COP26 Made Net Zero a Core Principle for Business

The way business is done going to change, and fundamentally so. Net-zero is an inevitable direction that companies will have to take, as committed by the COP26 talks—and that’s a good thing. We have realized that we need to come and act together if we want to make profound, drastic changes in global occurrences.

Here are five things that leaders can start doing to ensure that they become part of the solution:

Make Net Zero an Organizational Value

As the COP26 talks wound up, it has become apparent that Net Zero isn’t going to be just a fad; it will become a governing principle for organizations, no matter what they do.

With such efforts becoming part of organizational principles, the next step is to work together. Companies taking pragmatic approaches can also become part of team efforts, like the Mission Possible Partnership, as real change occurs only by joining hands and collaborating.

Make Net Zero Strategies

If you are working towards something, start by defining a clear strategy. Make Net Zero strategies and give yourself a realistic timeline.

Leaders must be assertive about these changes and ensure that plans are created and implemented now. While costs will be involved, companies working towards greener goals are more attractive to investors and customers.

You don’t have to change how you do business entirely. You must ensure that you are working towards this goal while still integrating Net Zero into your business objectives. This is when you must do something impactful to stay ahead of the competition.

Net Zero Strategies Need Capital, Start Organizing It

CEOs and leaders must start mobilizing capital to begin working towards zero emissions. Capital has to be collated and deployed quickly if companies want to keep up with the rest of the business world.

One strategy to get some financial backing could be working with financial institutions that have also aligned themselves with decarbonizing their assets. This is particularly advisable for businesses that are in manufacturing, whose current systems produce high carbon emissions. Such companies must undergo extensive revamping and possibly find ways of integrating more intelligent tech into their processes.

Ready Your Pipeline 

Most businesses rely on suppliers being on time and delivering what they’ve promised. With mass movements towards greener strategies, many new suppliers will be around. However, setting up stable supply routes and ensuring sufficient supply will take time. Expect to see shortages of greener materials as all conscientious businesses move towards Net-Zero.

While the demand for haulage has always been high, electric trucks aren’t exactly flying out of the production line. Businesses that rely on road logistics should explore electric transportation and find ways of ensuring they have access to the vehicles when they need them.

Digital and Transparency is the Way Forward

There is no doubt that digital is the way forward. Predictions are that digital sustainability management is likely to be the new frontier of digital transformation.

Companies have to integrate digital tech into more of their processes. This means two things. Technology must be integrated into every aspect of production and supply, from primary sources to suppliers and logistics to delivery.

The second step is making this more visible and transparent. When this information is collated from multiple resources, pooled, and then analyzed, there is a much better chance of pinpointing exactly which areas are causing the most emissions. Even governments and financial institutions ask businesses to share more information to make a collective effort towards a Net Zero world.

Conclusion

Whether or not COP26 was a success, it has undoubtedly established the general direction businesses should adopt. This is not to say that the transition to Net Zero will not be complicated and without volatility. Leaders can only hope that the change will be comparatively orderly and not marked by drastic shifts. They must map out their companies’ future while still being in tandem with the core principle of Net-Zero. Courageous leadership is still the answer for navigating this change. Keeping these five basic pointers in mind can help achieve a clear action plan.

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