World Business Council for Sustainable Development

World Business Council for Sustainable Development

Founded	1995
Founder	Stephan Schmidheiny
Focus	Sustainable development
Location	Geneva, Switzerland
Origins	Earth Summit (1992)
Region served	Global
Key people	Peter Bakker (CEO & President)
Employees	51–300
Website	www.wbcsd.org

The World Business Council for Sustainable Development (WBCSD) is a global, CEO-led organisation of more than 250 multinational companies working to accelerate the transition to a sustainable and inclusive global economy.^[1]

Through its membership, convening capacity, and long-standing engagement in international sustainability processes, the WBCSD is widely regarded as one of the most prominent and influential business coalitions addressing sustainable development at a global level. It operates at the intersection of business, government, and civil society, with the aim of aligning corporate strategy with global environmental and social priorities.

The organisation collaborates with a network of approximately 60 national and regional business councils and partner organisations, enabling it to operate across geographies and sectors.^[2]

The WBCSD emerged during a period of increasing international concern about the environmental impacts of economic growth. The 1992 United Nations Conference on Environment and Development (UNCED), or Earth Summit, marked a turning point in global environmental governance by bringing together governments, international organisations, and business leaders to address sustainable development.

Swiss industrialist Stephan Schmidheiny was appointed chief adviser for business and industry to the summit. Recognising that business would play a central role in implementing sustainability solutions, he convened a group of leading multinational corporations to form the Business Council for Sustainable Development (BCSD).

This initiative produced the influential book Changing Course (1992), which articulated a vision for aligning economic development with environmental stewardship. The book introduced the concept of eco-efficiency, arguing that companies could reduce environmental impact while increasing economic value.

In 1995, the WBCSD was created through the merger of the BCSD and the 'World Industry Council for the Environment, an initiative of the International Chamber of Commerce. This merger consolidated business engagement in sustainability into a single, global platform.

From the outset, the organisation aimed to move beyond a reactive approach to environmental regulation, positioning business as a proactive contributor to global sustainability solutions. Its early work focused on environmental management, eco-efficiency, and the integration of sustainability into corporate strategy.

According to Catalyzing Change: A Short History of the WBCSD, the organisation played a role in shaping the evolution of corporate sustainability over subsequent decades.

In the 1990s, corporate engagement with sustainability was often driven by regulatory compliance and reputational concerns. The WBCSD promoted the idea that sustainability could also be a source of efficiency gains and competitive advantage.

During the 2000s, the organisation contributed to a broader shift towards integrating sustainability into core business functions, including supply chains, investment decisions, and risk management.

By the 2010s and 2020s, the WBCSD’s work reflected a further transformation, with sustainability increasingly framed as central to long-term business resilience and system-level change. This included engagement with global frameworks such as the Sustainable Development Goals and the Paris Agreement.

In the late 1990s, the WBCSD undertook a major scenario planning exercise to explore potential long-term futures for global development. The initiative was conducted in collaboration with Shell, which had pioneered scenario planning as a strategic tool.

The project was funded by 35 member companies, each contributing approximately US$35,000, with additional funding provided by Shell. It represented one of the earliest large-scale efforts by a global business coalition to examine sustainability challenges through structured, forward-looking analysis.

The resulting publication, Global Scenarios 2000–2050, outlined three possible futures:

The Jazz scenario—named for its improvisational and collaborative nature—was identified by the WBCSD as the most desirable pathway. It emphasised voluntary action, cross-sector collaboration, and the role of business as a driver of innovation.

This scenario became an important conceptual foundation for the organisation’s subsequent strategy, reinforcing its role as a convener of business leadership and a promoter of collaborative approaches to sustainability.

The scenarios were presented globally, including to institutions such as the World Bank and diplomatic representatives at the United Nations in Geneva.

The WBCSD aims to accelerate the transition to a sustainable world by mobilising business leadership. Its activities include:

• Convening CEOs and senior executives
• Developing frameworks and tools for corporate sustainability
• Producing research and analysis
• Engaging with policymakers

The organisation operates through both cross-cutting programmes and sector-specific initiatives.

The WBCSD supports companies in aligning with the goals of the Paris Agreement, including reducing greenhouse gas emissions and achieving net-zero targets. It collaborates with initiatives such as the Science Based Targets initiative and engages in international climate policy discussions.

The organisation promotes circular economy models aimed at reducing waste and improving resource efficiency, including initiatives on plastics, construction materials, and industrial systems.

The WBCSD has expanded its focus to include biodiversity and ecosystem protection, supporting nature-positive business strategies and disclosure frameworks.

The organisation works on sustainable agriculture, land use, and water management, focusing on supply chain resilience and resource efficiency.

The WBCSD engages with financial institutions to align capital flows with sustainability objectives and integrate environmental risks into financial decision-making.

The WBCSD’s membership consists of large multinational corporations from a wide range of industries. Members are typically represented at the chief executive level, reflecting the organisation’s governance model.

Companies that have participated in WBCSD initiatives or been associated with its membership include firms such as IKEA, Unilever, Nestlé, Microsoft, Shell, BP, Holcim, Toyota, and Volkswagen Group.^[3]

Membership provides companies with a platform for collaboration, knowledge-sharing, and engagement in global sustainability discussions.

The WBCSD is governed by a council composed of chief executive officers of member companies. Strategic priorities are developed through collaboration between the council and the executive leadership team.

The organisation is headquartered in Geneva, Switzerland, with additional offices in New York and New Delhi.

A defining feature of the WBCSD is its multi-stakeholder approach, operating at the intersection of business, government, and civil society.

Its approach has evolved from promoting voluntary corporate responsibility towards supporting systemic transformation and alignment with global sustainability frameworks.

The WBCSD has played a role in international sustainability discussions, including climate negotiations and the development of global frameworks.

Through its convening power, the organisation acts as an interface between the private sector and international policymaking processes, contributing to the integration of sustainability considerations into business strategy.

The WBCSD has been the subject of academic and policy debate.

Some critics argue that business-led organisations may increase corporate influence in global governance, raising questions about accountability.

Debate persists over the effectiveness of voluntary corporate initiatives compared to regulatory approaches.

Concerns have been raised about the potential for companies to use sustainability initiatives for reputational purposes.

Questions have also been raised regarding the representation of diverse companies and regions.

• Sustainable development
• Corporate social responsibility
• Eco-efficiency
• Paris Agreement

The council works on a variety of issues related to sustainable development. It works to achieve the Sustainable Development Goals (SDGs) through the transformation of six economic systems: circular economy,^[1] cities and mobility,^[2] climate and energy,^[3] food, land and water,^[4] people^[5] and redefining value.^[6] Each system transformation is set up as a WBCSD Program with a number of supplementary Projects.^[7]

A 2003 World Bank/IFC commissioned study identified the WBCSD as one of the "most influential forums" for companies on corporate social responsibility (CSR) issues.^[8] A 2004 Globescan survey found the WBCSD as the second most effective SD research organization.^[9] The 2006 survey by the same company reports that 54% of all surveyed experts believe the WBCSD will play a "major role" in advancing sustainable development. Only the European Union received higher approval (69%).^[10]

In the Ethisphere Institute's 2007 list of the 100 Most Influential People in Business Ethics, WBCSD President Bjoern Stigson was ranked ninth, which made him the second most influential NGO leader.^[11]

The organization helped launch the Concrete Sustainability Initiative.^[12]

Membership of the WBCSD is by invitation of the executive committee to companies committed to sustainable development. WBCSD has over 250 members.^[13]

Forética claims to be a global network of Spanish speaking businesses and professionals whose mission is to promote an ethical management and corporate social responsibility by the establishment of a National standard in Spain known as SGE-21, (sistema de gestión ética para el Siglo 21) which is also Annex 1 to ISO 26000 and supported by CSR Europe^[14] Membership is said to around 400 and includes companies of all sizes and sectors, as well as individual specialists, professionals, and academics and it was incorporated into WBCSD on 2 September 2014.^[15]

The WBCSD is a member-led organization governed by a Council composed of the Council Members of its member companies. The Council elects the executive committee, including the chairman and four Vice Chairmen. Past chairmen include:

• Rodney F. Chase – BP (1995)
• Livio D. DeSimone – 3M (1996/97)
• Egil Myklebust – Norsk Hydro (1998/99)
• Charles O. Holliday, Jr. – DuPont (2000/01)
• Sir Philip Watts KCMG – Royal Dutch Shell (2002/03)
• Bertrand Collomb – Lafarge (2004/05)
• Travis Engen – Alcan (2006/07)
• Sam DiPiazza – PwC (2008/09)
• Paul Polman – Unilever (2012–17)
• Sunny Verghese – Olam (2018–2020)

Most of WBCSD's member companies are headquartered in Europe (47%). 22% member companies are headquartered in Asia, 22% in North America and 5% in Latin America. The geographically least represented regions are Africa, Australasia and the Middle East with 1% each.^[13]

According to Greenpeace the World Business Council for Sustainable Development is among the key players responsible for holding back the world societies from tackling the climate change and energy management challenges for the past 20 years. The WBCSD Executive Committee was dominated by the largest non-renewable energy and carbon-intensive companies in the world at least until 2011. According to Greenpeace the WBCSD executive committee has been a 'Who's Who' of the world's largest carbon-intensive companies.^[16]

The Sierra Club has collaborated with the World Business Council on a number of initiatives, as well as inviting its representatives to speak at Sierra Club events.^[17][18] The Environmental Defense Fund recommends the World Business Council's auditing methods to companies seeking to reduce greenhouse emissions,^[19] and the Natural Resources Defense Council has drawn upon WBCSD guidelines in drawing up their own guidelines for determining biofuels sustainability.^[20] The WBCSD's Vision 2050 report was highlighted by The Guardian as "the largest concerted corporate sustainability action plan to date – include reversing the damage done to ecosystems, addressing rising greenhouse gas emissions and ensuring societies move to sustainable agriculture."^[21]

• Official website