What is the impact of climate change on your customers and how can you address it?

Startups often seek my advice on climate change solutions, and I've noticed a common misstep – the rush to solve problems without truly understanding the nuances. Instead of assuming challenges, engage in a dialogue with customers about: regional risks, operational challenges, regulations, supply chains, and stakeholder expectations. It's like wielding a magic wand – asking the right questions reveals the precise nature of the problem, empowering you to craft tailor-made solutions. Before diving into climate action, understand how it shows up for customers, efficiently meet their needs, and avoid assumptions. Doing so helps you save time, energy, and your customers' time and resources.

In my opinion, Personalised Carbon Footprint Tracking could be a game-changer for both businesses and customers. By offering an app or a feature within existing customer platforms that allows individuals to track their own carbon footprints based on their purchases or behaviours, companies can make sustainability personal and actionable. For example, if you run a supermarket, the app could show customers the environmental impact of their weekly shop, from food miles to packaging waste. This not only educates the customer but also encourages more sustainable choices. Such a feature would not only serve to build brand loyalty but also align the business and consumer goals towards a more sustainable future.

La respuesta a los desafíos del cambio climático debe ser integral, considerando no solo la sostenibilidad ambiental, sino también la justicia social. Los clientes de hoy buscan empresas que no solo ofrezcan soluciones ecológicas, sino que también se comprometan activamente con la equidad social. Esto incluye prácticas empresariales que promuevan la inclusión, la diversidad y la igualdad de oportunidades, tanto internamente como en las comunidades con las que interactúan. Las empresas que demuestran un enfoque holístico, abordando tanto la emergencia climática como sus implicaciones sociales, están mejor posicionadas para satisfacer las expectativas de un mercado cada vez más consciente y exigente.

As a pump engineer in the water sector, I couldn't agree more with the notion that climate change presents both challenges and opportunities for businesses. Climate change directly affects water resources and infrastructure, making it essential for professionals like me to innovate and adapt. We play a crucial role in ensuring sustainable water management and supporting various industries and customer segments in their efforts to thrive amid changing environmental conditions. By staying informed and developing innovative solutions, we can contribute to a more sustainable future while also creating new business opportunities in the process.

Investors are increasingly asking for ESG to be embedded in their assets to further reduce risk and ensure long term value. Climate Change and more importantly mitigation and resiliency strategies are at the forefront of that conversation. A prepared asset is one that stands a better chance in retaining its value and reducing the risk becoming in-insurable.

In my experience, one of the most powerful ways to address the impact of climate change on our customers is through collaboration. Climate change knows no boundaries, and it requires a collective effort from businesses, governments, and civil society to make a meaningful difference. By partnering with like-minded organizations and stakeholders, we can pool our resources, knowledge, and innovation to create sustainable solutions that benefit us all. Let's embrace the spirit of collaboration and work together towards a greener, more resilient future for everyone.

Know your customers - ensure you have proper information about your customer (segment, industry, purchasing patterns, geographical areas, age group, gender, etc) to make the right data-driven decisions.

Em empresas de varejo de alimentos, as mudanças climáticas, poderão levar a extinção de alguns tipos de alimentos. As insegurança hídrica decorrente das mudanças climáticas afetam o abastecimento humano e também a produção de alimentos.

Finding out with each sector how to transform their business is key for continuing to employe people and create new business models tailored to the new challenges. Everyone in the equation wins: the company, since it will still exists, the employees, they will continue to have a job adapted to the new environment, and the suppliers, who will also participate to it. Creating a win-win situation is the new normal

Understanding the impact of climate change on various customer segments and industries is essential. Each sector faces distinct challenges. For instance, agriculture and tourism are more exposed to physical risks, while energy and manufacturing grapple with transition risks. Tailoring solutions to cater to these specific challenges and preferences of customer segments like millennials or social entrepreneurs is a strategic move.

It starts by rethinking your offerings, such as using renewable energy in production or incorporating recycled materials into your packaging. It's about showing your customers that you're proactive, not just in your words but in your actions. It's about anticipating the evolving needs of customers in a world affected by climate change. By integrating the principles of the circular economy—designing out waste, keeping products and materials in use, and regenerating natural systems—you're providing a way for customers to be part of a sustainable and healthier future.

Customer-Centric Innovation Team: Establish a dedicated innovation team that prioritizes customer needs and preferences when developing new products and services. Market Trend Awareness: Stay vigilant about evolving market trends, especially those related to climate change and sustainability. Conformity with Trends: Ensure that the organization's products and services align with the latest sustainability trends and standards to minimize negative impacts on the climate. Safeguarding Sustainability: The innovation team should focus on sustainability in product design and development, striving to create solutions that positively contribute to addressing climate change challenges.

I started in 2013 implementing remanufacturing business models and processes for a leading manufacturer. No one talked about circular economy at that time, but components were reused, repaired , refurbished and remanufactured already. Yes we need to invent fundamental new, sustainable and circular technologies and solutions. But we also need to remember that we already can do so much to improve the environmental footprint of products by reducing materials, using them longer and reuse. I see organizations overwhelmed by thinking they have to fundamentally change their practices and therefore become unconscious and don’t act. We do need change desperately but we need to loose the fear for change by realizing we can act with simple changes.

While not every customer may be sensitive to sustainability, businesses have a responsibility to bring sustainable products on the market. This applies especially to large companies who have the means and budget to innovate and find more sustainable materials and processes. It is the responsibility of Apple, Samsung, Google, Amazon (just to name a few) to take immediate action and show customers that great products can be sustainable too 🌿

It's about making sustainable and circular solutions accessible to all customers ( whether they care about sustainability or not. These products and services need to be experiences with positive connotation.

The risk of being accused of "green washing" is high. You need to be honest, you need to be sincere, and you definitely need to be able to back up your claims with real world data. Even then you will be challenged, weather you respond to them will come down to your individual circumstances, but you should be prepared for it.

Most sustainability efforts by corporations are greenwashing. My definition of sustainable is that it actually heals ecosystems and communities, not just slows down the rate of destruction. Rarely have I seen an effort that actually heals. Are you actually using zero carbon? or just reducing use per capita? Are the forests where you are working actually building biomass and becoming more diverse? You get the picture. If what you are doing actually heals ecosystems and communities then it is not greenwashing. Remember you live on a planet in which ecosystems are crashing and failing. Just slowing down the rate of destruction will never be sustainable.

Authenticity is key in communicating your climate impact. In an era of greenwashing, consumers crave transparency. Stay genuine by reading the room, gaining insights from all levels, not just the C Suite, and aligning your products with the moment. Your consumers seek sincerity, so be clear on how your solutions address climate challenges. Genuine communication builds trust, loyalty, and sets your brand apart in a sea of greenwashing. Keep it real, and consumers will embrace your commitment to making a positive impact.

Effectively communicating the benefits of our sustainable products and services is key. Leveraging storytelling and real-life success stories is a powerful tool. Utilizing various communication channels, such as social media and webinars, allows us to reach a wider audience. Involving customers through feedback and co-creation fosters engagement.

En la comunicación y marketing, enfatizar la autenticidad es crucial. Las empresas deben ir más allá de simplemente destacar los beneficios de sus productos y servicios; es importante demostrar un compromiso genuino con la sostenibilidad. Esto incluye compartir historias reales y transparentes sobre esfuerzos de sostenibilidad, desafíos, éxitos y fracasos. Utilizar un enfoque participativo para involucrar a los clientes en diálogos significativos, creando una comunidad en torno a la sostenibilidad, puede fortalecer la confianza y la lealtad del cliente, alineando las marcas con los valores de sus consumidores.

At nearly every convening forum in the last year regarding Sustainability, Biodiversity, and even the Treaty of the High Seas, we heard global leaders say businesses, organizations, and governments cannot address interconnected and complex challenges alone. Only through innovative pre-competitive and cross-sector partnerships can we galvanize transformative change and innovative solutions, and this extends with urgency to climate adaptation and resilience. Our customers are clients already looking to engage in partnerships. Key considerations are going to be pursuits that are just and inclusive, include innovation and climate finance, center nature-based solutions, and advance the business case (quantifying data!) for corporate buy-in.

Sustainability challenges are complex and interconnected, requiring collective efforts to find innovative solutions, share resources, and implement impactful initiatives. Collaboration fosters knowledge sharing, economies of scale, and the ability to address sustainability issues at a broader scale, making it the most important tool in advancing sustainable development.

Las asociaciones en el ámbito del cambio climático deben ir más allá de las conexiones superficiales, buscando sinergias profundas y significativas. Implica colaborar no solo en la mejora de productos, sino en la creación de un impacto colectivo más amplio. Esto incluye compartir conocimientos y recursos, y trabajar en conjunto hacia metas comunes. Colaborar con una variedad de actores, desde startups innovadoras hasta organizaciones locales, puede aportar perspectivas diversas y soluciones más eficaces y holísticas. Estas colaboraciones deben basarse en la transparencia y el compromiso mutuo para ser efectivas y creíbles.

Robust measurement and transparent reporting demonstrate sustainability and climate impact. Start with a materiality assessment to focus on the most significant ESG issues. Track relevant indicators tied to climate goals across operations and the value chain. Use frameworks like GRI and SASB for guidance. Benchmark against historical baselines and peers. Report annually, validate through third party assurance. Share progress and setbacks transparently with stakeholders. Regular, rigorous measurement and reporting build trust and accountability on the sustainability journey.

Set concrete, measurable targets for your organization that are integrated into the overall performance and incentive model. This will ensure the right focus within the organization on developing, producing and selling sustainable products and services that help clients addressing their climate related challenges and opportunities.

The first step is to establish a commitment to carbon neutrality by 2030, setting a clear agenda that meets milestones with both technology and people. Establishing partnerships with cloud service providers, for example, will progressively transfer technology infrastructure to state-of-the-art data processing centres, boosting the supply of clean energy that reduces the indirect emissions associated with electricity generation produced by the company's operations. Maximising the use of resources and reducing consumption will improve the efficiency of the working model, allowing for example a focus on reducing the energy used in workplaces through teleworking, which helps to reduce employee commuting and reduce the indirect emissions.

There is a lot of data on a macro level of the impacts of climate change. Within the agricultural sector in much of Africa there is a need to localize data collection and capture both impacts on production (yield, inputs...) as well as capture some of the softer social impacts. The need to measure and integrate data to make agricultural production is needed however outside of East Africa seed capital and green field investment is negligible. There is a need for a concerted effort regionally to come up with contextualized solutions. Increased data will facilitate better decision making from production through to policy making.

Carbon measurement and carbon accounting is a key driver of gaining a competitive advantage: Sustainability has become a differentiating factor in the marketplace. Companies that incorporate carbon accounting and implement robust emissions reduction strategies stand to gain a competitive edge. They appeal to environmentally-aware consumers who prefer sustainable products and services. Businesses outperform competitors that have outdated carbon management practices, attracting more customers and clients who value sustainable solutions. This competitive advantage can lead to increased market share and long-term success.

Para enfrentar ou mitigar as mudanças climáticas: a descarbonização ou economia de baixo carbono e a economia circular são essenciais nesse cenário. Não dá para descarbonizar sem pensar na transição para a economia circular, que contribuiu também para regenerar o planeta.

There is still a disconnect for SMEs in particular, around creating business resilience to adapt and mitigate global challenges like climate change and the perceived cost. Sustainability professionals must be able to explain the business case using language easily understood by all management roles, while also communicating the urgency and magnitude.

For long-term investors, most of the value of owning your firm versus others will occur seven or more years into the future. That's a significantly longer timescale than most public company ceo tenures! To really deliver value, make sure that your sustainability initiatives are designed to compound progress over the long term, not satisfy near term aesthetic considerations.

A practical approach, to my mind, would involve systems thinking and systems practice from the very start. Only once the complexities of the situation and the ecosystems involved are seen and understood can anyone make real sense of what to do about the impact of climate change (or any other change for that matter). A good systems map will include all relevant stakeholders or agents, the relationships and flows between them, any negative and positive feedback loops, inputs, outputs, boundaries etc. This map enables us to zoom out out and see the entire supply chain or industry context, and then zoom in to the finer details that reveal where circularity could be introduced, waste minimised, risks mitigated, partnerships formed and the like.