How to use the assessment

Sales and Impact focus

Five different categories of sale focus

The categories for sales are based on the level of change the service provision of the company supports. It asks on what level the improvement take place to support a resource-efficient service being provided and delivered in a way that delivers on human needs.

Sale focus 1: Unsustainable system and society solutions

The first category are companies that still focus on unsustainable systems and societies, not just products. These are companies that support structures for increased individual car use, companies that build infrastructures and market fast fashion. Fast consumption with fast delivery services that drives impulse purchasing also belong in this category. Much of the AI and cloud service that is in support of current systems are also part of this category, as they tend to support incremental improvements in existing sectors.

Sale focus 2: Unsustainable products

The second are companies that sell high-carbon products. This include both classical products such as high-carbon steel and fossil car parts, but also financial products such as bonds and many pension funds. These are companies that could switch to products that result in avoided emissions in society.

Sale focus 3: Sustainable Products

This is the first category of companies that focus on sustainability. Here it is the product that is in focus. These companies are usually focused on simple product substitution.  

Sale focus 4: Sustainable Systems

The second category of companies focus on sustainable systems. These are companies that support the creation of new systems in key areas, such as systems for electric vehicles, healthy plant-based lifestyles, neighbourhoods that are net-positive providers of sustainable renewable energy. This require collaboration with clusters of companies collaborating.  

Sale focus 5: Sustainable society

The last category are companies that focus on a sustainable society and include the need for new legislation, incentive structures and business models to deliver what is needed for a future where 11 billion can live flourishing lives. This require multistakeholder cooperation.

Five different categories of expected impact

The categories for expected impact are based on system design and focus on the category of change that the company is expecting. Here it is important to note that there are occasions where incremental improvements are enough, such as making plant-based protein totally fossil-free, or ensuring a resource efficient production of solar panels. However, in most cases disruptive, or even transformative changes are needed.

Expected impact 1: Negative acceleration

The companies in this category are in two sub-categories. First, companies that does not see climate change as relevant, or even positive. Second, companies with a focus on scope 1-3 and use offsetting to sell what they claim are sustainable products while they in reality are accelerate negative trends with increased use of goods like fast fashion, fast food, personal car ownership, weekend shopping flights, etc.

Expected impact 2: Business as usual

The absolute largest group are companies just trying to sell their products. Some have reduced emissions targets for their own emissions based on a climate risk innovation approach, but most have no idea what the consequences are in society from the goods they provide.  

Expected impact 3: Incremental improvement

Even if most companies might not like the term incremental, this is the expected impact of most companies today that deliver climate solutions. This includes most products that result in a product substitution and does not require significant changes in the underlying infrastructure and business model change.

Expected impact 4: Disruptive improvement

Disruptive impacts require at least one of two things:

1.     A totally new technology that also require changes in the infrastructure

2.     A new business model that moves from a product focus to a use/service/function focus with significant resource efficiency as a result.

Expected impact 5: Transformative improvement

Transformative impact requires disruptions, but also value changes that result in human needs being met in a new way. Transformative improvements are linked to cultural changes and new ways that people approach their human needs.