Improving operational resilience against climate change

Abstract

This paper addresses the urgent need for organisations to strengthen operational resilience in response to the escalating effects of climate change, highlighted by the record-breaking temperatures and severe weather events of recent years. It presents a comprehensive, practical framework designed to help businesses anticipate, adapt to, and recover from climate-related disruptions. The paper covers critical topics including advanced climate risk assessment — distinguishing physical, transition, and liability risks — adaptation of organisational structures, workforce empowerment, robust stakeholder engagement, supply chain resilience, and integration of modern technology such as artificial intelligence (AI), blockchain, and the Internet of Things (IoT). Readers will gain a thorough understanding of the multifaceted threats posed by climate change, as well as strategies for turning these challenges into opportunities for innovation, efficiency, and market differentiation. The paper explores how organisations can nurture a climate-aware culture, develop adaptive skills, support mental well-being, implement flexible work policies, and harmonise incentives with climate objectives. Case studies and recent data illustrate the tangible benefits of comprehensive resilience planning, including reduced operational risk, cost savings, improved reputation, and enhanced competitiveness. By engaging with this paper, readers will acquire actionable knowledge on assessing climate risks, designing resilient organisations and supply chains, leveraging technology for climate adaptation, and empowering their workforce. The paper equips business leaders and professionals with the skills and insights needed to build a proactive, resilient organisation capable of thriving amid the challenges of a changing climate. This article is also included in The Business & Management Collection which can be accessed at https://hstalks.com/business/.