PAKISTAN was amongst the first countries to adopt the United Nations Sustainable Development Goals (SDGs) as its own national development goals through a unanimous resolution of parliament in February 2016. Since then, the Ministry of Planning, Development and Reform has launched the National Initiative on SDGs under which federal and provincial SDG support units have been established with the objective of enhancing coordination, monitoring and technical support for achieving SDG targets.

While the Pakistani government’s leadership and ownership of the SDG agenda is commendable and timely, the scale and timeline for achieving the ambitious targets of the SDGs by 2030 will require active engagement of other actors as well, particularly the corporate sector. The SDG National Framework published by the Planning Commission in March 2018 acknowledges that “to achieve success on SDGs agenda a strong partnership between public and private sector and civil society is needed.”

Indeed, new collaboration models are needed to drive progress towards achievement of the 169 targets embedded in the 17 SDGs. The national issues that the SDGs seek to address frame the context within which companies are operating in Pakistan, as these issues impact a company’s financial growth, operational resilience and brand equity.

Business can play a critical role in accelerating progress towards the SDGs as an engine of economic growth and job creation, a source of financing, and as a driver of innovation. In its flagship report, Better Business, Better World, the Business and Sustainable Develop­ment Commission presents a compelling business case for companies to invest in the SDGs. It illustrates how sustainable business models could unlock more than US$12 trillion in new market value and create up to 380 million jobs by 2030. Furthermore, more than 40pc of the US$12tr in new business opportunities associated with the SDGs around the world is in Asia.

There are compelling reasons for companies to invest in the SDGs.

Globally, a large number of leading corporates have aligned their strategies and actions towards achieving the SDGs. However, in Pakistan integration of the SDGs into business strategy has been slow, with largely multinational companies leading the way in line with their global commitments.

It is imperative for the corporate sector in Pakistan to consider alignment with the SDGs not as an additional cost but rather as a unique opportunity to drive innovation and create more value for shareholders and society. Increasingly, companies’ social licence to operate will be characterised by their willingness and ability to be an instrumental player in solving Pakistan’s key challenges such as food insecurity, poverty alleviation, water and energy insecurity. There are three key SDG strategies that companies can adopt:

First, companies should engage with SDGs at the target level and map how relevant targets either pose a risk to the business or present an area of opportunity for product innovation and partnerships. The Centre of Excellence in Responsible Business in Pakistan has identified seven SDGs that are necessary for adoption by most Pakistan businesses. This can be a starting point for companies to assess and measure how their business activities create positive and negative environmental and social impacts in the context of the SDGs.

For example, is lack of access to quality water (SDG 6) posing an operational risk for factories or will it endanger a company’s social licence to operate and lead to conflict if communities residing near the factory do not have access to clean drinking water?

Secondly, companies should consider aligning their own goals and target setting with SDG priority areas to enhance their positive impacts as well as reduce current and potential negative impacts. Furthermore, the SDG target areas can be seen as a basis for developing key performance indicators on measures such as water use, energy efficiency, anti-corruption monitoring, etc.

Lastly, companies should consider strategic partnerships particularly pre-competitive collaboration with other companies in the same industry sector on addressing a key industry challenge. For example, plastic packaging used by food and beverage and consumer goods brands is a major source of environmental pollution and is one of the areas of focus of SDG 12 and 14. A collaborative initiative could focus on advocating for regulatory change on plastic waste and recycling, and an industry-wide commitment to investing in package redesign and innovation.

As the former president of the World Business Council for Sustainable Develop­ment remarked, “Business cannot succeed in societies that fail.” Applying the SDGs as a lens to address national development priorities will help focus corporate sustainability efforts and move beyond a philanthropy mindset to a business solution-oriented approach that is vital for future commercial growth and competitiveness.

The writer is a London-based sustainable business strategist.

Published in Dawn, May 25th, 2018