What is a life cycle assessment (LCA)? Explanation, steps, and benefits
The Federal Office for the Environment (FOEN) defines life cycle assessment (LCA) as a method used to calculate the environmental impact of products or companies. It is used for both corporate life cycle assessments and product life cycle assessments and considers the entire life cycle of a product. This means that it looks at the entire journey from raw material extraction to manufacturing and transport to use and finally disposal. The focus is on key questions: What environmental impacts arise along this cycle and how significant are they? A look behind the scenes of a product often reveals much more than is apparent at first glance. An LCA takes into account not only direct emissions, but also indirect effects and resource consumption. This provides a comprehensive picture that helps companies make informed decisions and assess their environmental impact holistically.
The steps of an LCA
An LCA goes through four main phases. It begins with defining the objective and scope of the study, specifying what is to be analyzed and for what purpose. This is followed by the life cycle inventory, in which all relevant data on material and energy flows are recorded. In the impact assessment, this data is then evaluated to assess its potential environmental impact. The final phase is the evaluation, in which the results are summarized and recommendations are made. This systematic approach covers the entire life cycle of a product – from manufacture to use and disposal.
Anyone who wants to reduce their company’s carbon footprint in order to achieve their sustainability goals needs valid CO2 data that is processed in a similar way to LCA.
Relevance of life cycle analysis for companies
The significance of an LCA lies in the fact that it reveals which parts of a product have the greatest impact on the environment. It offers companies the opportunity to reduce emissions, use resources more efficiently, and operate more sustainably in the long term. For consumers, on the other hand, an LCA makes it clear which products are particularly environmentally friendly and which are not. In this way, it creates transparency and supports more conscious purchasing decisions.
The advantages of an LCA are manifold. It provides a holistic overview of the ecological impact and reveals potential for optimization. For companies, this means improved sustainability performance and the opportunity to clearly position themselves in the market through transparent communication. At the same time, the analysis helps to drive innovation and bring more environmentally friendly products to market. On the consumer side, it makes it easier to identify sustainable products.
A life cycle assessment is therefore much more than just a calculation tool. It is a strategic tool that enables companies to precisely understand and reduce their environmental impact, while allowing consumers to make more sustainable decisions. Anyone who wants to take responsibility for the future cannot ignore LCAs.