Summary
The focus topic in this edition is sustainability. This issue has become increasingly important over the past few years, a trend that looks likely to continue. The 15th edition of swissVR Monitor considers aspects such as the major sustainability issues confronting businesses, the measures they need to take, the obstacles they face, and the nature of the debate within their Boards
About the survey
swissVR Monitor is based on a survey carried out jointly by swissVR in collaboration with Deloitte and the Lucerne University of Applied Sciences and Arts. The aim of this bi-yearly survey is to gauge Board members’ attitudes to the outlook for the economy and business as well as corporate governance issues. swissVR Monitor also aims to share with the wider public the ways in which Board members perceive their role and the current economic situation. Each edition also explores a special focus topic and conducts interviews with experts. A total of 409 Board members took part in the current edition of swissVR Monitor, providing a good overview of the views and challenges facing board members in Switzerland.
Key findings
Outlook
Economic outlook less bright than in H2 2023
Swiss Board members are somewhat less optimistic than in H2 2023 in their rating of the economic, sector and business outlook over the next 12 months. More Board members rate the outlook in all three areas as positive than rate it as negative, but a significant number are neutral. Major influences on Switzerland’s economic prospects over the next 12 months include geopolitical conflict, the exchange rate for the Swiss Franc, and interest rate decisions by key central banks.
Importance of sustainability
Sustainability issues will become markedly more important to companies
Four-fifths of Swiss Board members agree that the importance of sustainability to their company has increased, a quarter of whom report that it has increased a lot. One-fifth say there has been no change in the importance of this issue and no Board member thinks that the issue has become less important. Two-thirds of Board members believe that sustainability will continue to increase in importance over the next three years. Just under one in five expects it to increase a lot, while one in six expects no change. Virtually no Board members believe that the importance of sustainability to their company will decrease.
Regulation in sustainability
External stakeholders challenge companies over sustainability issues
A majority of Swiss Board members believe regulation and changing customer needs are the greatest influences on their company’s efforts in the area of sustainability. External stakeholders are therefore increasingly important in raising these issues with businesses. Board members report that most companies are seeking to make more efficient use of energy, while other common measures taken include developing more sustainable products or services, promoting diversity and inclusion, and training their staff on aspects of sustainability.
Obstacles to greater sustainability
Obstacles to greater sustainability
Board members surveyed believe that their companies face three major obstacles to becoming more sustainable. A majority report that their company finds it difficult to measure its own environmental impact. Half believe that their efforts are hampered by limited time resources. And finally, Board members report that the cost of sustainability initiatives is hampering their efforts.
Topic of sustainability in VR committees
Most Boards discuss sustainability
The vast majority of Boards have discussed sustainability over the past 12 months. In seven out of ten cases, this discussion has taken place in the full Board. More than a quarter of Boards have also discussed the issue within one or more relevant committees. Most Boards have the required expertise in the area of sustainability, according to survey respondents. However, only between five and six out of ten Board members believe that their Board takes the time it needs to discuss sustainability targets or management’s sustainability reporting.
Rankings
| Rank I/2024 | Rank I/2023 | Issues | |
|---|---|---|---|
| 1 | 4 | Talent (recruitment, retention, etc.) | |
| 2 | 1 | Formulating a new corporate strategy | |
| 3 | 3 | Risk management | |
| 4 | 2 | Responding to market developments / behaviour of competitors | |
| 4 | 9 | Improving efficiency / optimising internal processes | |
| 6 | 7 | HR challenges at management level | |
| 7 | - | Security management, including cyber resilience | |
| 8 | 6 | Digitalisation / robotics / automation | |
| 9 | 10 | Compliance (with legislation and internal codes of conduct) | |
| 9 | 10 | Corporate culture | |
Interviews
Member of the Board of Adecco Group, Helvetia Group, Straumann Group, Swissgrid and Swissport
Regula Wallimann
“Success starts with having sustainability as a regular item on the agenda for Board meetings. If the Board sets realistic and ambitious goals and gives management a clear mandate to implement them, it is well on the way to succeeding. I think it is better to focus on just a few goals and to make genuine and substantial progress in those areas.”
Member of the Board of ESG4Boards, swisscleantech and PUSCH Praktischer Umweltschutz and President of the Board of Holzheizkraftwerk Aubrugg
Barbara Dubach
“It is strategically important for the Board to have both experience and expertise in the area of sustainability. Board members need the right level of expertise to be able to challenge management on sustainability strategy and goals and to monitor achievement of those goals.”
Previous board survey editions
swissVR Monitor II/2020
The Boards of Directors' perspective on COVID-19: Learning the lessons for the next crisis
swissVR Monitor II/2019
More agile but more complex: the impact of digitalisation on boards and companies
