Key Performance Indicators Supporting the Green Transition in Manufacturing Companies

Sammanfattning

Purpose: This thesis investigates how environmental Key Performance Indicators related to production systems are reported in the sustainability disclosures of major manufacturing companies in Sweden. The study examines which production-related environmental KPIs are emphasized, how these are categorized across themes such as emissions, energy, materials, waste, and water, and how companies align their reporting with ESG frameworks. The purpose is to understand the role of KPI reporting in supporting the green transition and to highlight challenges in achieving transparency and comparability. Method: A qualitative document study was conducted, analyzing the latest sustainability reports from ten of Sweden’s largest manufacturing companies. Data collection involved extracting environmental KPIs and identifying referenced ESG frameworks. The analysis followed an inductive approach, applying thematic grouping for KPI categorization and qualitative content analysis to assess framework usage and integration. Findings: The results showed that emissions KPIs were the most emphasized, followed by energy-related indicators, while material, waste, and water were less consistently reported. This focus reflects alignment with international climate targets, even though the green transition extends beyond emissions. KPI quantity did not necessarily reflect stronger sustainability commitment; instead, the depth and clarity of reporting mattered more. Regarding frameworks, most companies relied on the Global Reporting Initiative (GRI), while a transition toward the European Sustainability Reporting Standards (ESRS) was observed. The Science-Based Targets initiative (SBTi) was referenced by all companies as part of climate strategies, underscoring the central role of emission reduction commitments. Overall, framework usage varied, reflecting both regulatory influence and company priorities. Implications: The findings suggest that while manufacturing companies in Sweden increasingly disclose production-related environmental data, inconsistencies in KPI selection and framework integration limit comparability. The transition from GRI to ESRS points toward stronger regulatory alignment and standardized reporting across the EU. The study contributes insights into how sustainability reporting practices are evolving and highlights the importance of production-focused KPI reporting for advancing the green transition. Limitations: The study analyzed a sample of ten large Swedish manufacturers, which limits generalizability to other sectors and countries. The analysis was based on publicly available reports without triangulation from internal company data. Future research could adopt sector-specific or quantitative approaches, assess stakeholder perspectives, or compare reported KPIs with operational data.