Risk vs Impact

Risk and impact are both important concepts in business sustainability. Risk refers to the likelihood of a negative event occurring that could harm the company, its stakeholders, or the environment. For example, a company operating in a region with high water scarcity may face the risk of water shortages, which could impact its operations and reputation.

On the other hand, impact refers to the actual effects that a company's activities have on the environment, society, and its stakeholders. For example, a company that emits high levels of greenhouse gases may have a negative impact on the climate and contribute to global warming.

True can help your company identify and assess both risks and impacts related to your operations, supply chain, and products/services. This can involve conducting a materiality assessment to identify the most significant sustainability issues and impacts, and developing strategies to mitigate risks and reduce negative impacts.

In summary, risk and impact are both important considerations in business sustainability, and a consultant can help a company manage both effectively to create a more sustainable business.