Impact of Climate Change on Business and Steps for Reducing Carbon Footprints

This report discusses the impact of climate change on businesses, including increased risks due to extreme weather, changes in demand, and harsh working conditions. It also outlines steps that businesses can take to reduce their carbon footprints, such as measuring greenhouse gas emissions, using renewable energy, and investing in green infrastructure.

Building A Sustainable
Organization

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Impact of Climate Change on Business .................................................................................3
The steps taken in business for reducing carbon footprints ..................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
The Climate change is known as temperature and pattern of weather shift in long term.
The shift may be happen naturally from changes in the solar system. The human activities mainly
involves in climate changes through burning of fossil fuels which are oil, gas and coal. The
burning of fossil fuels produces greenhouse gases which makes temperature like heat of the sun.
for illustrate the greenhouse gases emissions, cutting trees in forest, throwing garbage in nature.
The transport, buildings, factory's, energy, etc. are the main aspects of carbon emissions. The
report includes affect of climate change on business and the remedies for controlling carbon
footprint and greenhouse gases.
MAIN BODY
Impact of Climate Change on Business
The business affects Climate change in various ways. Firstly the series of new risks in
business is created. The risks which are most visible for extreme events of weather are by
shortage of supply by scarcity of water. The risks have changed the technology, regulations in
market which increases the cost of business and makes impact on the values of assets. This also
enhances business risk through creating possible liability for producing green house
gases(Benites-Lazaro, Gremaud, and Benites, 2018). The number of cases increases and filed
against the companies of fossil fuel and utilises the responsibilities for damaging the effect of
climate change. The affects of climate change on business is described below:
 Risk increased due to extreme weather- The Scientists find out about increase in
frequency and intensity of climate change and extreme weather events like storm,
droughts, flood and heat waves. The business operations will disrupt and creates physical
and financial damage for the business. This will increase the cost of insurance of the
companies.
 The availability of resource and cost changes- The supply chain which gets the raw
materials of business more difficult affects the extreme weather events. The shortage of
crops and food, clothes and other products causes due to drought and heat. The
transportation and electricity increase will also increase the moving goods cost(Dunn,
2018).

 Demand change- The climate change and demand of the consumers also shifts
drastically. With the rise in global temperature, demand of products used for cooling
increases and the demand of heating oil decreases and affects the businesses. Many of the
customers wants products which are sustainable and shifts demand to eco friendly goods.
 Regulations- The rules and regulations affect significantly the business which emits high
emission and told to upgrade and invest in eco friendly technology and infrastructure
which leads in increase of cost in company. The business will also follow the regulations
which is imposed by the government to reduce carbon footprints. The companies will
shift operation of business towards resources of clean energy(Rivera, and Clement,
2019).
 Harsh working conditions- Through the increase in temperature and weather the
patterns and condition of working within industries becomes more harsh day by day. The
job of physical labour which is done outdoor and this become more difficult and
increases the risks of health and safety in the sector. This increases the cost of business in
the industry and they have to invest the money in safety of workers.

The steps taken in business for reducing carbon footprints
Because of climate change outcomes various businesses gets affected, this is linked with
everyone in the society. There are some steps which is to be taken through business in reducing
carbon footprints-
 Analyse and Measure of greenhouse gas emissions- The company if wants to reduce
effect on the environment and planet which reduces the climate change and measures the
emissions of greenhouse gases. Many agencies have certificate of carbon footprint and
helps in business for measures the carbon emissions. If the gas emissions comes into
knowledge then they can be effectively analyse activities which creates more pollutions.
Then the business have to find out solutions which will help in reducing the emission of
pollution(Rivera, Oetzel, Clement 2022).
 Reduction in waste and fights obsolescence- The company have to reduce generated
waste. All produces waste weather it is large or small company. The plastic disposable
cups, coffee machines capsules, reduce the paper and prints is to be avoided. There are
many solutions which are depend on business of the company.
 Renewable energy- The companies will use renewable energy and some major sources
of energy. The companies will recycle all the products in reduction of carbon footprints.
Through implementation in the collection of recycling at office will also nurture the
culture of green work. This reduces cost and delivers clean energy future.
 Green infrastructure- The companies will choose the infrastructure of environment
friendly and the equipments. In this way the business will be selected more efficiently
and sustainably. Through investing in green energy and the equipments this will help in
getting green tariffs from providers of energy. The companies have to use solar panels,
LED lights, energy efficient refrigerators and computers(Rochlin, 2021).
 Mobilization for the change of climate challenge- The last role of business is more
political. The different level of national and regional business wants to fight for
controlling climate change must be called militant. The political pressure is to be made
on politicians for acting on the global warming which is a great influence. This will lead
in new regulations in environment and this will affect the global warming.

CONCLUSION
The above report concludes the climate change which adversely affect the business. This
is important for taking collective initiatives in business and crossing the sector for the climate
change. The climate change is risk of key driver for the consumption of fossil fuel in green
economy. The issues have high risk of scarcity for water supply and green house emissions etc.
this leads in affecting the company. The business have to take steps in reducing global warming
and carbon footprints. Many steps are mentioned in decreasing climate through using products of
green energy and less plastic in business. The companies have to focus on product and creates
less carbon emission and enhance the chain of supply.

REFERENCES
Books and Journals
Benites-Lazaro, L.L., Gremaud, P.A. and Benites, L.A., 2018. Business responsibility regarding
climate change in Latin America: An empirical analysis from Clean Development
Mechanism (CDM) project developers. The Extractive Industries and Society, 5(2),
pp.297-306.
Dunn, S., 2018. Down to business on climate change: an overview of corporate strategies. The
Business of Climate Change, pp.31-46.
Rivera, J. and Clement, V., 2019. Business adaptation to climate change: American ski resorts
and warmer temperatures. Business Strategy and the Environment, 28(7), pp.1285-1301.
Rivera, J.E., Oh, C.H., Oetzel, J. and Clement, V., 2022. Business adaptation to climate change.
Cambridge University Press.
Rochlin, C., 2021. Climate change and the progressive business model. The Electricity
Journal, 34(4), p.106927.