o9 Releases 2024 ESG Impact Report Highlighting Sustainability Efforts

o9, a provider of AI software platforms for planning and decision-making, has published its latest ESG Impact Report, outlining the company's sustainability and social responsibility activities for the 2023 calendar year. This report builds on the foundations established in previous years and details key initiatives and progress across environmental, social, and governance (ESG) areas.

Decarbonization Strategy

In 2023, o9 advanced its decarbonization efforts, aiming for net-zero emissions by 2040. The company revised its baseline carbon footprint data to enhance accuracy and transparency, and renewable energy use increased by 11.41%. The company continues to focus on reducing its overall carbon emissions and meeting long-term environmental goals.

Supplier Engagement in Decarbonization

o9 has started engaging its suppliers in its decarbonization strategy, aligning efforts to ensure that 90% of suppliers (by emissions) related to purchased goods and services will have set science-based targets by 2028. Additionally, o9 aims to reduce absolute scope 3 greenhouse gas emissions by 90% by 2040.

Increased Renewable Energy Usage

In fiscal year 2023, 30.98% of o9’s energy consumption came from renewable electricity, reflecting the company’s ongoing commitment to reducing its carbon footprint and reliance on non-renewable energy sources.

Recognition for Sustainability Efforts

o9 was awarded the EcoVadis Gold Medal in June 2023, placing the company in the top five percent of organizations reviewed by EcoVadis across categories such as environment, labor and human rights, business ethics, and procurement practices. This recognition reflects o9's ongoing efforts to achieve sustainability certifications and implement robust corporate social responsibility (CSR) programs.

Linking Executive Pay to ESG Performance

In 2023, o9 introduced a program that ties executive compensation to ESG performance, focusing on areas like climate action and diversity. The company launched a pilot program and plans to expand this initiative over the next few years.

Social Impact and Community Engagement

Through its WePledge 1% program, o9 encouraged employees to contribute time, talent, and resources to nonprofit causes. In 2023, o9 employees donated $63,271 to nonprofit organizations, with the company matching $27,481 in donations.

Progress Tracking and ESG Reporting

o9 began tracking its ESG initiatives in 2021 and has since developed key performance indicators (KPIs) to measure its progress. The 2024 ESG Impact Report was prepared using recognized sustainability frameworks, including the Global Reporting Initiative (GRI), Sustainability Accounting Standards Board (SASB), and the United Nations Sustainable Development Goals (SDGs). To ensure accuracy and transparency, o9 enlisted a third-party organization to verify key ESG indicators and expanded the scope of verification to include the company’s entire carbon footprint for 2022 and 2023.

Chakri Gottemukkala, Co-founder and CEO of o9 said, “Over the past year, we have further strengthened our decarbonization strategy at different levels to achieve net-zero emissions by 2040. Setting and validating our science-based targets underscores o9's unwavering commitment to a sustainable future. These targets drive our operational excellence and amplify our role in fostering environmental responsibility across the industry. We are committed to transparently communicating these targets while monitoring and reporting on our progress.”

Igor Rikalo, o9’s President and COO, added, “Sustainability is a core part of our business strategy. This means taking a holistic approach, from reducing our carbon footprint and minimizing waste to promoting social and economic justice. We are transparent about our sustainability goals and progress and engage with our clients and stakeholders to build support for our efforts. By developing sustainable products and services, we will tap into growing
demand from environmentally conscious businesses.”

Conclusion

o9’s 2024 ESG Impact Report highlights the company’s ongoing commitment to sustainability and social responsibility. With clear goals for decarbonization, renewable energy usage, and supplier engagement, along with a focus on social impact and ESG accountability, o9 continues to make strides in enhancing its overall ESG performance.

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