Global research to prepare for an increasingly challenging world

From macro to micro

FM’s international research network is dedicated to helping businesses adapt to these evolving risks, ensuring that risk management strategies grow alongside our changing climate. “Our goal is to create an integrated, consistent and collaborative experience; one where research, client learning and risk reduction all happen together, seamlessly across the world,” says Louis Gritzo, FM’s chief science officer. 

The regional expertise of FM’s research institutes gives its network a global reach. The Americas centre in Massachusetts models risks such as floods and storm surges, while the Asia-Pacific centre in Singapore addresses extreme rain and typhoons, which are expected to double in destructive power in Asia this century.³ A new centre, opening in Luxembourg in 2027, will focus on risks across Europe, the Middle East and Africa, such as flooding and severe convective storms.

Every insight from each individual location can become applicable globally, with a uniform method used by engineers collecting data across the world. “We want to ensure a global, consistent approach – whether you look at flood risk in Asia or Europe, the underlying logic must always be the same, although the regional drivers, like monsoons, cyclones, or thunderstorms, may be very different,” Dr Werner points out.

“With hundreds or even thousands of locations to manage, it becomes extremely challenging to know where to focus your time, resources and capital – clients need quality data and precise recommendations to help them prioritise and make smart investment decisions,” says Pentti Tofte, senior vice president for innovation, analytics and AI at FM.

Harnessing emerging technologies

FM’s interdisciplinary teams, comprising field engineers, researchers, data scientists and data engineers, work together to assess climate risk from every angle. Their approach, described by Dr Gritzo as a “three-legged stool”, rests on high-quality data, deep understanding of physical processes and strong AI-driven predictive models. One initiative, the Global Flood Map, uses physics-based models combined with climate, land use and site data to deliver worldwide flood risk assessments.

“We spend a lot of time thinking about incorporating AI and machine learning into traditional scientific research,” says Mr Tofte. FM recognises the need to invest heavily in machine learning and deep learning algorithms to boost insights and operational efficiency. In recent years, new technologies such as drone imagery and digital twin models have transformed risk management, offering faster terrain assessments and more accurate forecasts.

Early and effective

FM’s risk management philosophy is built on the belief that most losses are preventable through a deep understanding of hazards and practical, cost-effective mitigation strategies, informed by the best data and forecasts. Companies must not underestimate risks that seem distant – simple measures, such as reinforcing roofs against hurricane damage, can dramatically reduce losses at minimal cost. “We distinguish between inherent risk and actionable risk,” explains Mr Tofte. “Your building may be on a coast where it’s exposed to hurricanes, but the risk can be minimised by protecting the building so it can withstand the storm.”

Being prepared is important – well before an event, immediately before impact and in its aftermath. FM’s work with Coca-Cola Consolidated in Tennessee highlights this. With its facility located next to an environmentally protected waterway, the company could not alter the floodplain or redirect water. But internal flood barriers and measures to channel water away from critical equipment saw the facility withstand extreme rainfall in 2021 with minimal downtime. “It’s a perfect example of how fast-moving climate events, one of those major blind spots for companies, can be mitigated with proactive planning,” says Dr Gritzo. 

FM also worked with Arthrex, a medical device company, to protect its facility in a hurricane-prone zone in Florida. The facility was able to remain fully operational during Hurricane Ian in 2022 thanks to proactive resilience improvements, even providing shelter and support to employees and the local community. Across FM projects, the message is clear: with foresight and preparation, businesses can dramatically reduce their exposure to climate-related losses, safeguard operations, and even strengthen their position in the region and community.