New Action Guides Drive Small Business Climate Action

Small and medium-sized businesses (SMEs) play an integral role in our economies and communities, and in global efforts to tackle climate change. Taking business climate action is not just good for the planet, it’s good for business and can lead to reduced costs, improved operations, new capital, and expanding access to different markets. However, SMEs struggle to find the time, build the skills, and access the financial means to take climate action despite its ability to strengthen their business for the future. 

To help SMEs navigate the decarbonization process and take steps to reduce their emissions, the SME Climate Hub has launched its Action Guides. In short, easy steps, the Action Guides outline the processes SMEs across industries and sectors can take towards net zero, some of which require little to no investment costs. The Action Guides help businesses measure and understand emissions sources, the key actions to reduce those emissions, and how to scale climate action. To comprehensively implement climate action solutions, the guides advise business leaders on engaging employees across departments and collaborating with customers and suppliers to achieve an even greater impact.  

This newly launched tool complements the existing SME Climate Hub resources, which allow small businesses to move through the complete climate action journey. SMEs can measure baseline emissions through the Business Carbon Calculator and learn how to reduce emissions through the platform’s climate education course, Climate Fit. Through the SME Climate Hub Reporting Tool, companies can achieve and track year-over-year accountability. The Reporting Tool includes the same categories as the Action Guides, making it easy to move from reporting to action and back again. With the addition of the Action Guides, the SME Climate Hub continues to grow its comprehensive platform for small business climate action – available without a cost. 

Start using the Action Guides today. 

Using the action guides to set a climate commitment and targets 

To set effective climate action targets, a business must first know where it stands. Learn the difference between Scope 1 (direct), Scope 2 (indirect), and Scope 3 (value chain) emissions and how to accurately calculate them following global measurement standards. Through the Action Guides, businesses will acquire skills to:  

• Set an appropriate level of ambition, including choosing the emissions reduction target most suited for their business 
• Encourage senior management to align on net zero targets 
• Track and communicate progress against targets 

By understanding their baseline emissions, SMEs can move towards an effective action plan. 

Taking steps to limit business emissions  

Small and medium sized businesses often rent their office spaces or have an employee base that primarily works from home. With 40% of global energy-related emissions coming from buildings, and 60% of office building emissions stemming from energy use, businesses have the opportunity to reduce their emissions – and cost – by prioritizing their building energy use. Lighting, heating, cooling and the operation of machinery and appliances are often costly but necessary expenses. However, finding ways to make smart energy decisions may both reduce emissions and bring on savings.  

Using the Action Guides, SMEs can learn to: 

• Implement on-site renewable energy generation in offices and factories 
• Purchase products that consume less energy, including switching to LED bulbs or replacing more energy intensive desktop computers with laptops 
• Choose long-lasting equipment and supplies, including reusable dishware 
• Minimize waste by monitoring food purchasing and by limiting the use of disposable supplies, such as bottled water and single-use dishware  

Reducing emissions of customers and employees

Taking robust climate action might start with assessing and reducing operational emissions, but a wider and collective approach is needed to effectively meet climate goals. Businesses must account for the emissions that come from the goods and services they buy and sell; employee emissions from workplace commuting and work-from-home schemes; and their customers’ use and disposal of their products. These categories often account for the majority of a company’s emissions and are much more difficult to measure and reduce.  

To tackle these emissions, the guides suggest actions such as:  

• Introducing flexible working options to reduce how often employees commute to work 
• Encouraging the use of low emissions commuting like biking and public transportation 
• Prioritizing vendors and partners that are taking climate action 
• Disclosing climate action progress publicly to drive change in your industry and consumer base 

When building a climate action plan, businesses should take into account their region and sector, as well as the available resources and local barriers at hand. By working across their businesses and network of stakeholders, SMEs can collectively build a net zero economy and protect their business and the planet.  

In the months to come, we will expand the library of Action Guides and launch Action Courses that provide industry-specific guidance. For businesses that have used the Action Guides, we kindly invite you to shape existing and future guides by sharing feedback via this short survey.  

Get started today! The Action Guides are free for all SMEs. 

Start or strengthen your business climate action plan through a simplified roadmap to understand and reduce emissions. Learn how to engage stakeholders, make tangible changes, and reach climate targets today.