Verdantix Compares Forty-Four ESG and Sustainability Software Applications to Accelerate Investment Decisions

LONDON–(BUSINESS WIRE)–Independent research firm Verdantix has released its benchmark of forty-four software applications that support ESG, climate change and sustainability use cases. The study builds on more than a decade of Verdantix research into technologies designed to meet business requirements for reducing carbon emissions and managing sustainability. Technologies in the study include reputation sentiment monitoring from alva and Nasdaq, new ESG platforms such as EMEX and Novisto, and GRC applications from Diligent and NAVEX Global.

“Due to a lack of market drivers, the sustainability software market was in the doldrums between 2010 and 2018,” commented Yaowen Ma, principal analyst at Verdantix. “Suppliers struggled to grow as they were limited to presenting small budgets held by the VP of sustainability. Since 2019, ESG issues have rapidly moved onto the financial market agenda, sparking interest in digital solutions that operationalize ESG strategies and improve sustainability disclosures.

The Verdantix report, Smart Innovators: Corporate ESG & Sustainability Software, provides purchasers of ESG and sustainability software with a detailed assessment of forty-four vendors across sixteen criteria. Study Highlights:

  • Software vendors with more than a decade of experience in environmental, health, and safety management offer the most comprehensive offerings, but don’t cover governance and some social issues. Companies in this segment include Enablon, Intelex, iPoint, IsoMetrix, Quentic, Sphera and UL.

  • Workflow and data management functionality for sustainability and ESG disclosure is commoditized, as more than forty vendors offer at least some capabilities. This should keep prices low for customers.

  • Twenty-six vendors say they have out-of-the-box functionality for energy and carbon management. But only one – Schneider Electric – offers a comprehensive climate change risk management offering for physical assets.

  • Buyers with product stewardship requirements have the smallest range of choices. Assent Compliance, iPoint, Sphera, UL, and VelocityEHS provide comprehensive functionality for product compliance. Only three vendors – iPoint, Sphera and UL – offer strong capabilities for circular economy and product lifecycle assessment.

“Investor interest in ESG digital solutions, climate change and sustainability is surging,” commented Verdantix CEO David Metcalfe. “This puts buyers in front of a complex choice. Are you buying from a new vendor with $10 million in private equity and a new product architecture designed around ESG requirements? Or do you go with the tried and trusted vendors like Envizi or Figbytes who have over a decade of experience working with customers and a detailed understanding of data acquisition and processing challenges? We recommend companies ask vendors to complete a detailed RFP, run a two-hour demo for multiple user types, and complete a high-volume data processing challenge.

To learn more, register for the Verdantix webinar: “ESG & Sustainability Software: 2021 Benchmark & ​​Investment Recommendations”.

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