Formula
Carbon Footprint = Direct Emissions (Scope 1) + Indirect Emissions (Scope 2 & 3)
Calculation Example
If a company emits 500 metric tons of CO₂e from direct sources and 1,000 from indirect sources, Carbon Footprint = 1,500 metric tons
Data Source
Environmental Reports, Energy Consumption Logs, Carbon Accounting Software
Tracking Frequency
Monthly, Quarterly, Annually
Optimal Value
Lower is better; achieving net-zero emissions is the long-term goal.
Minimum Acceptable Value
A high footprint suggests excessive energy use and reliance on fossil fuels.
Benchmark
Industry benchmarks: Tech ~50-100 tons per $1M revenue, Manufacturing ~500-1,000 tons per $1M revenue
Recommended Chart Type
Line chart (to track trends), Bar chart (to compare departments)
How It Appears in Reports
Displayed in sustainability reports to track emissions reduction progress.
Why Is This KPI Important?
Indicates environmental impact and corporate responsibility.
Typical Problems and Limitations
Carbon offsetting does not fully eliminate emissions.
Actions for Poor Results
Implement energy-efficient practices, transition to renewable energy, optimize supply chain emissions.
Related KPIs
Energy Consumption per Unit, Waste Recycling Rate, ESG Score
Real-Life Examples
A logistics company reduced carbon footprint by 40% by switching to electric delivery vehicles.
Most Common Mistakes
Focusing only on carbon offsetting without reducing actual emissions.