AI and Sustainability: Capturing the conversation at the ESCP STARbowl in Berlin

The UK Government's recent announcement of their AI Opportunities Action Plan has reignited the national conversation on digitalisation and its potential.

Yet, long before this renewed focus, industry experts and academics have been discussing the challenge of leveraging AI to advance sustainability in business.

In late November last year, the Centre for Sustainable Business (CSB) partnered with the ESCP Business School to host their 4th ESCP STARbowl : 'Digitalisation for Sustainability' in Berlin.

This unique event brought together academics, industry partners and thought leaders from across the world to explore how digital tools like AI can propel sustainable progress, while tackling their unintended consequences.

Below is a summary of their key themes, challenges and takeaways.

Setting the scene: Digitalisation for Sustainability

The event began with a warm welcome from Anastasia Shevchenko, Director of Development at ESCP STAR, who emphasised the importance of collaboration between academia, industry, and policymakers in advancing sustainability.

Professor Jonatan Pinkse, Research Director for the CSB, and Professor Florian Lüdeke-Freund, Professor of Sustainability at ESCP Business School,followed with their introductory remarks, framing the day's central question: How can businesses leverage digital technologies like AI to drive sustainability while mitigating unintended consequences?

Key themes and challenges

Several key themes emerged throughout the event, offering valuable insights for academics and practitioners alike:

• AI's dual impact: While AI holds tremendous potential to streamline operations and reduce waste, it also introduces risks such as increased energy consumption and unintended social impacts. Professor Pinkse discussed his latest research, 'Harnessing the AI Butterfly Effect', highlighting how small technological innovations can trigger unintended consequences, further emphasising the need to anticipate and address these ripple effects.
• Governance and regulation: Robust frameworks are needed to guide the ethical use of AI in sustainability. Several speakers and attendees highlighted the role of governance in ensuring transparency, accountability, and inclusivity in digital systems.
• The balance of urgency and perfectionism: While there is an urgent need to address sustainability challenges, waiting for perfect solutions could delay meaningful action. This tension was echoed by many participants who emphasised the importance of pragmatism in tackling these complex issues.
• Human-centric design: Speakers like Stephan König (Deutsche Telekom) and Tomas van der Heijden (Briink) stressed the importance of embedding empathy, ethics, and equity into AI-driven initiatives. These values are essential for ensuring that digital technologies serve humanity rather than exacerbate inequalities. Professor Lüdeke-Freund complemented this by emphasising the need for a values-driven approach, highlighting the risks of increased inequality and environmental degradation if these tools are not implemented thoughtfully.
• Bias and ethics in AI: The discussions underscored the need to address biases in AI systems and ensure that digital tools are inclusive and representative of diverse perspectives.
• Customisation across industries: A recurring theme was the need to tailor AI systems to the specific requirements of different industries and settings. Speakers and attendees highlighted how varying operational, social, and environmental contexts demand bespoke solutions to maximise AI's effectiveness while mitigating its unintended consequences.

Industry insights: Turning theory into practice

The fishbowl discussions brought a wealth of practical insights from industry leaders:

• Stephan König, representing Deutsche Telekom, shared compelling examples of how AI is being employed to improve efficiency and sustainability outcomes. He detailed how AI-driven tools are optimising supply chains and monitoring carbon emissions, but emphasised the critical need for transparency and human oversight to address ethical concerns.
• Tomas van der Heijden, CEO of Briink, discussed how predictive analytics and machine learning are transforming the circular economy by identifying inefficiencies and reducing waste. However, he stressed the importance of designing AI systems with ethics in mind, ensuring they align with broader societal goals.
• Erik van Buuren, founder of SDiD, provided a thought-provoking perspective on automating ESG (Environmental, Social, and Governance) reporting. He cautioned against over-automating critical processes, warning that the core purpose of ESG-reflection and accountability-might be lost if human oversight is removed.

Reflections and looking ahead

The fourth STARbowl was more than just an academic event; it was a call to action for all stakeholders in the digital and green transitions. The discussions highlighted the complexity of integrating digitalisation with sustainability but also offered actionable insights for navigating these challenges.

Key takeaways:

1. Mindful innovation: Digital tools must be implemented thoughtfully, with their potential impacts carefully studied.
2. Collaboration is essential: Partnerships between academia, industry, and policymakers are crucial for ensuring that digitalisation serves as a force for good.
3. Ethical Oversight: As Erik van Buuren aptly stated, "AI is an assistant for humans, not a substitute." Human oversight is essential to guide digital tools responsibly.
4. Act with Urgency, but Ethically: While the need for swift action is undeniable, it must be balanced with ethical considerations to avoid unintended consequences.

Connecting insights to research: A PhD perspective

As a PhD researcher focusing on digital sustainability, this event was especially enriching. My work explores algorithmic management and the twin transition in industries like the built environment and energy, all of which were recurring themes during the discussions.

The insights I gained from this event will undoubtedly shape my research and contribute to the evolving discourse on digital sustainability. I am grateful for the opportunity to attend and for the inspiring discussions shared by all the speakers and participants. I believe that together, we are paving the way for a future where digitalisation and sustainability go hand in hand.

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Asma Othman is a PhD student in Strategy, International Management, and Entrepreneurship, focusing on developing managerial mechanisms for responsible AI to mitigate its unintended environmental and societal risks. She is affiliated with the Centre for Sustainable Business and the King's Institute of Artificial Intelligence.

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Thank you to our partner ESCP Business School for organising and co-hosting this enriching event. You can find out more about their work on their website .

Discover more about the Centre for Sustainable Business on our webpage .