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The natural world plays a crucial role in the functioning of businesses worldwide. With over half of the world’s GDP dependent on nature and its services, companies are increasingly recognizing the importance of integrating nature-positive practices into their operations. This shift is driven by both economic necessity and environmental responsibility.
As businesses continue to evolve, understanding how nature impacts their operations and how they can mitigate risks associated with nature loss is becoming essential.
This article explores the role of nature in business, sector-specific dependencies, and the benefits and challenges of adopting nature-positive strategies.
Understanding role of nature in business
Nature provides numerous ecosystem services that are critical to business operations. These services include water supply, pollination, pest control, and climate regulation.
However, the increasing rate of biodiversity loss and ecosystem degradation poses significant risks to businesses, including physical, transition, and systemic risks. Recognizing these risks, companies are beginning to integrate nature into their strategic planning.
How does nature impact business?
From where and how do we actually start this long and protracted discourse, the history of which is simply too long, with public memory being too short? Shall we then start with modern ‘science’, for a beginning, as its influence on the human mind, and the world in general, has proved to be so potent and profound.
But, what has been the real contribution of science to humankind’s understanding of the world around? Before that, can we ask ourselves the primary question as to whether Global (world) and Planetary (Earth) mean one and the same thing. If not, then what is the distinction? In other words, what distinguishes the two, even in terms of scientism?
For want of a better term, as well as, a better understanding, it may not be entirely wrong to address the Earth or the Planetary (ecological) system as the parent system (Super-system), and the human ‘environment’ or the so-called economic system as the Sub-system.
Contradictions
This takes us to the next big question, which is, are these two Systems inherently complimentary or conflictual in nature. Unfortunately, experience has shown, thus far, that there is an acute dichotomy between the two. The following are some of the latent contradictions :
- If the Super-system is cyclical, how can the sub-system be linear
- If the Super-system only develops in stages and tends towards Climax, how can the sub-system grow indefinitely
- If the Super-system does not produce entropy, how can the sub-system do so
- If the Super-system is negatively self-regulating, how can the sub-system be positively self-reinforcing (in terms of feedback)
- If the Super-system is open and renewable, how can the sub-system be just the opposite (closed and non-renewable)
- If the Super-system is evolutionary, how can the sub-system be anti-evolutionary
These are, but a few, and the list is endless. It has, indeed, been the greatest revelation in contemporary human history, ever since the renaissance, in debunking science itself as nothing but mumbo-jumbo. The very approach to knowledge and cognition has, therefore, been called into question; thereby, exposing and laying threadbare our innate/intimate understanding of the Cosmos in terms of a bunch of humanly imagined (concocted and fabricated) laws, while in actual reality, there are ever so many constraints governing the natural world – of which the human species (homo sapiens sapiens) is only a speck at best, and not even a cog in the wheel at worst.
Sector-specific nature dependencies
Different sectors have varying dependencies on nature, which necessitates tailored strategies for mitigating nature-related risks.
Agriculture
Agriculture is heavily dependent on natural resources such as water, soil, and pollinators. Practices like sustainable farming and agroforestry help reduce environmental impact while maintaining productivity.
Construction
The construction industry relies on natural materials like wood and stone. Implementing sustainable building practices and sourcing materials responsibly can reduce the sector’s ecological footprint.
Manufacturing
Manufacturing often involves the use of natural resources for raw materials. Companies are now focusing on circular economy models to minimize waste and reduce dependency on non-renewable resources.
Benefits and challenges of nature-positive practices
Adopting nature-positive practices offers businesses several benefits, including enhanced brand reputation, reduced operational risks, and increased resilience to climate change. However, challenges such as higher upfront costs and regulatory complexities can hinder implementation.
“We need to integrate nature into our business models, not just as a cost but as a strategic asset that can help us mitigate risks and capitalize on opportunities.” – Warwick Mostert, Principal Biodiversity, Anglo American
Case Studies: Integrating nature into business operations
Several companies have successfully integrated nature-positive practices into their operations, showcasing both the benefits and challenges involved.
- Anglo-American: This mining company has implemented biodiversity conservation efforts beyond its operational sites, contributing to landscape-level conservation goals.
- Solvay: The chemical company has emphasized sustainable sourcing and environmental stewardship, illustrating how the industry can support nature conservation.
- BP: By investing in renewable energy and reducing its carbon footprint, BP demonstrates a shift towards more sustainable business practices.
Managing nature risks
Managing nature risks involves assessing physical, transition, and systemic risks associated with environmental degradation. Companies can mitigate these risks by adopting a nature-positive business model that incorporates ecosystem restoration and sustainable resource management.
Emerging technologies and nature
Emerging technologies like AI and biotechnology are increasingly being used to enhance nature-positive practices. AI can help monitor and predict environmental impacts, while biotechnology can improve sustainable production processes.
Conclusion
As the world moves towards a more sustainable future, understanding the role of nature in business operations is not just a responsibility but a strategic imperative. Companies that adopt nature-positive practices can mitigate environmental risks, enhance their brand reputation, and ensure long-term resilience. The journey towards a nature-positive economy involves collaboration across sectors, investment in emerging technologies, and a deep commitment to sustainability.
And, I’m afraid that the human psyche, tragically, does not have what it takes to either digest or even entertain this horribly terrifying truth.
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