As more companies seek to manage environmental performance based on how their activities affect broad ecological dynamics-as opposed to more narrow issues such as climate change or water-BSR's new report provides a snapshot of current tools and possible applications companies can use in their decision-making processes.

"There has been a game-changing paradigm shift in environmental thinking, which requires companies to look at the big picture: If my company takes this action, how is it going to affect not only the most immediate environment, but the ecosystem as a whole-carbon regulation, soil fertility, the recharge capacity of underground aquifers?" said Linda Hwang, BSR's Manager, Research & Innovation, who also leads BSR's Environmental Services, Tools, & Markets Working Group. "This report will help companies decide which tools they need to make these important assessments of their environmental impacts."

In the past few years, several web-based and software tools have been developed to help companies identify, measure, assess, and potentially even derive economic value from both their impacts and their dependencies on ecosystem services-the collective benefits, such as clean water and pollination, that people obtain from healthy, functioning ecosystems.

However, as the number and complexity of tools has increased-in terms of target audiences, intended uses and scope, level of detail, and cost of application-it has been difficult for companies to determine which tool to select and even to test in pilot applications.

BSR's new report, "Future Expectations of Corporate Environmental Performance: Emerging Ecosystem Services and Tools," updates the current state of ecosystem services tools in terms of key parameters identified by BSR's Environmental Services, Tools, & Markets Working Group:

• Overall objectives and intended users


• Analytical parameters (ecosystem services included and omitted)


• Data requirements, quality, and cost of the application


• Accessibility of the tool


• Assignment of values to ecosystem services


• Stakeholder engagement


• Applications within existing corporate processes

According to the report, ecosystem services tools play predominantly complementary roles in three phases of corporate decision-making, and thus can be placed in three categories:

• Phase one: "Gateway" tools can be used for assessing corporate relevance of ecosystem services.


• Phase two: "Mapping" tools can be used for spatially explicit mapping of ecosystem services flows in a particular landscape or watershed(s).


• Phase three: "Granular" tools are helpful for fine-grain site assessment and valuation of ecosystem services.

While every business is unique, most large companies engage in decision-making around corporate governance, strategy, and operations-and each of these broad categories is likely to require distinct tools with different attributes. For instance, "gateway" tools focused on high-level concepts and processes can be used for corporate governance and strategy, and "granular" tools focused on specific geographies and data can be used for decisions around operations.

"Our report will help companies decide which tool or suite of tools they need to identify issues that are not currently captured within existing decision-making processes such as environmental and social impact assessments," said Hwang. "Ultimately, this will help companies not only better manage, but also improve, their overall environmental performance."

This report follows BSR's 2008 report, which provided a comparison of both multi-ecosystem-service-assessment tools and biodiversity-focused tools linked to ecosystem services. For more information on how the concept of ecosystem services is gaining traction among government officials, see BSR's report "2009 State of Global Ecosystem Services Policy Developments."

About BSR
A leader in corporate responsibility since 1992, BSR works with its global network of more than 250 member companies to develop sustainable business strategies and solutions through consulting, research, and cross-sector collaboration. With six offices in Asia, Europe, and North America, BSR uses its expertise in the environment, human rights, economic development, and governance and accountability to guide global companies toward creating a just and sustainable world. Visit www.bsr.org for more information.

BSR

BSR

Since 1992, Business for Social Responsibility (BSR) has been providing socially responsible business solutions to many of the world's leading corporations. Headquartered in San Francisco, with offices in Europe and China, BSR is a nonprofit business association that serves its 250 member companies and other Global 1000 enterprises. Through advisory services, convenings and research, BSR works with corporations and concerned stakeholders of all types to create a more just and sustainable global economy. For more information, visit www.bsr.org.

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