This five-part series, jointly developed by the Boston Consulting Group (BCG) and the World Business Council for Sustainable Development (WBCSD), explores how companies can effectively integrate climate action into their core business operations.
Companies are increasingly aware of the urgency of climate action. In the US alone, between 2019 and 2023, around 102 extreme weather events resulted in $620 billion of damage.1 In a >3-degree scenario, 16-22% of cumulative global GDP could be at risk by the year 2100, equivalent to a reduction in the annual global growth rate of 0.4%2;such is the cost of inaction. Implementing mitigation and adaptation measures could reduce this to 4-6%, while only costing less than 2% of cumulative GDP.3
Despite this looming threat, the current pace of action remains insufficient4 (Exhibit 1). Fewer than 20% of the world’s top 1,000 companies have 1.5-degree-aligned science-based targets, and fewer than 10% have a public, comprehensive transition plan.5 Of the 6,871 companies surveyed in S&P’s 2022 Global Corporate Sustainability Assessment, only 21% had adaptation plans.6
Exhibit 1 – Progress on climate issues has stagnated, with declines in the percentages of companies comprehensively reporting emissions, setting targets across all Scopes, and reducing emissions in line with ambition
There is enormous potential value to be realized from incorporating climate considerations into regular corporate operations – from avoided risk to new/emerging business opportunities. It takes ambition, a solid plan, and a strategy, all of which will be explored in the articles below.
Each article presents insights synthesized by Boston Consulting Group (BCG) and World Business Council for Sustainable Development (WBCSD), via working with companies at the forefront of corporate climate action.
Footnotes
1 NOAA, https://www.ncei.noaa.gov/access/billions/
2 BCG, “Why Investing in Climate Action Makes Good Economic Sense”
3 BCG, “Why Investing in Climate Action Makes Good Economic Sense”
4 BCG & CO2 AI Carbon Emissions Survey (Sep 2024), “Boosting Your Bottom Line Through Decarbonization”
5 BCG analysis of CDP database
6 S&P, “Risky Business: Companies ‘Progress On Adapting To Climate Change”