Comparing two CF+DEA methods for assessing eco-efficiency from theoretical and practical points of view

Area of Science:

• Environmental Science
• Sustainability Studies
• Operations Research

Background:

• Growing stakeholder concern drives corporate focus on environmental performance and sustainability.
• Life Cycle Assessment (LCA) and Data Envelopment Analysis (DEA) are combined (LCA+DEA) to measure eco-efficiency.
• Eco-efficiency aims to maximize production while minimizing environmental impact and resource use.

Purpose of the Study:

• To compare two Carbon Footprint + Data Envelopment Analysis (CF+DEA) methods: the five-step and four-step approaches.
• To evaluate theoretical and practical differences in efficiency indices, best practices, and Carbon Footprint (CF) emission targets.
• To assess the effectiveness of these methods in reducing CF for raspberry producers in Chile.

Main Methods:

• Comparative analysis of two CF+DEA methodologies (five-step vs. four-step).
• Application of the methods to a case study of Chilean raspberry producers.
• Evaluation of efficiency scores, best practices, and CF reduction targets.

Main Results:

• Both CF+DEA methods successfully reduced Carbon Footprint (CF).
• The four-step method yielded more demanding targets and higher average CF reduction.
• The four-step method better aligns with the eco-efficiency definition by treating CF as an undesirable output in an output-oriented DEA model.

Conclusions:

• The five-step CF+DEA method is suitable for short-term CF reduction targets.
• The four-step CF+DEA method is recommended for mid- to long-term CF reduction goals due to its more rigorous approach.
• Implementing a phased approach using both methods can optimize sustainability efforts in agricultural production.