactively, as opposed to merely tracking them. The adoption of agentic AI-AI systems that can both predict and take action in real time-is on the rise, with 30% of respondents piloting or deploying such solutions to boost cost savings, innovation and compliance.
"We're seeing more leaders connect policy, people and purpose - embracing technological insights and agentic AI - to drive real progress and not just measure sustainability," said Faith Taylor, Senior Vice President, Global Citizenship and Sustainability, Kyndryl. "This shift - from compliance to action - means that when sustainability is embedded in the business, organizations across industries and geographies can make smarter, data-driven decisions that build resilience and spark innovation."
"The 2025 Global Sustainability Barometer Study shows that more than half of leading organizations now use predictive AI to anticipate and act on sustainability challenges - rather than just to track and analyze - making forward-looking intelligence central to sustainability strategy," said Ricardo Davila, GM, Enterprise Partner Solutions, Microsoft.
Financial and operational impact
The study identifies tangible financial returns from sustainability initiatives. Some 59% of organisations report financial benefits, especially through operational efficiency and improved customer retention. Clarity around return on investment (ROI) is cited as a key motivation for greater adoption, with 67% of countries accelerating sustainability attributing growth to enhanced ROI or new revenue opportunities.
Operational improvements are not limited to cost savings. Many respondents report gains in resource efficiency, resilience to market shifts, and the design of more sustainable products. Industries such as energy, banking and transport are among the leaders in adopting AI for sustainability, focusing efforts not just on emissions but also on long-term business value.
Regional momentum
Europe emerges as a frontrunner in technology-driven sustainability, credited to robust regulatory frameworks and early AI adoption. The emphasis on connecting departmental objectives and engaging the workforce is reported by 73% of organisations worldwide, further embedding sustainability as a business-wide value rather than simply a compliance measure.
"Organisations today have the opportunity to overcome long-standing challenges in bridging strategy and execution. Predictive and Agentic AI create a closed-loop system where insight meets action. Predictive AI anticipates risks, while Agentic AI responds in real time, turning strategy into execution. When technology and business strategy align, organizations can truly embed measurable environmental outcomes into everyday operations," said Sash Mukherjee, Vice President, Industry Insights, Ecosystm.