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Why Future Business Leaders Need Sustainable Leadership

Find out how one business school’s research expertise and hands-on approach to learning is helping business leaders succeed in the green economy

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Tue Mar 11 2025

BusinessBecause
With climate risks mounting and markets shifting, sustainability is essential for business survival. 

For the next generation of business leaders, success will depend not only on understanding sustainability but also on developing the adaptive skills needed to lead in a changing economy.

We spoke to experts from UBC Sauder School of Business to find out how research and hands-on learning are preparing students for climate leadership.


Why sustainability skills matter for future business leaders

Sustainability is now a business imperative, but many organizations still struggle to translate ambition into practical, financially viable strategies with measurable outcomes.

Kookai Chaimahawong, executive director of the Centre for Climate and Business Solutions at UBC Sauder, believes businesses that approach sustainability as an opportunity rather than a challenge will have a clear advantage.

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“Businesses are uniquely positioned to turn the climate crisis into a massive opportunity. Embedding sustainability not only drives resilience but also unlocks new revenue streams—whether by creating solutions for a changing climate or strengthening operations to withstand future risks,” she says.

The Centre has launched an SME Climate Clinic, equipping businesses to take a proactive approach to sustainability by identifying emissions hotspots through carbon accounting. These partnerships also provide UBC students with practical experience in tackling real-world climate issues.

“We connect students with companies through hands-on programs like the SME Climate Clinic, the LCA Clinic for SMEs, and our soon-to-launch Marketing Studio for science-based ventures and Transition Finance Fund," says Kookai.

“These initiatives demonstrate our belief that every job is a climate job, equipping students to address the climate crisis no matter their business specialization," she adds.

Through the SME Climate Clinic, UBC students help small and medium-sized enterprises (SMEs) to measure and reduce their carbon emissions. SMEs often lack the resources and expertise to implement comprehensive sustainability practices. UBC Sauder’s initiatives are designed to bridge this gap, offering tailored support to help these businesses navigate the complexities of climate action.

UBC students develop skills in carbon accounting, emissions analysis, and sustainability reporting—areas that are becoming increasingly valuable as more companies set net-zero targets.

The LCA Clinic for SMEs builds on this by training students in Life Cycle Assessments (LCA), a method used to measure the environmental impact of products and supply chains. Over the course of a two-day workshop, students learn to develop LCA models that help businesses improve their sustainability practices.

“Academia and industry must act as co-pilots in delivering real climate solutions. Academia provides the research, knowledge, and talent pipeline, while industry applies these insights in real-world settings,” says Kookai.

“By scaling programs to support more companies and teach more students, we’re creating a global blueprint for businesses to lead the way and for future talent to be equipped to shape a sustainable economy,” she adds.

UBC Sauder’s location in Vancouver—consistently ranked as one of the world’s greenest cities—offers students direct exposure to a growing network of businesses integrating sustainability into their operations. The city has long been a center for cleantech innovation and is home to one of the world’s largest hydrogen and fuel cell industry clusters.

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How business research is leading the future of clean energy

The transition to a greener economy is creating new opportunities but also presenting challenges that call for fresh thinking.

Wind and solar power have made progress in reducing emissions, but industries such as transportation, steel, and cement manufacturing still need alternative solutions. Hydrogen is emerging as a promising option.

Dr. Werner Antweiler, an associate professor at UBC Sauder specializing in environmental economics and energy markets, explains that early efforts to expand hydrogen struggled to gain traction due to high costs and a lack of supportive policies.

“People have been talking about hydrogen for 20 or 30 years, and they envisioned that hydrogen could play an outsized role. But back then, hydrogen wasn’t ready—it was expensive, and there wasn’t a clear and compelling case for transitioning to lower-emission vehicles because we didn’t have the subsidies or carbon prices, so it didn’t take off.”

Today, improvements in hydrogen production and cheaper renewable energy are opening up new possibilities, but obstacles remain. Hydrogen is still expensive to produce, infrastructure is lacking, and government support is necessary for widespread usage.

Dr. Werner Antweiler’s research at UBC Sauder examines these issues using a trade model, looking at factors such as transportation costs, market competition, and new technologies that could influence hydrogen’s future.

“Hydrogen has tremendous potential to reshape energy markets. But making it commercially profitable requires coordinated efforts across governments, industries, and markets to reduce costs and build the infrastructure for trade,” says Dr. Antweiler.

Cost is one of the biggest hurdles to hydrogen expansion. Green hydrogen—the cleanest option, made using renewable energy—is still expensive compared to other alternatives.

The way hydrogen is traded will also be a determining factor in its future. Unlike fossil fuels, where countries are typically either exporters or importers, hydrogen could develop into a more flexible market where nations both buy and sell based on cost and availability.

For businesses to profit from hydrogen, they will need to secure long-term contracts that provide financial stability and reduce risk.

“Hydrogen won’t operate like the spot market for oil and gas. Developers need guarantees of customers for years to come, which is why long-term contracts are crucial,” he says.

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How business leaders can drive the green economy

The green economy needs innovators who can turn hydrogen into a real business opportunity. According to Dr. Antweiler, its success will depend on new technologies that lower production costs and improve efficiency.

“We’re seeing progress with cheaper solar power, but we also need breakthroughs in electrolyzers to make green hydrogen viable at scale,” he says.

For future business leaders, this means that opportunities won’t just come from working in sustainability-focused companies, they will also emerge across industries adapting to a low-carbon economy. In Canada alone, jobs in clean energy are expected to increase by almost 50% by 2030.

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“The climate economy is the economy of the future. My advice: Find where your skills align with high-impact opportunities. Business school provides the tools to connect the dots—transforming ambition into action and ideas into scalable, profitable solutions,” says Kookai.

As governments and industries work to address these climate issues, business leaders will become instrumental in attracting investment and in long-term decision-making. This is where business education offers a distinct advantage.

At UBC Sauder, MBA students can specialize in a climate career track that integrates sustainability into core business strategy. Courses in climate and economic strategy, ESG accounting and reporting, climate finance, and impact investing equip UBC Sauder students with the tools to succeed in an evolving industry.

“We’re training the next generation of leaders to see climate solutions as business solutions. UBC Sauder’s MBA program, combined with our Centre’s real-world projects, prepares students to turn climate challenges into engines of economic transformation,” Kookai concludes.