Optimism bias risks net zero progress within private social care
There is a disconnect between organisational confidence and the ability to deliver on decarbonisation commitments within private social care organisations, reveals new research from Equity Energies, part of DCC plc.
This is according to its recent study, Carbon Admissions: We don’t know what we don’t know, which explores attitudes and sentiment to advancing progress on net zero across multi-sector organisations spanning private social care, hospitality, local authorities, and manufacturing.
A positive outlook
Positively, 94% of private social care businesses surveyed say that net zero has a high level of prioritisation within their organisation compared to other initiatives.
Moreover, there are high levels of optimism and confidence reported by those tasked with advancing net zero within private social care, with 90% saying they were confident in their ability to implement and rollout their net zero pathway within their organisation, and 96% saying they are confident that key stakeholders and decision-makers within their organisation have sufficient knowledge of net zero and how to get there.
Furthermore, 85% of those surveyed feel confident in their own knowledge of net zero and how to achieve it, and 86% say they are confident in the ability of their organisation to be net zero in line with the UK Government commitment of 2050, with 84% also indicating confidence in the commitment and leadership of the current UK Government in achieving this target.
Optimism bias
However, this perceived confidence is misaligned with reality which is creating optimism bias – an overestimation of the likelihood of a positive outcome.
Underpinning sustainability ambitions are gaps in expertise, with the full majority of respondents (100%) admitting they lack knowledge in fundamental and foundational processes required to advance net zero.
And such shortcomings will create ambiguity around starting positions, target setting, and ongoing monitoring and measurement of decarbonisation initiatives.
The areas of greatest concern relating to lack of knowledge are:
- Monitoring and measurement (20%)
- Baselining and benchmarking (19%)
- Target setting (18%)
- Net zero pathway design and creation (16%)
- Data and insights (15%)
- Execution of efficiency measures/technologies (12%)
This is being compounded by almost half (45%) of private social care businesses surveyed citing speed and efficiency of decision-making around sustainability and net zero as ‘slow’ within their organisations, meaning opportunities to derive commercial value while advancing progress are being overlooked.
Job dissatisfaction
Knowledge gaps are not the only factor threatening sustainability progress.
Despite the growing urgency surrounding the climate agenda and the transition to a low-carbon economy creating a burgeoning green jobs sector, more than three quarters (88%) of individuals responsible for net zero within private social care say continued scrutiny and intensity around the need to demonstrate net zero progress was negatively impacting their job satisfaction and fulfilment.
And this is contributing to ambition apathy; a growing indifference among those tasked with delivering net zero, 94% of whom say they would be likely to leave their role altogether if faced with organisational inaction or persistent barriers to progress.
When ranked by most impactful, these barriers include lack of resource and investment to deliver progress (38%), lack of prioritisation for net zero compared to other organisational initiatives (35%), and unrealistic target setting (32%).
Ryan O’Neill, chief strategy officer at Equity Energies, said: “For private social care businesses, which often have complex supply and value chains, having a net zero pathway which ensures the health of the planet alongside the everyday health of people is a common goal, so the passion, commitment, and confidence to get there is to be commended and celebrated.
“All progress is progress when it comes to net zero. But to know where we’re going, we must know where we’re starting from – both organisationally and in our own personal knowledge and understanding.
“We don’t know what we don’t know, and that has been demonstrated through this research.
“But it’s okay not to have all the answers when it comes to net zero. Asking questions is the first step to begin change and unlock progress.”
To offer support, Equity Energies has launched its Carbon Admissions campaign to encourage more honesty and transparency and to inspire more-open conversations within UK businesses on the questions they have relating to how to reach net zero.
“By doing so, we can widen access to the shared experiences, information, intelligence, and expertise that can collectively help each other on the next step to a better tomorrow”, said O’Neill.