Traditional ESG reporting often focuses on isolated aspects, such as carbon accounting.
However, in order to provide a comprehensive and accurate view of a company’s sustainability performance, Life Cycle Sustainability Assessment (LCSA) is emerging as an essential tool.
Life Cycle Sustainability Assessment (LCSA) is a comprehensive approach that integrates environmental, social, and economic impacts across the entire life cycle of a product or service - from raw material extraction to end-of-life disposal - and works by bringing together the following components:
Life Cycle Assessment (LCA):
LCA assesses the environmental impacts associated with all stages of a product's life cycle, including resource extraction, manufacturing, transportation, use, and disposal. Environmental impacts include carbon footprint, energy consumption, water use, and waste generation.
Life Cycle Costing (LCC):
LCC evaluates the economic aspects of a product's life cycle, including production, maintenance, operational costs, and end-of-life disposal. This analysis helps identify hotspots and allows for the potential for cost savings such as through energy efficiency.
Social Life Cycle Assessment (S-LCA):
S-LCA examines the social impacts of a product or service, such as labor rights, community well-being, and local economies. This leads to a deeper understanding of how the production and use of a product affects people and communities.
By assessing environmental, social, and economic impacts across the entire life cycle of products and services, LCSA helps businesses make informed decisions that drive long-term sustainability. With an increasing demand for transparency and accountability in ESG reporting, LCSA stands as a crucial tool for companies who want to reduce their impacts and make genuine sustainable change.
