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ScorecardingDoughnut Economics
A Triple Bottom Line Measurement and Reporting System for Regional Economies and
Other Human Social Systems Committed to Sustainability & Doughnut Economics
A Brief Introductionby the Center for Sustainable Organizations
Woodstock, VT
April 2020 (v1.6)
Executive summary
• Introduced by Kate Raworth in 2012, the Doughnut Economics model integrates social, economic and environmental thresholds that economies and other human social systems must abide by in order to be sustainable as earlier expressed in/by (among others):
– Inner and Outer Limits (Ward, 1976)– The Ecological Footprint Method (Wackernagel, 1994)– The Social Footprint Method (McElroy, 2015 [2008])– Planetary Boundaries (Rockstrom et al, 2009)
• Much progress has been made to assess performance in these terms in organizations, but less so at the broader economic or societal level
• Here we demonstrate use of the MultiCapital Scorecard to help close that gap
1Copyright © 2020 Center for Sustainable Organizations
Doughnut Economics(the book and the model)
Chelsea Green Publishing(2017)
2Copyright © 2020 Center for Sustainable Organizations
The MultiCapital Scorecard (MCS)(the book and the model)
Chelsea Green Publishing(2016)
The MultiCapital Scorecard is an open-source solution,endorsed by the United Nations for global use!
3Copyright © 2020 Center for Sustainable Organizations
MCS is a proven tool at the macro level
Copyright © 2020 Center for Sustainable Organizations
In 2017, we worked with E&Y to apply the MCS at the country level to pilot, test and evaluate it as a tool for
assessing the well-being of nations before, during and after the onset of technological revolutions …
… out of which came the production of national
Triple Bottom Line MultiCapital Scorecards
for four countries: U.S., Argentina, Rwanda
and Estonia
4
Copyright © 2020 Center for Sustainable Organizations5
Indicators inthe DoughnutEconomics
model
What wepropose
A
B
C
D
BOTTOM LINES AREAS OF IMPACT CAPITAL IMPACTS
Energy (electricity) 3 5 15 15 0 100%
Energy (cooking) 3 4 12 12 0 100%
Water & sanitation1 -1 5 -5 15 20 -33%
Water & sanitation2 -1 5 -5 15 20 -33%
Food 2 5 10 15 5 67%
Health (child mortality) 0 4 0 12 12 0%
Health (life expectancy) 1 3 3 9 6 33%
Education (illiteracy) 2 4 8 12 4 67%
Education (schooling) 3 4 12 12 0 100%
Peace & justice3 3 4 12 12 0 100%
Peace & justice4 -1 5 -5 15 20 -33%
Political voice -2 4 -8 12 20 -67%
Gender equality5 -3 4 -12 12 24 -100%
Housing 2 5 10 15 5 67%
Networks (support) 3 3 9 9 0 100%
Networks (internet) 3 3 9 9 0 100%
Income & work6 1 4 4 12 8 33%
Income & work7 1 4 4 12 8 33%
Gender equality8 2 3 6 9 3 67%
Social equity 3 4 12 12 0 100%
Climate change -2 5 -10 15 25 -67%
Ocean acidification 2 3 6 9 3 67%
Chemical pollution 1 3 3 9 6 33%
Nitrogen & phosphorus loading 2 3 6 9 3 67%
Freshwater withdrawals 3 4 12 12 0 100%
Land conversion 3 3 9 9 0 100%
Biodiversity loss 2 4 8 12 4 67%
Air pollution -1 4 -4 12 16 -33%
Ozone layer depletion 3 5 15 15 0 100%
3. Population scoring <50 on Corruption Perceptions Index.116GRAND TOTALS
& TBL SCORE
32%
58%
44%
39%
ECONOMIC
ENVIRONMENTAL
7. Proportion of young people not able to find work.
1. Population without access to improved water.2. Population without access to improved sanitation.
4. Population with homicide rate of >10 per 10,000.
8. Earnings gap between women and men.
SOCIAL
The MultiCapital Scorecard Configured for
Doughnut Economics (with sample scores)
Progression Performance Scores
Weightings (1-5)
Weighted Scores (AxB)
Fully Sustainable Scores (Bx3)
TRIPLE BOTTOM
LINE (TBL) SCORES
Gaps to Fully Sustainable (D-C)
5. Gap between women and men in parliaments.
136
Copyright © 2020 Center for Sustainable Organizations (v1.1)
Individual Areas of Impact Scores (C/D)
348
6. Population living below poverty line.
Vital capitals:
Scoring performance in the MCS
6
Performance is scored in the MCS by assessing progress relativeto achievement of sustainability norms for each Area of Impact …
… using a 7-pointProgression Performance scale
Copyright © 2020 Center for Sustainable Organizations
The theory behind the MCS
• The MultiCapital Scorecard (MCS) is a Triple Bottom Line implementation of Context-Based Sustainability
– Assesses impacts on the carrying capacities of vital resources in the world (capitals) relative to levels required to ensure human well-being
– Thereby determines the well-being of a population by measuring its own sustainability performance
• Context-Based Sustainability is fundamental to managing for sustainability
– It is directly implied by all approaches that call for recognition of (a) limits in natural resources in the world (natural capitals), and (b) the importance of maintaining sufficiency in the others (human, social, constructed and economic capitals)
– Humans rely on these capitals for their well-being
• Thus, sustainability management is capital impact management, an insight taken from multicapitalism!
7Copyright © 2020 Center for Sustainable Organizations
The MultiCapital Scorecard is an open-source tool … use it!
For more information, contact:
Mark W. McElroy, PhD
Executive Director
Center for Sustainable Organizations
or visit:
www.sustainableorganizations.org
and
www.multicapitalscorecard.com