Trends Shaping Sustainability Consultancy for the Next Generation
Nicky Amos and Rory Sullivan
From more specialisation to more scrutiny, and not to mention AI, the world of sustainability consultancy is evolving rapidly. To mark the launch of the Chronos Sustainability Guide to Careers in Sustainability Consulting - a new guide for graduates and early career professionals drawing on over 20 interviews with sustainability-related consultants - we look at some of the emerging trends reshaping the field for the next generation.
Trend 1: The Demand for Specialists
Despite the ‘ESG backlash’, the sustainability consulting market is continuing to grow.
As sustainability considerations among policymakers, investors and companies expand beyond carbon to include areas such as biodiversity, water stewardship and social impact, so too has demand grown for consultants with sector- and domain-specific expertise and for specialists in regulatory compliance and data management.
Clients increasingly expect consultants to bring deep knowledge of particular industries, sectors and technical areas such as carbon accounting, circular economy and nature risk assessments. As one independent consultant and Board Advisor told us, “If I look at the roles out there, specific skills are required for specific sectors. That means that individual consultants need to think about specialisation and about the development of technical skills.”
Trend 2: The Growth of AI
Sustainability consultants are often asked to take on large tasks such as analysing hundreds of companies or thousands of data points on behalf of an investor or other client. By automating repetitive, data-intensive tasks, technology, particularly artificial intelligence (AI), can be enormously helpful in tasks such as data collection, preliminary research and scenario modelling.
Will it put sustainability consultants out of business? In the tech world, people say: “It is not that AI will replace you, but it is a person using AI that will replace you.” There is growing evidence that AI used well is allowing consultants to focus more on strategic thinking, on client engagement and on developing impactful solutions. Skilled human sustainability consultants will continue to be essential to calibrating search prompts, interpreting results, applying critical thinking and designing tailored strategies for clients.
As one interviewee from a major accounting firm put it, “AI is positively disruptive for clients, allowing them to shift resources from analysing transition plans to asking, ‘We have the outputs – how do we make them relevant to our bank, products, or services?’ That’s where consultants add value: implementing the system and training teams to use it effectively.”
Trend 3: The Increased Scrutiny of ESG Data
As ESG data becomes more important to business decision-making, expectations for high-quality, reliable, and auditable information have risen. Companies and investors now demand “finance-grade” data, i.e. data that are accurate, well-structured and fully traceable. Sustainability consultants play a critical role in advising clients on data validation, technology integration and automation strategies to ensure ESG insights are reliable and actionable.
Trend 4: The ESG Backlash
Political pushback (e.g. the roll-back of some climate policies) and public scepticism around certain ESG issues (such as diversity, equity, and inclusion) has increased. While most companies and organisations remain committed to sustainability, external pressures require nuanced, strategic approaches to achieving impact without exposing organisations to reputational or political risk. Sustainability consultants are playing a critical role in helping organisations to:
Navigate complex regulatory and political landscapes.
Maintain credibility and trust with stakeholders.
Mitigate risk.
Implement effective, low-profile sustainability strategies.
Trend 5: The Evolving Regulatory Landscape
The rapid pace of change around sustainability-related regulations combined with limited internal expertise in many organisations, makes consultants highly relevant for keeping clients ahead of legal and policy developments. With new disclosure requirements, reporting standards and compliance expectations emerging worldwide, companies and investors frequently rely on external consultants to:
Interpret complex and evolving regulations.
Implement effective reporting systems.
Ensure compliance and minimise legal, financial and reputational risk.
As one Director told us, “We need consultants that understand the multiple different ESG frameworks, how they relate to each other and how they are evolving.”
Change is the only constant
The pace at which the field of sustainability consultancy is evolving is a reminder to all of us, whether graduates or seasoned professionals, to stay adaptable and be responsive to regulatory, political and market changes that can significantly influence client strategies and priorities.
