Only 20% of companies have a climate risk plan — it’s time to act

Hello 👋

For anyone still in doubt about the scale of climate change, the recent heatwave has been a stark reminder.

Ten years after the Paris Agreement, the outlook is alarming: surpassing the 1.5 °C threshold is now unavoidable. But that doesn’t mean the fight is lost. We’re entering a new era—one where accelerated corporate action can still change the course.

We now have a second chance: to shift the narrative toward the real, tangible benefits of the transition for business. From SMEs to large enterprises, more and more companies are committing to decarbonization driven by the direct benefits for their competitiveness – in Europe, the U.S., and beyond. We see it every day at Sweep.

The fight goes on. Every tenth of a degree matters—and so does every company that takes action.

1.5°C and rising: The case for urgent, collective action

A study published in June by over 60 leading climate scientists has confirmed what many feared: surpassing the 1.5°C global warming threshold is now unavoidable.

But this doesn’t mean giving up. As Valérie Masson-Delmotte, Research Director at the French Climate and Environmental Sciences Laboratory, reminds us: “What happens next depends on the choices we make. By significantly reducing greenhouse gas emissions, we can still limit future warming and protect younger generations from more extreme events.” 

Momentum matters now more than ever. Every action counts. And there are signs of continued commitment:

• The European Commission has confirmed its target to cut greenhouse gas emissions by 90% by 2040 (compared to 1990 levels).
• 275 companies and investors, including EDF, Ikea, and Sweep, have signed an open letter urging strong sustainability regulation to meet climate goals and safeguard Europe’s competitiveness.

The path ahead is challenging, but still full of opportunity.

Only 20% of companies have an adaptation plan in place for climate risk

This is the key finding of the latest S&P study, which surveyed several thousand companies. Here are four key takeaways:

1. Companies underestimate climate risks because they too often overlook those linked to their value chain.
2. All industries are exposed to physical risks, with particularly high exposure in the agri-food and automotive sectors.
3. Value chain exposure increases for all sectors by 2050, with the sharpest rises in oil (+15.7%) and agri-food (+10.8%).
4. Physical climate risks are already resulting in financial impacts for companies. According to Morgan Stanley, 57% of companies have already experienced business disruptions due to climate events.

Yet, only 20% of companies have put in place an adaptation plan to address these risks.

👉 2 resources to take action today:

• Our webinar: “Managing climate risk is no longer optional—it’s a necessity” with Julien Denormandie and David Carlin
• A deep dive into your value chain emissions and risk assessment with our Scope 3 guide

Why climate transition is becoming a strategic opportunity for European mid-sized companies

There’s good news for sustainability leaders: a recent annual survey by Argos and BCG shows that European mid-sized businesses (ETIs) are treating climate action as a growing priority. According to the report, 88% now view the climate transition as crucial or important, up three points from 2024.

Based on responses from 700 SMEs and mid-sized firms, the survey highlights some key insights:

• 85% now see decarbonization as a strategic opportunity, an 18-point increase from last year.
• Customer expectations – especially in B2B markets – are now the second biggest driver of decarbonization efforts, just behind regulatory pressure.
• 29% of companies say their decarbonization efforts are already creating a competitive advantage.
• 88% of ETIs are maintaining or accelerating their decarbonization pace, and 80% believe those competitive benefits will last – even amid political uncertainty.

That’s exactly what Sweep customer Swile shared in its latest sustainability report: “Sustainability accounted for an average of 20% in our four biggest RFP wins in 2024.”

👉 Want to show that decarbonization is a competitive advantage? Download our guide.

Another successful Climate Compass in London!

During London Climate week, we gathered our networks, clients and partners to talk about sustainability and innovation during our yearly thought leadership summit, Climate Compass London. Highlights included a thought-provoking session on AI with Ben Gaiarin from Google DeepMind, and a powerful keynote by Kaya Axelsson (Oxford Net Zero) on turning climate ambition into action. The good news is that Climate Compass Paris returns on 25 September. Register your interest HERE, if you will be in the French capital (event in French).

Orange and Thales partner with Sweep to decarbonize their operations

“Sweep stood out among 22 sustainability software providers, including major global players. They won the tender because they were simply the best.” That’s what Christel Heydemann, CEO of Orange, had to say about Orange’s recent decision to choose Sweep as its central platform for managing all non-financial data. Meanwhile, Thales has selected Sweep as its go-to tool for decarbonizing its global supply chain.

Introducing the Corporate Climate Contribution Index

In partnership with Mirova, I Care, and Winrock, and supported by EDF, Orange, Veolia, Schneider Electric, LVMH, Accor, SNCF, Eramet, and Equans, this indicator of corporate contribution to climate action will be based on four pillars: emissions reduction, low-carbon solutions, climate finance, and positive advocacy. The next six months will be dedicated to the methodological development of the Index, which aims to be transparent and compatible with existing frameworks.

Meet our Sweep teams here:

• 23rd September: Big 2025 - Accor Arena - Paris
• 24th September: Climate Compass - Palais de Tokyo - Paris
• 25/26th September: IPEM - Palais des Congrès - Paris
• 8/9th October: Produrable - Palais des Congrès - Paris

See you next month!

The Sweep Team