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Impact Valuation

The impact of our business operations on society

The concept of impact valuation is rooted in the mindset that the financial results of a company alone do not sufficiently show the benefits and costs of business to society. Therefore, it is necessary to extend the calculation beyond business results and offset monetized benefits and costs to society. The result after impact shows, in the end, the true contribution of the company to society (“society result”).
The concept of impact valuation allows to better understand how, where and to what extent value is created and diminished through our own operations. In the end, this helps us to increase our competitiveness and create value both for LANXESS and the society which we are part of.

Impact valuation bears useful insights across our activities and operations that allow us to make better management decisions, including allocation of human, natural and financial resources. It also helps us to understand our impact – positive as negative - on societal challenges, like those expressed in the Sustainable Development Goals (SDGs).

The Idea behind impact valuation

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Impact categories, methodology and results

We understand sustainable business success by creating value across the sustainability dimensions – economic, environmental and social.  The four impact categories and the respective impact factors that we created reflect this mindset. For each impact factor, impacts were assessed and monetized following respected theoretical frameworks which we describe in detail in our methodology chart.

Impact Valuation Methodology

LANXESS Impact Valuation Methodology Download

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The overall overview shows the direct impact of LANXESS operations that are material and reliably quantifiable today. While we create substantial and economic, socio-economic and social value, we are constantly working on diminishing the environmental impact caused by our operations. The “Gross Value Added After Impact” (GVAAI) is the LANXESS measurement indicator for the extent of the societal contribution of our company in the end – and it shows that we create substantial societal value.

Impact of LANXESS operations

Impact of LANXESS operations download

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Sebastian  Röhrig

Sebastian Röhrig
Head of Corporate Responsibility

Phone: +49 221 8885 1099

Fax: +49 221 8885 1769

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