Preventing Greenwashing: SBM ITB Advocates for Transparent Sustainability Reporting
JAKARTA, itb.ac.id – The School of Business and Management at the Bandung Institute of Technology (SBM ITB) held a national seminar titled “Sustainability Communication: The Strategy Communication and Reporting Standard for Sustainability” on Thursday, June 27, 2024, at the ITB Jakarta campus. The event attracted around 150 participants both online and in-person.
JAKARTA, itb.ac.id – The School of Business and Management at the Bandung Institute of Technology (SBM ITB) held a national seminar titled “Sustainability Communication: The Strategy Communication and Reporting Standard for Sustainability” on Thursday, June 27, 2024, at the ITB Jakarta campus. The event attracted around 150 participants both online and in-person.
This seminar was part of a community service initiative by SBM ITB faculty, addressing the rising concern of greenwashing in business practices. Greenwashing involves the misleading communication of eco-friendly initiatives that don't align with the actual practices. The seminar underscored the need for transparent and responsible sustainability communication.
Keynote speakers included Dewi Suyenti Teo, Indonesia Country Manager for the Global Reporting Initiative (GRI), and Jalal, an expert and Chairman of the Advisory Board at Social Investment Indonesia.
Dewi highlighted the role of GRI as a comprehensive framework used by many large companies to assess their sustainability practices. She discussed the urgency of compliance reporting, the significance of being part of the global value chain, the company's role in achieving Sustainable Development Goals (SDGs), risk management models, and the relevance and accuracy of data for decision-making, stakeholder demands, and access to green financing.
In a talk show session, Jalal emphasized the importance of authentic sustainable communication to avoid greenwashing. He underlined the need for ethical practices to steer clear of misleading claims.
"Companies must integrate Environmental, Social, and Governance (ESG) criteria into their business operations. This involves building a solid foundation, strengthening core operations, and enhancing management teams. ESG requires a top-down approach where top management is accountable," he stated.
M. Gumilang P., founder of Foodbank Bandung, discussed data management in non-governmental operations. He demonstrated how to maximize stakeholder engagement in terms of trust and transparency.
"At Foodbank Bandung, we employ a scientific approach to data collection and calculation, aligning with Mr. Jalal's concept of data stewardship," he explained.
The seminar also featured presentations from two major corporations discussing their ESG activities. Tegar, Head of Sustainability at BRI, initiated the sharing session by illustrating ESG implementation in the banking sector. BRI began sustainability reporting in 2013, even before regulations mandated it. "Our stakeholders, defined as our customers and employees, are our top priority," he said.
Meanwhile, Mohammad Taufan, Head of Sustainability Strategy Management at PT. Astra International Tbk, spoke about Astra's successful sustainability initiatives. With 283 subsidiaries, Astra is active in managing emissions, energy, and the transition to net-zero emissions. "Astra’s Triple-P represents our sustainability strategy roadmap, which includes 10 sustainability aspirations engaging our stakeholders and garnering their support," he noted.
Melia Famiola, S.T.P., M.T., Ph.D., ESG Coordinator at SBM ITB, concluded the seminar by announcing the upcoming Anugerah Avirama Nawasena, SBM-ESG Awards. This year's awards are organized in collaboration with various stakeholders, including the Emil Salim Institute, ITB’s SDGs team, and media partners. The SBM-ESG Awards aim to recognize companies and individuals contributing to sustainable business practices.
This initiative, part of SBM ITB's community service, involved faculty members across different expertise groups: Dr. N. Nurlaela Arief, S.E., M.A.B. from the Human and Knowledge Management Group, Melia Famiola, S.T.P., M.T., Ph.D. from the Entrepreneurship and Technology Management Group, Santi Novani, S.Si., M.T., Ph.D. from the Strategic Decision Making and Negotiation Group, and Atika Irawan, M.Sc., from the Business and Financial Risk Group, alongside undergraduate and graduate students. Through this program, businesses are expected to gain a better understanding of new guidelines for sustainability reporting and avoid greenwashing practices.
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