BSR | Co-creation for Climate Justice—Centering Communities in Corporate Climate Action and trust deficits; differences in culture, communication, and leadership styles; power dynamics; and conflicting priorities. By centering listening in the process of co-creation, companies can recognize and mitigate such challenges. While co-creation is an essential component of private sector action on climate justice, establishing internal support for integrating co-creation in business activities, including developing a climate strategy or transition plan, is often challenging. Co-creation implies a level of shared decision-making and benefit sharing as well as alignment with stakeholder priorities. Nonetheless, true co-creation can ensure more long-term sustainable solutions as interventions are developed transparently and based on alignment between business and affected stakeholders and identify shared value for both. By exchanging insights and aligning on priorities and intended positive outcomes, companies and communities can set clear short- and long-term objectives as well as create a trusted space for shared learnings, both around failures and successes. Businesses engaging with communities need to be mindful of the stakes involved for community-based and civil society organizations that may have fewer resources but seek to provide solutions for their own communities to secure future socio-economic development. Like businesses, community-based and civil society organizations will assess the value and potential outcomes of co-creating with the private sector. This can be challenging if it is unclear whether the business is truly committed to climate justice. Community-based and civil society organizations also consider risks and opportunities to their organizations when partnering with the private sector. Risks can include the impact on their reputation in the local community, and their investment of scarce time and resources. Civil society organizations rely on their reputation to secure funding and investment from donors, foundations, and government agencies. Principles for Climate Justice Co-creation The following principles can guide businesses in co-creating climate justice interventions with affected communities. Co-creation is grounded in meaningful stakeholder engagement to build and nurture long-lasting, trusted, and mutually beneficial relationships. These principles were informed by BSR’s research, conversations with business representatives, and collaboration with civil society and community-based organizations. 8