Small and medium-sized enterprises, while being the backbone of European economies, are particularly sensitive to the challenges that accompany major changes such as public health or geopolitical crises, especially those arising from relentless climate change. What can help small and medium-sized enterprises ensure their survival is the integration of a sustainable approach to business according to the ESG model, considering environmental, social, and governance impacts and risks.
In the transition to sustainable business, small and medium-sized enterprises can receive support from the entire ecosystem that includes decision-makers, the financial sector, as well as the academic community. This is just part of the conclusions from the second edition of the SME EnterPRIZE White Paper, a joint project of Generali Group and SDA Bocconi Business School, focused specifically on European small and medium-sized enterprises. Researchers from the SDA Bocconi Sustainability Lab interviewed over a thousand small and medium-sized enterprises and explored their approach to sustainability.
—
—
- 41 percent of SME owners who participated in the research stated that they have already established a sustainability strategy or will do so in the near future
- 43 percent of them stated that they have no plan for establishing green and social business practices
Achieving sustainable development goals is a shared responsibility. Namely, the latest report from the Intergovernmental Panel on Climate Change (IPCC) determined that the goal of limiting warming to 1.5 °C according to the Paris Agreement should be achieved by having global greenhouse gas emissions peak no later than 2025 and reduce by 43 percent by 2030. Given that institutional, organizational, and individual barriers prevent small and medium-sized enterprises from adopting sustainability strategies, the White Paper particularly emphasizes the importance of supporting and encouraging SMEs to integrate environmental and social aspects into their strategies and operations.
—
—
The White Paper particularly highlights the importance of early investment by SMEs in sustainability as it better positions them to face complex circumstances, recognize and seize new opportunities, and effectively manage risks.
—
—
Strategic Initiative SME EnterPRIZE
As highlighted, to achieve sustainable development goals and provide support to small and medium-sized enterprises in this transition, collaboration among policymakers, institutions, large companies, the financial sector, and the academic community and researchers is crucial. They need to work together to design incentives, simplify regulatory frameworks, support initiatives for small and medium-sized enterprises, and facilitate their access to financial resources.
With this goal in mind, Generali Group has launched the strategic initiative SME EnterPRIZE, which puts the heroes of sustainability – small and medium-sized enterprises that have implemented significant sustainability initiatives in their business activities and serve as inspirational models for other entrepreneurs – in the spotlight. Embedded in the strategic plan of Generali Group ‘Lifetime Partner 24: Driving Growth‘, the SME EnterPRIZE initiative promotes a more inclusive and greener economy in line with the European Green Deal and the Next Generation EU initiative.
Thanks to this, in addition to exchanging examples of good practices, small and medium-sized enterprises also have the opportunity to win valuable awards and promote their business model at the national and international levels.
Namely, this year, until June 4, 2023, small and medium-sized enterprises that are also clients of Generali Insurance or Privredna Banka Zagreb and members of the association Glas poduzetnika can apply for the SME EnterPRIZE competition. In the categories ‘Community’ and ‘Environment’, the best sustainable practices will be rewarded, specifically those enterprises that care about the sustainability of their business and stakeholder relations and are focused on the well-being of the community and the environment. The best sustainable entrepreneurial practice from Croatia, which will then be declared among the category winners, will be presented at the international Generali SME EnterPRIZE event in Brussels on November 28, 2023. Open the path to your own story of sustainable success and apply for the SME EnterPRIZE competition here.
