McKinsey & Company announced today the launch of Vivid, a sustainability innovation hub for Asia headquartered in Singapore, supported by the Singapore Economic Development Board (EDB). Vivid will help governments and businesses across Asia navigate the urgent implications of climate change and transform their economies and organizations towards net-zero carbon emissions.

The launch is part of McKinsey Sustainability’s expansion in Asia as the firm accelerates its client service across five key areas:

1. Sustainability strategy and portfolio optimization: Charting organizational and national decarbonization and climate strategies
   
   
2. Decarbonization transformation: Embedding carbon transformation through digital tracking, decarbonization levers and product lifecycle
   
   
3. Green business building: Working with Leap – the business-building arm of McKinsey – to advise incumbent leaders on launching new businesses anchored in new and sustainable markets
   
   
4. Net-zero financial institutions: Developing portfolio assessment and stress-testing methodologies for FIs to achieve net-zero and supporting programmatic work for portfolio transitions
   
   
5. Sustainable investing: Developing strategies to build carbon market infrastructure in Asia, advising sustainability-focused investors on fund strategies, and advancing Singapore as an investment hub for carbon and adjacent sustainability markets

The announcement builds on McKinsey’s recent acquisition of Vivid Economics, a strategic consultancy with broad sustainability and macroeconomic capabilities, and Planetrics, a climate analytics suite that helps quantify, report, and manage climate risks.
 

According to McKinsey research, Asia could potentially face more severe consequences of climate change than other parts of the world. By 2050, between $2.8 trillion and $4.7 trillion of gross domestic product in Asia will be at risk every year from a loss of effective outdoor working hours due to higher temperatures and humidity.