2Sustain

Despite challenging economic conditions and regulatory uncertainty, a majority of corporate executives expect to increase spending on climate change initiatives between 2010 and 2012, according to new survey results from Ernst & Young.

The survey, conducted in the spring of 2010, polled 300 global corporate executives from 16 countries with at least US$1b in annual revenue. Among these respondents, 70 percent plan to increase spending on climate change initiatives over the next two years. Nearly half plan to spend between 0.5 percent to more than 5 percent of their revenue on climate change initiatives. (As a frame of reference, for a US$1b company, this represents an anticipated spend of US$5 million to US$50 million annually.)

Here are a few other key finding from Ernst & Young’s new research: (more…)

Supply chain risk continues to be a hot topic among business executives –and for good reason. The current economic downturn, combined with an increasingly complex global business and regulatory environment, has created an atmosphere where most firms are feeling more vulnerable than ever to uncertainty in their supply chains. If you’d like some numbers to back up that claim, consider this: According to an Ernst & Young LLP poll conducted in January 2009, 67% of companies said they would be adversely affected if one of their top three suppliers failed. I wouldn’t be surprised if that percentage has creeped even higher now, indicating that supply chain risk is emerging as a significant top priority.

“Supplier risk is an order of magnitude greater than it has been in decades,” says Mark Short, Partner, Ernst & Young LLP TAS. “Companies are faced with deteriorating cash and credit conditions, and at the same time, an increasingly complex, integrated supply chain.”

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