Sustainability priorities of Swedish companies: an analysis of materiality matrixes

Abstract: In this study, I used quantitative content analysis to analyze the materiality matrixes of sustainability reports to identify the sustainability priorities of major companies in Sweden. I focus on the 131 largest listed companies in the country within six industries: material, consumer goods, capital goods, daily goods, banks, and investment companies. The research questions include: (1) What are the primary focus areas of materiality for the largest listed companies in Sweden by industry? (2) On an overarching level, is the focus among all companies more environmental or social? (3) What are the primary applications of materiality analysis in the context of corporate decision-making in Sweden? The findings reveal that the primary materiality topics for Swedish companies are business ethics and climate impact. The focus is slightly more environmental, with 54% of companies having more of an environmental focus. Interestingly, only 22% of companies mentioned using materiality strategically, while a larger portion (40%) use materiality to identify their sustainability priorities. This research highlights the need for companies in Sweden to prioritize strategic sustainability in the face of new legislation, such as the Corporate Sustainability Reporting Directive (CSRD). Overall, this study demonstrates the value of analyzing materiality matrixes for identifying sustainability priorities in different industries and provides insights into using materiality analysis in corporate decision-making. The results can inform future sustainability strategies for Swedish companies and contribute to the broader conversation around sustainable business practices.