The World Economic Forum ranks extreme weather and climate action failure as top global risks for 2024. In the business of climate change, businesses face disrupted supply chains, shifting regulations, and unpredictable operational costs. The challenge isn’t just survival—it’s adapting faster than the climate itself.
Here’s how resilient organisations are responding without empty promises about sustainability in the business of climate change.
1. Stress-Test Your Physical Footprint
After floods cost BMW €330 million in 2023, the company now maps all facilities against climate models. Practical steps include:
- Climate-risk assessments for every physical asset
- Decentralising critical operations across geographies in the business of climate change
- Redundancy planning for essential utilities
2. Rethink Just-in-Time as Just-in-Case
Toyota’s multi-sourced battery supply chain prevented $1.2 billion in losses during 2022 shortages. Adaptation looks like:
- 30% minimum inventory buffers for climate-vulnerable materials
- Localised micro-supply chains for essential components in the business of climate change
- Contract flexibility for climate-related delays
3. Make Workforce Mobility a Core Skill
Shell’s “Energy Transition Training” reduced resistance to site closures by 41%. Effective approaches:
- Climate adaptation modules in leadership programs
- Upskilling grants for employees in high-risk locations to address the business of climate change
- Transparent relocation roadmaps for vulnerable sites
4. Turn Compliance Into Competitive Edge
Unilever’s regenerative agriculture program cut costs by €210 million while meeting EU Green Deal standards. Strategic moves:
- Proactive partnerships with regulators
- Early adoption incentives for climate-ready suppliers
- Public climate adaptation reporting (with verifiable metrics) in the business of climate change
The Resilience Payoff
Companies with formal climate adaptation programs report 29% higher investor confidence (McKinsey, 2023). The goal isn’t predicting the weather—it’s building organisations that thrive regardless of it, proving the strategic importance of the business of climate change.
