NDLI: Sustainability performance evaluation in industry by composite sustainability index

Content Provider	Springer Nature Link
Author	Zhou, Li Tokos, Hella Krajnc, Damjan Yang, Yongrong
Copyright Year	2012
Abstract	The growing importance of sustainable development as a policy objective has initiated a debate about those suitable frameworks and tools useful for policy makers when making a sustainable decision. Composite indicators (CIs) aggregate multidimensional issues into one index, thus providing comprehensive information. However, it is frequently argued that CIs are too subjective, as their results undesirably depend on the normalization method, a specific weighting scheme, and the aggregation method of sub-indicators. This article applies different combinations of normalization, weighting, and aggregation methods for the assessment of an industrial case study, with the aim of determining the best scheme for constructing CIs. The applied methodology gradually aggregates sustainable development indicators into sustainability sub-indices and, finally, to a composite sustainability index. The normalization methods included in this analysis are: minimum–maximum, distance to a reference, and the percentages of annual differences over consecutive years. Equal weightings, the ‘benefit of the doubt’ approach, and budget allocation process were used for determining the weights of individual indicators and sustainability sub-indices. The linear, geometric, and non-compensatory multi-criteria approaches (NCMCs) were used as aggregation methods. The NCMC is modified to fit the two-level aggregation, then to sub-indices, and finally to a composite sustainable index. Also, a penalty criterion is introduced into the evaluation process with the aim of motivating the company to move towards sustainable development. The results are analyzed by variance-based sensitivity analysis. According to the results the recommended scheme for CIs’ construction is: distance to a reference–benefit of the doubt–linear aggregation.
Starting Page	789
Ending Page	803
Page Count	15
File Format	PDF
ISSN	1618954X
Journal	Clean Technologies and Environmental Policy
Volume Number	14
Issue Number	5
e-ISSN	16189558
Language	English
Publisher	Springer-Verlag
Publisher Date	2012-02-09
Publisher Place	Berlin, Heidelberg
Access Restriction	One Nation One Subscription (ONOS)
Subject Keyword	Sustainability assessment Composite sustainability index Sensitivity analysis Breweries Environmental Engineering/Biotechnology Industrial Chemistry/Chemical Engineering Sustainable Development Industrial and Production Engineering Environmental Economics
Content Type	Text
Resource Type	Article
Subject	Environmental Chemistry Environmental Engineering Economics and Econometrics Business, Management and Accounting Management, Monitoring, Policy and Law

Sl.	Authority	Responsibilities	Communication Details
1	Ministry of Education (GoI), Department of Higher Education	Sanctioning Authority	https://www.education.gov.in/ict-initiatives
2	Indian Institute of Technology Kharagpur	Host Institute of the Project: The host institute of the project is responsible for providing infrastructure support and hosting the project	https://www.iitkgp.ac.in
3	National Digital Library of India Office, Indian Institute of Technology Kharagpur	The administrative and infrastructural headquarters of the project	Dr. B. Sutradhar bsutra@ndl.gov.in
4	Project PI / Joint PI	Principal Investigator and Joint Principal Investigators of the project	Dr. B. Sutradhar bsutra@ndl.gov.in Prof. Saswat Chakrabarti will be added soon
5	Website/Portal (Helpdesk)	Queries regarding NDLI and its services	support@ndl.gov.in
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9	IDR Setup or Support	Queries related to establishment and support of Institutional Digital Repository (IDR) and IDR workshops	idr@ndl.gov.in

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