Key Non-Financial KPIs for Sustainability

There are many non-financial Key Performance Indicators (KPIs) that may be relevant to your business, below we have included some of the KPIs that are commonly used to track and monitor and control Sustainability.  

As with all KPIs and goals in general, ‘less is more’, so ideally you will select the handful of KPIs that are of greatest importance to the business to track and report on at top level management.  The further down the organisation you go, some of the more granular KPIs are likely to be ideally for middle or junior level management and of course for staff on the ‘shop floor’.

The list below is not intended to be comprehensive; this is provided purely to help with the process of selecting those KPIs that are most relevant to your unique circumstances.

Carbon Footprint

Definition: The total amount of greenhouse gases emitted directly or indirectly by the company.

Importance: Reducing the carbon footprint mitigates environmental impact and aligns with regulatory and societal expectations.

Energy Consumption

Definition: The total amount of energy used by the company in its operations.

Importance: Lower energy consumption indicates more efficient use of resources and cost savings.

Waste Reduction

Definition: The amount of waste generated by the company that is either recycled or sent to landfills.

Importance: Effective waste reduction practices contribute to environmental sustainability and reduce disposal costs.

Water Usage

Definition: The total volume of water used in production and other operations.

Importance: Efficient water usage conserves resources and reduces operational costs.

Sustainable Sourcing

Definition: The percentage of raw materials sourced from sustainable and ethical suppliers.

Importance: Sustainable sourcing supports environmental and social responsibility, enhancing brand reputation.

Green Product Ratio

Definition: The percentage of products that are environmentally friendly or have sustainable attributes.

Importance: A higher ratio reflects the company’s commitment to sustainable product development and meeting consumer demand for green products.

Recycling Rate

Definition: The percentage of waste materials that are recycled rather than disposed of.

Importance: Higher recycling rates reduce landfill usage and contribute to resource conservation.

Employee Engagement in Sustainability Initiatives

Definition: The level of employee participation in sustainability programs and initiatives.

Importance: High engagement indicates a strong corporate culture of sustainability and can drive innovation and improvement.

Sustainability Certifications

Definition: The number and types of recognized certifications related to sustainability that the company holds.

Importance: Certifications validate the company’s commitment to sustainability and can enhance market credibility.

Community Impact

Definition: The extent of the company’s positive impact on local communities through sustainability initiatives.

Importance: Strong community impact fosters goodwill and strengthens stakeholder relationships.