Cross-cutting action
How it drives business benefit
Integrating climate-related scenario analysis into corporate strategy processes
Enables agile strategies that increase competitiveness and business resilience by tracking market signals to inform action.
Leveling up Enterprise Risk Management (ERM)
Improves strategic foresight by embedding climate-related risks into ERM processes and related governance structures. CRAs can also prompt companies to assess and adapt their ERM frameworks, enabling more strategic long-term risk mitigation and better management of investment options.
Upskilling workforces
CRAs can help companies identify capability gaps in their workforce that they can close with internal upskilling that ensures teams understand climate-related risks and their role in mitigation and adaptation measures.
Embedding climate considerations into operations
CRAs offer companies the opportunity to engage operational leaders to identify process improvements and actions to reduce risk exposure.
Identifying low-carbon market opportunities
Companies can use CRA insights to pinpoint emerging low-carbon markets or new revenue streams and develop strategies to capture them, transforming potential risks into drivers of growth and competitive advantage.
Using CRA data to create investor-grade decarbonization plans
Investor-grade decarbonization plans based on the robust data foundations of a CRA help build investor trust by demonstrating a pragmatic and tactical approach to emissions reductions.
Embedding carbon costs, asset longevity, and risk exposure in capital plans
Incorporating current and anticipated carbon costs, asset longevity, and risk exposures into decision-making helps companies reduce future liabilities, comply with evolving regulations, and make better informed capital-allocation and M&A decisions.
Improving emissions tracking
Meet customer expectations and maintain the right to do business in different jurisdictions by improving direct and supply-chain emissions tracking. By doing so, companies gain the data needed to uncover cost-reduction opportunities, identify high-impact suppliers and products, and integrate carbon costs into pricing and capital decisions.
Identifying collaboration opportunities
Companies can increase buy-in and accountability for their climate action and help ensure a more targeted and pragmatic response to climate-related risks by aligning with internal stakeholders and accounting for their feedback when identifying and managing these risks.
Supply chain climate risk mapping
Companies can increase supply chain reliability by identifying potential risks across supplier sourcing or logistics hubs, and increase customer satisfaction by integrating decarbonization and reliability metrics into supplier sourcing decisions.
Developing robust climate transition plans
CRAs should serve as the basis for robust climate action or transition plans supported by clear goals, metrics, and governance. By establishing this foundation, CRAs enable organizations to prioritize actions in the near-term that increase business resilience and value creation.