SUSTAINABILITY & ESG

LEADERSHIP

The Climate Crisis We Can’t Ignore: The Urgent Need for Leadership in Every Sector

As climate change accelerates, effective climate leadership is becoming an unavoidable leadership skill. The future of businesses, communities, infrastructure, and resilience hinges on how leaders across public and private sectors respond to growing challenges.

By CBS Executive Education

To limit global temperature rise to 1.5°C, the United Nations has stated that global emissions must be halved by 2030. The latest reports from the IPCC are ominous: we're nearing irreversible tipping points. These forecasts leave little room for inaction, and the impacts of climate change are already being felt across the globe.

“Public managers occupy a unique position,” says Trine Pallesen, Associate Professor at CBS’s Department of Organization. Her research focuses on the construction of markets for renewable energy and the governance of sustainability transitions, offering valuable insights into how public policies can drive systemic change.

“Their decisions affect citizens daily, from operations and infrastructure to resource management, and the choices they make have far-reaching consequences. Ignoring the environmental impact of these decisions not only undermines sustainability efforts but also jeopardises the quality of life for future generations and long-term resilience.”

We stand at a crossroads. As climate change reshapes economies, societies, and ecosystems, leaders from both the public and private sector are under growing pressure to respond - and with speed. The risks of inaction are becoming all too clear.

“Climate leadership is now modern management and it’s not an isolated task; it must inform every aspect of decision-making. Whether it's refurbishing a school, designing a new product line, planning infrastructure, or managing supply chains, climate considerations are crucial. Leaders should do more than just comply with regulations - they should account for the long-term impacts of their decisions."

Trine Pallesen, Associate Professor at CBS’s Department of Organization

Those who ignore this reality are at risk of falling behind in an increasingly climate-conscious world - which brings us to Dr. Lasse Bremholm Hansen.

He is the Chief Physician and Department Head at Sjællands Universitetshospital, Køge, and plays a role in shaping healthcare practices within Denmark's public healthcare system. As a Clinical Lecturer at the University of Copenhagen's Institute for Clinical Medicine, he is not only a practitioner but also an educator and mentor to the next generation of healthcare professionals.

Dr. Hansen underscores the urgency of senior leadership stepping up - and doing it now.

"I recognise my responsibility to lead by example. If I don’t act now, we can’t expect younger staff to shoulder the burden alone, especially if they’re not yet in decision-making roles. They shouldn’t have to wait until they reach senior positions to make a difference."

Dr. Lasse Bremholm Hansen, Chief Physician and Department Head at Sjællands Universitetshospital, Køge

Look to the recent American election. The U.S.'s reversal of climate policies shows the power - and danger - of political forces. The American example is a sobering reminder of how global agendas can be derailed when leadership isn’t grounded in climate realities.

The Republican Party's stance is on deregulation and fossil fuel support, and prioritising short-term economic growth over environmental protection.

"Politics, and most recently the American election, have heavy influence on the global climate agenda and this obviously has implications for everyone" Pallesen says.

"When climate science is ignored, the effects ripple across the globe.”

Such shifts put more pressure on the role of leaders at every level.

Climate Leadership - A Systemic Shift

Now, climate leadership is not just the job of environmental departments. It’s an executive responsibility for organisations and companies alike. Cities, which are responsible for over 70% of global CO₂ emissions, must take the lead in reducing their environmental impact – but so must businesses managing large supply chains and operations.

Copenhagen and Oslo, for example, have adopted emissions-free construction standards and adjusted procurement processes to favour low-carbon contractors. These measures demonstrate that sustainable development can be achieved, even with limited resources.

"Any organisation, regardless of its budget, can make meaningful progress by focusing on collaboration and shared goals."

Trine Pallesen, Associate Professor at CBS’s Department of Organization

Climate change demands collective effort and coordinated strategies across sectors.

Dr. Hansen, for example, is developing initiatives to reduce solo work travel and foster collaborative, sustainable projects. “Small actions might seem insignificant,” he explains, “but over time, they create a culture of sustainability, and these lay the groundwork for something bigger.”

Individual efforts are important and they must be part of a much larger, systemic shift. Whether it’s a city implementing guidelines for construction or a corporation rethinking its supply chain, leadership sets a powerful precedent.

“Climate leadership is not an optional extra.”

Climate leadership is not merely an ethical choice - it is an essential skill. The world is changing. Resources are finite. Effective climate-conscious leaders need the right tools: emissions measurement, sustainable procurement practices, long-term planning. These aren’t just nice-to-haves - they are must-haves.

According to the International Finance Corporation, organisations that adopt sustainable practices are better positioned to weather regulatory changes, energy price fluctuations, and public scrutiny.

“Climate leadership is not an optional extra; it is now a core leadership skill and will help to safeguard the future of public institutions,” says Pallesen.

Citizens and consumers alike feel the urgency too. People are starting to expect their leaders to show responsibility beyond the short term, to model transparent, sustainable governance that secures a future they can actually believe in. As Hansen puts it, “Younger generations are deeply invested in sustainability, and they need to see institutions acting with authenticity to earn their trust.”

Incorporating climate leadership also allows businesses and organisations to align with global sustainability frameworks, such as the Paris Agreement and the UN’s Sustainable Development Goals – the blueprint for collective action.

CBS Master of Public Governance introduces a new Climate Management course in Spring 2025

For public leaders aiming to enhance their climate management skills, the CBS Master of Public Governance will launch a Climate Management course in Spring 2025. This six-ECTS program offers essential knowledge in climate science and policy, paired with practical strategies for integrating sustainability into public governance.

The course includes five interactive sessions focused on real-world applications, allowing leaders to tackle the complex issues posed by climate change. Participants will develop skills to create climate action plans, mobilise networks, and implement sustainable practices that align with both national and global standards. Hansen describes the course as “the tip of the iceberg” in climate leadership development, adding, “It’s a way to build a network and foundation for a strategic, collaborative approach to climate action.”

Click here to learn more about the Climate Management course.

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The Climate Crisis We Can’t Ignore: The Urgent Need for Leadership in Every Sector

"I recognise my responsibility to lead by example. If I don’t act now, we can’t expect younger staff to shoulder the burden alone, especially if they’re not yet in decision-making roles. They shouldn’t have to wait until they reach senior positions to make a difference."

"Any organisation, regardless of its budget, can make meaningful progress by focusing on collaboration and shared goals."

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