Product or Service Life Cycle Analysis

What

A product or service life cycle assessment (LCA) is a comprehensive method to evaluate the potential environmental and human health impacts for a product or service throughout the life cycle, from raw materials to disposal (that is, cradle-to grave). This assessment takes into account impacts from the producing company's direct actions, as well as the actions from companies that support the producer/service provider.

The activities that are considered include manufacturing and supplying raw materials, supplying utilities, providing transportation, supporting the sales operation, considering the impacts due to the product's use, and treating and disposing wastes.

The study is governed by several ISO standards, and is conducted by leveraging published environmental impact factors for the various aspects of the process that have been studied by others, typically as a result of a carefully peer-reviewed process.

The LCA study will normally include certain aspects in order to provide a level of confidence in the appropriateness of the results. These include a discussion of the uncertainty in the measurements made, as well as a sensitivity analysis that seeks to investigate how the results could change if certain assumptions are modified, or as key data elements vary.

Why

Increasingly, product manufacturers and service providers are asked to provide an accounting of the environmental impacts of their products or services by those who may use the product and other stakeholders.

Interested stakeholders will include:

  • Downstream business that use the product as a raw material,

  • Those purchasing products for use in LEED-certified buildings,

  • Those seeking to show the benefits of a product over a competitor,

  • Investors seeking to measure the sustainability of a company,

  • Consumers who may use impact data for product selection, and

  • Company management seeking to meet corporate reduction goals

While a company may start its assessment process with a companywide LCA approach, analyzing specific products is an appropriate follow-up (or stand -alone activity) to quantify the advantages of a product over a competing alternative, as well as the best way to compare alternatives such as design changes, different kinds of packaging, simplifying the supply chain, altering consumer use practices, etc.

How

Though the complexity of an LCA development process may vary, the following major elements describe the approach:

  1. Clearly define scope, identify data required, and identify sources for data.

  2. Gather data and gap-fill; then conduct thorough quality assurance on data.

  3. Determine emissions from each life cycle stage using established emissions factors for desired environmental impacts (this is the Life Cycle Inventory)

  4. Conduct analysis including sensitivity and uncertainty analysis (this is the LCIA - Life Cycle Impact Assessment)

  5. Develop an ISO-compliant report

Depending on the purpose for which the LCA was developed, the LCA report may also undergo a third-party review. This is usually an expectation where a product claim is planned based on the results.

The results from a specific study may be followed-up by developing a tool to further investigate specific results, such as packaging alternatives or different raw materials.

Impact

The LCA report (or at least the results of the analysis if a report is not prepared) should enable the company to satisfy the expectations that drove them to develop the report, typically those of interested stakeholders.

Ideally external stakeholders should be convinced of the environmental benefits provided by this product or service over others just by reading the report. 

For example, the LCA may clearly quantify the lower impacts resulting from a reusable product versus a single use product. As a result, the company may be able to support claims in its marketing efforts that could result in increased market share for its product.

The LCA should also point the company performing it towards opportunities to reduce impacts, some of which may be easier to pursue than others. In some cases, merely changing the source of supply for a raw material to one with a favorable footprint may achieve significant impact reduction with little or no additional cost.