Step 2

Identifying Climate Risks & Opportunities

IMPORTANT STEPS TOWARDS ADAPTATION


Your company has probably already adapted to climate change impacts reactively, meaning after impacts have occurred. For example, maybe you run only one shift per day in summer, as you anticipate power cuts. As climate change dynamics get stronger, it is important to also anticipate and prepare for future climate change impacts, both in terms of risks and opportunities. This can be done by the development of a climate change adaptation strategy. When developing a CCA strategy, four main steps have to be taken: 

1. Analyse your company's "exposure" to climate change

First of all, it is necessary that you are aware of the climate change phenomena that you face in the regions where you operate. This includes your company plant locations, but also locations of key suppliers, transport routes and major markets.

2. Identify, assess and prioritise resulting risks and opportunities 

You then assess what impacts these phenomena exactly have on the company, and prioritise resulting risk and opportunities.

3. Identify, assess and prioritise adaptation measures

Based on your knowledge of risks and opportunities, you are ready to identify potential adaptation measures and assess and prioritise these according to their potential for risk reduction, feasibility and side effects.

4. Develop and communicate your adaptation strategy

For a full-fledged adaptation strategy these measures are assembled in an adaptation plan which combines measures in the short-, medium- and long-term to achieve effective adaptation, while making optimal use of synergies between different measures. An accompanying communication strategy towards internal and external stakeholders allows the company to gather ideas and create ownership among company staff in its adaptation efforts, demonstrate its adaptation efforts towards governmental authorities, business partners and neighbouring communities, and network with others on the issue of CCA. 

Four steps towards adaptation
Source: adelphi

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