The best interests of an organization cannot be maximized without regard to the interests of its stakeholders. The board plays a critical role in aligning an organization’s actions with stakeholder expectations, a balance that is vital to long- term value creation.6 While delivering financial returns for shareholders is always front of mind, employees, customers, suppliers, regulators and communities all influence, and are affected by, corporate decisions. In the context of climate and nature, these relationships are even more significant. Many climate- and nature-related risks and opportunities materialize locally, and stakeholder reactions can amplify or mitigate their impact on operations and reputation.7 No single organization can address the twin challenges of climate and nature in isolation. The scale and complexity of these issues demand coordinated effort across industries, sectors and communities. Proactive collaboration is particularly important where the goals of an organization depend on action beyond its direct control, such as shifts in supply chains, technology adoption or broader system-wide transition.8 A source of intelligence and foresight → Boards can gain valuable external intelligence by engaging with stakeholders in line with agreed protocols, strengthening judgement and decision-making. Engagement can highlight where expectations are shifting (see the framework for earning and enhancing trust in The Chairperson’s Guide to Climate Integrity),9 where misalignment may create exposure and where opportunities exist to build trust and resilience. In relation to climate and nature, stakeholder insight can reveal dependencies, pressures and innovations that have not been identified within the organization. Importantly, meaningful engagement creates the foundation for collaboration: when stakeholders are engaged early, it opens pathways for joint solutions that strengthen resilience and accelerate transition goals. When collaborative efforts deliver tangible results, they reinforce confidence and momentum, encouraging sustained commitment to collective action. In certain contexts, direct board engagement may be beneficial, such as with major investors, industry peers or communities where the board’s presence signals commitment or supports alignment on complex issues.10 Stakeholder collaboration, at both management and board level, may assist in: –Anticipating risks and opportunities that may not be sufficiently visible through internal reporting or traditional approaches to assessment –Identifying where coordinated solutions are needed to address shared dependencies, such as energy, water or natural resources –Understanding how stakeholders weigh short-term trade- offs against long-term priorities and how perspectives may differ or shift –Identifying where climate and nature impacts are most acutely felt, often at the community level –Building a fuller picture of the systems in which the organization operates, reducing blind spots and improving foresight Listening to external perspectives helps board members anticipate emerging risks, convert trade-offs into opportunities and position the organization appropriately in advance of enforced change. Supporting effective governance → When the views of stakeholders are systematically brought into the boardroom, they underpin the application of the four principles. They broaden risk oversight by surfacing issues beyond management’s line of sight. They provide fresh perspectives on opportunities and strengthen judgement when difficult trade-offs are unavoidable. They sharpen strategy by testing resilience against external expectations. They highlight the benefit of disclosures by clarifying the needs of audiences who rely on information. Most importantly, they situate board decision-making within the broader context in which resilience, innovation, trust and competitiveness are built, helping organizations create lasting value while contributing to collective progress on climate and nature. Guiding questions for board reflection Question 1: Which stakeholders have the greatest influence on our business in relation to climate and nature risks, and how do we prioritize engaging with them? Question 2: How do our stakeholder engagement processes give us reliable insights into climate and nature opportunities that affect our business decisions and market growth? Question 3: How do we incorporate stakeholder views on climate and nature into our strategy discussions and public reporting? Question 4: How is our external policy engagement aligned with our climate and nature commitments? Question 5: How do our disclosures reflect the perspectives of stakeholders beyond investors and demonstrate their interests are considered in board oversight? Guiding questions for boards to ask of management Question 1: What mechanisms are in place to collaborate with stakeholders, including industry peers and our value-chain, to find opportunities for addressing shared climate and nature challenges? Question 2: How do we decide which stakeholder insights are captured, escalated to the board and addressed? Board Leadership for Growth and Resilience 12

Board Leadership for Growth and Resilience 2026