In the beginning of the sustainability journey one can look for a best certification or management systems to apply. There are many standards and certificates, that could be found. However, this diversity often makes choice of a company even more difficult. What certification or standard will fit your specific situation and needs?
In this article we will focus on most common standards and certificates, that focus on an entire company. There are however, many more certifications and standards for specific areas such as Alliance for Water Stewardship (AWE), Qualitätssiegel Nachhaltiges Gebäude (QNG), Green Globe (travel & tourism), Grüner Knopf (textile sector), Charta der Vielfalt (diversity in the company environment) etc.
Field of the current and most prevalent certifications and standards is constantly changing, as sustainability becoming more popular and required in a corporate world. This article is a current snapshot of the situation and will be updated with new certificates and standards, as they develop.
UN Global Compact
UN Global Compact initiative was signed in 2000 between large number of companies, CSOs, academic institutions and cities with a goal to comply with minimal social and ecological standards worldwide. It currently has 17.000+ participants in over 160 countries.
Classification: Sustainability standard (GRI standards)
For whom? Universal - for businesses, CSOs, academic institutions, cities etc.
Visibility: Use of UN Compact logo is encouraged
Pro | Con |
Easy to apply (10 principles based on 17 Sustainable Development Goals) | No certification process, lack of measurable targets |
| Critic on low minimum standards requirements (lower or equal to already existing national standards |
Global Reporting Initiative
Global Reporting Initiative (GRI) was founded in 1997 is the independent international organization – headquartered in Amsterdam with regional offices around the world – that helps businesses, governments and other organizations understand and communicate their sustainability impacts.[1] According to KPMG Survey of Sustainability Reporting 78% of the world largest 250 companies use GRI Standards. Currently GRI could be considered as world most prevalent sustainability standards.
Classification: sustainability standard (GRI standards)
For whom? Universal - for businesses, CSOs, academic institutions, cities etc. Detailed reporting requiring high capacity. Therefore, mostly suitable for the large businesses and other big organizations.
Visibility: Use of GRI logo is encouraged
Pro | Con |
Comprehensive standards with detailed reporting and high transparency | With over 120 indicators GRI remains complex and resources demanding. It could be overwhelming for small & medium companies |
German Sustainability Code
German Sustainability Code or Deutsche Nachhaltigkeitskodex (DNK), standard for corporate sustainability reporting, was developed by German Council for Sustainable Development in 2011. To prepare sustainability report according to DNK standards, business have to report on 20 DNK criteria.
Classification: sustainability standard (annual reporting)
For whom? Non-financial performance reporting framework used by organizations and companies of all sizes and legal forms
Visibility: Use of DNK logo is encouraged
Pro | Con |
High transparency and relatively easy implementation to measure sustainability aspects. Therefore, suitable for small, medium to large companies | Large companies may prefer to use additional reporting standards to enhance depth of reporting |
EcoVadis
EcoVadis was founded in 2007, till now it assessed more than 100.000 companies across its 4 themes (environment; labor & human rights; ethics; sustainable procurement) and 21 CSR criteria. ISO26000 and GRI lies in the basis of EcoVadis assessment.
Classification: sustainability rating platform to assess company ESG indicators
For whom? Predominantly for businesses (focus on sustainable supply chain)
Visibility: With a subscription EcoVaids score and medal can be used publicly
Pro | Con |
Quantified sustainability through ESG rating, which can be comparable from year to year and among companies | Is not a sustainability standard, companies are assessed and receive rating score according to its current sustainability efforts/situation |
ZNU-Standard
Center for Sustainable Leadership was founded in Germany in 2009. ZNU management standard with its goal to make sustainability measurable, focuses on 23 topics in the environment, social and economic areas. It also includes some aspects of Quality control. ZNU standard is based on merging of several sustainability initiatives such as DNK, ISO50001, ISO14001, EMAS, GRI, UN Compact etc. [3]
Classification: standard for sustainable management
For whom? Predominantly for businesses across multiple sectors
Visibility: Companies can use ZNU Standard logo for their certified sites
Pro | Con |
Structural planning and mapping of sustainability activities | Less known than other standards such as GRI, DNK etc. |
Independent external certification | |
Economy for the Common Good (ECG)
Founded in Austria, Bavaria and South Tyrol in 2010 ECG is a economic system movement, that promotes transformation in economic, political and social levels of the organizations and companies. Organizational sustainability efforts are assessed through Common Good Balance Sheet and Common Good Matrix with 20 indicators.
Classification: common good economy movement with measurable Balance Sheet and certification
For whom? Universal: companies, organizations, start-ups, educational facilities etc.
Visibility: ECG logo can be used by certified entities
Pro | Con |
Clear Balance Sheet and growing number of certified/member organizations | Participation in a regional group (additional effort) |
B Corp
Benefit Corporation or B Corp is a sustainability standard with a rating scope, that was established in 2006 in USA. Certification is issued by the non-profit organization B Lab. In order to receive certification company should achieve minimum of 80 out of 200 possible points of B Corp assessment
Classification: sustainability standard
For whom? Predominantly for businesses
Visibility: Use of B Corp logo encouraged for companies certified by B Lab
Pro | Con |
Assessment questionnaires customized for country, sectors and company size | Required change in legal company framework to enable stakeholder governance need to beagreed internally preferably before obtaining certification, as it is central requirement to B Corp Certification |
Certified Sustainable Economics (CSE)
The Sustainability Label for Organic Companies and Sustainable Organizations, awarded since 2012, was developed by GfaW Gesellschaft für angewandte Wirtschaftsethik (Society of Applied Ethics in Business). It is a quality seal for verifiable sustainable business practices. Currently CSE standard available for the following industries: Organic food, Natural cosmetics, Organic detergents and cleaning agents, Natural products, Products from a circular economy (e.g. recycled plastics), Trade, service providers, Banks.[4]
Classification: Sustainability standard/ sustainability certificate
For whom? Industries
Visibility: certified companies can carry CSE label on their products
Pro | Con |
Comprehensive certification consisting of 7 areas (business model, QM, supply chains, finance, ethics etc ) | Standard available for limited number of industries |
Eco-Management and Audit Scheme (EMAS)
Environmental Management System of European Union was available from 1993 and originally focused on industrial companies only. Now it scopes include diversity of organizations and sectors. EMAS was created on the basis of ISO 14001, what means, that organizations registered with EMAS automatically fulfill requirements of ISO 14001. EMAS however, goes further focusing on compliance and measurable improvements.
Classification: environmental audit/environmental management system
For whom?All private and public organizations
Visibility: Organizations audited and entered in EMAS register can use the logo
Pro | Con |
External verification and credibility of this standard, especially in Europe | More detailed requirements than ISO14001 |
|
ISO14001
ISO 14001, international standard for an effective Environmental Management System, was first established by International Organization for Standardization in 1996. The standard is continuously updated with latest version currently from 2015. ISO 14001 is separated in 10 sections, which separated in “plan”, “do”, “check” and “act” parts.
Classification: environmental management system standard
For whom? All private and public organizations
Visibility: ISO logo cannot be used, however, it can be mentioned, that company has “ISO 14001 certification”
Pro | Con |
ISO norm certifications are well known | Less detailed responsibility and accountability of activities as compared with EMAS |
High number of certified companies globally | |
ISO26000
ISO 26000 provides standards on Social Responsibility or CSR (Corporate Social Responsibility), encouraging companies to promote sustainable economic and social practices. It provides 7 key principles of responsible social behavior such as accountability, transparency, ethical behavior etc. as well as 7 key subjects or areas, where standard should be considered (governance, human rights, environment etc).
Classification: standards on Social Responsibility, not measurable, not certified
For whom? All organizations and companies
Visibility: ISO logo cannot be used, ISO26000 cannot be certified
Pro | Con |
ISO norm certifications are well known | No possibility of certification/verification of achievements under this standard |
Good orientation for beginning of sustainability journey | |
Since no certification required, flexibility of use | |
We hope, that this summary of most common certificates and standards could help you in choosing the right tools for your sustainability journey.
If you are just starting your way towards sustainability, it would make sense to focus on wholistic certifications and standards for the entire company (DNK could be good tool for small & medium companies, GRI is a good and detailed tool for large businesses).
As you become more familiar with sustainability world and will implement first activities and plans, area-specific certificates and standards could be considered (for food, textile, construction etc).
You can also use more than one certificate and standard at once to ensure best coverage of topics.
Despite the above standards being able to show measurable progress in your sustainability approach, it is important at the same time to focus on your organizational values and culture.
You could start with small steps and develop sustainability gradually, making sure it is embedded into organizational culture and accepted through company departments, build in internal and external communication strategy about your sustainability goals and standards. Make sure your activities and standards go along with their internal and external acceptance to create wholistic and sustainable change.
Contact Greenativity for your free consultation and step-by-step solutions for your sustainability strategy!
[1]https://www.globalreporting.org/copyright/#:~:text=The%20GRI%20logo%20can%20only,%2C%20SASB%2C%20etc.). [2] https://www.siegelklarheit.de/en/certified-sustainable-economics-cse-73
[3] https://theclimatechoice.com/de/zertifiziert-nachhaltig-der-dschungel-an-zertifikaten-normen-und-standards/ [4] https://www.siegelklarheit.de/en/certified-sustainable-economics-cse-73
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