JSBE researchers identify legislation as biggest driver of sustainable business, but funding and inconsistent regulation remain an obstacle
The aim of OPTIMI 1 has been to examine the shift in the business environment towards more sustainable business practices, with a focus on changes in trends, legislation and consumer behaviour.
It has also examined how sustainability data, which refers to data collected on a company’s economic, environmental and social impacts, can be gathered and shared as reliably and extensively as possible throughout companies’ value chains. The project looked specifically at the forest industry.
“The project has focused on emissions in a company’s supply chain, as they are on average 11 times higher than direct emissions and account for more than 70% of total emissions,” says Associate Professor Marileena Mäkelä. “The ability to control these emissions can significantly improve the competitiveness of all companies in the value chain.”
Study focuses on sustainable business and futures studies
This study focuses on two key concepts: sustainable business, which involves taking accountability for the economic, environmental and social impacts of business operations, and futures studies, which explores alternative futures, trends and megatrends.
“Companies usually have their finances in order, since making money is the reason for doing business,” says Mäkelä. “A further aspect of this is financial wellbeing, which means not only maximising profit but also facilitating the wellbeing of society through, for example, tax revenue and contributing to the community in which the company operates.”
“Then there is the responsibility to recognise and minimise environmental impacts,” she says. “Companies strive to reduce their negative impacts, and business operations are increasingly considering climate issues and biodiversity. The third aspect is social, referring to a company’s relationships with people – its own employees, those working in its value chain, and more broadly, society.”
Mäkelä says that, even though the future cannot be predicted, the purpose of futures studies is to envision potential scenarios and analyse megatrends, such as digitalisation, demographic change and ongoing climate change.
“It is interesting to explore the factors that promote or hinder a transition to sustainability and what the future of sustainable business might look like,” says Mäkelä. “The decisions companies make now will shape the future.”
Paula Hokkanen, who worked on the project as a research assistant in 2024–2025, adds: “Different dimensions are strongly linked to each other. For example, the direction of technological development influences politics, and political decision-making and legislation either support or hinder all other factors. So everything affects everything.”
Legislation is the greatest driver of change
According to Mäkelä, legislation is the most important driver of transition towards more responsible business.
“Strict legislation is needed to raise the bar,” says Mäkelä. “Many companies only do the obligatory minimum.”
“On the other hand, legislation poses several challenges. The EU’s Corporate Sustainability Reporting Directive and due diligence obligation recently came into effect, but now it seems they are being watered down. It’s not stricter legislation companies are afraid of, but uncertainty.”
Mäkelä says that one positive aspect for the state of nature, biodiversity loss and climate change, is that many companies know how to calculate their carbon footprint.
“Financial incentives for responsible companies, for example, could also serve as a driver,” she says, “but people are hesitant to use them.”
“From a sociocultural perspective, changes in values are also a positive driver of change. Campaigns like the ‘five-item wardrobe’ are small-scale but they represent change in the right direction.”
“Then there is the dual role of technology: do we rely too heavily on technological solutions, or not enough?” asks Hokkanen.
Money and erratic legislation are slowing things down
Money, Mäkelä says, is the greatest factor hindering the transition to more sustainable business practices. Global and military crises are currently considered to be of greater importance than environmental and nature-related issues.
“Another factor holding up the process is erratic legislation, because predictability is important for companies,” says Mäkelä. “Responsibility and nature are often talked about as important values, but money is prioritised over everything else. In other words, the rhetoric and the reality don’t match up.”
“Ultra-cheap Chinese online marketplaces have exploded in popularity, and people often justify using these outlets by saying they are poor or that the products aren’t available elsewhere,” says Hokkanen. “Temu’s algorithms, for example, encourage harmful consumption.”
“It is very difficult for the average consumer to make responsible choices because the current structures support unsustainable consumption,” says Mäkelä. “Sustainability should be the easiest option for consumers.”
What can consumers and businesses do?
Mäkelä says that every consumer can make responsible choices if they are willing and aware of the options available to them.
“The concept of sustainable consumption means that the most sustainable choice is to avoid buying an item altogether and instead borrow, rent or purchase a second-hand item,” says Mäkelä. “Similarly, companies should aim to manufacture products that last as long as possible.”
Hokkanen adds that consumers could also speak up about their needs. “Silent boycotts benefit no one. We should feel free to give feedback to companies.”
The results of the first work package of OPTIMI 1, Tulevaisuuden vastuullinen liiketoiminta (Sustainable business in the future) have been collected in the report Vastuullisen liiketoiminnan ajurit ja esteet: Tuloksia toimintaympäristön analyysistä (Drivers and barriers to sustainable business practices: Findings from an analysis of the operating environment). These results are largely based on expert reviews in late 2024 and early 2025 as well as written reports. The report was written by Marileena Mäkelä, Paula Hokkanen, Minna Käyrä and Milla Sarja.
Optimizing Forest Industry Sustainability with Value Chain Data (OPTIMI 1) is a co-innovation project funded by Business Finland. VTT Technical Research Centre of Finland is the project coordinator, and the University of Jyväskylä is a research partner. Other partners include Paptic and the Ahola Group, which are working on their own projects, as well as IOXIO, Solita and Gofore. The two-year OPTIMI 1 project will run until September 2026.
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