Businesses are being driven towards more socially and environmentally sustainable practices not simply by brand building or altruism, but because it makes good financial sense.

The research among 2,500 businesses in 34 economies, from Grant Thornton’s International Business Report (IBR), reads this.

The survey also shows that an increasing number of companies report on sustainability while a majority now view integrated reporting as best practice.

The IBR reveals that the top driver towards more sustainable business practices globally is cost management, cited by two thirds of respondents (67%), up from 56% in 2011. The second biggest driver is client/consumer demand (64%), followed by 'because it is the right thing to do' (62%).

According to the IBR, the number one CSR initiative implemented globally over the last 12 months is donating to community causes/charities, cited by 68% of business leaders. Two thirds (65%) also said they had improved their energy efficiency or waste management through CSR activities.

The number of companies with CSR reporting is going up. In particular, according to the research from Grant Thornton, at present just under one third (31%) of firms globally report on sustainability initiatives, either combined with financial reports or separately. However, a further quarter (26%) plan to begin reporting externally on sustainability matters in the next five years. And overall, 57% agree that reporting on non-financial matters, such as sustainability, should be combined with financial reporting.