The good news is that preparing for the future can be a profit opportunity. The business case for climate risk resilience is persuasive: for every $1 spent on climate resilience and climate adaptation efforts, companies are seeing a return of $2 to $19. World Economic Forum (best known for their annual meeting in Davos) reports a number of examples, such as stretching a drought-limited water supply by investing in drip irrigation technology, returns 2x-6x on this investment, with the larger returns in developing nations.

Note, however, that both Climate Risk Analysis and Climate Resilience Strategy are not one-size-fits all. Before they can become climate resilient, companies need an individualized Climate Risk Analysis that examines the range of extreme weather hazards (and long-term climate change) that make their specific company vulnerable. Why should it be individualized? Because even when two companies share an industry and even the same a location, their strategic paths diverge in the face of climate risks based on physical assets, budget size, supplier relationships, and more.

After the Climate Risk Analysis is performed, CEOs then need to consider a range of resilience initiatives to build a executable Climate Resilience Strategy, filtering options based their company’s level of control or influence. Strategic initiatives may include physical retrofits to facilities, changing operational work flows, or adding supply chain redundancies. Scientific probability modeling as well as prospective action cost and speed will further shape the components of an effective, executable Climate Resilience Strategy.