Effectiveness of sustainability indicators

Abstract

Sustainability is probably one of the most challenging tasks of today’s economic world. Not for nothing more and more companies decide on using indicators to measure their sustainability performance. Although, numerous indicators have been developed and used to measure sustainability performance, very little research has been done on their actual effectiveness. Since sustainability can be increasingly seen as a competitive advantage, it is fundamental to use appropriate indicators to measure sustainability for achieving optimal target tracking. Therefore, this paper introduces a new concept to approach the effectiveness of sustainability indicators towards company goals. The most effective indicators are the ones to focus on and to improve in order to ensure a maximum degree of target achievement in terms of sustainability which can lead to competitive advantage in a highly competitive economy.