Systematic Review - Network for Business Sustainability

ecome the pre-eminent procedural tool for internal
management (Könnölä & Unruh, 2007). However, they
have been criticized for locking firms into exploiting their
existing production processes rather than exploring
more radical innovation opportunities.
Life cycle analysis (LCA) is also widely used for
measuring environmental impacts and deciding on
the development of new products and processes.
LCA provides a clear picture of a product’s impacts
throughout its life, from extraction and refinement of
materials to manufacturing, transport, use, maintenance
and, ultimately, end-of-life disposal; and, in doing
so, LCA highlights and evaluates opportunities for
improvements. LCA identifies critical areas, making
life cycle thinking core to the sustainable product
development process. The two following cases illustrate
the role of LCA in product development at Patagonia
and at Michelin:
In Practice
Patagonia learned from an LCA that shirts
made from regular cotton consume three
times more petroleum in their lifetime than
shirts made of synthetic fibre (due to the
fertilizers used to grow the cotton and the
extra effort needed to keep the garment
clean). Recognizing that the extensive use
of these chemicals harms water, soil and
the health of farm workers, the company
subsequently converted its sportswear
lines to 100 per cent organic cotton, which
requires fewer chemicals. Adapted from
Ceres (2010).
In Practice
Michelin used an extensive LCA of tire
production and learned that 86 per cent
of tires’ CO2 emissions result from the
rolling phase — i.e. when the tire is being
used. Thus, Michelin examined how rolling
resistance could be reduced to obtain higher
fuel efficiency and thus lower the cost of
mobility, while also producing less exhaust.
The company found these objectives could
be achieved by partly replacing carbon
black, which is used as reinforcement filler
in tires, with silica. Although on the face of
it a small modification, it was a risky project
that took several years, the support of raw
materials suppliers and R&D investment of
almost €400 million. Adapted from OECD
(2010).
Companies should perform an LCA for each portfolio of
products or for specific products to determine the full
scope of their sustainability impacts. This assessment
should identify key environmental and social
implications of the choice and sourcing of inputs, the
manufacturing process itself and each product’s use
and disposal. Because LCA can be resource-intensive,
many firms do not apply it across their full product
ranges. One recommendation might be to apply LCA
to new products or product modifications and to allow
older products to become discontinued.
Innovating for Sustainability 30