Corporates

For corporates, managing climate risk is essential to safeguarding business continuity, operational efficiency, and long-term competitiveness. Extreme weather events and chronic climate shifts, such as hurricanes, floods, rising sea levels, and prolonged droughts, can jeopardize physical assets, disrupt supply chains, and increase operational costs. These challenges can lead to reduced revenue, higher expenses, and increased cash flow volatility, ultimately eroding shareholder value. At the same time, businesses that proactively invest in climate adaptation can reduce risk and unlock to sources for value creation.

To navigate this evolving risk landscape, corporates should integrate climate considerations into their strategic planning, operational processes, and capital allocation decisions. This is especially critical for businesses with substantial physical assets, complex supply chains, or long-term project timelines. By proactively addressing climate risks, corporates can enhance resilience, strengthen stakeholder trust, and drive sustainable, long-term growth.

VELO® Capabilities

VELO equips corporates with the essential climate risk capabilities they need.

The platform enables users to quickly assess climate risks to their enterprise by uploading corporate facility data, which is then analyzed to identify vulnerable locations, the specific hazards they face, and the value at risk. These insights provide a foundation for generating robust recommendations to executive management and board directors on strategic investments in climate adaptation.

VELO’s comprehensive physical asset database improves decision-making by allowing users to benchmark their company’s risk against key competitors. These peer comparisons provide valuable context for understanding absolute risk levels and help prioritize actions effectively. Furthermore, the physical asset database enables exploration of complex supply chains and customer locations, uncovering key climate-related risks and opportunities that might otherwise remain hidden.

To address the rapidly evolving climate disclosure requirements faced by corporates, VELO Reports offers tools to automate the creation of climate risk disclosures. These reports are mapped to various international regulatory frameworks, simplifying compliance processes. Users can further enhance the reports with visualizations generated from the VELO App or by incorporating bespoke analyses using VELO Data.

VELO® Use Cases

VELO offers a wide range of solutions tailored for corporates.

Operational Risk Assessment. Conduct enterprise-wide stress tests on business facilities and critical supporting physical assets, such as transportation, energy, and IT infrastructure.

Supply Chain Management. Analyze climate-related vulnerabilities to global supply chains and evaluate opportunities to build greater resilience.

Capital Planning. Integrate climate financial impact analytics into capital allocation decisions related to infrastructure investments, operational adjustments, and insurance strategies to strengthen adaptive capacity.

Product Innovation. Leverage climate risk data to guide research and development, ensuring products are designed to withstand future climate conditions or actively support climate resilience.

Reporting and Disclosure. Meet evolving regulatory and stakeholder reporting requirements accurately and efficiently.

Illustrative Examples

Here are some examples of how VELO® delivers actionable insights to meet the key requirements of corporates across specific industry segments.

Agriculture. An industrial farm uses VELO to assess future climate risks on crop yields and develop adaptation plans, such as investment in new land, irrigation systems, and greenhouse capacity, to ensure sustainable revenue and profitability amidst climate change.

Energy. A renewable power company uses VELO to model potential production shortfalls from climate risks, such as extreme heat impacting its solar portfolio, providing insights to guide cost-effective capital investments, such as capacity expansion.

Hospitality. A hotel group uses VELO to assess the potential financial impacts of climate change to its Caribbean properties, providing a basis to optimize capital expenditures that mitigate future costs. The analysis also supports the development of contingency plans to manage operational disruptions and unexpected revenue shortfalls resulting from climate- related shocks.

Information and Communication Technology (ICT). A national telecommunications company uses VELO to conduct a climate scenario analysis on its portfolio of data centers and their associated power grids. The findings support cost-benefit analyses to evaluate infrastructure investments in advanced power and cooling technologies relative to the risk of facility downtime.

Logistics. A global logistics company uses VELO to identify climate-related risks to an international rail line, working with infrastructure owners and transportation providers to invest in preparedness while developing contingency plans to mitigate the impact of potential disruptions at that node.

Manufacturing. A food manufacturer uses VELO® to stress test the resilience of key plants and surrounding infrastructure critical to operations, such as power stations, utilities, and agriculture. The insights guide strategic investments in facility upgrades and self-reliance measures, such as backup generators, on-site water treatment plants, and stockpiling raw materials, to ensure consistent operational continuity.

Mining. A gold mining company uses VELO to assess flood risks to its operations, including potential impacts on processing plants, tailings facilities, and access routes. Based on the analysis, the company makes efficient investments in flood management systems to safeguard worker safety and minimize business disruptions.

Retail. A superstore chain uses VELO to identify potential bottlenecks across its supply chain, from source providers to transport links and distribution centers, due to climate-related disruptions. This analysis informs proactive strategies to strengthen supply chain resilience and maintain product availability for local customers.

Utilities. An electricity provider uses VELO to evaluate climate risks to its network, assessing potential impacts on transmission lines, substations, and energy storage facilities. The analysis also includes the likelihood of extreme heat and cold events that could trigger demand spikes. These insights support strategic budget decisions for infrastructure upgrades, enhancing grid resilience against increasingly extreme weather conditions.