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Media > All articles > ESG Initiatives > 5 Things Environmental Software Must Have

5 Things Environmental Software Must Have

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In this article, we’ll explain what environmental software is, the benefits, examples, and 5 key components to look for in environmental software.
ESG / CSR
2024-11-05T00:00:00.000Z
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Businesses around the world, regardless of size or sector, are beginning to take an interest in their environmental footprint by using environmental software to adhere to customer and stakeholder expectations – in addition to complying with new environmental regulations.

Environmental software can help companies to improve their data tracking and sustainability reporting, both of which are becoming essential in the midst of climate change.

In this article, we’ll explain what environmental software is, the benefits, examples, and 5 key components to look for in environmental software.

What is environmental software?

Environmental software refers to digital tools or platforms specifically designed to monitor and manage a company’s use of various resources with the ultimate goal being to help them reduce their overall environmental impact.  

💡Therefore, environmental software can help companies to get a better understanding of their current electricity, gas, or water usage – which can help them to mitigate an excessive environmental footprint.  

Typically, environmental software uses tracking metrics related to sustainability to provide companies with a comprehensive overview of their current environmental impact – the same way that a digital pedometer on your phone will give a user a wide variety of information on their physical activity for the day such as how much flights or steps climbed.
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The most effective environmental software should allow users to get a better understanding of their past and current business practices to help curate a more sustainable and efficient business model for the future.

Here are some crucial elements your company should look out for when seeking environmental software: 

Key Components of Environmental Software

  • Data Tracking – All good environmental software starts with tracking your data, which can often include collecting information from your suppliers
  • Reporting – The most helpful environmental software should help reduce your company’s busy work by helping to draft sustainability reports to demonstrate compliance and success in achieving your various environmental targets. 
  • Manage Emissions & Resources –  Environmental software should help companies both measure and analyze their greenhouse gas emissions to develop more effective reduction plans. This can be 
  • Tools to Ensure Compliance – As there are new environmental regulations being passed all of the time in 2024, it is important for environmental software to provide information regarding local, national, and international environmental regulations to help ensure compliance. 
  • Risk Assessment & Analysis – Environmental software must help businesses to identify and mitigate potential environmental risks.
  • Carbon Accounting – While this is not essential, providing information on carbon accounting such as on a platform like Greenly can help companies to excel in meeting their reduction targets.

👉 Ultimately, environmental software is used for companies looking to better manage and reduce their current environmental impact – and it is becoming more compulsory than optional as increasing transparency with stakeholders and complying with environmental regulations are imperative to business success.

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Why is environmental software important?

Environmental software is important because it allows companies to reduce their environmental impact and effectively communicate their current progress.

💡 Without the assistance of environmental software, many companies wouldn’t know where to start on their climate journey – the same way a student may not know where to begin when preparing for an exam without a study guide.

In the same way that a personal trainer for the gym or a tutor for school can help guide people towards success, environmental software can help assist companies in their journey to reduce their environmental impact.

Here are some of the reasons why environmental software has helped to benefit companies and why it’s increasingly essential:

  • Improved Sustainability Performance – Since environmental software helps companies to track and improve their current emissions, water usage, waste production, energy consumption – a reduced environmental footprint is often the result of using effective environmental software. 
  • Newfound Importance on Regulatory Compliance –  As new regulatory requirements continue to be released, many companies are finding themselves struggling to comply before the deadline – but environmental software can help companies manage these legal expectations and avoid the risk of potential financial consequences or damage to brand reputation. 
  • Boost Efficiency & Reduce Operational Costs – Environmental software doesn’t only help to ensure compliance, but can ultimately help businesses to cut back on operational costs as a result of encouraging energy efficiency to reduce water, energy, and resource usage. 
  • Automated Data & Reporting – From the CSRD, to the NFRD, the SEC Climate Disclosure Rule, and more – it is becoming the new norm for required sustainability reporting to take precedent in businesses around the world. Therefore, the automated data tracking provided by environmental software can help companies ensure transparency and accuracy in their future environmental reports – helping to avoid greenwashing and ensure clear communication on their emission reduction targets and steps to achieve those environmental goals. 
  • Risk Management – In the midst of climate change, almost anything could have an impact on your business – such as natural disasters or disruptions to your supply chain. Luckily, environmental software can help companies to prepare for these disruptions and ensure your business runs smoothly in the midst of an emergency.
  • Protect Brand Reputation – These days, consumers are interested in companies that take sustainability seriously – meaning that committing to the use of environmental software can help to create a greater sense of trust with consumers, investors, and business partners. Ultimately, this can help to boost your brand reputation and propel your business forward.
  • Achieve Carbon Reduction Goals – Many different types of environmental software on the market, including Greenly, offer assistance in carbon accounting – which can help companies to track their emissions and reduce them effectively while still adhering to the other values and goals of using environmental software. 
  • Encourage ESG Practices – Lastly, environmental software can help businesses to have a better understanding of their current Environmental, Social, and Governance (ESG) goals – which can also help them to better communicate their ESG circumstances in future sustainability reports. 

👉 As a whole, environmental software can help companies make improved decisions regarding their current environmental impact – which can help to cultivate a more sustainable business world while also boosting their own chances for a more successful company.

Benefit Description
Improved Environmental Reporting Environmental software automates data collection and provides detailed reports on emissions, waste, and water usage, making regulatory reporting more efficient and accurate.
Enhanced Compliance Helps companies stay compliant with environmental laws and regulations by tracking compliance metrics and deadlines, reducing the risk of fines and sanctions.
Resource Efficiency Provides insights into energy and resource use, enabling companies to reduce waste, save costs, and improve overall resource management.
Carbon Footprint Reduction Enables tracking of carbon emissions across operations, facilitating targeted strategies to reduce greenhouse gas emissions.
Risk Management Environmental software identifies potential environmental risks and provides tools for proactive mitigation, helping businesses avoid costly environmental liabilities.
Data-Driven Decision Making Enables the use of real-time environmental data for informed decision-making, supporting sustainability goals and strategic planning.
Stakeholder Engagement Enhances transparency and accountability, allowing companies to communicate sustainability efforts to investors, clients, and the public effectively.
Enhanced ESG Performance Supports environmental, social, and governance (ESG) initiatives by providing tools to track and report on environmental metrics aligned with ESG goals.
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What are some examples of environmental software?

Examples of environmental software include Greenly, IBM ESG and Environmental Suite, and Sphera.

Here are a few examples of environmental software:

  • Greenly – We’re known for our intuitive platform and exceptional service from our climate experts in addition to our specialized software to help companies effectively track and reduce their emissions. 
  • Intelex – Aimed towards helping companies track environmental data to streamline regulatory reporting, this environmental software is best for those looking to avoid legal fines due to a lack of compliance with current environmental regulations. 
  • ESRI ArcGIS – This environmental software uses a geographic information system (GIS) to help companies with environmental mapping. 
  • IBM Envizi ESG Suite – This well known environmental software provides in-depth analysis to be used in ESG reporting, which can help to boost CSR initiatives.
  • Sphera – Offering an environmental software for companies to better manage Environmental, Health, and Safety (EHS) within their organization, this environmental software can help to ensure internal operations move smoothly and don’t harm the environment further.

👉 Click here to read more about our top environmental software as of 2025.

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What are 5 things all environmental software must have?

Environmental software should offer users precise data analysis, assistance for various sustainability reporting and compliance management, risk assessment, and guide companies towards potential sustainable solutions to reduce their current environmental impact. 

💡 Effective environmental software will take both your past, present, and future environmental impact into account – as sufficient environmental software should provide companies with ample information to improve their current environmental impact today and onward.

If you choose an environmental software that doesn’t offer these five key components, it doesn’t inherently mean that the tool or platform is useless – but it may not be sufficient to help your company achieve all of its goals and comply with current objectives, both personal and in terms of current climate legislation.

Here’s a breakdown of the 5 things that all environmental software should have:

Data Collection & Analysis 

The hallmark of any tool or platform designed to help you or your company improve should be focused on its data collection and analysis methods. 

If an environmental software does not collect enough precise data, it will automatically be successful in helping to improve risk management, ensure compliance, or provide insight on your company’s current environmental impact.

👉Therefore, data collection and analysis is imperative for any environmental software company.

Assistance for Reporting & Compliance Management

One of the main reasons companies will seek the use of environmental software is to ensure compliance with current and future environmental regulations, acting as a personal assistant to help companies remain cognizant of all the current climate requirements applicable to their business. 

💡 Excellent environmental software should always offer assistance for drafting reports and complying with relative environmental regulations. 

Risk Assessment

These days, there are are multiple risks associated with climate change – many of which a company couldn’t think of without the help of environmental software.

Since the main goal of environmental software is to understand a company’s past and current actions to rectify them for the future, it is crucial to choose environmental software that can determine the potential risks to your business in the midst of global warming. 

Insights on Current Environmental Impact

In addition to preparing for future circumstances, good environmental software should track a company’s current usage of resources such as water and energy consumption.

Providing the user with its current environmental impact can help companies to develop their own innovative and sustainable solutions moving forward, but it is essential to receive further detail on their current impact prior to this brainstorming session.

Offer Potential Solutions for More Sustainable Practices

The best assistants, tools, or friends don’t only focus on the problem at hand, but want to help you achieve greater success as you head towards the future – and a proficient environmental software should aim to do the same.

Good environmental software will seek to guide companies towards personalized and effective solutions to reduce their environmental impact moving forward, such as by providing a network of carbon offsetting projects, ideas for more ethical sourcing, or ways to help decarbonize your supply chain

💡 Ultimately, the best environmental software will provide your company with the tools to understand the impact of your past actions and how to improve them moving forward.

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What About Greenly?

If reading this article on environmental software has made you interested in reducing your carbon emissions to further fight against climate change – Greenly can help you!

Choosing the right environmental software to help your company achieve its climate goals can be challenging, but don’t worry – Greenly is here to help. Click here to schedule a demo to see how Greenly can help you find ways to improve energy efficiency and decrease the dependency on fossil fuels in your own company. 

Greenly can help you make an environmental change for the better, starting with a carbon footprint assessment to know how much carbon emissions your company produces.
Click here to learn more about Greenly and how we can help you reduce your carbon footprint.

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