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Climate Change

I will be a hummingbird
Opinions

The Gold of Small Things

Science fiction literature and movies are obsessed with the story line, and the film industry has made billions of dollars from it: a time traveller goes backwards in time. Changes (‘corrects’) a small thing – and Voila! All will be good. But precisely in the here and now Big and Bold things need happening - yet, doing small and important things remains relevant. Not the least because few of us humans see themselves as capable of completing Big and Bold things. So - maybe inspiration from science fiction is not all bad afterall ...
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1912, Coal Impacting Climate
GlobalisationOpinions

6th IPCC Report: Scientists – thank you for all your hard work!

A week or so ago, the latest, sixth, IPCC report dropped. My suggestion hence is simply read it. Even if only the executive summary. But just read it. All I would like is to grab the opportunity to give a HUGE thank you to all the scientists involved. Thank you dear IPCC scientists! Thank you for all the work, the patience, and the glimmer of hope that despite it all remains a firm part of the reports. Even this latest one.
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Measurement Data
Biz StrategyGovernance

KPIs in ESG: Stretch Goal or Lowest Required Hurdle?

You can’t manage what you can’t measure. This common sense platitude holds true for a lot of things: Salary, punctuality in trains, inflation. And – of course – sustainability/ESG data. Measuring alone can be complex enough. But there are also incentive systems. And the impact they have on aspirations to deliver results. Where sales targets for instance are as good as always understood as ‘invitation to be exceeded’ (with financial and other bonuses resulting from overachievement) the near opposite holds true for ESG/sustainability related KPIs. And that absolutely must change. For every single person in every single company. KPI priorities must be flipped on their heads.
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Act Now or Swim Later - Climate Change
GovernanceOpinions

A Pledge for Every Occasion?!

Over the last couple of years a plethora of pledges has arisen in the sustainability/ESG space. The weird thing: Pledges intend to drive change the wrong way around. Commit people (read: companies) publicly, then hope they will actually move in accordance to the pledge/commitment, and then only hold them to account if and when they do not delivery. If anyone remembers that is. Do we need all these pledges? Do they really make a difference? Data says: probably not ... Shouldn't hence the Lemma simply be: Actions before words. Impact before messaging. Walk before talk. Science before marketing.
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Measure and Manage
Biz StrategyFinanceGovernance

Measurement ≠ Data ≠ Information ≠ Knowledge ≠ Action

You can't manage what you can't measure. This often cited quote by Peter Drucker lies at the heart of many things: change management, quality management, staff diversity, environmental footprint, CO2 output … you know it. This is why many millions of dollars, and countless hours, have been invested in creating suitable measurement tools. It's just that: Measurement ≠ Data ≠ Information ≠ Knowledge ≠ Action.
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Mistakes and Learning
Biz StrategyGovernanceOpinions

Continuous Learning Mistakes: When time teaches to know better

Knowledge and data are two interesting entities: essential for decisions at any one time. And yet evolving with time. And with that, decisions taken some time ago, possibly decades earlier, may prove flawed – in hindsight. But what if years down the road these insights are resurfaced and either proven to be partially or fully inaccurate? What if the nuggets are suddenly being used in a context that has shifted significantly since? What if our best intended and best-possible informed statements of the past are called out years, decades later? A few thoughts on this dilemma.
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Water Energy Nexus
Biz StrategyBook ReviewsFuture Tech

Water & Energy Generation: Conjoint or Fraternal Twins?

In last week’s post I looked at energy companies and their trajectory relative to the Paris Climate Agenda. The insights clearly suggested a mixed picture. A clear point of how important it is to decarbonised the way we fuel our economy and global society. But that’s unfortunately not all there is to the energy generation picture! What few people realise: Energy generation requires water. A lot of water. Not just in the energy generating processes, but also in the extraction of the energy source (coal in particular), and/or the making of the necessary equipment. Some insights ... illustrated at the example of China.
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Peloton Bike Race
Biz StrategyFinanceGlobalisation

Energy Industry & Carbon Trajectory: A tale of two Trajectories

Carbon – together with biodiversity – is one of THE most critical dimensions among the Planetary Boundaries. Because the already existing overshoot is putting our civilisation at risk. So far nothing new under the sun. The energy sector is the by far most impactful sector: directly and indirectly our carbon footprint depends on how they fuel our civilisation. The big elephant in the room is of course: How well are badly do energy companies perform right now in terms of their carbon footprint? And: Do they have at the least commitments to work on a Paris Agreement trajectory? I look into these questions. Spoiler Alert: The results are pretty much in line with expectations. Yet: among the innovators, not everyone does perform as well as they probably should ...
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Bias Lense
Biz StrategyDefinitionsGovernance

Cognitive Biases on the board and Corporate Climate Change Inertia

The influence of decision bias is nothing new when scrutinising corporate governance. And yet: by and large businesses continue to fail to adjust their strategic decision-making processes to become more climate viable. At best they have just barely started on their journey. Why is that? As we look deeper into the corporate discourse on Climate Change, it becomes evident that one of the silent yet crucial culprits behind the climate change inertia lies in the cognitive biases at play in corporate decision making. What are those biases, what do they mean for boards in the context of strategic Climate Change decisions, and what can be done about it?
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Drop of Water
Consumer-ismOpinions

How do you make it personal? The challenge of going from global goals to individual actions

Global Goals are called ‘global’ for a reason: they apply to everyone, everything. Every business, every government, every church, charity … In case there was any doubt about it: The Sustainable Development Goals and Paris Climate Agreement are global goals. In fact, probably the Global Goals par excellence. Yet, while organisations of all different types and characteristics are making progress in translating those to their different contexts, environments, business models etc. the same does not hold true when it comes to individuals. Beyond a few platitudes. A few arbitrary and personal musings on the role of the individual in achieving the goals.
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Peloton Bike Race
Biz StrategyFinanceGlobalisation

Apparel Industry & Carbon Trajectory: Throw in the Towel?

Carbon – together with biodiversity – is one of THE most critical dimensions among the Planetary Boundaries. Because the already existing overshoot is putting our civilisation at risk. So far nothing new under the sun. The big elephant in the room is of course: How do companies perform right now in terms of their carbon footprint? And: Do they have at the least commitments to work on a Paris Agreement trajectory? I answer these questions. Spoiler Alert: Some 'villains' are doing rather well. So well in fact that they are leading the pack.
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Do Vote, Voting
Biz StrategyFinance

Climate Change & Proxy Vote: A moral issue indeed – for the finance industry

From research we know that boards of directors lack skill and expertise when it comes to ESG and Climate Issues. But: certainly the asset owners and investors do see that point, and are worried about boards taking tangible action that would safeguard their assets? This is precisely the question that ShareAction asked in their most recent report. The insights are sobering. Particularly the Big Three asset managers (BlackRock, Vanguard, State Street) have a miserable voting record during AGM season: both, for the number of votes cast, as well as for their stance against most resolution on Climate Change and Human Rights. The good news: it rarely has been so simple to identify Greenwashers. Thanks to publicly available filings about votes cast in AGMs of listed companies.
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Sky at Night
Biz StrategyCircularityOpinions

Why bother – with Sustainability? Start with Why

Over a decade ago, Simon Sinek pointedly demanded: Start with Why. Targeted at a then rather uninspiring marketing and branding industry, 10 years on is still as valid as ever. Just now, we need to ask businesses: Why are you bothering with investing millions, and thousands of hours into sustainability? Often the answer will be: because we have to. An answer just as uninspiring as the sales slogans Sinek was bashing a decade ago. Because when it comes to Sustainability: Know your genuine Why. Or don't bother.
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Board Member w Depression
Biz StrategyGovernanceOpinions

Mental health on the board? Vulnerability is real …

In July 2018 Australian Billionaire James Packer resigned from 24 boards in total where he held directorships. His spokesman in a statement announced that Packer was “suffering from mental health issues” and was seeking treatment for depression. Packer is not a lone case. Climate Anxiety can be a trigger to mental health challenges - for fear of the future and well-being of loved ones. Creating boards that are able to open up about doubts, challenges and concerns is like adding a booster gear to their functioning, reaching deep into an individuals motivation and passion. It also could add a whole new dimensions to professional discussions and help to ask harder, but equally necessary questions to the executives running the day-to-day business.
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Sustain What
Book ReviewsOpinions

Sustain What? The Global Pandemic and Resistant Economies

Few economists have truly the track record to justify themselves talking about systemic issues, impacts and outlooks - other than in blatantly generic truths. In his series 'Sustain What' - intermittently focused on the topic of the systemic aspects of Corona/Covid19 - renowned journalist Andrew Revkin has sought out a range of experts.
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