Sustainability reporting is an important way for organizations to track and communicate their progress towards environmental and social responsibility goals. By including these 5 key metrics for sustainability reporting, organizations can provide valuable insights into their impact and performance, and demonstrate their commitment to sustainability.
In this blog post, we will discuss 5 key metrics that every sustainability report should include. These metrics will help organizations to measure their progress, identify areas for improvement, and communicate their sustainability efforts to stakeholders.
1. Carbon Footprint
Carbon footprint is possibly the most well-known metric associated with sustainability (and sustainability reporting by proxy). Carbon footprint is a measure of the total greenhouse gas emissions associated with an organization’s activities.
This metric is crucial due to the role of carbon dioxide and other greenhouse gases in climate change. It is also one of the most widely recognized sustainability metrics among the general public, meaning that organizations that report their carbon footprint can demonstrate a commitment to tackling climate change.
How To Measure Carbon Footprint
Carbon footprints are generally measured using the “organizational approach”, which involves calculating the emissions associated with all of an organization’s activities.
Most sustainability reporting frameworks (e.g., GRI, CDP, SASB) follow the ISO 14064 standard for greenhouse gas inventory calculations. This methodology typically requires organizations to track and report on all emissions sources, including:
- Transportation
- Energy usage
- Manufacturing
- Waste production
Carbon footprint is generally reported in units of CO2-equivalents (CO2e). These units take into account the different global warming potentials associated with each greenhouse gas, and allow organizations to easily compare their emissions from different sources.
2. Energy Usage
Energy usage is another important metric for sustainability reporting. It measures the amount of energy consumed by an organization, usually in a given year.
This metric is important because energy consumption typically involves burning fossil fuels, which release harmful greenhouse gases into the atmosphere. By monitoring their energy usage, organizations can identify areas for improvement and take steps to reduce their emissions.
How To Measure Energy Usage
Energy usage is generally measured using the ‘operational approach’, which involves calculating the energy consumed by an organization’s operations.
The most commonly used methodology for measuring energy usage is ISO 50001, which requires organizations to track and report on all energy usage sources, including:
- Transportation
- Buildings
- Manufacturing
- Equipment
Energy usage is typically reported in units of kilowatt-hours (kWh). This allows organizations to easily compare their energy usage from different sources. This is one of the most important 5-key-metrics-for-sustainability-reporting
3. Water Usage
Water usage is another key sustainability metric. It measures the amount of water consumed by an organization, usually in a given year.
This metric is important because water is one of Earth’s most precious resources, and its availability is becoming increasingly scarce in many places around the world—especially in the MENA region. By monitoring their water usage, organizations can identify areas for improvement and take steps to reduce their consumption.
How To Measure Water Usage
Water usage is generally measured using the ‘operational approach’, which involves calculating the water consumed by an organization’s operations. The most commonly used methodology for measuring water usage is ISO 14046, which requires organizations to track and report on all water usage sources, including:
- Industrial processes
- Cooling systems
- Groundwater extraction
- Surface water abstraction
- Wastewater discharge
Water usage is typically reported in units of cubic meters (m3). This allows organizations to easily compare their water usage from different sources.
4. Waste Production
Waste production is another important metric for sustainability reporting. It measures the amount of waste produced by an organization, usually in a given year.
This metric is important because it helps organizations understand the impact they have on their environment and identify areas for improvement. By monitoring their waste production, organizations can take steps to reduce their emissions and pollution.
How To Measure Waste Production
Waste production is generally measured using the ‘organizational approach’, which involves calculating all of an organization’s waste production activities. The most commonly used methodology for measuring waste production is ISO 14001, which requires organizations to track and report on all waste sources, including:
- Solid wastes
- Hazardous wastes
- E-wastes
- Recycled materials
- Compostable materials
Waste production is typically reported in units of kilograms (kg). This allows organizations to easily compare their waste production from different sources.
5. Employee Engagement
Employee engagement is a key metric for sustainability reporting. It measures how engaged employees are with an organization’s sustainability initiatives and goals.
This metric is important because it helps organizations understand if their employees are motivated to take part in efforts to reduce emissions and conserve resources. By monitoring their employee engagement, organizations can identify areas for improvement and take steps to increase participation in sustainability initiatives.
How To Measure Employee Engagement
Employee engagement is a less defined metric than the others, and there is no standard methodology for measuring it. Typically, organizations measure employee engagement by surveying their staff on a regular basis to gauge how engaged they are with sustainability initiatives.
Employee engagement is typically reported in terms of percentages or ratings (e.g., “satisfied”, “dissatisfied”). This allows organizations to easily compare their employee engagement from different sources.
Overall, understanding these key sustainability metrics can help organizations identify areas for improvement and take steps to reduce their environmental impact. With the right data and insights, organizations can make informed decisions about how best to manage their resources and promote more sustainable operations.
Putting It All Together
Sustainability reporting is about much more than simply reporting on a few metrics—it’s a holistic approach to understanding and improving an organization’s environmental impact. This article highlights 5 key metrics for sustainability reporting but these are not the only metrics, different industry sectors will employ different metrics.
By measuring and tracking key sustainability metrics, organizations can gain valuable insights into their resource consumption and identify areas for improvement. But that’s just the beginning—building those metrics into a report that informs and inspires is the difficult part.
At Sandpaper, we have over a decade of experience helping companies and businesses around the UAE better understand their sustainability goals to create a truly meaningful report. From drafting impactful content to designing professional-looking visuals, we make sure your report stands out and leaves a lasting impression.
If you’re interested in learning more about our sustainability reporting services, please don’t hesitate to reach out.