Toyota and BMW are leading the automotive industry in terms of efficient use of resources during production, according to a new report.
The study is the first to assess the sustainability performance of automobile manufacturers using a single monetary figure. It was carried out by researchers at Queen’s University Belfast and the Institute for Futures Studies and Technology Assessment in Berlin.
"The survey’s findings are unambiguous–Toyota and BMW are leading the industry when not only capital use but also the use of environmental and social resources is included in the monetary assessment," co-author, Professor Frank Figge, said.
The study compares the efficiency with which vehicle manufacturers use their economic, environmental and social resources. It analysed the sustainability performance of 16 of the world’s leading automobile manufacturers.
"Automobile manufacturers compete for the reputation of being the most climate-friendly carmaker. So far, the debate has almost exclusively focused on the usage phase of automobiles and related CO2 fleet emissions, while the substantial environmental burden created during the production phase has–as yet–been largely ignored. Our survey attempts to close this gap," Figge added.
The report found that, in 2005, Toyota generated an absolute Sustainable Value of EUR 6.5 billion, followed by BMW with EUR 2.93 billion. This indicated that Toyota generated EUR 6.5 billion more profit than the average automobile producer would have achieved with the same set of resources.
Toyota led the industry throughout the seven-year assessment period of 1999 to 2005 and also showed the most positive performance trend.
Toyota and BMW are also leading their peers when differences in company size are taken into account. To assess the sustainability performance of companies of different sizes the researchers looked at how much Sustainable Value was created relative to car sales. In this scenario, the medium-sized manufacturer BMW outperforms its peers.
One of the survey’s key findings is that, on average, Asian manufacturers outperformed their European and North American competitors. Toyota, Hyundai, Nissan, Honda, and–to a certain extent–Suzuki, consistently generated a positive Sustainable Value.
Apart from BMW, results for European manufacturers were mixed. DaimlerChrysler created a positive Sustainable Value in five out of the seven years assessed. Meanwhile, PSA, Renault, and Volkswagen did so only in up to three years during the seven-year review period. FIAT Auto consistently fell behind throughout the entire review period, although its data for 2006 signaled a reversal of this trend.
Professor Figge said: "The study reveals ample differences in sustainability performance in automobile manufacturing. This shows that not only fleet consumption but also the production process itself bears considerable room for improvement in this respect."
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