In the first of our four-part webinar series designed to help companies adopt Scope 3 reporting, we noted that 79% of companies now report on Scopes 1, 2 and 3, up from 52% in 2024. That’s a 27-point year-over-year increase. Nearly 73% of businesses that don’t yet report on Scope 3 intend to do so soon.
If you’re one of those dipping your toe into the Scope 3 stream, you’re probably starting with spend-based data reporting, which we cover in our first installment. Now it’s time to sink that foot in a little deeper by understanding the next level of Scope 3 reporting with mass-based data.
For that step, watch the replay of part II of the Scope 3 series: Utilizing mass-based data to identify hotspots and opportunities in your scope 3 reporting.
Using mass-based data takes you one step up on the overall Scope 3 maturity model, advancing from “novice” to “efficient.”
By the end of the webinar, you should be ready to start building an informed decarbonization plan that meets your reporting requirements and measures the environmental impact of the goods and services you purchase.
How are spend-based and mass-based data different?
Spend-based data, while convenient, can be highly inaccurate as it estimates carbon emissions using the amount of money you spend on goods and services. This can create a calculation trap that can overestimate your emissions or underestimate your carbon footprint reduction efforts.
Mass-based data relies on physical quantities related to what you purchase, like fuel consumption or electricity usage.
Transitioning from spend-based to mass-based data removes a large amount of uncertainty from your corporate carbon footprint and helps identify hotspots at a product and material level. With those insights, you can understand decarbonization opportunities in alternate product design and sourcing decisions.
Mass-based LCA databases help capture complex data
Going back to our Scope 3 report, we learned that 79% of companies surveyed struggle with external data availability, especially from suppliers. This is why so many companies use spend-based data; it’s publicly available and it’s easy to use.
The most accurate LCAs use real supplier data. The problem is that supplier data is much more difficult to capture. A lot of your suppliers might not have the data you need. And even if they do, you might find it challenging to validate the accuracy of that data.
That’s where mass-based data comes in. It allows for a gradual transition from spend data to obtaining supplier-specific data.
To get the most accurate results, companies need to use a credible mass-based Life Cycle Assessment (LCA) database. Sphere’s Managed LCA Content (MLC) database, for example, provides enhanced accuracy because it’s based on real product LCAs.
These data sets leverage industry-average data based on actual calculations and direct data. They provide a simpler avenue to migrate spend-based data inventories into mass-based data.
If data availability is one of your concerns, we recommend a mass-based emission factor data set as an intermediate step as you advance your Scope 3 maturity levels.
Get started with mass data collection
Part two of our Scope 3 summer webinar series will take you through the differences between these two types of data sets and help you advance to mass data collection. It will also provide real-life examples on how other companies have stepped up to the mass data collection stage.
Some first steps the webinar will take you through include:
- Understanding what mass-based data is available to match your commodities. You’ll have to determine, for example, where you have more direct distance-based and fuel-based data available across your transportation-related categories.
- Evaluating available methods to transition to more accurate data.
- Researching the emissions intensity of the commodities you purchase.
- Evaluating the strategic importance of a specific commodity and how your plans might evolve around it. Will you purchase more or less of it? Will you continue to source it in the same way?
If you want to transition from spend to mass, make sure you’re tracking the appropriate data. If this is more of an aspirational goal, then you have time to start building a program to track the relevant data.
You can also work with consultants who can help you develop software-ready outputs and automate your inventory management, development and reporting processes.
Ready to take the next step? Check out our third webinar in the series: Leveraging supplier-specific product carbon footprint (PCF) data for enhanced Scope 3 reporting.
