The Next Next Common Sense - TEXT

Michael Lissack

sustainability experts, operations leaders, and market teams collectively examine region-specific climate projections and impacts. Step 2: Define shared viewpoint : Companies establish clear posi- tions on how climate change affects their strategic landscape. Energy com- pany Ørsted transformed from a fossil fuel-focused utility to a renewable energy leader by first establishing a shared viewpoint on the future energy landscape that explicitly incorporated climate dynamics. Step 3: Articulate shared purpose : Organizations integrate climate considerations into their fundamental purpose rather than treating them as separate sustainability initiatives. Outdoor apparel company Patagonia defines its purpose as “We’re in business to save our home planet,” placing climate action at the core of its reason for existing. Step 4: Enable autonomous action : Companies create frameworks that enable climate-appropriate decisions throughout the organization. Manufacturing company 3M develops decision protocols that incorporate climate considerations into standard processes for capital investments, product development, and supply chain design. Step 5: Establish coherent communication : Organizations create communication systems that maintain alignment on climate priorities across diverse stakeholders. Technology company Microsoft implements “climate narratives” that connect its carbon reduction efforts, product strategies, and policy advocacy into coherent stories for employees, cus- tomers, and investors. This structured approach transforms climate complexity from an overwhelming challenge to a navigable strategic domain, enabling coor- dinated action without requiring centralized control of every decision. The frontier of climate complexity requires organizations to develop capabilities that traditional management approaches haven’t emphasized: systems thinking across ecological and business domains, comfort with deep uncertainty, long-term orientation in the face of short-term pressures, and collaborative problem-solving across organizational boundaries. Companies that develop these capabilities aren’t just managing cli- mate risks—they’re discovering new sources of competitive advantage

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