🔀IMATRIX: Ten key requirements for a systemic approach to climate adaptation🔀
Ref: https://www.mckinsey.com/
|
# |
Method |
Description |
Relation to Communities |
|
1 |
Granular Understanding of Evolving Physical Risk |
Deep understanding of physical hazards and their effects
under different climate scenarios. |
Community leaders and businesses analyze current and
future physical risks to their assets, requiring continual updates based on
evolving data and insights. |
|
2 |
Risk Preferences and Adaptation Trade-offs |
Setting explicit risk preferences as the foundation of a
robust adaptation plan. |
Organizations and communities continually reassess risk
preferences over time, guiding decisions on where and how to adapt based on
acceptable risk levels. |
|
3 |
Technological and Physical Adaptations |
Identification, development, and deployment of
technological and physical levers for climate adaptation. |
Implementation of measures like fortifying assets,
deploying climate-controlled technologies, and advanced warning systems to
address physical risks effectively. |
|
4 |
Acceptance of Behavioral Interventions |
Utilizing behavioral interventions to reduce climate
risks. |
Communities and populations accept changes in behavior or
lifestyles, sometimes incurring additional costs, to reduce specific climate
risks. |
|
5 |
Effective Capital Allocation and Financing Structures |
Developing estimates of financing needs and fostering
financial innovation for climate adaptation. |
Comprehensive strategies involve understanding risks,
determining acceptable levels, identifying adaptation levers, and organizing
financing based on impact and cost. |
|
6 |
Risk Pricing and Transfer Mechanisms |
Implementing effective risk pricing and transfer
mechanisms, including insurance. |
Pricing risks accurately through insurance premiums and
informing stakeholders of their full magnitude to facilitate effective
capital allocation decisions. |
|
7 |
Compensating Mechanisms for Vulnerable States |
Establishing compensating mechanisms for vulnerable states
and communities disproportionately affected by climate change. |
Addressing the economic exposure and adaptive capacity of
low-income regions and households through compensatory measures. |
|
8 |
Effective Governing Institutions and Policies |
Establishing effective governing institutions and policies
for enabling adaptation. |
Local, national, or global institutions set standards,
share best practices, ensure access to data and education, and provide
mechanisms for risk transfer and funding. |
|
9 |
Community Awareness and Engagement |
Fostering community awareness and engagement for
successful adaptation. |
Success depends on communities' willingness to act,
achieved through structuring proposals around their interests, close
consultation in planning, and active involvement in implementation. |
|
10 |
Commitment by Public- and Private-Sector Leaders |
Coordinated leadership from public- and private-sector
leaders for successful adaptation. |
Commitment, transparency, and collaboration among leaders
are essential for implementing physical building blocks and securing economic
and societal adjustments. |
#Risk,#trade-offs,#ClimateAdaptation,#ClimateChange,#exposure,#policy,#IMSPARK,
