Building a sustainable organisation: Climate change impact on businesses 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 availability of resources and cost, changes in demand, regulations, and harsh working conditions. It also provides steps that businesses can take to reduce carbon footprints, such as measuring and analyzing greenhouse gas emissions, reducing waste, using renewable energy, investing in green infrastructure, and mobilizing for climate change. The report emphasizes the importance of collective initiatives and cross-sector collaboration to combat climate change.

CLIMATE CHANGE

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Climate change impact on business...........................................................................................3
Steps business can take for reducing carbon footprints..............................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Climate change is known as the shift in long term temperatures and patterns of weather.
The shift may be natural like by variations in solar cycle. Activities of humans are the main
drivers of change in climate mainly by the fossil fuels burning such as gas,oil and coal. Fossil
fuels burning generates greenhouse gases emissions which collects suns heat raise temperature.
For examples greenhouse gas emissions,clearing of forests,landfills of garbage.
Industry,transport,agriculture,buildings,energy are the main emitters of all the carbon emissions.
This report covers the affect of climate change on businesses and remedies for reducing carbon
footprints and green house gases.
MAIN BODY
Climate change impact on business
Climate change affects business by many ways. First it create a series of new risks in
business. The most visible risks are extreme weather events, shortage of supply by scarcity of
water. Other risks are changes in technology,market regulations increasing cost of
business,impact on assets value(Cook, Mankin, and, Anchukaitis, 2018). It also increases risks
for businesses by creating potential liability of emission of greenhouse gases. Increasing
numbers of cases have been filed against fossil fuel companies and utilities holding responsible
for damaging effects of change in climate. Here are some of the affects of climate change on
business-
 Increased risk due to extreme weather- Scientists have found out that climate change is
increasing frequency and intensity of extreme weather events like storms ,droughts,floods
and heat waves. It will be disrupt the business operations and create physical and
financial damage to the business. It is thus increasing cost of insurance for the
companies.
 Changes in availability of resource and Cost- The extreme weather events will affect
the supply chain which will make in getting the raw materials of business more difficult.
Drought and heat can cause shortage of crops for food,clothes and various other products.
Increase in electricity and transportation expenses will also increase cost of moving
goods(Monasterolo, 2020).

 Change in demand- With the change in climate the demand by consumers will also shift
drastically. By the rise in global temperature the demand for cooling products will
increase but demand of heating oil will decrease affecting the businesses. Many
customers want sustainable products by shifting demand towards environment friendly
goods.
 Regulations- Rules and regulation will also significantly affect the business as business
which are emitting high emissions will be told to upgrade and invest in green technology
and infrastructure which will lead to more cost to company. Businesses will have to
follow all the regulations imposed by government for reducing carbon footprints.
Companies will have to shift their business operations towards clean energy
resource(Olabi, and Abdelkareem, 2022).
 Harsh working conditions- By the increase in temperature and weather patterns the
conditions of working across industries will become more harsh day by day. Physical
labour jobs which are done outdoor will become more difficult and increase the risk of
health and safety in these sectors. It will increase the cost of business in these industries
as they will have to invest money in safety of workers.

Steps business can take for reducing carbon footprints
Due to climate change outcomes many businesses are getting affected,it is linked to
everybody in the society. Here are some steps taken by businesses for reducing carbon
footprints-
 Measure and analyse greenhouse gas emissions- If companies want to reduce the effect
on planet and environment and reduce the climate change they must measure the
emissions of greenhouse gases. There are many agencies which are carbon footprint
certified and help businesses for measuring the carbon emissions. If the gas emissions are
known they can effectively analyse the activities which are creating highest pollutants.
Then business can find out the solutions for reducing emissions(Owen, 2020).
 Reduce waste and fight obsolescence- Company can reduce the waste generated. Large
and small companies all businesses produce waste. By avoiding plastic disposable
cups,capsules of coffee machines,reduce prints and papers etc. There may be various
solutions which depend ons facilities and business of the company.
 Renewable energy- Companies can use renewable energy as a major source of energy.
Companies can recycle the products for reducing carbon footprints. By implementation of
recycling collections at office will also nurture greener work culture. It will reduce the
costs and deliver clean energy future.
 Green infrastructure- Companies can choose environment friendly infrastructure and
equipments. By this way businesses can select more efficient and sustainable. By
investing in green energy and green equipments will help in getting green tariffs from
energy providers. Companies may use solar panels,using led lighting,using energy
efficient refrigerators or computers.
 Mobilization for the change of climate challenge- In last role of businesses it is more
political. At different levels of regional or national businesses which want to fight against
climate change must be militant. They have to put pressure on politicians for acting on
global warming which be a great influence(Tang, 2019). It can lead to new regulations
for environment which will affect on global warming.

CONCLUSION
This report concludes that climate change is adversely affecting the businesses. The
importance of collective initiatives of business and cross sector to the change in climate. The
risks of change in climate is the key driver for fossil fuels consumption to green economy.
Issues which have high risk like scarcity of water supply,greenhouse gas emissions etc. will lead
to affect the companies. Businesses must take steps for reducing carbon footprints and global
warming. Various steps were mentioned for reducing climate by using green energy
products,less plastic in business. Companies are focusing on products which create less carbon
emission and enhance supply chains.

REFERENCES
Books and Journals
Cook, B.I., Mankin, J.S. and Anchukaitis, K.J., 2018. Climate change and drought: From past to
future. Current Climate Change Reports, 4(2), pp.164-179.
Monasterolo, I., 2020. Climate change and the financial system. Annual Review of Resource
Economics, 12, pp.299-320.
Olabi, A.G. and Abdelkareem, M.A., 2022. Renewable energy and climate change. Renewable
and Sustainable Energy Reviews, 158, p.112111.
Owen, G., 2020. What makes climate change adaptation effective? A systematic review of the
literature. Global Environmental Change, 62, p.102071.
Tang, K.H.D., 2019. Climate change in Malaysia: Trends, contributors, impacts, mitigation and
adaptations. Science of the Total Environment, 650, pp.1858-1871.