Ramon Arratia of InterfaceFLOR explains why company disclosure must embrace the full product life-cycle
After more than a decade of refinement, CR reporting by companies has progressively improved to achieve a high level of transparency about a company’s social and environmental impact.
Although the better reports discuss product impacts, the data in most CR reports still focuses primarily on performance of the company’s operations. For many companies this focus is mismatched with their true impact, which lies outside their operations in the life-cycle of their products.
When you view a company in terms of the products it makes, you frequently discover that the vast majority of environmental impacts lie outside its operational boundaries.
The impacts associated with raw materials extraction and processing, product use and end life, in many cases far outstrip the ‘in-house’ impacts. For our company manufacturing carpet tiles, around 68% of the impact is associated with the production of raw materials while only around 10% is in-house.
The extent of the mismatch depends on the type of company – in the mining sector, the main impacts may well be in-house. But in manufacturing and services this is usually not the case. Additionally, the business trend over the last decade to greater outsourcing has transferred more and more impact outside the company boundary.
Fuente: Ethical Corporation
Although the better reports discuss product impacts, the data in most CR reports still focuses primarily on performance of the company’s operations. For many companies this focus is mismatched with their true impact, which lies outside their operations in the life-cycle of their products.
When you view a company in terms of the products it makes, you frequently discover that the vast majority of environmental impacts lie outside its operational boundaries.
The impacts associated with raw materials extraction and processing, product use and end life, in many cases far outstrip the ‘in-house’ impacts. For our company manufacturing carpet tiles, around 68% of the impact is associated with the production of raw materials while only around 10% is in-house.
The extent of the mismatch depends on the type of company – in the mining sector, the main impacts may well be in-house. But in manufacturing and services this is usually not the case. Additionally, the business trend over the last decade to greater outsourcing has transferred more and more impact outside the company boundary.
Fuente: Ethical Corporation
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