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9. Environmental and Climate Risks
Environmental and climate risks are emerging as critical challenges that affect both operational continuity
and long-term sustainability in the healthcare and logistics sectors. These risks are driven by extreme
weather events, climate change impacts on supply chains, and the growing regulatory and stakeholder
pressures to meet sustainability commitments.
Key Risk Drivers:
• Extreme weather disrupting distribution centers
and logistics networks
• Losses of heat-sensitive inventory, especially in
pharmaceutical supply chains
• Regulatory mandates for carbon disclosures,
emissions reductions, and environmental
reporting
• Growing scrutiny from investors, customers,
and other stakeholders regarding sustainability
performance
Strategic Implications:
• Increased operating and compliance costs as
companies adapt to stricter regulations and
rising ESG expectations
• Supply chain interruptions that can delay
product delivery and impact service reliability
• Reputational risks if ESG performance is
perceived as weak or lacking transparency
• Need for climate resilience and sustainable
operations to remain competitive and meet
evolving market expectations
CORE
THEMES
Rising environmental
compliance and
sustainability
demands
Severe weather events
and climate-driven
disruptions
Heightened investor
and customer scrutiny
of ESG policies