New Deloitte and RMI Collaboration Seeks to Accelerate Systems Transformation to Help Address Climate Change
Deloitte’s Sustainable Systems Initiative catalyzes systems change through collaborations with leading companies, NGOs, academic institutions, and government agencies
NEW YORK, March 3, 2023
Deloitte today unveiled a new collaboration as part of its Sustainable Systems Initiative with RMI, founded as Rocky Mountain Institute, a leading nonprofit dedicated to accelerating the global energy transition. The collaboration is marked by the release of a report, “Systems Transformation for a Sustainable Future,” that helps guide businesses on how to adopt systems thinking to urgently drive corporate climate action. The joint report outlines a new approach to support leaders as they rethink and reinvent to thrive in the transition to a climate-aligned economy, which is well underway. This is the first in a series of reports from Deloitte and RMI that will help organizations challenge linear thinking and embrace the disruptive actions that can help create long-term value.
“While there are numerous positive signals recently, there is still a gap between the systems changes we believe we need and the ways many companies are addressing climate change. It is difficult to overstate the magnitude of what is needed, or the pace at which it must happen” said, Scott Corwin, chief strategy and commercialization officer, sustainability, climate and equity practice, Deloitte. “Rapid and profound transformations of the core systems that underpin modern life, from energy and mobility to industrials and food is required. Government, finance and technology will be critical catalysts to underpin and enable the evolutions of these systems as well.”
The business opportunity in systems transformation
There is a growing realization that achieving the Paris Agreement targets of holding global warming to near 1.5°C is only possible through urgent, collective change. Corporate leaders should understand systems thinking and systems transformation if they want to be an active player in the transition to a sustainable future and best position their organizations to capture the benefits.
Systems transformation is a fundamental reconfiguration that occurs when a group of synergistic innovations emerge collectively in the market. Companies that leverage opportunities in the rapidly changing market and accelerate the transition to a low-carbon economy early on can help shape the transformation and create new value. In fact, a recent analysis suggests that rapid global decarbonization could yield an economic dividend of $43 trillion by 2070 compared to a world of unchecked climate change.
Further, government incentives in the U.S. from policies such as the 2021 bipartisan infrastructure bill, the CHIPS and Science Act, and the Inflation Reduction Act could add more than $1.8 trillion in new cumulative capital investments over the next decade, pushing the pace of change to accelerate and helping business unlock market opportunities for a more sustainable and equitable economy. Business leaders that underestimate the speed and scale of change are currently at risk of losing out in the long-term. Those that recognize and harness the patterns of transition can stay ahead and take advantage of rapidly changing conditions.
A powerful collaboration to advance progress
Deloitte serves many of the world’s largest organizations across public and private sectors, and RMI is one of the preeminent thinkers when it comes to energy transition expertise and collaborative whole-systems thinking. This powerful combination is well-positioned to provide insights that can assist businesses in architecting and executing enterprise changes that can enable the systems transformations needed to meet the Paris Agreement targets—and effect authentic change to combat the climate crisis.
“We’re excited to work with Deloitte on further research and frameworks with the goal that business leaders shaping the transformation of energy, transportation and industrial systems come together and embrace systems thinking,” said Jon Creyts, CEO, RMI. “Together, these leaders can prioritize and activate the steps needed to accelerate the speed and scale of decarbonization across various systems and value chains.”
To learn more about Deloitte and RMI’s first co-authored report in a series on systems transformation and the opportunities for business leaders to develop new corporate emergence strategies, visit: https://www.deloitte.com/us/en/pages/about-deloitte/articles/corporate-systems-transformation-climate-strategy.html
RMI, founded as Rocky Mountain Institute, is an independent nonprofit founded in 1982 that transforms global energy systems through market-driven solutions to align with a 1.5°C future and secure a clean, prosperous, zero-carbon future for all. We work in the world’s most critical geographies and engage businesses, policymakers, communities, and NGOs to identify and scale energy system interventions that will cut greenhouse gas emissions at least 50% by 2030. RMI has offices in Basalt and Boulder, Colorado; New York City; Oakland, California; Washington, D.C.; and Beijing. Follow us on Twitter @RockyMtnInst.
Deloitte provides industry-leading audit, consulting, tax and advisory services to many of the world’s most admired brands, including nearly 90% of the Fortune 500® and more than 7,000 private companies. Our people come together for the greater good and work across the industry sectors that drive and shape today’s marketplace — delivering measurable and lasting results that help reinforce public trust in our capital markets, inspire clients to see challenges as opportunities to transform and thrive, and help lead the way toward a stronger economy and a healthier society. Deloitte is proud to be part of the largest global professional services network serving our clients in the markets that are most important to them. Building on more than 175 years of service, our network of member firms spans more than 150 countries and territories. Learn how Deloitte’s approximately 415,000 people worldwide connect for impact at www.deloitte.com.
Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee (“DTTL”), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as “Deloitte Global”) does not provide services to clients. In the United States, Deloitte refers to one or more of the US member firms of DTTL, their related entities that operate using the “Deloitte” name in the United States and their respective affiliates. Certain services may not be available to attest clients under the rules and regulations of public accounting. Please see www.deloitte.com/about to learn more about our global network of member firms.