Organisational Climate Risk
Organisational climate risk is an adaptation response at the operational level. The objective of organisational climate risk actions is to mitigate climate change risks to an organisation's programs, operations, assets, and staff.
Actions to reduce an organisation's climate risk should be evidence-based. They should be informed by robust climate assessments, and they should be informed by credible local climate change data or projects.
Actions to reduce an organisation's climate risk should be equitable. They should consider how climate risks may impact differently on staff and how risk management measures can account for these.
Actions to reduce an organisation's climate risk should be inclusive. They should involve local staff, community members and leaders to support the identification of local climate risks.
Actions that organisations can take to start identifying and planning for climate change risks to programs and operations include:
- Including climate change risks in the organisation's strategic and operational risk register.
- Ensuring that country strategies, security and contingency plans include an analysis of potential short to medium term climate change impacts on operations, programs, assets, and staff.
- Identifying and disseminating credible climate projections, as downscaled as possible, for all operational and program areas to relevant managers and staff.
- Ensuring the design of all new projects considers the projected climate change impacts for the targeted areas and assesses the potential impact of these changes on project outcomes and sustainability.
|Climate Change: Questions for your Governing Body (February 2022)Downloads a Word document
Questions developed by ACFID to help your governing body to work out where they stand on discharging their duties concerning climate change, and what else they may need to do.
|Climate risk governance guide (August 2021)Opens in new tab
Guidance by the Australian Institute of Company Directors (AICD) to assist directors address climate change governance. The guide provides a plain-language introduction and practical steps.
|Confronting climate risk (May 2020)Opens in new tab
A McKinsey Quarterly article for leaders on integrating climate risk into their decision making (adapted from the McKinsey Global Institute report Climate risk and response: Physical hazards and socioeconomic impacts).
| Guiding principles to set up effective climate governance on corporate boards (January 2019) Opens a PDF in a new tab
Useful guidance to boards listing a set of principles and questions to guide the development of good climate governance.
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