In a recent study by Kyndryl and Microsoft, a significant number of organizations in Singapore are ramping up their sustainability initiatives, though many still have untapped potential in leveraging artificial intelligence (AI) for these goals. The findings, derived from the Global Sustainability Barometer Study by Ecosystm, illustrate the current state of enterprise leaders’ progress on environmental objectives worldwide.
Rising Commitment to Sustainability in Singapore
The study indicates that 87% of organizations in Singapore have either maintained or enhanced their sustainability efforts this year. This is a notable increase from just 60% in 2024 and far exceeds the global average of 66%. Such progress reflects the increasing demand for stringent climate-related disclosures under Singapore Exchange (SGX) regulations, heightened carbon tax implications, and clearer directives for greener digital infrastructure.
The role of technology in these sustainability efforts has become more pronounced. According to the report, 58% of IT teams in Singapore are now tasked with driving sustainability objectives, a notable rise from 40% last year. Additionally, 63% of organizations report strong alignment between IT and sustainability teams, suggesting a more collaborative approach to technical and environmental decision-making.
Guat Ling Ang, Managing Director of Kyndryl Singapore, emphasizes that organizations are increasingly leveraging technology to bolster sustainability. She notes that rising demands for transparency and real-time reporting are prompting companies to explore AI, automation, and trusted data platforms for insights. Ang states, “When sustainability is built into core business operations, businesses can gain clearer insights that help them make smarter, data-driven decisions that build resilience and spark innovation.”
The Rise of Predictive AI in Sustainability Efforts
Predictive AI is gaining traction in Singapore’s sustainability landscape. The percentage of organizations employing predictive modeling to forecast resource consumption and emissions has surged from 35% to 63%. Simultaneously, 53% are using similar tools to predict climate risks, a rise from 45% the previous year.
Ricardo Davila, General Manager of Enterprise Partner Solutions at Microsoft, highlights that over half of the leading organizations now utilize predictive AI to effectively tackle sustainability challenges, noting that Microsoft is committed to helping these entities turn sustainability into a data-driven operational capability.
Challenges in AI Adoption and Data Quality
Despite these advancements, several challenges continue to impede progress, particularly regarding return on investment (ROI) measurement and AI adoption. While 52% of organizations report difficulties in demonstrating ROI and impact, only 35% currently utilize AI to inform their environmental decisions. The study also underscores that among organizations that accelerated their sustainability efforts recently, a striking 67% attributed their success to a reinforced business case or clearer financial outcomes.
Data quality remains a crucial obstacle. Approximately half of the organizations surveyed face challenges in collecting data from internal systems, and 43% deal with missing or incomplete information, limiting the effectiveness of AI tools that rely on consistent data.
Many organizations continue to prioritize quick wins, such as energy-efficient hardware and improved server utilization, while longer-term strategies—such as extending asset lifespan and adopting sustainable procurement—are still relatively rare.
The Future of Agentic AI in Sustainability
The study hints at a burgeoning interest in agentic AI, which operates on insights in real time. Currently, only 5% of organizations in Singapore have adopted agentic AI for sustainability, but 23% are either piloting or implementing these systems.
Sash Mukherjee, Vice President of Industry Insights at Ecosystm, observes that predictive and agentic AI together form a “closed-loop system where insight meets action.” When technology aligns closely with business strategy, organizations can effectively embed measurable environmental outcomes into daily operations.
For more insights on organizational sustainability efforts, visit Kyndryl and Microsoft.
