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Sustainability is Transparency

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Decarbonization and sustainability: SMEs tackle the transition

admin, June 23, 2025June 30, 2025

In an era where climate urgency meets business resilience, small and medium-sized enterprises (SMEs) are increasingly finding themselves at the frontlines of change. It is therefore important for Swiss SMEs to collaborate with economic and sectoral partners throughout Switzerland to navigate this multifaceted journey toward sustainability and decarbonization.

The benefits of such collaboration are clear. SMEs will better understand the real-world challenges under new sustainability expectations in Switzerland. They will better gauge their current level of engagement in their environment whereas their partners can tailor their support strategies to meet the specific needs of Swiss SMEs.

But such collaboration isn’t just a fact-finding mission—it is an invitation for companies to shape the support measures that will define tomorrow’s greener economy.

Motivation Meets Barriers

A wide spectrum of motivations is behind sustainable action. For many Swiss SMEs, it’s about more than compliance—it’s about strategic advantage. Key drivers included risk management, long-term competitiveness, brand image, and access to sustainable financing.

Yet the path is far from smooth. Financial constraints, unclear legal frameworks, administrative overload, and difficulty initiating action are among the top barriers. Internal resistance and lack of supplier transparency are also common pain points.

Supply Chains and Software: A New Level of Scrutiny

The supply chain is no longer just a cost center—it’s a sustainability litmus test. Altough many SMEs engage with their Scope 1 suppliers, few extend this scrutiny deeper into the value chain. Software tools are helping track production processes, environmental compliance, and delivery quality.

What’s more, energy consumption, carbon accounting, and impact assessments are becoming mainstream. Still, a significant share of SMEs conduct one-time audits or lacking digital tools for regular monitoring.

What Are SMEs Actually Doing?

From decarbonizing energy use to adopting circular design, SMEs are rolling out a broad range of sustainability initiatives. Common actions include waste reduction, improving social conditions, and embedding ESG criteria in governance. That said, only a subset has formalized strategies and action plans—indicating room for further structure and scale.

On the communications front, targeted messaging around environmental impact, certifications, and alignment with the UN Sustainable Development Goals is gaining traction.

Stakeholders Are Watching

The pressure isn’t just regulatory. Employees, clients, and even job applicants are voicing sustainability expectations. Some are calling for carbon neutrality and ESG reporting; others are focused on ethical labor conditions and local community engagement.

This stakeholder push is shaping not just brand perception—but long-term business viability.

Mobility and People Matter Too

Sustainability isn’t just about emissions—it’s about how people move and work. Challenges like insufficient public transport and limited infrastructure for cyclists are particular pain point in rural Swiss communities. Meanwhile, flexible work arrangements and investment in soft mobility are welcome solutions.

Internally, more SMEs are dedicating teams—or at least individuals—to sustainability roles. The call for new skills, including non-financial accounting and strategy development, is growing louder.

Certification, Collaboration, and the Road Ahead

From ISO standards to emerging local labels, certifications are key to credibility. But they’re also gateways to new markets and investment. Many SMEs are seeking tailored guidance on choosing the right certifications and translating big-picture goals into concrete, operational actions.

The final message? SMEs aren’t standing still. They’re seeking tools, partnerships, and policies that empower them to scale impact—not just meet minimum requirements.

Image: Pixabay

 

Related

Blog Regulations brand perceptioncarbon accounting softwarecertificationcompetitivenessdecarbonizationrisk managementSMEsustainable financingUN Sustainable Development Goals

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