Ratio, Sum, or Weighted Sum? The Curious Case of BASF’s Eco-efficiency Analysis

Eco-efficiency is generally defined as the ratio of an economic and environmental variable. This interpretation also cited in connection to its most popular implementation, known “BASF eco-efficiency portfolio analysis”. There is, however, something strange about this. A easily visualized a slope, but BASF’s method working with distance, which can be formulated weighted sum, not ratio. Upon closer analysis, it further shows that two variables receive equal weight. These findings are contradicting ISO 14045 standard perception mainstream literature. We discuss relevance this shift viewpoint. some extensions, namely, socio-efficiency analysis SEEbalance. finally investigate recent changes were introduced method, including index, conclude these have been reported incomplete way, or documents difficult trace. Effectively, means way calculate visualize unverifiable, impeding status science-based for sustainable industry support. end by sketching path forward.