UNGC: Five Key Areas For Sustainable Leadership

The UN Global Compact (UNGC) has published its 2025 CEO Study, one of the largest global studies of CEO sentiment on sustainability. 

It finds that 88% of CEOs feel the business case for sustainability is stronger than it was five years ago. 

The report highlights the importance of building resilience against climate change and recognises how executive opinion on sustainability has shifted from a moral concept to a central pillar of corporate strategy.

António Guterres, United Nations Secretary-General, says: “We can only meet goals with stronger collaboration between Governments, and across society and sectors.

“Those that lag behind need not be a reason for us to be discouraged, but to increase our commitment to move forward.”

CEOs: the sustainability standpoint

Insights from more than 1,900 CEOs across 128 countries have been collated by the UN as part of the report, examining how leaders are moving from ambition to action and setting out key developments and trends in sustainability.

Commenting on the study’s findings, Sanda Ojiambo, CEO and Executive Director of the UN Global Compact, says: “CEOs are crystal clear: sustainability has moved from moral imperative to business fundamental.”

The findings show:

• 99% of CEOs report they are focused on expanding or maintaining their sustainability-related commitments
• 88% of CEOs believe the business case for sustainability is stronger than it was five years ago
• 96% agree that innovation and technological progress are essential to achieving the global sustainability agenda 
• 84% believe their companies are ready to meet upcoming sustainability regulations

The next era: five key actions for sustainable leadership 

While climate change, ecosystem collapse and resource depletion are accelerating, the UNGC says that the question is now how to act decisively with sustainability at the core of business strategy.

Sustainability drivers that CEOs are currently using - shared goals, technological innovation, industry collaboration and regulatory incentives - still remain critical.

Building on these, the UNGC outlines five key approaches to sustainable leadership that work together, adding that “leaving one out keeps vital opportunities locked away”.

1. Collaborate on regulation 

CEOs identify global governance and policy alignment for achieving sustainability goals, as highlighted in the UN’s Policy Enablers for Private Sector SDG Acceleration report.

The report says leaders must advocate for policy coherence and capacity-building initiatives that unlock the private sector’s potential for sustainable impact through:

• Strengthening internal ESG governance structures by assigning clear ownership of ESG regulatory readiness to an ESG Comptroller or Chief Sustainability Officer
• Engaging in business, government and civil forums, with 94% of CEOs expecting “some” or “significant” increase in collaboration with international NGOs over the next 25 years
• Investing in digital platforms and AI-powered analytics to prepare companies for future reporting mandates and building trust with regulators and investors

2. Harness consumer demand

CEOs must tap into consumer momentum by embedding sustainability into product design, pricing and partnerships to lead in a demand-driven future, with CEOs ranking consumer influence above that of governments and investors.

The study finds that 98% of CEOs agree the private sector can drive progress through sustainable products and services.

Key actions:

• Collaborating on standards by working with suppliers and across the value chain to establish new best practices, such as universal living wage standards
• Testing with technology by using generative AI to innovate ways to design, test and optimise sustainable products and services
• Exploring new business models by designing products for reuse, recycling or regeneration, transitioning from linear to circular business structures. The UNGC reports that 73% of CEOs are already prioritising circularity in their businesses

3. Expand access to technology

Leaders must democratise digital tools and data to ensure sustainable innovation is inclusive, scalable and equitably distributed.

Stephanie Jamison, Global Resources Industry Practice Chair and Global Sustainability Services Lead at Accenture, says: “Business leaders know that technology, data and AI are critical to meeting their sustainability targets, yet gaps persist as they move from ambition to execution.”

Key recommendations include:

• Investing in innovation as only 26% of CEOs currently rank digital innovation in their top three priorities, trailing behind revenue growth, long-term vision and operational efficiency. Increased investment in local innovators can accelerate sustainable development
• Design with intention, particularly through flexibly designed products that can be customised to local, regional and global needs

​​​​​​4. Upskill for the future

The future of work is being reshaped by AI, so businesses must rethink the skills they need to stay competitive while becoming more sustainable, the UNGC says.

This can be achieved through:

• Staying anchored in humanity as the humans remain the thread connecting resilience and progress so execs can provide workers with upskilling and reskilling programmes, keeping workers engaged at every level
• Building future-ready talent pipelines through investment in broad-based, strategic development, enabling innovation and agility

5. Lead with credibility and purpose

CEOs must lead with courage, credibility and consistency to build trust and create long-term impact. However, only 50% of those surveyed strongly agree that their companies are comfortable communicating their sustainability progress.

The report states that CEOs can combat potential disconnect from sharing progress by:

• Linking sustainability and long-term value creation to be better positioned to engage employees, investors, customers and communities
• Keeping messages authentic and simple by shifting from internal consensus-building to external engagement that builds trust
• Keeping the conversation ongoing as conditions continue to shift

Turning bold ambition into action

Despite economic uncertainty and geopolitical challenges, the UGNC believes these five keys will help leaders close readiness gaps, strengthen resilience, and translate bold ambitions into practical, credible action for the next decade.

"As the world breached the 1.5°C threshold and with a $4.3 trillion annual SDG financing gap leaving 3.4 billion people in countries spending more on interest than on health or education, the private sector must close the execution gap—embedding sustainability into strategy and culture, scaling innovation across value chains, and partnering to shape rules that reward long-term business value," says Sanda.

“Companies that act on these findings will build resilience, unlock growth, grow industries, stimulate economies and accelerate delivery.”

António adds: “The rewards are there for the taking, for all those ready and willing to lead the world through these troubled times.

“We are at a turning point. I urge you to seize this moment; and seize the prize.”