Sustainable Business Strategies: Risk Management

2012 was the year in which risk management strategies to cope with sustainability mega forces became more sophisticated.

risk management

The lessons for corporate sustainability champions are:

  • Risk management for climate change and other environmental threats must become part of enterprise risk management.  If it isn’t, then you’re really in the minority.
    You need to make it a priority within your company.
  • Focus on business resilience, not just to extreme weather events that disrupt supply chains and operations, but also to the threat of resource constraints.

Corporate SoS: Business and Climate Change Impacts

Business risks from climate change impacts are getting more recognition, as risk analysis gets better and impacts of natural disasters show up larger on the business radar.

2013 will be the year in which the business risks of climate change impacts get understood much more clearly. This is a CEO-level issue because it affects corporate strategy and performance.

As a result, I expect widespread incorporation of risk management strategies for climate change into enterprise-level strategic planning, at least among the Global 500 corporations.