Carbon Footprint Explained: Product vs. Organisational Footprints

In my work, I frequently hear terms like carbon footprint, product carbon footprint, carbon emissions, and environmental impact used as if they were interchangeable. But they actually represent distinct aspects of environmental sustainability. In this article, I will walk you through these terms, what they mean, and how they are measured. By the end, you will have a solid grasp of some critical terminology and standards in the field.

Let’s start with a basic but essential concept: the carbon footprint.

1. Carbon Footprint

A carbon footprint is a measure of the total greenhouse gases (GHGs) emitted directly and indirectly by an individual, organisation, event, or product. It reflects the impact on climate through GHG emissions, typically expressed as carbon dioxide equivalents (CO₂e).

This concept can apply to both organisations and products—but each is measured differently. Let’s first explore the organisational carbon footprint.

2. Organisational Carbon Footprint

An organisational carbon footprint represents the GHG emissions produced by a company over a specific time period, often one year. It is typically measured in units such as kilograms or tons of CO₂e per year. The footprint includes both direct and indirect emissions, helping companies understand their total impact.

Direct Emissions (Scope 1): These are emissions directly resulting from the company’s operations. For example, emissions from a manufacturing site or company-owned vehicles fall under direct emissions.

Indirect Emissions (Scope 2 and Scope 3):

• Scope 2: Emissions from purchased electricity, heating, and cooling consumed by the organisation.

• Scope 3: All other indirect emissions, including raw materials, employee commutes, upstream and downstream operations, and waste disposal.

Here is where standards come into play. ISO 14064-1 provides guidelines on measuring and managing an organisational carbon footprint. Reporting frameworks like GRI and CSRD mandate that companies disclose this data to help stakeholders understand their sustainability impact and efforts.

Why it matters: By understanding their carbon footprint, organisations can identify their major emission sources and focus on targeted decarbonisation strategies.

3. Life Cycle Assessment (LCA)

What is it? Life Cycle Assessment, or LCA, is a process for evaluating the environmental impact of a product across its entire life cycle—from raw material extraction through production and use to disposal or recycling. The key point here is that LCA applies at the product level and can measure the impact from multiple angles (such as carbon emissions, water use, and pollution).

Types of LCAs:

• Cradle-to-Gate: Tracks the product’s impact from raw material extraction to the factory gate (before distribution).

• Cradle-to-Grave: Tracks the entire product life cycle, from creation to disposal.

• Cradle-to-Cradle: Tracks the product through its entire life cycle, including recycling and reuse.

Source : Ecochain

Relevant Standards: The ISO 14040 and 14044 standards provide a framework for conducting LCA studies, ensuring that assessments are performed consistently and transparently.

4. Product Carbon Footprint

What is it? A product carbon footprint is a measure of the GHG emissions associated with producing, using, and disposing of a specific product. It is essentially a carbon-focused LCA that isolates a single metric: the product’s carbon impact.

For instance, the carbon footprint of a smartphone would include emissions from raw material extraction, manufacturing, assembly, and transportation, as well as emissions from the product’s use and disposal. Apple’s recent claim of a “carbon-neutral” watch involved calculating the product’s carbon footprint and reducing or offsetting emissions throughout its life cycle.

Relevant Standards: ISO 14067 is the standard specifically designed for calculating product carbon footprints, ensuring consistency and credibility in carbon measurements.

5. Environmental Product Declaration (EPD)

What is it? An Environmental Product Declaration (EPD) is a standardised document providing detailed information about a product’s environmental impacts, based on a full LCA. Unlike a carbon footprint alone, an EPD includes various environmental parameters, such as water use, pollution, and waste generation. This multi-parameter approach gives consumers and businesses a comprehensive view of a product’s sustainability.

Why it matters: EPDs enable businesses and consumers to make more informed choices. For instance, a construction company might compare the EPDs of different building materials to choose an option with lower environmental impacts. For example see Apple Watch 9’s Product Environmental report here. 

Relevant Standards: ISO 14025 outlines the requirements for EPDs, providing a standard way of presenting environmental information in a transparent and comparable format.

Why Knowing this matter ?

Understanding these terms is crucial for effective communication about sustainability. When businesses and consumers understand the unique meaning of each type of carbon footprint, they can make more informed decisions, set realistic goals, and support credible sustainability efforts.

So, the next time you hear terms like carbon footprint or product carbon footprint, you’ll know exactly what they mean—and why they are essential to building a more sustainable world.