Standard Guide for Investment Analysis in Environmentally Sustainable Manufacturing

Importancia y uso:

5.1 This guide provides a method for evaluating investments in terms of their financial merits and environmental merits. This guide can be used to answer whether an investment is both economical and environmentally sustainable or if there is a tradeoff between the environmental aspects of manufacturing and profitability. In the event that there are tradeoffs, this guide provides methods for evaluating those tradeoffs.

5.2 The financial merits for this guide are typically from the individual stakeholder perspective (for example, owners or investors, or both) or from the perspective of a selection of stakeholders. It is up to the users to decide what financial changes are relevant to them. For instance, if there is a financial cost borne by a third party, the users may opt to exclude it from their analysis, as it is not relevant for them. The environmental merits are from a multi-stakeholder perspective (for example, societal level) and should follow established standards for evaluating environmental aspects of manufacturing. That is, environmental aspects of manufacturing should not be excluded simply because they do not affect the user.

Subcomité:

E60.13

Volúmen:

04.12

Número ICS:

03.100.01 (Company organization and management in general)

Palabras clave:

economics; environmental aspects of manufacturing; environmental hurdle rate; hurdle rate; internal rate of return; key performance indicator; manufacturing; maximum environmental expenditure rate; Monte Carlo analysis; net present value; net present value elasticity; net present value per percent change in environmental aspects of manufacturing; payback period; sensitivity analysis; sustainability;