・ INTEGRATED CLIMATE IMPACT MANAGEMENT

Shaping Transition Processes Continental AG

Thomas SewaldHead of Group Environmental & Climate Protection

Transition strategy with the Scenario Explorer

Working with right°’s software solutions empowers experts and decision makers to prepare business models for the transition to a low-carbon economy.
Continental is using the cloud-based Scenario Explorer to

  • calculate the company’s climate impact (“temperature alignment”),
  • identify Paris-compatible target pathways,
  • quantify different business development strategies using scenario analysis,
  • identify Paris-compatible investments, and
  • position itself credibly as a transition company.

Decoupling success and emissions

Continental has set itself ambitious targets with which the company aims to become climate-neutral by 2050, including the value chain. On this path, Continental will convert all of its globally purchased electricity to renewable sources as early as 2020 and operate its own site in a climate-neutral manner by 2040 (Scope 1 & 2). These climate targets can only be achieved if the company thinks in terms of new business models and processes that decouple financial success from the emission of climate-damaging greenhouse gases.
Solutions would have to be developed that enable the company to

  • manage its climate strategy,
  • evaluate future investments and
  • create acceptance among internal stakeholders.

 

 

"As a steering tool, XDC makes a valuable contribution to the development and implementation of our climate goals."
Long-term investment projects in the Rubber Technologies division were assessed with the XDC Model.

New KPI: Climate impact

With the help of cloud-based software solutions by right°, Continental conducted an initial analysis of its temperature alignment. In more in-depth analyses, different business development strategies were simulated and evaluated.
Options for implementing the climate strategy were developed together with internal stakeholders from the Rubber Technologies division and Controlling. The focus was on evaluating investments using a new KPI – the XDC. The XDC was used to check which investments support the company in achieving its goals in the medium and long term.

Outlook: Supply Chain Analysis

In further cooperation with right°, Continental is examining the evaluation of trend-setting investment projects. In addition, the application of the XDC model for the evaluation of supplier portfolios is to be developed.