The Green Standard Part II: Is a Company Green Enough?
How do we determine if a company is green enough? Thanks to 11 sustainability benchmarks (Universal KPIs) below created by The Global Sustainability Research Alliance, we can analyze if a company maximizes profit from using less earth resources while honoring social responsibility.
Keep in mind that the Universal KPIs indicates more than a snapshot (a number) in a time but reveals the direction a company moves forwards or backwards on its social and environmental issues.
6 of the 11 Universal KPI’s (i.e. first generation metrics) reflect heavily on how a company’s products & services impacts on our planet & communities. They are energy productivity, carbon productivity, water productivity, waste productivity, safety productivity and sustainability pay link.
However, not all of these data (to determine KPI’s) are accessible on a company’s balance sheet or annual report, as the benchmark report repeatedly stresses, it partially relies on a company voluntarily disclosure.
Key Takeaway- GREEN is not the marketing buzz; it’s the trend towards a sustainable future. Our previous blog on China (the world’s 2nd largest economy) reports on how the country is beginning to feel the pollution pain and its plans towards a green country. How do we know if China is on the right track of developing a sustainable economy? These universal KPI’s will shed light on its progress now and in the future.