Bouncing Back from Extreme Weather Events: Some Preliminary Findings on Resilience Barriers Facing Small and Medium‐Sized Enterprises

Extreme weather events (EWEs) pose unprecedented threats to modern societies and represent a much‐debated issue strongly interlinked with current development policies. Small and medium‐sized enterprises (SMEs), which constitute a driving force of economic growth, employment and total value added, remain highly vulnerable to and ill prepared for such environmental perturbations. This study investigates barriers to SMEs’ resilience to EWEs in an attempt to shed light on enabling factors that can define effective organizational responses to non‐linear environmental stimuli. Relying on structural equation modeling and data gathered from 109 SMEs that recently experienced EWE impacts, we link the general concept of SMEs’ resilience barriers to EWEs with a series of elements to determine specific internal and external factors that contribute the most to EWE resilience. In particular, external barriers of institutional conditions and mechanisms of support and guidance as well as internal barriers of resources and managerial perceptions are found to be the most critical ones in determining resilience. The assessment offers essential research evidence for practitioners on SME management and sets forth linkages with current mechanisms for policy interventions towards an appropriate resilience agenda for SMEs. Copyright © 2018 John Wiley & Sons, Ltd and ERP Environment     

Adaptation Measures of Energy and Utility Companies to Cope with Water Scarcity Induced by Climate Change

Resource‐intensive business plays a fundamental role in causing climate change through the emission of large amounts of GHGs (greenhouse gases), and, in turn, climate‐induced physical changes affect companies. The IPCC (Intergovernmental Panel on Climate Change) reports an increase in the frequency and severity of extreme weather and climate events (IPCC, 2012). Droughts represent a major challenge for energy and water businesses, in terms of both exacerbation of dry climates and increase in the number of territories that experience water shortage. On the basis of an analysis of the energy and utility companies operating in different continents, the objective of this empirical research is twofold: on the one hand, it examines how these companies perceive the changes in water availability induced by climate change (as well as the potential impacts on business); on the other hand, it analyses the corresponding measures that these companies adopt to cope with changes in hydrology and water resources driven by climate change. Data from the Carbon Disclosure Project (CDP) provide valuable information about business climate‐related responses of several of the world's largest firms. Our results show that, in the energy and water sectors, some adaptive measures are starting to be implemented to deal not only with the risks but also with the opportunities related to climate‐induced physical changes, thus leading to interesting innovation. The paper concludes that anticipated positive effects could drive energy and utility companies towards a proactive stance to achieve a competitive advantage and trigger innovative trajectories. Copyright © 2014 John Wiley & Sons, Ltd and ERP Environment     

Exploring the potential of SMEs to build individual,organizational, and community resilience through sustainability-oriented business practices

Small- and medium-sized enterprises (SMEs) can have significant resources, capacities, and influence in their communities, suggesting they have the potential to be agents for transformative sustainability. However, SMEs will need to move beyond firm-centered sustainable business practices towards strategic approaches that encompass and contribute to resilience-building processes. Amid the unfolding COVID-19 pandemic, we explored what types of sustainable business practices of SMEs can contribute to individual, organizational, and community resilience. We identified six clusters of practice that are important in this regard. The clusters are not solely technical or “environmental” but rather illustrative of deeper sustainable values shaped by organizational structure, culture, and behavior. This paper suggests that SMEs can pursue transformative approaches to sustainability that are more environmentally, socially, and economically sustainable and better able to withstand shocks like the COVID-19 pandemic and can be significant contributors to community resilience. We conclude with a series of future research priorities critical to examine a largely unexplored nexus in the private sector, the linkages and dynamics between sustainability practice, resilience building, and broader community pathways.     

Firms’ Response to Climate Change: The Interplay of Business Uncertainty and Organizational Capabilities

With climate change emerging as one of the most important issues increasing uncertainty in the business circle, firms have shown different reactions. Why do firms differ in adopting and implementing carbon management practices (CMPs) in response to the global warming issue? This paper attempts to explore this question with particular attention to two factors: external business uncertainty and internal organizational capabilities. This study investigated whether business uncertainty, organizational learning and lean production capabilities influenced the adoption and implementation of CMPs as well as examining how organizational capabilities moderate the relationships between business uncertainty and the level of CMPs. The results of a cross‐sectional survey and hierarchical regression analyses indicate that perceived business uncertainty decreases the adoption of CMPs, organizational learning and lean production capabilities strongly facilitate the adoption and implementation of CMPs, and lean production capability positively moderates the impacts of business uncertainty on the adoption of CMPs. This study provides guidance for managers and academics considering how to identify, design and manage the dimensions of a firm's practices in response to the global warming issue within the organization as well as with other organizations. Copyright © 2015 John Wiley & Sons, Ltd and ERP Environment