What LCA Really Measures and Why These Indicators Matter for Your Business

 
 

Most companies talk about product carbon footprint…But carbon is only ONE of nearly 20+ indicators measured in a Product Life Cycle Assessment (LCA), it tells a much deeper environmental story including air emissions, water quality, resource use, waste generation, circularity potential, and toxicity impacts. These indicators are the foundation for EPDs, ESG reporting, green building credits, and global buyer requirements.

Let’s break them down in a simple, business-relevant way

1. Impact Categories (Environmental Impact Indicators)

Impact categories represent the environmental consequences of a product across its entire lifecycle.

They translate emissions, resource use, and outputs into measurable indicators such as global warming, acid rain, water pollution, smog, and ozone depletion. These categories help companies understand how their product affects the planet in different ways beyond just carbon footprint.

2. Resource Use Indicators

Resource use indicators measure the materials, energy, and water consumed to manufacture a product.

They show how much renewable vs non-renewable inputs go into the product, helping companies evaluate efficiency, circularity, supply-chain dependency, and long-term sustainability risks.

3. Output Indicators

Output indicators represent the waste, emissions, and effluents released during the product’s lifecycle.

These include hazardous waste, non-hazardous waste, air pollutants (NOx, SO₂, VOCs), and wastewater discharge. They show the downstream environmental load a company creates which is essential for regulatory compliance and ESG performance.

These indicators are the foundation for

  • EPDs under EN 15804
  • LEED v4/v5, IGBC v4 & Net Zero Carbon ratings
  • PCF disclosures demanded by EU/US buyers
  • Satisfying BRSR Core assurance process
  • Improving ESG scores & Ratings
  • Enabling low-carbon procurement & supplier assessments
  • CBAM compliance for exporters


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