A study by Kyndryl, an IT infrastructure services provider, found that while most organizations in the Philippines (70%) now consider sustainability a strategic priority, almost half (48%) experienced setbacks in their efforts in 2024.

The study, Global Sustainability Barometer, commissioned by Microsoft, also found that only 15% of employees view sustainability performance as a key focus.

“Sustainability is no longer just a goal — it’s a necessity,” said Deon Del Mundo, managing director of Kyndryl Philippines. “While many organizations recognize its importance, incorporating sustainability into business strategies remains a challenge. Technology, including AI, offers immense potential, but its full benefits won’t be realized unless we focus on making it more integrated and accessible.”

While many organizations (71%) in the Philippines see artificial intelligence (AI) as an effective tool for sustainability, only 7% consider its environmental impact. Most (67%) admitted to not factoring it into their plans.

Striking the balance between AI and the environment

The study highlighted the need to balance AI integration with environmental considerations. In the Philippines, common sustainability initiatives include net-zero commitments, carbon offsetting, and sustainable transportation. However, the study noted that some efforts, such as renewable energy adoption and environmental reporting, have declined since 2023.

Employee awareness remains a concern, with less than half (45%) showing a basic understanding of sustainability practices. Challenges in AI integration also persist, with respondents citing issues like data integration difficulties, stakeholder coordination, and limited data accessibility.

“Companies can gain the insights needed to deliver on their commitments and drive resilience by integrating sustainability data with operational and financial data, and using traditional data analytics and robust AI tooling to reshape operational efficiencies and foster sustainable innovations,” said Matthew Sekol, Sustainability Global Black Belt at Microsoft.

AI is a key enabler in achieving sustainability goals

Kyndryl and Microsoft are working together to provide strategies for measuring emissions and optimizing AI architectures to minimize energy consumption and reduce waste. They aim to help organizations worldwide achieve sustainability goals while maintaining technological progress.

“We’re seeing more Asean organizations, especially large corporations, and conglomerates, make sustainability a strategic priority,” said Ullrich Loeffler, CEO and co-founder of Ecosystm. “AI is becoming a key enabler, helping businesses optimize resource use, minimize waste, and drive meaningful environmental impact. This momentum is set to expand across Asean as companies work toward building more sustainable supply chains.”

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