The Netherlands: Carbon Experts - Holland Financial Center

4 Get Preparedto GrowA new perspective on the changingbusiness environmentYvo de BoerSpecial Global AdvisorKPMG Global Climate Change and Sustainability ServicesOver the past two decades, we have recognized that the way wedo business has serious impacts on the world around us. It isnow apparent that the state of the world affects the way we dobusiness. The central challenge of our age – maintaining humanprogress while minimising resource use and environmentaldecline – can simultaneously be one of the biggest sources offuture success for business.Given the unprecedented natural resource scarcity, skyrocketingfood prices, escalating energy security issues and anexpected population growth of up to 10 billion in 2100, theprivate sector is ever more challenged to overhaul its strategyand make its business models future proof. For example, ifcompanies had to pay for the full environmental costs of theirproduction, they would lose 41 cents for every $1 in earnings onaverage. External “off balance sheet” environmental costs of 11key industry sectors (including upstream supply chain) rose by50% between 2002 and 2010.Government policies, investor values and consumerpreferences are also altering rapidly, thus impactingbusinesses’ bottom line and demanding a long-term vision,supported by immediate action. Is this forced by stakeholderdemand, or primarily driven by sound entrepreneurship? It is upto each and every company to decide for itself.Rather than attempting to survive risks resulting from globalmegaforces, business leaders can do much more. Indeed, withforesight and planning, and by undertaking pioneering actionsto prepare for an uncertain future they can thrive by turning risksinto new opportunities. Companies need to develop resilience19