Environmental, social, and governance (ESG) and business continuity are both increasingly important to risk management and compliance discussions1. When ESG and business continuity join forces, the results can be beneficial for both disciplines – and for the organization overall1. This report delves into JLL's (Jones Lang LaSalle) business continuity and ESG initiatives, examining their strategies, impact, and outlook. JLL is a leading professional services firm specializing in real estate and investment management. With a global presence and comprehensive service offerings, JLL plays a significant role in shaping the commercial real estate landscape.
JLL recognizes the increasing importance of ESG in the real estate sector and has integrated sustainability into its corporate governance procedures2. The company's commitment to ESG is evident in its Sustainability Framework, which focuses on three key areas:
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Area of Focus |
Description |
Key Initiatives |
|---|---|---|
|
Climate Action |
Reducing environmental impact and achieving net-zero carbon emissions. |
Green building certifications, decarbonization strategies, ESG reporting and data management, biodiversity protection. |
|
Healthy Spaces |
Creating healthy and sustainable workspaces for employees and clients. |
Promoting safe and healthy workplaces, improving health and safety culture. |
|
Inclusive Places |
Fostering diversity, equity, and inclusion within the organization and the communities it serves. |
Ensuring fair treatment and equal opportunity, supporting supplier diversity. |
JLL is committed to achieving net-zero carbon emissions for all its direct operations by 2030, in line with the World Green Building Council (WorldGBC) commitment3. They aim to achieve this through various initiatives, including:
Evolving ESG reporting requirements demand more credible ESG data and improved internal processes for data collection and management3. JLL remains focused on improving its ESG data quality through efforts including conducting data quality assessments, updating the models used to guide emission reduction strategies, and completing a Double Materiality Assessment3.
JLL is committed to responsible procurement practices and minimizing environmental impact throughout its supply chain. This is demonstrated through the following initiatives:
JLL acknowledges that ESG is an evolving field and remains committed to continuous improvement6. The company actively reviews its ESG policies and practices to align with updated standards and stakeholder expectations. JLL's focus on ESG is driven by various factors, including: 3
JLL has a robust business continuity program designed to ensure the continued operation of its key business activities in the event of disruptions8. The program takes advantage of the company's geographically dispersed workforce and utilizes technology to enable remote work8. Key considerations of JLL's business continuity program include: 8
|
Consideration |
Description |
|---|---|
|
Employee safety |
Strategies and communication protocols to ensure employee safety during disruptions. |
|
Risk analysis |
Financial and operational risk analysis to identify potential vulnerabilities. |
|
Mission-critical systems |
Identification of mission-critical systems and processes to prioritize recovery efforts. |
|
Communication |
Systems and telecommunications availability or alternative communication methods to maintain contact with stakeholders. |
|
Leadership coordination |
Board of Directors and Executive Management communication and coordination to ensure effective decision-making. |
|
Stakeholder communication |
Client, employee, and media communications and notifications to keep stakeholders informed. |
JLL has a Technology Recovery Program managed by the Global Technology Recovery Program Manager, who reports to the SVP, Global Risk, Compliance, and Recovery9. This program includes plans for the continuity of regional and global technology teams and the services they deliver to clients and employees. It also encompasses system recovery plans for all mission-critical technology systems9.
JLL recognizes the unique challenges posed by events like the COVID-19 pandemic and provides resources for business leaders to address potential impacts on workplace and workforce performance10. These resources include guidance on remote working programs, strategies for maintaining productivity during disruptions, and considerations for employee safety and well-being.
The COVID-19 pandemic presented unique challenges for business continuity planning because it had no geographic center, its impact was dynamically shifting without regard to borders, and it spread from human to human11.
JLL has a specific business continuity plan for its investment banking division12. This plan considers any event, internal or external, that disrupts the company's ability to utilize its mission-critical systems or perform its mission-critical functions12. The plan includes provisions for alternative work locations and communication strategies to maintain operations during disruptions12.
While specific case studies explicitly focusing on business continuity were not found in publicly accessible resources, JLL's website and industry publications offer examples of how the company has helped clients improve their ESG performance13.
JLL assisted a global insurance firm in understanding the investment risks and benefits associated with their ESG strategy14. The project involved developing a cash flow modeling system to assess the financial implications of various decarbonization pathways for 80 properties across five European countries14. This case study highlights JLL's expertise in quantifying the financial impact of ESG initiatives and supporting clients in making informed investment decisions.
JLL's ESG and business continuity initiatives offer several benefits for business development and customer service:
Customer demand for ESG and business continuity considerations is increasing in the commercial real estate industry17. Key customer desires include:
JLL utilizes various software solutions, consultants, and partnerships to support its ESG and business continuity efforts:
JLL is actively engaged in a range of business continuity and ESG initiatives, demonstrating a strong commitment to sustainability and responsible business practices. The company's comprehensive approach encompasses climate action, healthy spaces, inclusive places, and robust business continuity planning. JLL leverages technology, partnerships, and a dedicated team of experts to support its efforts and meet evolving stakeholder expectations.
JLL's business continuity program is designed to minimize disruptions and ensure continued service delivery to clients. The program leverages the company's mobile workforce and their ability to work remotely, enhancing its adaptability and resilience8.
JLL is working to achieve net-zero carbon emissions by 2040, which is 10 years ahead of the UN-backed Race to Zero campaign's target15. This commitment, along with its other ESG initiatives, positions JLL as a leader in the evolving landscape of sustainable real estate. However, the company faces potential challenges in meeting the increasing demand for sustainable buildings and managing the complexities of ESG reporting and data management.
Despite these challenges, JLL's proactive approach to ESG and business continuity creates opportunities for growth and strengthens its position in the market. By continuing to innovate and adapt to evolving customer demands and regulatory requirements, JLL can further enhance its sustainability performance and contribute to a more sustainable and resilient built environment.