Managing to a Changing Landscape. Climate change, energy efficiency programs, and carbon emissions reporting all lead to a critical need to strengthen risk management across an organization. Mandatory reporting due to government regulations, public commitments documented in Corporate Sustainability Reports (CSR), and the price being placed on carbon emissions require enterprise risk management strategies.
In the past environmental law focused on air and water quality and waste management. As global climate change, sustainable development, and conservation of water resources take center stage organizations can expect new regulatory mandates. Increase pressure on distributed organizations will necessitate that their leaders understand the requirements and more importantly have in place tools to mitigate compliance risk.
Financial Risk of Non-Compliance
The era of visibility and extreme agility is here. What an organization cannot see will almost certainly hurt operations or provide legal risk. Multiple leaders in every organization will need access to business insight if they are expected to form a collective decision. Organizations must disclose their carbon responsibility with quantified data that is visible and transparent.
Understanding Climate-Related Vulnerabilities
Does your organization truly understand “it”? It being the newly drafted regulation to control refrigerant gases across 30 of your locations. It being the carbon cap and trade requirements placed against only 1 division of your global organization. It being your true worldwide carbon baseline for which your organization has ultimate responsibility through taxation, required reductions, or detailed accounting. How do you know if your organization “has it covered’?
Data Collection and Management is Business Critical
Regardless of the final reporting format, to whom it will be delivered, or which factor is being analyzed, organizations wishing to capture the most advantage during the emergence of the carbon economy are starting by capturing and managing carbon emissions data centrally, in a single source, accessible by many. Calculating a verifiable carbon baseline across a global enterprise at this early regulatory stage is of strategic importance. Organized carbon emissions data offers the greatest level of flexibility and choice when mandatory reporting regulations become law.