- What impact does ESG have on brand identity now, and how important will it be in the future?
Let’s clarify the meaning of these terms first.
Brand is about perception and brand identity is the culmination of unique ways in which a brand represents itself to all its stakeholders. We may be acting sustainably, but are we being seen so? That perception is important in creating a sustainable brand. And that’s where communications come in.
We define sustainability as meeting the needs of the present without compromising the ability of future generation to meet theirs.
ESG on the other hand – Environmental, Social and Governance – are the metrics we use to measure and quantify our progress in advancing sustainability across our People, Planet, Principles framework we have at Baker Hughes.
Hence when we talk about brand identity for a global Fortune 500 company as Baker Hughes, sustainability certainly plays into how our various stakeholders perceive us. Sustainability is core part of our purpose and business strategy, and hence our brand purpose is a clear articulation of why Baker Hughes exists: We take energy forward – making it safer, cleaner, and more efficient for people and the planet.
Today, due to the growing urgency to address climate change, sustainability has become a business imperative for companies, and is important across all stakeholders of a company – from our global employees who are empowered to make sustainable choices, to our customers, investors or partners who want to increase efficiencies and leverage technologies at scale for a lower-carbon future.
However, what’s interesting about sustainability – unlike many other multifaceted concepts – is that it can be a double-edged sword for businesses, if it is not purpose-driven and led with values. Transparency and authenticity are very important in building a sustainable brand; and actions must match words. Inaccurate, exaggerated, or misleading communications about sustainability creates mistrust and affect brand perception negatively. Hence for us at Baker Hughes, leading with transparency and authenticity, while continuing to demonstrate our actions in advancing sustainability is important.
- What lessons have you learned about simplifying complex concepts/technologies for branding and communications?
Before sustainability even became such a hot topic, strategic communications have always been based on clear and succinct messages that are relevant for various stakeholders. The fundamentals principles of effective communications are important; but since sustainability is a dynamic field, an added lens of context, timeliness and relevance is important too.
A big part of my role is simplifying complex concepts into simpler and relatable language that fosters a common understanding, and eventually inspires change. You cannot inspire change if you confuse people. There are a lot of acronyms in the sustainability world – so first lesson I learned early on is to spell out acronyms as much as possible. Avoid using jargons or technical terms and translate highly technical subjects into easily understandable language. For instance, “reducing 1600 kilotons of emissions” can also be stated as “equivalent to keeping 1200 gasoline cars off the road,” so it’s understandable by most.
The other key learning is to be authentic in what you choose to communicate, and diligent to make sure all your claims can be substantiated if required. Have checks and balances in place within your marketing and communications teams to ensure sustainability claims are verified. Often, communicators or marketeers in sustainability run the risk of inadvertently overstating or exaggerating their claims/benefits to leverage latest buzzwords and trends. However, there is a real risk of greenwashing in doing so. Most readers today can easily tell the difference. At Baker Hughes, we have an internal process to verify all sustainability claims made by anyone in the company; and we conduct regular trainings to educate our marketing and communications teams on this.
- What are you most looking forward to this year at CHARGE?
I’m looking forward to meeting and learning from peers in the industry, especially within marketing and communications in the energy industry. It’s a unique conference and I particularly like the mix of perspectives and voices across the globe who come to attend and speak. Also, I’m most looking forward to my colleagues attending (and speaking) at CHARGE this year!
Baker Hughes is an energy technology company that provides solutions to energy and industrial customers worldwide. Built on a century of experience and conducting business in over 120 countries with approximately 58,000 employees, we design, manufacture, and deliver leading technology solutions for our customers.
Baker Hughes provides unique, integrated offerings across thei two business segments: Oilfield Services & Equipment (OFSE) that provides products and services to oil and gas companies, and Industrial & Energy Technology (IET) that is driving energy efficiency and decarbonization across multiple industries with new energy and industrial technology, new energy solutions and industrial asset management.
Khyati leads sustainability communications for the company and oversee Baker Hughes’ sustainability communications strategy by driving internal and external narrative and thought leadership in sustainability and ESG. Working closely with the company’s Chief Sustainability officer and Vice President of Brand and External communications, she ensures that sustainability is a key differentiator for Baker Hughes, through strategic communications, change management and engagement with all its internal and external stakeholders.
In addition to leading or supporting major climate change events where Baker Hughes has presence – like UN Conference of Parties (COP) and New York Climate Week – Khyati is also embedding sustainability more deeply in the company through strategic communications and change management. Khyati leads the launch of company’s annual sustainability report and is most involved in that project currently.
