The digital workplace solutions market has been on the rise in recent years as many large enterprise organizations have embraced hybrid working and remote work models.
Solutions like Unified Endpoint Management (UEM), Desktop as a Service (DaaS), and Digital Employee Experience (DEX) tools have enabled companies to support their distributed workforce and enhance employee productivity.
Digital Workplace Market Development
However, a new study from Gartner reveals that the digital workplace is about to play an even bigger role as companies turn their focus toward Environmental, Social, and Governance (ESG) initiatives.
According to Gartner, 80 percent of digital workplace and IT leaders will integrate their tools with ESG management and reporting solutions by 2027 -- that's up from less than 5 percent today.
This expected rapid convergence is being driven by growing regulatory requirements around ESG disclosure, as well as rising CEO and leadership prioritization of environmental sustainability despite economic pressures.
The European Union and U.S. Securities and Exchange Commission are both implementing new ESG reporting mandates that will require companies to comprehensively track and disclose metrics like carbon emissions.
The digital workplace, which includes the myriad devices and peripherals used by employees, represents a significant source of emissions that has been largely overlooked to date.
Gartner estimates that while device power consumption currently accounts for only 15 percent of emissions in the digital workplace, that footprint will come under much greater scrutiny as part of ESG programs.
Forward-looking enterprises will need to optimize the number of devices per employee and extend their lifespans to drive down emissions. This transition is somewhat inevitable.
By integrating digital workplace management tools with ESG platforms, enterprises can capture data about device usage and lifespan. This data can then be analyzed to identify opportunities for reducing the environmental impact and carbon emissions.
The advanced analytics and decision support capabilities in leading ESG management solutions will be critical for surfacing areas to improve sustainability performance.
For digital workplace vendors and solution providers, enhancing their environmental sustainability reporting capabilities to connect with ESG management tools will be critical.
Gartner analysts believe vendors that can unify data from UEM, DaaS, DEX monitoring, and other digital workplace technologies will be well-positioned to capitalize on this trend.
Outlook for Digital Workplace and ESG Synergies
The automation of online workflow has become a key competitive advantage for leading enterprises. However, the next wave of digital workplace evolution will be centered on embedding sustainability and ESG into day-to-day technology management practices.
That said, I believe savvy leaders will favor Digital Workspace app solutions that can produce trusted emissions data to enhance ESG reporting and mitigation strategies. That will transform their digital workplace profile while aligning with key environmental initiatives.