Chapter 1

Prepare

  1. Introduction
  2. Step 1: Build the case for climate action
  3. Step 2: Assess the state of sustainability in your company and industry
  4. Step 3: Define your climate ambition
  5. Step 4: Optimize your organization for climate success
  6. Learn more: Build climate abilities
    1. Put talent at the top of your company’s sustainability agenda
    2. Empower and upskill your value chain partners for climate action
    3. Glossary
BCG
Explained byBCG

Glossary

Biodiversity: The variety of life and species in a particular ecosystem or on the planet as a whole.

GHG footprint: The total amount of greenhouse gas emissions produced by an individual, organization, or product; usually measured on an annual basis.

Carbon-neutral: Refers to a state where an actor’s net contribution to global CO2 emissions is zero. Any CO2 emissions attributable to an actor’s activities are fully compensated by CO2 reductions or removals exclusively claimed by the actor — irrespective of the time period or the relative magnitude of emissions and removals involved.

Climate-friendly: Actions or products that have a positive impact on the environment and help mitigate climate change.

Decarbonization: The process of reducing or eliminating carbon dioxide emissions.

Emissions: Gases or particles released into the atmosphere, typically GHGs as a result of human activity.

ESG (Environmental, Social, and Governance): A set of criteria used to evaluate a company's performance on sustainability and related issues.

Green bonds: Debt securities designated to finance environmentally friendly projects.

Greenhouse Gas (GHG): A gas that traps heat in the atmosphere (e.g., carbon dioxide, methane).

Green markets: Markets that focus on environmentally friendly products and services.

Low-carbon: Refers to products or practices that produce fewer carbon dioxide emissions than traditional alternatives.

Net Zero: A state where the amount of greenhouse gas emissions produced is equal to the amount removed from the atmosphere. Net Zero can be practically achieved by eliminating (not producing) the vast majority of emissions and removing any remaining unmitigated emissions from the atmosphere.

Regenerative: Practices that aim to restore and improve natural ecosystems and resources.

Renewable energy: Energy that is generated from resources that are replenished over time, such as wind, solar, and hydro power, with zero or minimal greenhouse gas emissions (Bioenergy being an exception, with significant emissions from burning of biomass).

Resilience: The ability of a system, community, or organization to withstand and recover from shocks or stresses, such as natural disasters (or economic downturns).

Sustainability: The ability to meet the needs of the present without compromising the ability of future generations to meet their own needs.

Sustainable: Maintaining something at a certain rate or level without depleting natural resources or causing harm to the environment.

Sustainable products: Products that are designed and produced in a way that minimizes their environmental impact.

Sustainability materiality assessment: A process of identifying and prioritizing ESG or sustainability issues that are most relevant to a company's operations and stakeholders.