July 2024 was hot, hot, hot, becoming the most blistering month in the most scorching year since official temperature tallies began 175 years ago. Global experts like the National Oceanic and Atmospheric Administration, NASA and the World Meteorological Organization are warning that this July could be another pressure-cooker. Businesses large and small are heading into uncomfortably hot water.
“Heat impacts commerce and companies in big, multifaceted ways and there are no easy methods to blunt harmful effects,” says Mickey McHenry, President, Paul Davis Restoration of South Atlanta, Central Georgia, Northeast Georgia, and Lanier Isles. “Scorching temperatures impact our businesses in many ways.”
Agriculture: High heat means a “thirstier” atmosphere, which triggers drought and precipitation deficits. Heat can reduce crop yields as plants fail to thrive. Production costs rise and efficiency plummets, too, as machinery struggles and workers overheat, requiring more breaks and additional cooling resources.
Outdoor infrastructure and processes: Building materials experience extreme expansion and contraction cycles – or simply heat damage – leading to permanent degradation; experts say climate change could reduce material lifespans by up to 20 percent by century’s end. Buckling roads, warping railways and aircraft struggling to gain altitude are taxing to transportation. Outdoor workers of all types – construction, service, landscaping – are reporting health problems and reduced productivity.
Warehousing and manufacturing: Large industrial complexes struggle to stay cool. Rising temperatures harm equipment, assembly lines, supply chains, workflows, productivity and inventory management. Industrial employees suffer, too, which means rising absenteeism, scheduling difficulties and higher healthcare costs.
Energy impacts: Heat waves cause energy usage to skyrocket, which strains power grids and plants, not to mention boosting business costs. Fluctuations in energy use may outstrip a utility’s ability to meet demand, which injects uncertainty, delays and cost considerations into business operations.
“Higher temperatures mean more extreme weather as well, and disasters are becoming more frequent,” says McHenry. “Our advice? Stay flexible, step up emergency planning, increase maintenance and strengthen partnerships to handle the inevitable adversity. Resilience is one of the most important skills for long-term business health.”