University at Buffalo School of Management

14 Buffalo Business Autumn 2026 sustainability, but because it can pay long-term divi- dends," says Vedantam. "Companies affected by tariffs, particularly those reliant on global supply chains, should consider nearshoring strategies that shi assembly and key suppliers closer to manufacturing plants. These strat- egies can also support sustainability goals by reducing the need to ship products across the globe, while lowering the firm's overall risk profile." When it comes to technology, Vedantam says that there are real sustainability challenges to face, along with opportunities. "There is work to be done to reduce the energy dependence of AI, particularly reducing dependence on fossil fuels," he says. "AI data centers are increasingly being connected to microgrids powered by renewable energy, reducing their additional burden on residential power grids." In addition, he says technology can help address sustainability challenges, such as AI and analytics for tracking carbon across supply chains, digital traceability tools to verify raw material sourcing and consumer-fac- ing sustainability claims and internet-connected devices to measure emissions in real time. "The firms that succeed in the future will be the ones that use data, operations and incentives to make sustain- ability economically viable at scale," he says. At Rich Products, Michelle Philbin, MBA '15, serves as senior global sustainability manager, where she works to build long-term resilience strategies considering both financial impact and environmental sustainability. In her role, she evaluates how decisions will impact both areas across the value chain: where Rich Products lives, where it works and where it sources. "When I think about the impact of something like AI, I'm constantly asking two ques- tions: what's right for the world around us environmentally, and what's right for Rich's to stay around as a successful business that can employ people for the future," she says. "Those two things have to work together." Across the business, Philbin says that almost every decision that looks right in one area creates a cost some- where else, and the job of a sustainability leader is to map and measure those competing impacts honestly. For example, on the product side of the multinational food products company, she says it's critical to consider what ingredients to use for quality and functionality, as well as where they are sourced. "Certain types of ingredients like palm oil can be vili- fied, but if you are sourcing responsibly from farmers using the right practices, it's no worse than any other oil you might be acquiring," says Philbin. "So, when you're making decisions for your business, take that approach and understand the benefits and drawbacks and then set the infrastructure to deploy it in a sustainable way that makes sense for your business." Turning economic disruption into opportunity Amid tariff uncertainty, persistent inflation, shiing interest rates and post-pandemic supply chain disrup- tion, volatility may actually be leveling the playing field for businesses. According to Anand Nandkumar, professor of oper- ations management and strategy, companies that align innovation to financial strategy are the ones that will survive and compete in an era of acceler- ating disruption. "Innovation is valuable, and companies are strategi- cally prioritizing innovation, but the lifespan of companies is dropping," says Nandkumar. "I've spoken to a lot of execu- tives and they're saying that Philbin Nandkumar It's not about setting yourself up for relatively infrequent shocks. It's about living in a world full of shocks. Anand Nandkumar Professor of Operations Management and Strategy Philbin (back row, fourth from left) and colleagues at the annual Rich Products Earth Month Street Cleanup event on Niagara Street near the company's headquarters in Buffalo� Photo: Alexander Harold

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