Physical Risk and Resilience in Value Chains - A CEO handbook for executive engagement

Open Resource

Year Published

2025

Contributing Organizations

World Business Council for Sustainable Development (WBCSD)

Boston Consulting Group (BCG)

Type of Resource

Research/Insights Report

Languages

English

Japanese

Portuguese

Relevant Topics

Core Topic

Risk Management

Topic 2

Engagement & Supporting Corporate Alignment

Target Audience

Advisors & Consultants

Asset Managers

Asset Owners

Financial Services Providers

Real Economy Corporates

Relevant Geography

Global

Open Resource

Resource Description

This resource supports discussions between CEOs and C suite executives on managing physical risks across value chains. It examines physical risk as a growing concern for boards and investors and its implications for business resilience.

Why This Matters

Extreme events and environmental shifts increasingly affect business continuity and financial performance. This resource highlights a broader understanding of physical risks can help identify operational, financial, legal, and reputational exposures.

Key Insights

Explains that physical risks are business risks and are accelerating
Highlights value chain blind spots as hidden sources of vulnerability
Describes how adaptation and mitigation can advance together to strengthen resilience
Positions resilience as a leadership opportunity as well as a response to risk
Encourages a broader view of physical risk across business activities

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