Sustainable Manufacturing Metrics

The adoption of more sustainable manufacturing practices is hampered by the inability of companies, particularly smaller firms, to both measure their own environmental performance and then use the data obtained to make decisions on methods of improvement.

There are numerous reporting frameworks and sets of metrics available. However, each set has its limitations. For example, they may be too complicated for use by non-experts or may provide data that is suitable for external reporting rather than internal decision making.

The United States, working with other countries through the Organization for Economic Cooperation and Development (OECD), has begun an effort to address critical information gaps in the sustainable manufacturing arena. An OECD study on these issues was proposed by the United States in 2006.

The OECD Project on Sustainable Manufacturing and Eco-Innovation aims to accelerate sustainable manufacturing by diffusing knowledge and providing industry with a means to measure its progress in a simple and comprehensive way.  Phase one of the project included research into the scope and extent of sustainable manufacturing and eco-innovation, a literature review of current sets of indicators and metrics, and a review of government programs to support sustainable practices and environmental-focused innovation. This first phase of the project also included a conference in Rochester, NY aimed at hearing from leading companies' efforts in this arena. Phase one of the study is complete, and a synthesis report can be found here.

Phase 2 of the project on sustainable manufacturing metrics will be a toolkit including a common framework and language, a set of core indicators, methodology on how to measure them, and guidance on how to use the data for internal decision making.

The goals of the toolkit include:

- looking at environmental sustainability holistically, including air, water, energy, GHGs, waste, etc
- analyzing at both products and processes
- linking improvements to financial costs and benefits and providing frameworks to help make decisions
- providing information and links to more detailed metrics and guidance
- using normalized indicators to allow for comparison
- being easy to use for even non-experts

The goal is to complete Phase two of the project in 2010.
For more information on this study and project, please visit the OECD project website.

Review a June 2009 OECD Policy Brief on this issue.
View a presentation on the toolkit given by Michael Bordt at the Sustainability and U.S. Competitiveness Summit.