On the evening of November 29, the Vietnam Business Council for Sustainable Development, in collaboration with the Vietnam Chamber of Commerce and Industry (VCCI), organized an event to announce the Sustainable Businesses in Vietnam for 2024, with the theme “Businesses Rising in the Green Era.”
INCREASED FOCUS ON SUSTAINABLE DEVELOPMENT AMONG VIETNAMESE BUSINESSES
100 exemplary sustainable businesses in both production and trade-service sectors were honored. Among them, the top 10 sustainable businesses in these two sectors comprised a 50-50 ratio of domestic and foreign-invested enterprises.
In addition to recognizing the main category of sustainable businesses, the program also evaluated and selected pioneering enterprises that excelled in two specialized categories: implementing circular economy and greenhouse gas emissions reduction, and building and realizing diverse, equitable, and inclusive values.
According to the organizers, this is the ninth consecutive year that the Corporate Sustainability Index (CSI) Program has been implemented in Vietnam, under the guidance of the Central Economic Commission, the Ministry of Labor, Invalids, and Social Affairs, the Ministry of Natural Resources and Environment, and the Vietnam General Confederation of Labor.
In 2024, the CSI Program attracted nearly 500 businesses from across the country, representing various forms and scales of enterprises. From this pool, the organizers initially selected 142 applications for official evaluation.
Notably, the percentage of domestic businesses and new participants in this year’s program showed remarkable growth compared to the last three years, standing at 62% and 35%, respectively.
These figures indicate an increased focus on sustainable development among Vietnamese businesses, signifying a positive shift in their awareness and actions toward embracing sustainable business practices.
It is worth mentioning that the 2024 CSI Index has been adjusted to incorporate new content related to international commitments and significant changes in the domestic legal framework. Specifically, the 153 indicators of the 2024 CSI Index include 62% compliance indicators and 38% advanced indicators, comprehensively evaluating enterprises in terms of economic efficiency, corporate governance, social responsibility, and environmental performance.
With the majority being compliance indicators, this reflects that achieving sustainable development is not as challenging or distant for businesses as it may seem. By simply ensuring compliance with legal requirements, enterprises can establish a solid foundation for their sustainable growth.
Notably, the 2024 CSI Index features the most quantifiable indicators in the program’s nine-year history. This adjustment requires businesses to have a monitoring system and calculate data that emphasizes the topical issues of sustainable business, such as assessing the two-way impact between businesses and the environment. It necessitates the calculation of figures like net revenue from activities significantly impacting the climate and operating and investment costs allocated to plans and activities related to sustainable development.
This not only compels enterprises to invest more in implementing the 2024 CSI Index but also encourages them to scrutinize their entire operations, allocate resources for sustainable development, and make appropriate adjustments.
ACHIEVING SUSTAINABLE DEVELOPMENT IS NOW WITHIN REACH
Speaking at the event, Mr. Pham Tan Cong, President of VCCI and Head of the 2024 CSI Steering Committee, emphasized that “2024 continues to be a challenging year for Vietnam’s sustainable development goals in general and the business community’s production and operations in particular.”
The impacts of abnormal “natural storms” caused by climate change and the “storms of financial, economic, and geopolitical instability, wars, and conflicts” have inflicted significant damage on businesses’ operations.
However, these tumultuous events have revealed a new reality: enterprises that persistently practice sustainable business models can enhance their resilience, adaptability, and ability to seize opportunities arising from the green and digital transformations that businesses are undergoing. This has been evidenced by VCCI’s surveys of enterprises that have achieved the sustainable business title over the past decade.
According to Mr. Cong, to seize new opportunities, along with breakthrough institutional reforms and the removal of bottlenecks and barriers, the business community also needs to revolutionize their strategic thinking, harness their internal strengths, and proactively innovate to embrace humane, creative, and sustainable business practices.
The VCCI President shared that surveys conducted by VCCI among enterprises that have been recognized as sustainable businesses by the CSI Program over the years have proven that those who persistently practice sustainable business models can enhance their resilience, adaptability, and ability to seize opportunities arising from the green and digital transformations.
Concluding the event, Mr. Nguyen Quang Vinh, Vice President of VCCI and Chairman of the Vietnam Business Council for Sustainable Development, remarked that the global business community is undergoing a rapid and determined transition from a “gray” economy to a “green” and sustainable one.
In Vietnam, businesses embracing sustainable development have demonstrated higher adaptability and resilience to negative external changes, as well as the ability to seize the opportunities presented by the economy effectively.
This is a positive sign, indicating that Vietnamese enterprises are evolving to keep up with global trends. However, to establish a “green legacy,” it is imperative to have the participation and action of a larger number of enterprises.
“The enterprises recognized in the 2024 CSI Program and in previous years are the clearest testament to their success in striving for sustainable business practices in a substantive and solid manner, with Governance as the pillar and ‘compass’ guiding their economic, social, and environmental activities,” emphasized Mr. Vinh.
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