Information Systems for Environmental Sustainability

IT, Resource Productivity, Environmental Preservation, and the Fourth Industrial Revolution

Are Reported Emissions of Global Corporations More Accurate Than Those Reported in National Statistics?

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A new study by Peters et al. (2011) suggests that outsourcing of emissions by developed countries to developing countries (e.g., outsourced manufacturing) is significantly larger than emissions reductions in developed countries.

Our results indicate that international trade is a significant factor in explaining the change in emissions in many countries, from both a production and consumption perspective. We suggest that countries monitor emission transfers via international trade, in addition to territorial emissions, to ensure progress toward stabilization of global greenhouse gas emissions.

Another strategy, which I use in my study of adoption of systems for managing carbon emissions, is to examine emissions of multinational global corporations, thereby eliminating some of the accounting error.

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Author: nigelpm

Associate Professor of Information Systems, Stephen M. Ross School of Business, University of Michigan - Helping organizations to navigate digital transformation.

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