El Niño is strengthening. Is your business ready?

This document is a concise executive advisory from the UNDRR Corporate Chief Resilience Officers (CCRO) Network that urges business leaders and boards to prepare for the impacts of a strengthening El Niño event expected to persist into 2027. It explains how El Niño can disrupt operations through drought, flooding, extreme heat, supply chain interruptions, asset damage and commodity price shocks, drawing on recent examples including the Panama Canal transit restrictions, West African cocoa shortages and Southern African drought. The advisory highlights that predictable climate shocks reward advance preparation and argues that resilience investments are often more cost-effective than responding once disruptions occur.

The document recommends that organizations strengthen governance and accountability for El Niño risk, protect critical sites, people and supply chains, and maintain financial stability through proactive risk management measures. It provides tailored guidance for both multinational corporations and smaller businesses, including mapping vulnerable suppliers and assets, establishing cross-functional risk management teams, reviewing contingency arrangements, engaging suppliers, and considering appropriate insurance and financing options. Intended for executives, board members, business owners, managers and resilience professionals, the advisory seeks to help organizations identify exposure, improve preparedness and build operational resilience before climate-related disruptions intensify.