Why Companies Are Failing at Sustainability—and Don’t Even Know It

31 July 2025
The Hidden Crisis Every Company Faces

You’ve set ambitious sustainability goals. You’re publishing ESG reports. But here’s the harsh truth: Your data is probably lying to you.

And that’s the real risk.

ESG strategy is collapsing under its own weight—not because of a lack of ambition, but because of invisible data failures.

Think you're safe? Here’s a stat:

  • More than 70% of executives surveyed across multiple industries and regions reported that they lack confidence in their organisations' own ESG reporting.
  • According to an article from the Financial Times more than 70% of respondents believed ‘inconsistent and incomplete’ data is the biggest barrier to ESG investing.

The scary part? You can’t see the problem until it’s too late.

Why ESG Data Failure Is a Serious Business Risk

We are entering an age where sustainability performance is just as scrutinised as financial performance.

But while finance has decades of digital infrastructure, ESG is still manually tracked across spreadsheets, vendor emails, disconnected systems, and static PDFs. And the world is watching:

  • EU CSRD mandates 50,000+ companies to disclose structured ESG data in 2025
  • The SEC and ISSB are pushing for climate-related disclosures to be auditable and investor-grade
  • South Africa’s own ESG disclosure frameworks are gaining traction and may soon be codified

The issue? Most companies are not ready. In fact:

  • In an article published by Deloitte, they noted that in a 2021 Open Compliance and Ethics Group survey, only 9% of companies said they use ESG tracking software.
  • 2024 sustainability reports now average 83 pages—a 20 % jump since 2021—according to analysis of 250 major firms.
  • Around 57% of companies rank data quality as a major ESG challenge, with 88% placing it among their top three—particularly for elusive Scope 3 emissions. (Note: various industry studies reflect these figures.)

Without credible, real-time data, ESG claims morph from assets into liabilities.

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Why This Should Terrify CIOs, CSOs & Consultants Alike

For CIOs & IT Leaders

You’re attempting to wrangle carbon, diversity, supply chain, ethics—all from fragmented systems and manual processes. You’re accountable for audit-readiness, yet the infrastructure to support it is missing.

For CSOs & Sustainability Execs

Bold climate targets mean little when your data is unreliable. Investors and regulators expect traceable, defensible, real-time ESG performance. The excuse “we didn’t have the data” no longer holds water.

For ESG Consultants & Practitioners

You can’t guide transformation with guesswork. Incomplete or static data means limited strategic foresight, inaccurate baselines, and recommendations that won’t scale.

For the Public & Investors

We live in a greenwashing-sensitive era—claims won’t pass scrutiny without verified, real-time transparency.

The Real Problem: You’re Not Missing Data—You’re Missing Data Intelligence

Most companies have ESG data. But what they lack is connected, intelligent, real-time data architecture.

Here’s how that plays out:

1. No Architecture = No Action

Without a proper ESG data architecture, your teams operate in silos. That means no shared definitions, no automation, no confidence in what’s being reported.

2. Data Gaps Are Invisible Until Audits Hit

You think you have Scope 1 and 2 covered—until an audit reveals you’ve underreported Scope 3 by 60% because you lacked supply chain visibility.

3. Dashboards Without Direction

Many companies build ESG dashboards, but they’re static and backward-looking. True ESG intelligence predicts, simulates, and informs decisions—not just reports history.

Did you know?

  • The adoption of advanced analytics, including predictive analytics, in ESG dashboards is not yet widespread.
  • Nearly 40% of companies don’t track ESG performance in real time.

What “Data Intelligence” Actually Looks Like

At 4Sight, we help you move from ESG chaos to ESG clarity—by building ESG data intelligence layers that connect, calculate, visualise, and simulate in real-time.

Using Microsoft Cloud for Sustainability, Microsoft Fabric, and Power BI, we help you:

  • Connect ESG data sources into a unified ESG lakehouse architecture
  • Automate emissions tracking using built-in methodologies (GHG Protocol-aligned)
  • Design real-time dashboards that track performance against strategy, risks, and compliance
  • Simulate ESG future outcomes using AI models to inform capital allocation and scenario planning
  • Standardise disclosure readiness (CSRD, ISSB, GRI) with one-click reporting tools

We don’t just install dashboards—we build the ESG data nervous system your company runs on.

Sustainability Will Be Won or Lost in the Data Layer

Your competitors may have prettier reports. But the companies that survive regulation, earn stakeholder trust, and drive true impact are the ones who get their ESG data house in order—now.

And most won’t. Not because they don’t care. But because they underestimated just how broken their data really is.

Don’t be part of the 91% still guessing. Be the 9% with clarity.

Ready to Build ESG Data Intelligence?

Let 4Sight help you:

  • Map your ESG data maturity
  • Identify risks and gaps
  • Build integrated ESG systems powered by Microsoft
  • Prepare for assurance, audits, and accelerated action

Because ESG isn’t about how good you look on paper—it’s about how strong your data is behind it.

Contact 4Sight at This email address is being protected from spambots. You need JavaScript enabled to view it. for more information.

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