SEI Contact:

Magnus Benzie

Mobile: +46 73 707 8627

Time-frame: 2013–2015

KRINOVA - A Changing Climate for Business: supply chain risk management

This project aims to shed light on how complex supply chain risks can be identified and managed. While international companies manage 'transboundary' risks every day as part of business as usual, many decision-makers in the public sector are not used to be being confronted with such a spatially dispersed risk landscape. However, global climate change raises the relevance of this international dimension to climate risk; decision-makers in both the public and private sectors need to become more proficient at identifying and managing the impacts 'at home' from climate change overseas.

That is why this project focuses on supply chain risk management in the private sector. Through interviews and engagement with decision-makers in large multinational companies, it aims to study the ways in which existing corporate risk systems and process are used - or could be used - to manage complexity and support adaptation. It asks questions such as: Which departments or business functions drive climate risk management inside an organization? Is climate change managed as a 'strategic risk' by boards of directors? How can/have supply chain risk management processes been used to identify and manage climate-related risks? Are there examples of good practice supply chain climate risk management?

The research draws in part on a private sector adaptation project called A Changing Climate for Business, which is being run in Skåne in south Sweden with members of the KRINOVA business incubator and science park. This project is engaging companies that represent different aspects of food and drink supply chains in the region, some of whom have international supply chains and markets.

The research is funded by the Mistra-SWECIA programme and aims to improve adaptation decision-making by transferring learning from the corporate sector.