Importance of the CO2 footprint for companies and products

Measuring and reducing the CO2 footprint of companies and products plays a key role in a global economy that is increasingly focused on sustainability and climate action.

A corporate or product CO2 footprint quantifies how many greenhouse gases (GHG) are emitted in connection with a company’s operations or the production of a product. It helps organizations understand, manage, and reduce their environmental impacts. This is becoming more important as GHG emissions materially affect climate change and as regulatory and market-driven expectations continue to rise.

Standards and frameworks we apply

When calculating CO2 footprints, we follow established international frameworks, including:

THG Protocol (GHG Protocol)
The Greenhouse Gas Protocol is a globally recognized standard for quantifying and reporting greenhouse gas emissions. It categorizes emissions into three scopes: direct emissions (Scope 1), indirect emissions from purchased energy (Scope 2), and other indirect emissions across the value chain (Scope 3).

ISO standards
In particular, ISO 14064 and ISO 14067 provide requirements for quantifying and reporting GHG emissions and for calculating corporate and product CO2 footprints.

What matters for SMEs in practice

For small and medium-sized enterprises, a CO2 footprint is a core foundation for building an effective climate strategy. In practice, SMEs should pay particular attention to:

• Resources: SMEs often have fewer internal resources than large companies, so efficient and cost-effective approaches to data collection and analysis are essential.

• Industry and business model: Main emission sources vary significantly depending on the sector and operating model. A manufacturing company has different hotspots than a service provider.

• Data quality: Not all data may be readily available at first. Estimates or sector averages can be used as a starting point, while data quality should be improved systematically over time.

Benefits for the company

A robust CO2 footprint creates tangible value:

• Reputation and brand value: Responsible emissions management can strengthen credibility and market perception.

• Risk management: Better readiness for regulatory developments and changing market expectations.

• Cost savings: Identifying emission hotspots often reveals efficiency opportunities that reduce operating costs.

• Investor and lender relations: A growing share of investors and banks favor companies with credible climate data.

• Corporate responsibility: Organizations can contribute meaningfully to reducing climate impacts.

Typical project steps for a Corporate Carbon Footprint

A corporate footprint project usually includes:

1. Define objectives (e.g., reporting, cost reduction, stakeholder requests)

2. Define scope and boundaries (Scope 1 to 3)

3. Identify relevant data sources

4. Collect data and quantify activity drivers (e.g., energy use, materials, fuels)

5. Calculate emissions using the selected methodology

6. Analyze results and identify major emission drivers and potential reduction measures

7. Develop a reduction approach and priorities based on the analysis

8. Prepare reporting and documentation of results and planned measures

9. Review and update regularly, refining the data basis and measures over time

Wine sector specifics with clear operational value

In viticulture, agricultural production, winery operations, and commercial distribution come together. Based on our work with wineries and in the context of DINE and the FairChoice label, we see the greatest value when a CO2 footprint is linked directly to the key levers in the business. Typical focus areas include:

• Packaging and bottling, often driven by glass weight, cartons, and closures

• Winery energy use, such as cooling, pumps, compressed air, and storage

• Vineyard operations, including fuels, inputs, and the use of external service providers

• Transport and distribution, depending on sales markets and logistics setup

• Clear boundaries and consistent assumptions, to keep results comparable and robust

In addition to the THG Protocol and ISO standards, we also reference OIV guidelines as a technical framework for the wine sector

The VSME Standard (Voluntary Sustainability Reporting Standard for non-listed Micro-, Small- and Medium-sized Undertakings) is a voluntary reporting standard for non-listed small and medium-sized enterprises. It was developed by EFRAG to enable a practical, streamlined, and comparable approach to sustainability reporting without the complexity of the mandatory ESRS structure.

EFRAG submitted VSME to the European Commission on 17 December 2024. On 30 July 2025, the European Commission referenced the standard in a Recommendation on voluntary sustainability reporting for SMEs, aiming to reduce the reporting burden and make it easier to respond to ESG information requests from value chains and financing processes.

VSME is aimed in particular at SMEs that are not subject to CSRD, but still need to provide sustainability information regularly, for example to:

• customers (especially large companies with CSRD obligations in their supply chains)

• banks and investors (financing and rating requirements)

• business partners (tenders, procurement requirements, risk assessments)

VSME is deliberately designed to be proportionate. In practice, it typically includes a Basic module as an entry level and a Comprehensive module for higher requirements and greater depth.

Support from AIM – Advice in Motion GmbH

Step 1: Kick-off
In a kick-off workshop with management and relevant responsible parties, we explain the logic and content of VSME reporting and clarify the company’s objectives. Typical objectives include responding to ESG requests in a structured way, improving access to financing, increasing transparency for stakeholders, or preparing step by step for rising reporting expectations.

Key topics include:

• defining reporting scope and boundaries (company, sites, product lines)

• selecting the appropriate module (Basic or Comprehensive)

• clarifying relevant stakeholder requirements (customers, banks, investors)

• defining roles, responsibilities, and internal approval processes

Step 2: Current state review and gap analysis
We then assess the status quo within the company and review which data, documents, and processes are already in place and which elements are still missing for VSME-aligned reporting. The focus is a pragmatic approach that uses available data and organizes data collection efficiently. Typical components of the gap analysis include:

• availability and quality of key ESG metrics

• existing policies and processes (e.g., governance, HR, supplier requirements)

• existing CO2 and energy data as a basis for climate topics

• documentation status and evidence readiness for external requests

Where needed, we support the setup of a lean ESG structure that is manageable internally and reliably meets external information requirements.

Step 3: Report preparation, data process, and recurring cycle
In the third step, we prepare the VSME report together with the company and structure the content so it is robust, consistent, and easy to understand. This includes a clear narrative structure, a consistent KPI logic, and documentation that makes annual updates straightforward.

Core implementation elements include:

• preparing the content in line with the VSME structure

• defining and aligning key metrics and core statements

• establishing a simple, repeatable data process (who delivers what, when, and in what format)

• embedding the work into the company’s regular cycle, typically aligned with the management report cycle

• producing a final version for stakeholder communication (e.g., customer packages, bank requests, investor discussions)

The goal is reporting that is not written as a one-off document, but embedded as a repeatable standard process within the organization.