BASF: Impact Valuation Informing Management Decisions
BASF is a large and complex chemical company based in Germany with operations in more than 80 countries. Its products range from chemicals to performance products, agricultural solutions, and oil and gas. With a purpose to ‘create chemistry for a sustainable future’ and a new CEO keen to make the company a ‘thought and action leader’ in the area of sustainability, BASF has been working with accountancy firm PWC to assess its impact and use a wider range of metrics to inform decision-making.
PWC’s Total Impact Measurement Management (TIMM) model looks across all dimensions of impact; BASF developed an assessment framework that looked at value to society it was delivering at corporate, project, and product-level, along the whole supply chain, within BASF’s own operations, and customer industries.
The case study looked in detail at how they designed and applied the metrics, and showed how they contributed to management decisions, including assessing the relative merits of two possible new site locations in China and Poland.
This case study was prepared for the 2019 Oxford Economics of Mutuality Forum
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