Stricter requirements are challenging companies to implement new sustainability measures. Haaga-Helia's sustainability expert, Annariikka Rosendahl, urges small and medium-sized enterprises (SMEs) to prepare for these changes, as the obligations placed on large corporations are likely to expand throughout the entire value chain.
European businesses are undergoing significant transformations as EU regulations push companies toward more responsible and sustainable practices. While an increasing number of businesses are prioritizing environmental responsibility and setting ambitious carbon neutrality goals, skepticism and even resistance to sustainability remain widespread.
Project manager and sustainability expert at Haaga-Helia University of Applied Sciences, Annariikka Rosendahl, notes that many businesses are still unclear about the practical implications of these changes. She urges companies to proactively prepare for sustainability reporting (CSRD) to avoid being caught off guard when the requirements become mandatory.
"In my view, many small and medium-sized enterprises (SMEs) struggle to grasp how the sustainability requirements imposed on large companies ripple through the entire business ecosystem, ultimately affecting all of us," she explains, emphasizing the critical need for forward planning.
Rosendahl predicts that future sustainability demands will likely extend beyond large corporations to encompass smaller subcontractors. SMEs are already facing this shift, as tenders increasingly request detailed data on their carbon footprint and other sustainability practices.
Rosendahl highlights that smaller companies, in particular, may find it challenging to keep up with the mounting pressure to adopt sustainability measures. Tasks like sustainability reporting and carbon footprint calculations often take a back seat amidst the demands of day-to-day operations. Additionally, the technical terminology and data collection requirements can make the process seem daunting.
"Calculating a carbon footprint involves a lot of technical jargon, such as the GHG Protocol and its various emission scopes. While this may seem intimidating, the process itself is not overly complex. The real difficulty lies in gathering the necessary data, which requires both time and a thorough understanding," she explains.
Many SMEs still assume that sustainability reporting requirements don’t apply to them. However, Rosendahl cautions that this perspective could lead to challenges down the road. Large corporations, legally bound to prioritize climate action, are increasingly requiring their entire supply chains—including smaller subcontractors—to meet similar sustainability standards.
To effectively manage emissions, Rosendahl advises companies to invest in building internal expertise and understanding. While external consultants can provide valuable insights, it is crucial for businesses to have a clear grasp of where their emissions originate and which operations are most energy-intensive. In a rapidly evolving landscape, businesses that anticipate and adapt to these demands will gain a significant competitive advantage.
Sustainability reporting is more than just a compliance obligation—it’s also a powerful competitive advantage. Increasingly, tenders and contracts require detailed information about a company’s carbon footprint. This makes early preparation essential; starting well before reporting becomes mandatory is far better than falling behind.
Fortunately, businesses don’t have to face these challenges alone. A wide range of training programs, tools, and support services is available to guide companies through the sustainability reporting process. Annariikka Rosendahl, a circular economy and sustainability expert, plays a key role in the Carbon Neutral Experience 2.0 (CNE 2.0) project, which promotes sustainable tourism in the Uusimaa region. She also serves as a project manager for the international ACES initiative, which explores how circular economy business models can be developed and supported through financial management practices.
CNE 2.0 provides free STF (Sustainable Travel Finland) workshops, offering restaurant and tourism businesses the opportunity to train their staff in carbon footprint calculation, service design, sustainability reporting, and responsible communication and marketing. Additional workshops are available for those working toward achieving the STF label. For more details about ACES and CNE 2.0, visit Haaga-Helia’s project pages:
