Ceramics 3

Journal of Cleaner Production 414 (2023) 137664
Contents lists available at ScienceDirect
Journal of Cleaner Production

journal homepage: www.elsevier.com/locate/jclepro
Developing key performance indicators for monitoring sustainability in the

ceramic industry: The role of digitalization and industry 4.0 technologies
Giuditta Contini a, *, Margherita Peruzzini a, Stefano Bulgarelli b, Gildo Bosi b
a
Department of Engineering “Enzo Ferrari”, University of Modena and Reggio Emilia, Via Vivarelli 10, 41125, Modena, Italy
b
Sacmi Imola SC, Imola, Italy
A R T I C L E I N F O A B S T R A C T
Handling Editor: Cecilia Maria Villas Bôas de This research explores the importance of sustainability in the ceramic industry, focusing on how companies
Almeida measure and monitor their sustainability indicators. Economic crises and climate change have led scholars over
the years to focus their attention on reducing impacts and monitoring sustainability indicators with particular
Keywords: attention to the energy sphere. In the scientific literature it emerges that there is no set of indicators for the
Sustainability
ceramic industries suitable for monitoring company data. To address this emerging gap, the paper takes a
Ceramic industry
ceramic company as a reference and proposes a set of key performance indicators (KPIs) to help manufacturing
Key performance indicator
Industry 4.0 companies monitor their economic, environmental, and social sustainability performance. The study aims to fill
Data monitoring these gaps by underlining the importance of investing in the digitization of processes and in Industry 4.0 digital
Digital technology technologies to obtain constantly updated and real-time information for sustainability monitoring. The research
also emphasizes the applicability of these findings to other manufacturing enterprises, offering a methodology for
self-monitoring sustainability. The article suggests the development of a "Sustainability Digital Twin" as a tool to
help business managers make informed decisions and design products with all aspects of sustainability in mind.
The integration of sustainability and digitization is highlighted as a crucial aspect for achieving sustainable
ceramic production. The proposed KPIs and the digitization of processes can provide data to implement strategic
plans for sustainable production. Therefore, this study has contributed to fill the gaps in the literature by
demonstrating that the digitization of production processes allows for a more specific assessment of economic,
social and environmental impacts by ensuring transparent communication of performance to stakeholders.
1. Introduction Development, 1987). This conference also led to the creation of Agenda
21, which emphasized the importance of countries’ commitment to
1.1. Introduction to sustainability solving socio-environmental problems (Barcena, 1992). The objective
was to monitor environmental progress and develop standards that
The term "sustainability" has its roots in the Latin word "sustinere", could enhance quality of life while preserving the environment, thus
which denotes actions related to support, conservation, and care (Kidd, strengthening the integration between social, economic, and environ
1992). The modern concept of sustainability emerged during the 1980s mental dimensions. Subsequently, the term sustainability has been
and was formally introduced in the report "Our Common Future", pub incorporated into various contexts, including the industrial sphere.
lished by the United Nations Program for the Environment’s World In the present context, it is crucial to have indicators that can
Commission on Environment and Development in 1987 (United Nations, effectively monitor the performance of a company. These indicators,
1987). At the Rio de Janeiro Conference on Environment and Devel known as Key Performance Indicators (KPIs), can pertain to diverse
opment in 1992, world leaders convened to address emerging environ domains, such as economics, social aspects, and the environment
mental issues at a global level. At this conference, the concept of (Elkington, 1998). They enable the provision of a significant and
sustainable development was established as "development that meets comprehensible outcome, which can aid in the evaluation of the overall
the needs of the present without compromising the ability of future progress of corporate sustainability. This information is indispensable
generations to meet their own needs" (Secretary-General and not only for the top management of the organization, but also for all its
* Corresponding author.
E-mail address: [email protected] (G. Contini).
https://doi.org/10.1016/j.jclepro.2023.137664
Received 1 March 2023; Received in revised form 3 May 2023; Accepted 30 May 2023
Available online 8 June 2023
0959-6526/© 2023 The Authors. Published by Elsevier Ltd. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/).
G. Contini et al. Journal of Cleaner Production 414 (2023) 137664
stakeholders. However, the limitations of the current approaches to advantage and value creation (“Strategy and society,” 2007). With these
sustainability performance evaluation underscore a significant research drivers and the spread of Covid-19, there has been a recent increase in
and practice gap, highlighting an urgent need for the development and investments towards digitization and sustainability. The COVID-19
implementation of new frameworks, methodologies, and tools (Wicher pandemic has emphasized the need for sustainable investing in com
et al., 2019). panies, as investors increasingly recognize the impact of environmental,
social, and governance (ESG) factors on corporate performance and
long-term value creation (Weiwei Mo et al., n.d.). The COVID-19
1.2. Role of sustainability in industry – Michael Porter pandemic had a substantial impact on ceramic companies in 2020,
resulting in an estimated loss of around 350 million in revenue
Scholars suggest that Industry 5.0, the newest industrial paradigm, (“Industria ceramica, perdite da 350 milioni a causa del Covid-19,” n.
has the potential to transcend the profit-oriented productivity of In d.). The health crisis affected the sector significantly, leading to a sub
dustry 4.0 and promote sustainable development goals, including stantial decline in sales of approximately − 20% (“Confindustria
human-centricity, socio-environmental sustainability, and resilience Ceramica: il Covid rallenta il settore, che però regge meglio di altri,” n.
(Ghobakhloo et al., 2022). Thus, the concept of sustainability is d.). However, in 2021, the industry witnessed a significant surge in
increasingly associated with the industrial sector (Demir and Cicibas, turnover, growing from 2.6 million euros to approximately 3.5 million
2017) (Ghobakhloo et al., 2022). euros, representing an increase of +35.97%. This growth allowed for a
Michael Porter, a pioneer of managerial strategy, was the first to recovery from the pandemic-induced decline and contributed a signifi
introduce the concept of "sustainability" in an industrial context. He cant portion of growth. Sustainable investments played a crucial role in
argues that many companies narrowly focus on creating value and overcoming the crisis, as companies realized that technological inno
optimizing short-term financial performance, disregarding the most vation, product evolution, and environmentally sustainable practices,
critical customer needs and ignoring the broader determinants of long- with pollution levels below legal limits, can be combined to achieve
term success (Porter and Kramer, 2019). Porter’s key idea is that success (“Ceramica sostenibile,” n.d.).
investing in sustainable planning (environmental, social, and economic) As a result, there has been a significant shift towards sustainable
in companies can provide an economic return in the short term. His investing, with funds outperforming traditional funds in many cases. In
primary goals are to enable companies to create a competitive advan Europe, the Green Deal Investment Plan finances public, and private
tage and play a leading role in bringing together business and society investments to support the transition towards a climate-neutral, sus
(see Fig. 1). tainable, and circular economy (“The green deal – just transition and
According to the theory of strategy, for a company to achieve suc sustainable development goals Nexus | Elsevier Enhanced Reader,” n.
cess, it must create a unique value proposition that caters to the re d.). In particular, the European Green Deal is a package of strategic
quirements of a specific group of customers. The organization obtains a initiatives that aims to start the EU on the road to a green transition, with
competitive edge by configuring its value chain, which encompasses the the ultimate goal of achieving climate neutrality by 2050. In Italy, the
series of activities involved in the generation, production, distribution, PNRR (Piano Nazionale di Ripresa e Resilienza) seeks to promote eco
sales, and support of its goods or services. This value chain configuration nomic recovery and resilience following the pandemic. The plan pro
enables the firm to differentiate itself from its competitors and create vides for various investments to implement digital innovation and
value for its customers, thereby enhancing its chances of success in the sustainability tools, such as energy efficiency, renewable energy, cir
market (Porter and Kramer, 2019). cular economy, sustainable mobility, and nature-based solutions (“Piano
Porter’s "Principle of Shared Value" suggests that companies should Nazionale di Ripresa e Resilienza,” n.d.). Therefore, the PNRR can be
link corporate success to social progress by creating economic value for considered part of investments in industrial sustainability, as it includes
society (Porter and Kramer, 2019). By implementing this concept, various measures aimed at promoting sustainable development and
companies can recognize social damages or weaknesses (pollution, un reducing environmental and social risks. Through this type of financing,
safe working environment, waste of resources, workplace accidents, it is possible to incentivize and implement sustainable operations to
etc.), which can often create internal costs such as waste of energy or create shared value.
raw materials, costly accidents, and the need for corrective training to
compensate for inadequacies in instruction. Porter contends that the 1.3. Digitization and sustainability
success of a company depends on three tools that companies should
incorporate into their strategic plan: digitization, sustainability, and the Digitalization can play a key role in promoting sustainability in in
circular economy, which are defined as the levers of competitive dustries by enabling more efficient use of economic, environmental, and
social resources. Digitization can ensure efficient communication, inte
gration and ultimately balance between production, transmission, and
consumption. There are several ways in which digitalization can
contribute to sustainability in industries, for example through resource
efficiency, circular economy, environmental monitoring, supply chain
and waste management (Antikainen et al., 2018). The digital transition
towards sustainability is gaining importance in the manufacturing
sector, particularly for industries that consume high resources and en
ergy (García-Muiña et al., 2020). Companies are adopting diverse sus
tainability practices and investing in Industry 4.0 technologies,
including the Internet of Things (IoT), artificial intelligence, and big
data analytics, to conduct impact assessments of their production pro
cesses. The aim is to create smart factories with greater automation,
efficiency, and productivity, and it is precisely the concept of "perva
siveness" that links digitalization to sustainability.
Environmental monitoring is one of the crucial parameters that
companies should consider when analysing the impacts, they generate.
Among these parameters, energy is a specific aspect that many com
Fig. 1. Shared value concept. panies are paying increasing attention to (Muthukannan, 2019). Carbon
2
emissions and energy costs are significant concerns for Italian industry, economic, and social impacts (Ferrari et al., 2021).
and their management plays a critical role in improving company per The present study focuses on analyzing a particular industrial pro
formance. To calculate this parameter with a view to improving com duction sector, recognized as one of the most energy-intensive in Italy.
pany performance, the company must provide data that enables its However, this research goes beyond providing a set of sustainability
monitoring. A successful company should be guided by data, which indicators exclusively for ceramic companies. It introduces a method
should lead to defined results and be connected to the objectives of all ology that enables companies from diverse industrial sectors to select
interested parties, while being monitored with clear metrics. Therefore, and implement specific sustainability performance indicators tailored to
a system that constantly monitors these parameters is necessary. Digi their production processes.
talization can be a tool that helps industries verify data, which, once The selected indicators, identified as KPIs, possess applicability
analyzed, allows the reduction of economic, environmental, and social across various industrial manufacturing sectors. These indicators can be
impacts. adapted to suit specific business cases. For instance, metrics such as:
"quantity of material," "transport," and "raw material cost" are suitable
1.4. Role of digitization in the company indicators applicable to a wide range of industries. The ceramics in
dustry is recognized for its energy-intensive processes, such as high-
The advent of digital technologies has facilitated data collection, temperature firing, material handling, mixing, and molding, which
leading to a more efficient measurement of indicators. Defining data require significant amounts of energy (Ferrari et al., 2021). The indus
consistently and completely makes software implementation easier and try’s use of raw materials, including clay, feldspar, and quartz, also
ensures reliable decision-making information. It is crucial to document contributes to its high energy intensity. Moreover, the production of
measurement details to ensure consistent calculation and presentation ceramics often involves the use of fossil fuels, which further exacerbates
of results in the reporting period. This is necessary to obtain meaningful its energy intensity and greenhouse gas emissions. As a result, energy
analyses and conclusions on indicator performance. Within the frame management is critical for this sector, which holds a prominent role in
work of Industry 4.0, the Digital-Twin is pivotal in enabling efficient and Italian industry (Ancona et al., 2022). The ceramics industry is facing
collaborative production processes. significant challenges due to the ongoing COVID-19 pandemic, which
Based on this premise, innovative digital tools that can measure, has disrupted the global economy and affected its future prospects. The
manage, and communicate company data are essential to mitigate in sector’s energy-intensive nature makes it particularly vulnerable to in
dustrial impacts. Measuring is crucial to understanding the current state creases in energy commodity prices, particularly natural gas, and elec
of the company and making decisions that enhance future performance tricity, as well as increases in raw material costs. Such developments can
(Contini and Peruzzini, 2022). have a profound impact on profit margins, particularly for sectors like
The fundamental principle behind this concept can be summarized as ceramics, which are highly energy-intensive. This could have serious
"Realizing to Realize". To realize this, an internal corporate awareness implications for the competitiveness of the industry and the wider Ital
must be built that translates sustainability efforts into a value or datum. ian economy (“Ceramica, proposte a sostegno del settore,” n.d.). Given
This must guide internal governance, future decisions, and corporate its energy and resource intensity, the ceramics industry requires support
reputation. The concept of measurement must be integrated with a to identify and implement sustainable solutions to reduce its environ
strategy that interprets present data to provide clear future targets. This mental impact. While digitization is often seen as an aid to industry, it
fosters a converging vision in strategic terms towards the true definition must be used judiciously to minimize the environmental impacts
of sustainability. Digital tools enable companies to self-evaluate and generated by energy-intensive industries like ceramics (Monteiro et al.,
acquire greater awareness ("realize"). 2022). Therefore, the integration of sustainability with digitization is
Once sufficient self-analysis is achieved, each company can manage fundamental. Only through the implementation of Industry 4.0 tech
and leverage the vast amount of data produced. The data collection, its nologies, which enable the management and monitoring of corporate
history, the responsibility of the person who took the measurement, and data, can we address the sustainability challenges facing the ceramics
the measuring instrument must be stored and documented. In medium- industry.
to long-term performance analyses, detecting anomalies or improve
ments precisely in the face of well-historicized and documented varia 1.6. Global reporting initiative and sustainable development goals
tions is critical.
An increasing number of companies are providing their financial and
1.5. Ceramic company non-financial information to stakeholders through various reports. The
"Sustainability Report" is the main report that includes aspects related to
The district of Sassuolo, located in the provinces of Modena and sustainability and has become a central element of every corporate
Reggio Emilia in northern Italy, is one of the primary industrial districts sustainability strategy. This report allows organizations to highlight
that produces ceramics, with most of the mechanical ceramic their economic, social, and environmental performance to stakeholders,
manufacturing companies concentrated in this area, 300 companies and to set goals, measure performance, and manage change to make
with 18,000 employees (Bianchetti and Cerruti But, 2016). This region their operations more sustainable. Globally recognized standards are
has made significant progress in the field of environmental sustain used to communicate this information and move towards the goal of
ability, with efficient processes, excellent material, water and packaging sustainable development. The Global Reporting Initiative (GRI) devel
recovery performance, and robust recycling activities (Mosconi, 2017). oped the "Sustainability Reporting Guidelines" to systematically reveal
Italy is one of the world’s most industrialized and technologically the sustainability performance of organizations across economic, social,
advanced countries in the manufacturing sector, with demonstrated and environmental dimensions (Gümrah et al., 2019). According to
implementation of Industry 4.0 paradigms for the digitization of pro (“Standard GRI,” n.d.) GRI Standards are a set of standards that are
duction (Bortolini et al., 2017). In this context, the Sassuolo district designed to be used as a modular system. There are three different sets of
represents one of the best practices in Europe for digitization of indus standards that are used to support the reporting process. The first set is
trial processes and management of industrial environmental sustain the GRI Universal Standards, which apply to all organizations regardless
ability (Mattioli, 2019) (Da Ronch et al., 2013). The case study focuses of their size, sector, or location. The second set is the GRI Sector Stan
on a multinational company that produces ceramics and is a world dards, which are specifically designed for targeted industries. The third
leader in the production of machinery for the ceramic sector. The set is the GRI Specific Standards, which list the relevant disclosures for a
ceramic industry is energy and resource intensive, making it necessary particular topic. By using these Standards to identify material topics,
to identify and implement solutions to reduce its environmental, companies can effectively achieve sustainable development.
3
The demand for companies to do business in an ethical manner, and digitization, data collection and entry can be automated, and data can be
to be attentive to society, people, and the environment, is increasing collected in real-time and constantly updated. To collect such data,
among the European Union (EU), governments, international commu parameters, indicators, and metrics that can measure company data in a
nities, and citizens. Legislative Decree 254/2016, which transposes the qualitative and quantitative way must be defined. This study focuses on
European Directive 2014/95/EU, obliges public interest entities to defining key performance indicators for measuring sustainability in the
communicate their environmental and social performance (“Process economic, social, and environmental domains of a specific industrial
Factory - Report di Sostenibilità,” n.d.). The evolution of this directive sector. The sustainability indicators framework was developed using an
will introduce a new regulatory system from 2024 to 2028, the Corpo Italian company in the ceramic sector, which is one of the most energy-
rate Sustainability Reporting Directive (CSRD), which will require intensive industrial sectors for production. Ceramic production has a
companies with a certain number of employees and turnover to report long history in Italy and has been an important industry for centuries,
on their sustainability performance (“REPORT on the proposal for a particularly in the Emilia-Romagna Region. The ceramic sector has seen
Directive of the European Parliament and of the Council amending a significant increase in investments in digitization and sustainability
Directive 2013/34/EU, Directive 2004/109/EC, Directive 2006/43/EC initiatives. Energy is a critical component of ceramic production, and the
and Regulation (EU) No 537/2014, as regards corporate sustainability kiln is the primary tool used in the industrial process (Ferrari et al.,
reporting,” n.d.). This is expected to reduce greenwashing, strengthen 2021). The high cost and limited availability of energy due to the crisis
the EU social market economy, and lay the foundations for global sus in Ukraine have made it essential for companies to monitor and imple
tainability transparency standards (“CSRD: da gennaio 2024 novità per ment sustainability initiatives to reduce their impact (Klimczak, 2015).
le imprese Approvata la nuova Direttiva Europea sulla comunicazione Sustainability is an essential aspect of the Italian ceramic industry,
della sostenibilità,” n.d.). which distinguishes it from its international competitors (Ferrari et al.,
Apart from European directives, other external forces have also led to 2019). Several companies have started integrating sustainability con
an increase in demand for sustainability performance from companies. cepts into their corporate business. To achieve this, self-monitoring is
The New York agreement of 2015 led to the definition of the 2030 necessary.
Agenda for Sustainable Development, with 17 Sustainable Development
Goals (SDGs) incorporated into a major action program for a total of 169 2.2. Case study
targets. These SDGs provide a universally valid reference, and all
countries must take steps to achieve them, each according to their own To ensure the practical and objective implications of this study, an
capabilities. The Global Compact, the largest international corporate Italian company from the ceramic sector was selected as a reference. The
sustainability initiative, includes these 17 targets and acts as a catalyst case-study company, a global leader in the production of automatic
for future changes to be supported in the private sector to achieve the machines and complete systems with a focus on the ceramic industry,
SDGs by 2030. was chosen to conduct an in-depth and accurate analysis.
The remaining of this paper is organized as follows: Section 2 de The ceramic industry is a highly technological sector that specializes
scribes the method used to select companies and collect data, Section 3 in the design and manufacture of machinery and complete plants for the
presents the results of the analysis, Section 4 discusses the results ach production of tiles, sanitary ware, tableware, refractories, special and
ieved and the construction of the digital system, and Section 5 discusses technical ceramics. The advanced technological features of these sup
the contribution of this study and its possible applications. plies represent a distinctive trait, which establishes the company as a
primary technological partner for the ceramic industry. The use of
2. Material and methods cutting-edge technologies enables the progressive replacement of
manual processes with automated production processes, not only in
In this paper one of the primary objectives is to develop intelligent traditionally advanced markets but throughout the global landscape. In
and advanced monitoring and warning systems to prevent potential recent years, significant efforts have been devoted to extending Industry
harmful conditions in specific company areas. However, to monitor 4.0 methodologies and processes to all phases of the ceramic production
these areas, it is essential to measure them qualitatively and quantita line. These processes aim to deliver machines and plants that are
tively using specific indicators and metrics. Therefore, we propose a set competitive in terms of efficiency, costs, flexibility, and production
of sustainability performance indicators for companies that produce quality, while reducing energy consumption and environmental impact.
ceramics. To achieve this, monitoring systems that can keep the data The production of ceramic tiles is a complex process that comprises
constantly monitored and updated are required. Thanks to digitization several sub-processes and stages. Fig. 2 depicts a diagram that facilitates
and the implementation of new technologies for Industry 4.0, this is now the understanding and connection of the various production phases. In
possible. Finally, we demonstrate the applicability of this methodology the first phase, the raw materials of the ceramic compound are trans
by presenting a case study of a ceramic company. ported to the company and stored in the warehouse. Before being
This article aims to fill the research gap by defining a set of key ground in the mills, the raw materials are sent to the specific body
performance indicators for ceramic industries connected to a monitoring preparation department. During grinding, water is added to the raw
system that exploits digital technologies. This will allow for timely and material, resulting in a compound known as "slip." This compound is
non-retroactive decision-making by the company. We address the then sent to the atomizer, which sprays the slip using the flow of hot air,
following research questions in this article: causing the water to evaporate. Once the right composition of the
powder has been obtained, it is taken to the next stage, where it is
1. How do ceramic industries measure their sustainability indicators? pressed to compact the powder and create the desired shapes. In the
2. How can technology help to have real-time and constantly updated subsequent phase, the tile is dried again to eliminate any residual water.
data? The tile is then glazed, decorated, and annealed to consolidate and sinter
3. What technologies are available today for viewing and using com the support and the tile glaze. Once the final product has been obtained,
pany data? it is taken to the sorting line, which checks and performs a visual sorting
and packaging of the product. Finally, the product is sold, distributed,
and installed by end customers. The last phase concerns the end-of-life
2.1. Background management of the product, which involves disposal or recycling of
the materials used (Garcia-Muiña et al., 2018).
The primary objective of this research is to develop a framework for The case study company is involved in both the manufacturing of
sustainability assessment using Industry 4.0 digital technologies. With tiles and the supply of machines for producing finished products
4
Fig. 2. Manufacturing ceramic process.
(automatic machines). Thus, the suppliers and customers of the refer the main one, were selected, as shown in Table 1.
ence company have been included in the analysis to obtain a compre Subsequently, it was determined how these companies monitor
hensive overview of how ceramic companies monitor themselves in themselves in terms of sustainability. Specifically, it was crucial to
terms of sustainability. determine whether they prepare sustainability reports, which are the
Through this analysis, it will be possible to gain a complete overview only official documents with which companies can demonstrate their
of how the main ceramic companies monitor themselves in terms of sustainability practices. The analysis compared various metrics,
sustainability to date. including the identification of client or supplier companies associated
The selected company is currently implementing Industry 4.0 prin with the case study company, business group, sustainability report
ciples to digitize its processes and has initiated data monitoring to preparation, KPI and GRI measurements and financial statement infor
facilitate sustainability reporting (for example innovations aimed at mation, methodological note, highlights, the letter from the chairman/
optimizing and maximizing the efficiency of the entire process, from the letter to stakeholders, materiality matrix, KPI/GRI table, reporting
automatic management of the loading of raw materials, of the dosage of perimeter, extra documents, number of pages, and language. After
the recipe up to the loading of the powders in the storage silos). Within obtaining the required information, companies that currently present a
its production process, the company is currently integrating digital sustainability report or a monitoring system with specific indicators
technologies in accordance with the principles of Industry 4.0. It has were selected. Based on this analysis, seven companies were taken as a
initiated data monitoring to enable the reporting of sustainability ef reference. From these companies, the selection of indicators declared in
forts. For instance, the company has implemented innovations aimed at their respective published sustainability reports or made available on
optimizing and maximizing the efficiency of the entire process. These line will occur.
innovations encompass automated management of raw material In order to define this set of indicators useful not only to ceramic
loading, recipe dosing, and loading of powders into storage silos. companies but also to any manufacturing company wishing to begin
monitoring sustainability, a team of highly qualified individuals was
chosen (composed of two corporate managers, a sustainability specialist,
2.3. Research and two experienced academic researchers in sustainability) to carry out
a thorough identification and selection of indicators declared by the
Numerous studies have revealed that the ceramic sector is an energy- companies. The team underwent several workshop sessions and in
intensive process (Martini et al., 2021), (Mezquita et al., 2017). There terviews, which enabled the selection of KPIs.
fore, the current study aims to investigate ways to enhance the sus As depicted in Fig. 3, once the specific KPIs for each company were
tainability of the entire process. To achieve this objective, it is essential identified, it was decided to name the KPIs that were referred to slightly
to comprehend how companies in this sector are monitoring themselves differently by the respective companies (but fundamentally corre
in terms of sustainability, and only quantitative and qualitative data can sponded to the same indicator) in the same manner. This approach
facilitate informed decisions and improve company performance. Thus, allowed for the identification of all the present KPIs without any repe
the analysis of company data is crucial to understand how to enhance titions or similar denominations. All the KPIs were then classified ac
the most common critical aspects of ceramic manufacturing companies. cording to the three sustainability areas (economic, environmental, and
The first phase involved the application of inferential methods, social). To provide a simpler view of the selected indicators, macro
establishing a specialized team in the field of sustainability. This team categories were defined to simplify the analyzed area, and subcategories
was composed of two corporate managers, a sustainability specialist, were established to provide more detailed specifications for the indi
and two experienced academic researchers in sustainability. The pur cator to be calculated. Finally, metrics were identified for all the in
pose of this team was to structure the entire selection process. dicators to enable mathematical and/or quantum calculation of the KPI
The first part of the research involved identifying the companies to (Neri et al., 2021) (Ferrari et al., 2019).
be analyzed. Specifically, as the primary business of the Italian multi
national company chosen for the study is ceramics, it was deemed 3. Results
crucial to verticalize the research by incorporating other companies in
the supply chain of this business. This methodology provided a broader The objective of this article is to establish a comprehensive set of
perspective about ceramic companies in Italy. In this way, the suppliers performance indicators that can be used to monitor various sustain
and customers of the company were included in the analysis, and a total ability parameters in the ceramic sector. However, the relevance of these
of 33 companies were identified and analyzed. Various parameters were data extends beyond the industrial sector alone. The information can
used to classify the companies, and 32 ceramic companies, in addition to
5
G. Contini et al.
Table 1
Ceramic Companies belonging to the company’s supply-chain case study selected for analysis.
Company Group Supplier/ Sustainability Note Measure GRI Methodological Highlights Letter from Letter to Materiality KPI Perimeter Extra Number Writing
Customer Report with KPIs note president Stakeholders matrix GRI documents of pages language
table
Company 1 / Customer No / / / / / / / / / / / / /
Company 2 / Customer No Environmental / / / Yes / / / / / / 16 Italian
Statement 2019
Company / Customer No / / / / / / / / / / / / /
10
Company / Customer Yes Year 2021 Yes Yes Yes Yes Integrated to Yes Yes Yes Group / 86 Italian
11 the Letter to
stakeholders
12
13
Company / Customer No Environmental / / / / / / / / / / / /
14 Declaration 2021
Company / Customer No Corporate Policy / / / / / / / / / / / /
15
Company / Customer Yes Year 2018 Yes Yes Yes / Integrated to Yes / Yes Group and / 36 Italian
6
16 the Letter to consolidated

stakeholders companies
Company / Supplier No / / / / / / / / / / / / /
17
Company / Customer Yes 2021 Yes Yes / Yes Yes / Yes / / / 17 Italian
18
Company / Supplier Yes Year 2021 Yes Yes Yes Yes Integrated to Yes Yes Yes / / 64 English
19 the Letter to
stakeholders
Company / Customer Yes Year 2021 Yes Yes Yes Yes Integrated to Yes / Yes Entire supply chain / 39 Italian
20 the Letter to
stakeholders
Company / Supplier No / / / / / / / / / / / / /
21
Journal of Cleaner Production 414 (2023) 137664

Company / / No / / / / / / / / / / / / /
22
Company / Supplier Yes Year 2021 Yes Yes Yes Yes / Yes Yes Yes Italian companies / 58 Italian
23 of the Group
Company / Customer No EPD 2018 Yes / / / / / / / / / 19 Italian
24
25
26
Company Yes Customer No / / / / / / / / / / / / /
27
(continued on next page)
also prove valuable to various stakeholders, including policymakers,

industrial technical promoters, company managers, and other interested
language
Writing
English
Italian
Italian
parties. By utilizing this information, they can make strategic decisions
and
that enhance corporate competitiveness and prioritize actions aimed at
/
safeguarding the general population.
of pages
Number
100 As discussed in earlier sections, the implementation of real-time
240
monitoring technologies is crucial to achieve constant and reliable
/
data updates. Therefore, incorporating digital technologies into pro
documents
duction processes becomes imperative, ensuring enhanced accuracy of

company parameters in terms of sustainability.
Extra
This article focuses on a case study involving seven supplier and

/
/
customer companies, selected from a sample of 33 companies analyzed,
Economic-financial
Group and Imola

that claim to utilize sustainability indicators. Table 2 presents the
information -
Consolidated
identification of the following aspects for each of the seven selected

statements
Perimeter
financial
companies:
- The sustainability indicators used for monitoring (categorized into

/
/
table
economic, environmental, and social indicators)

GRI
KPI
Yes
Yes
- The company topics in which they invest
/
- The Sustainable Development Goals (SDGs) to which they respond

Materiality
through the presented indicators

matrix
Yes
3.1. Emerging gap

Stakeholders
Letter to
After an initial analysis of the supply chain companies in the case

Yes
Yes
study, those with sufficient data and information regarding company

/
monitoring systems were selected for further analysis. However, only 7

Integrated to
stakeholders
the Letter to
out of 33 companies provided documents containing their company

Highlights Letter from
president
performance monitoring system on their sustainability report or web

site. This highlights the need to disseminate the importance of
Yes
/
measuring oneself and having key indicators available for sustainability

monitoring. To address this issue, a set of indicators was identified,
selected, and disseminated to help ceramic companies monitor them
Yes
selves. The identified indicators have been systematically classified and

/
categorized based on the three dimensions of sustainability: economic,

GRI Methodological
environmental, and social. The outcomes of this analysis are showcased

in Table 2, which provides insights into the monitoring practices of each
company and the indicators they employ. Upon examining the reported
note
Yes
Yes
data, a notable observation is that several companies often conflate the

/
distinction between indicators and the metrics used for their calculation.
Yes
Yes
/
Consequently, this confusion generates significant challenges in effec

with KPIs
tively communicating the monitoring methodologies employed by each

Measure
company. As a result, there is a pressing need to unambiguously define

Yes
Yes
the specific indicators within each sustainability dimension, accompa

/
/
and statutory financial
nied by their corresponding metrics, to facilitate accurate and consistent

2020 Consolidated
qualitative or quantitative calculations.

statements - 2021
Financial report
Furthermore, it has been observed that the majority of these com

panies do not yet have a structured sustainability plan in place that is
Year 2021
capable of defining all the specific calculation parameters. Information

Note
and data are often unclear or not useful, and the presence of a company
/
data monitoring system is often not mentioned in the documents.

Sustainability
The purpose of monitoring sustainability parameters is to obtain data

and exploit it to the company’s advantage. However, not all companies
Report
seem to have understood this strategic possibility. To address this, spe

Yes
Yes
No
No
No
No
cific metrics were presented in the article to respond quantitatively or

qualitatively to the selected indicators.
Customer
Customer
Customer
Group Supplier/
Supplier
Supplier
Supplier
3.2. Results of the analysis

/
Table 1 (continued )
Following an assessment of the existing knowledge and the identi

Yes
Yes
/
fication of all the KPIs presented by the companies, the subsequent step
involved the identification of indicators applicable to ceramic com
Company
Company
Company
Company
Company
Company
Company
panies, irrespective of their size. The selection of indicators and their

Study
Case
corresponding calculation metrics was carried out based on the KPIs

28
29
30
31
32
provided by each analyzed company in their financial statements and/or
7
Fig. 3. Workflow adopted starting from the case study company up to the selection of sustainability indicators and metrics.
documents pertaining to corporate sustainability. The indicators were was categorized according to its respective domain (economic, social, or
identified for each company, categorized according to the three di environmental). The entire process of indicator selection was carried out
mensions of sustainability. However, the utilization of these metrics by the team of experts specializing in the analyzed field, resulting in the
extends beyond the calculation of sustainability performance exclu identification of specific KPIs. Once all the indicators were determined,
sively within the ceramic sector. Rather, they offer a framework that they were further classified into the three sustainability domains. To
enables manufacturing companies to implement all or a subset of the enhance accessibility and comprehension of the indicators, it was
selected metrics, which are valuable for monitoring their unique pro decided to classify them into macro-categories, grouping together in
duction processes. For instance, indicators such as "raw material trans dicators that share common themes. This classification allows com
port" or "raw material cost" can be implemented across various panies utilizing this selection of indicators to gain a clear understanding
industries. Consequently, a comprehensive set of indicators has been of the overall framework, which comprises sub-categories of more spe
developed specifically for ceramic sector companies, facilitating stan cific sector-based indicators. After identifying all the KPIs, calculation
dardized sustainability calculations and serving as a starting point for all metrics were established for each indicator. These metrics enable the
manufacturing enterprises seeking to commence sustainability moni conversion of indicators into tangible data, which can then be utilized
toring and strategic decision-making. for making strategic decisions within the company. This approach en
To address the emerging gaps effectively, it was determined that a sures effective organization of all the indicators and specific metrics that
team of professionals should be assembled to ensure enhanced precision have been identified, facilitating streamlined analysis and
and accuracy during the indicator selection process. This team, interpretation.
comprised of company managers, sustainability specialists, and aca Tables 3–5 containing specific indicators grouped by category are
demic experts specializing in sustainability, leveraged their extensive provided below. Table 3 presents the selection of economic indicators.
experience in the field to develop a collection of KPIs capable of From the analysis, 43 economic performance indicators were identified
measuring sustainability performance. These professionals engaged in a and classified into eight macro-categories, with 57 indicators having
series of meetings, workshops, and interviews to identify the most specific calculation metrics.
relevant sustainability indicators. Prior to finalizing the selection, a One of the economic indicators chosen pertains to the operational
comprehensive analysis was conducted on all the indicators, accounting cost accrued by the company. Within this overarching category, several
for variations in terminologies used to refer to the same indicators. This metrics have been designated to quantify the overall cost. An illustrative
approach aimed to eliminate redundant KPIs from the selection. Sub example is the transportation cost. Maintaining up-to-date data on this
sequently, all the relevant indicators were chosen, and each indicator particular parameter enables the company to continually monitor its
8
Table 2
Selected Ceramic Companies (digital version can be viewed from the Supplementary material section).
Company Topic Economic KPI Environmental KPI Social KPI SDGs
Company Organization profile CONSOLIDATED FINFLOOR WASTE MANAGEMENT (t) EMPLOYEES 1

11 Strategy Net revenues Total waste produced (t) Senior executives 3
Ethics and integrity Gross operating margin (E.B.I.T.D.A) Total waste recovered (of which Paintings 4
hazardous and non-hazardous) 5
Government Gross Cash Flow Total waste disposed of (of which Employees and Apprentices 6
hazardous and non-hazardous) 7
Stakeholder Net income Percentage of hazardous waste (out of Equate yourself 8
engagement total) 9
Reporting practices Net Financial Position Assets Percentage of waste sent for recovery Work and Apprentices 10
(liabilities)* Closing balance out of the total waste produced 11
Economic performance Net assets TOTAL WITHDRAWAL OF WATER Administrative/Trainees 12
Materials Total investments total water withdrawal (m3) (of which Totals 13
from wells, aqueducts, industrial) 15
Power ECONOMIC VALUE GENERATED Total water recycled and used (m3) ORGANIC COMPOSITION 16
AND DISTRIBUTED 17
Waterfall Revenue Consumption intensity - Total water Permanent (Men, Women, Total)
consumed (m3)/finished product (m2)
Water and waste water Directly generated economic value TOTAL ENERGY CONSUMED WITHIN Fixed-term (Men, Women, Total)
THE ORGANIZATION (GWh)
Biodiversity Operating costs from non-renewable fuels (natural gas, Full time (Men, Women, Total)
diesel, …) (GWh)
Emissions Wages and benefits electricity, heating, cooling and steam Part time (Men, Women, Total)
purchased for consumption (GWh)
Dumps and waste Payments to providers of capital Self-generated and non-consumed % Employees by category (Men,
electricity, heating, cooling and steam Women)
(GWh)
Environmental Payments to the Public Electricity sold (GWh) % Employees by age group (<30
compliance Administration years, 30–50 years, >50 years)
Environmental Investments in the community ELECTRICITY CONSUMPTION (GWh) TURNOVER
compliance
Environmental Distributed economic value Purchased electricity (GWh) New hires
assessment of suppliers
Occupation Economic value withheld Electricity produced by PV (excluding Positive turnover
turbines) (GWh) Electricity sold (GWh)
Occupational health and FUEL CONSUMPTION FROM NON- POSITIVE TURNOVER BY AGE
safety RENEWABLE SOURCES (GJ) GROUP
Training and education Natural gas consumed in production, POSITIVE TURNOVER BY GENDER
from turbines and heating (GJ)
Diversity and equal Diesel fuel consumed by company cars POSITIVE TURNOVER BY
opportunities (GJ) NATIONALITY
Non-discrimination Diesel fuel consumed by company OVERALL TURNOVER
vehicles used for logistics and
production (GJ)
Local communities CO2 EMISSIONS OVERALL TURNOVER BY AGE
GROUP
Customer health and CO2 emissions (t) OVERALL TURNOVER BY GENDER
safety
Marketing and labelling CO2 emissions (t)/finished product (t) OVERALL TURNOVER BY
NATIONALITY
Customer privacy Particle material (g/m2 finished HEALTH AND SAFETY AT WORK
product)
Socioeconomic Lead (g/m2 finished product) Total injuries
compliance
Fluorine (g/m2 finished product) Of which with serious consequences
COMPANY DIRECT EMISSIONS | SCOPE Of which I died
1
Greenhouse gas emission from (CO2, Hours worked
CH4, N2O, HFCs, PFCs, SF6, NF3)
Stationary combustion (t) Rate calculation multiplier
Mobile fuel (t) Rate of deaths resulting from
occupational accidents
Cogeneration plants (t) Rate of occupational injuries with
serious consequences (excluding
fatalities)
Calculation of HFCs and PFCs (t) Total Recordable work injury rate
(t)
EMISSIONS FROM THE USE OF TRAINING
PURCHASED ELECTRICITY BY THE
COMPANY | SCOPE 2
Greenhouse gas emission from (CO2, Executives (number of hours, hours
CH4, N2O, HFCs, PFCs, SF6, NF3) per capita, number of hours, hours
per capita)
9
Purchased energy Managers (number of hours, hours

per capita, number of hours, hours
per capita)
Employees (number of hours, hours
per capita)
Intermediate (number of hours, hours
per capita)
Workers/subsidized workers (number
of hours, hours per capita, number of
hours, hours per capita)
Total training hours
CORPORATE WELFARE
TERRITORIAL WELFARE
Company Consumption of / Consumption of materials and waste Workforce composition /
16 materials and waste produced
produced
Energy consumption Raw materials for dough (sands, clays or Diversity among employees broken
feldspars) down by professional category, age
group and gender
Atmospheric emissions Materials for glazing and coloring tiles Number of employees broken down
(glazes, color additives or inks) by type of contract and gender
Waterfall Other materials that are not part of the Number of employees by type of
final product but are needed in the contract (part-time/full-time) and
production process (such as machine gender
lubricants or mineral oils)
Dumps and waste Packaging materials (paper, plastic and Hiring and terminations
wood)
Environmental Hazardous waste (of which sent for Total number and rate of new
compliance recovery, disposal, stored on site) employees hired by gender, age group
and geographical area
Composition of the Non-hazardous waste (of which sent for Number and rate of employees
workforce recovery or disposal) terminated by gender, age group and
geographical area
Company turnover Total Company turnover
Health & Safety Energy consumption Health & Safety
Training and Energy consumption by type (natural Accident rates by region and gender
development gas, diesel, LPG, electricity (from the
grid), electricity produced and
consumed from other sources, electricity
produced and sold from other sources
Product labeling Electricity produced from other sources Training and development
(total)
Fight against corruption Total Energy Consumed (GJ) Average hours of training per
employee by professional category
and gender
Production (m2) Product labeling
Energy consumption (GJ) Fight against corruption
Energy intensity (GJ/m2)
Atmospheric emissions
Direct (Scope I) and indirect energy
(Scope II) greenhouse gas emissions
CO2 emissions
Emissions of NOx, SOx and other
significant emissions (Dust, NOx, SOx,
Lead compounds, Fluorine compounds,
Aldehydes, CO, SOV, VOC)
Use of refrigerant gases for refrigeration
and air conditioning
Waterfall
Water withdrawals divided by source
(Public aqueduct, Own wells, Total)
Dumps and waste
Environmental compliance
Company Innovation, Total Operations (Sales) Process improvement and cutting-edge New hires 2021 by gender (<30 3
18 development and technologies years, from 30 to 50 years, > 50 4
product quality years, total) 5
Enhancement of human Total materials produced Waste Total employees by gender (US, EU, 6
resources through total) 7
training 8
Efficiency of energy Consolidated net revenues Raw material Hours of training (managers, others, 9
consumption total) 11
Communication Total capitalization (equity debt) Management of environmental impacts 12
13
14
10
Economic responsibility DIRECTLY GENERATED ECONOMIC CO2 emission reduction projects

VALUE (values in thousands of
euros)
Revenue Sustainable logistics management
DISTRIBUTED ECONOMIC VALUE Sustainable management of the supply
chain
Operating costs
Payments to capital providers
Investments in the community
ECONOMIC VALUE RETAINED
Wages and benefits
Payments to the Public
Administration
Difference between generated
economic value and distributed
economic value
Company Efficient use of PROMOTION OF QUALITY ENERGY RESOURCES Occupation 3
19 materials EMPLOYMENT 6
Energy efficiency Permanent contracts Power Number of employees by State 8
Greenhouse gas Employee wages Direct GHG emissions (Scope 1) Number of employees per company 9
emissions and climate 12
change
Protection of natural SUPPORT TO LOCAL SUPPLIERS Indirect energy (Scope 2) GHG % fixed-term and permanent
capital emissions contracts
Water and waste Purchases from suppliers Energy consumption within the Equal opportunities and non-
management organization discrimination
Talent development and Spending on local suppliers Reduction of energy consumption % hired men and women
retention
Employee welfare SUPPORT TO LOCAL Intensity of greenhouse gas emissions Personnel at the end of the year by
COMMUNITIES gender and professional category
(Directives and managers, Personnel
office, Off-site personnel)
Gender equality, Anti-corruption and extortion OTHER ISSUES Internal promotions and new hires by
diversity and inclusion gender and professional category
Occupational health and Ethics and compliance Emissions and climate change Talent development and retention
safety
Human rights and fair ESG management Nitrogen oxides (NOx), sulfur oxides Percentage of employees receiving
working conditions (SOx) and other significant air emissions regular performance and career
development reviews
Support to the local Risk management ENERGY EFFICIENCY Gender equality, diversity and
community inclusion
Customer satisfaction Communication and transparency WASTE MANAGEMENT Human rights and fair working
and loyalty conditions
Product quality and Promotion of economic development % waste recovered TRAINING ACADEMY (Sales and Key
safety Account Management Safety and
Health at Work, English, GDPR,
Quality Management, Content
Marketing, Technical Courses,
Software Courses, Internal Logistics)
Communication and Waste generated Total hours of training
transparency
Risk management Waste subtracted for disposal Average hours per employee
ESG management and Waste destined for disposal Hours of training by employee
dialogue with category and gender
stakeholders
Ethics and compliance Management of significant impacts HEALTH AND SAFETY AT WORK
related to waste.
Management of ESG Differentiated waste collection. Lost time injury frequency rate
risks within the supply
chain
Waste management Employee welfare
CIRCULARITY OF MATERIALS Accidents at work
Production waste recycling Occupational health and safety
Maximum recycled content in the spray- Product health and safety
dried mixture
Efficient use of materials Innovation
Recycled input materials used Support to the local community
CIRCULARITY OF WATER
Total water consumption
Recirculation of water from industrial
use
Management of water resources
Biodiversity
The management approach and its
components
11
Company Sustainability of Economic value generated Withdrawal of water Corporate structure and bodies 1
20 products 2
Water and production Operating costs Emissions in the atmosphere EMPLOYEES 3
waste recycling 4
Packaging Wages and benefits Soil and subsoil Senior executives 5
Product certifications Payments to providers of capital Energy consumption Paintings 6
Supply chains Payments to the Public Use of substances Employees and Apprentices 7
Administration 8
Corporate Social Investments in the community Waste production Equate yourself 9
Responsibility 10
Product quality Distributed economic value External noise from production plants - Work and Apprentices 11
consumption of various materials 12
Environment and Economic value withheld Transport of the finished product to the Administrative/Trainees 13
Sustainability final customer and of the raw materials 14
to the factory 15
Health and safety at Environmental behavior of contractors, Totals 16
work subcontractors and suppliers that may 17
have an influence on the environment
Benefit company Effect on the environment due to the ORGANIC COMPOSITION
disposal or end of life of marketed
products
Distributed economic Biodiversity Permanent (Men, Women, Total)
value
Environment Energy consumption (Electricity (GJ) Fixed-term (Men, Women, Total)
Natural gas (GJ))
Biodiversity Electricity KPI Full time (Men, Women, Total)
Energy consumption Thermal energy KPI Part time (Men, Women, Total)
Waste production Waste transferred to third parties for the % Employees by category (Men,
specific EER codes of the ceramic sector Women)
(t/year)
Emissions in the Hazardous waste produced (t/year) % Employees by age group (<30
atmosphere years, 30–50 years, >50 years)
CO2 emissions Waste KPIs TURNOVER
Water consumption Hazardous Waste KPI New hires
MASS FLOW: Resigned
Pollutant type TRAINING (average hours of training
per year per employee)
Fluorine particle material Men
Lead Women
Sulfur oxides Nitrogen oxides SOV Workers
Aldehydes Employees
CO2 emission KPI Senior executives
Water drawn from wells (m3) Average hours of transversal training
Water KPI (Volume of water drawn/ Average hours of safety training
Production poured by weight)
Total training hours
Number of injuries
Company Product quality, Direct economic value generated Materials used by weight or volume Number of employees per /
23 innovation and (thousands of euros) (packaging: of which renewable (%), employment contract (permanent
attention to the material for plant carpentry: of which and fixed-term), by gender
customer renewable (%), total raw materials used:
of which renewable (%))
Human resources Distributed economic value Energy consumed within the Number of employees by type of
management (operating costs, remuneration of organization (consumption of fuels: employment (full-time and part-
collaborators, remuneration of natural gas, consumption of electricity time), by gender
lenders, remuneration of the public purchased from the network (from non-
administration, donations and renewable sources), energy produced
freedoms) from renewable sources: of which sold to
the network, consumption of fleet
vehicles (diesel), total energy
consumption: of which from renewable
sources)
Environmental Economic value withheld Total energy consumption of the Group Employees by type of employment, by
sustainability in 2021 gender in 2021
Responsible Total emissions (ton CO2eq) Percentage of employees by
management of the professional category and gender
value chain (executives, middle managers, office
workers, workers, total)
Ethical business Direct GHG emissions (Scope 1) Percentage of employees by
professional category and age group
Business integrity and Indirect GHG emissions from energy Ratio of basic salary and salary in
sustainable governance consumption (Scope 2) 2021 between women and men for
the white collar category
Economic performance Waste produced, not destined for Turnover rate
disposal and destined for disposal
12
(hazardous waste, non-hazardous, total:

of which sent for disposal (%))
Employee health, safety New hires by age group
and well-being
Professional Terminations by age group
development of
employees and
protection of company
skills
Protection of workers’ Average hours of training by
rights and equal professional category
opportunities
Reduction of Average hours of training by gender
consumption and
emissions from
production activity
Reduction and reuse of Workplace injuries for employees
production waste and
waste
Use of sustainable raw Welfare initiatives (e.g. benefits,
materials smart working)
Research and Percentage of payments made by type
development of supply during 2021 (Materials and
raw materials, Industrial conveyors
and commercial machinery, designed
materials and carpentry,
Maintenance, transport and services
activities)
Quality and safety of Involvement and awareness of the
products and services territory
offered
Satisfaction of customer
expectations
Responsible
management of the
supply chain
Involvement and
awareness of the
territory
Company Product quality and Economic value generated ENVIRONMENTAL RESPONSIBILITY OUR PEOPLE 3.8
28 design 4.4
Economic performance Value distributed to Suppliers MANAGEMENT OF NATURAL Number of workforce by country, 6.3–6.4
RESOURCES gender and type of contract 7.2–7.3
Health and Safety in the Value distributed to Personnel RAW MATERIAL Consistency of Part Time and Full 8.2–8.4. -
workplace Time personnel 8.5
Sustainable innovation Value distributed to Lenders PRODUCTIVE PROCESS Consistency of personnel by 9.1–9.4
professional category and gender 11.6
Customer Satisfaction Value distributed to Shareholders Surface area and weight of the tiles Consistency of personnel by 12.2–12.5
produced professional category and age group 13.1
Welfare and Value distributed to the Public ENERGY AND EMISSIONS Consistency of personnel belonging to
responsibility towards Administration protected categories by category and
employees gender
Training and Value distributed to the Community Total energy consumption (GJ) (from Composition of the Board of Directors
development of renewable or non-renewable sources) by gender and age group
employees
Contrast to climate Distributed economic value Total energy consumption by type Incoming personnel by gender and
change age group
Management of water Economic value withheld Energy intensity Outgoing personnel by gender and
resources age groups
Integrity and Investments in innovation per year Emissive intensity Parental leave
compliance
Brand and reputation Investments by Business Unit Direct CO2 emissions Group employees by type of contract
protection (permanent or temporary)
Waste management and Investments in energy efficiency on Indirect CO2 emissions Group employees
circular economy plants
Responsible WATERFALL Turnover
management of the
supply chain
Support for innovation Water withdrawal (source of Inclusion
withdrawal)
Low water impact Drainage (place of drainage) Discrimination
Human resources WASTE MANAGEMENT Equal opportunities between
employees
Proximity to the Waste by treatment method and Work-life balance
territory composition
13
Pay attention to the Recovery (t) Access to work flexibility systems in

consumption of raw the event of maternity/paternity
materials and water leave
Environmentally Disposal (t) Flexibility in career path planning
friendly packaging
Energy saving Total (t) TRAINING AND DEVELOPMENT
Quality of life products of which dangerous Hours of training provided by
professional category and gender
Waste management % hazardous waste out of the total Training activities on health and
safety issues (in hours)
Reduction of emissions PACKAGING HEALTH AND SAFETY IN THE
WORKPLACE
Recordable workplace accident rate
(employees and external
collaborators)
RELATIONS WITH LOCAL
COMMUNITIES
Euros intended as cash or product
donations for local communities
RESPONSIBLE MANAGEMENT OF
THE SUPPLY CHAIN
Formalized its Code of Commercial
Conduct with the commitment to
start a process of implementing
policies and procedures aimed at
selecting suppliers also on the basis of
sustainability criteria (control of raw
materials, extraction of materials,
management and monitoring of the
environmental impacts generated and
conducting laboratory analyses)
Expenditure on local suppliers (in
millions of Euros
Materials used by weight (t)
Management hired locally
Employees covered by collective
bargaining agreements
Ratio of the standard entry wage by
gender to the local minimum wage
Company Resource training Economic value generated and Fuel consumption divided by renewable Employees by type of contract and 3
Case distributed (euro) and non-renewable source (units) gender 4
Study Occupational health and Revenue NON-RENEWABLE SOURCES (Natural Permanent 5
safety gas, Diesel for car fleet, Natural gas, 7
Diesel for car fleet) 8
Environmental Total economic value generated Electricity consumption Fixed term 9
responsibility 10
Energy efficiency Operating costs Total electricity (of which purchased Total employees (of which 11
and consumed, of which self-produced, apprentices) 12
consumed and sold) 13
Standards/Codes of Staff remuneration Purchased electricity (of which from Employees by type of employment 16
Ethics NON-renewable sources, of which from and gender
renewable sources)
Fight against corruption Debt and venture capital Total electricity (of which purchased Full time
and consumed, of which self-produced,
consumed and sold)
Materials management Taxes Purchased electricity (of which from Part time
NON-renewable sources, of which from
renewable sources)
Working conditions, Investments in the community Consumption of self-produced Total employees
internal climate and electricity
welfare
Relations with the Total economic value distributed Total self-produced energy (of which Employees by professional figure and
territory total electricity consumed, of which gender (Executives, Managers, White
total electricity sold) collars, Blue collars, Total)
Circular economy Total economic value retained by the Self-produced electricity from Employees by professional figure and
organization photovoltaics age range (Executives, Managers,
White collars, Blue collars, Total,
Percentage)
Collaboration with Country-by-country report (euros) Self-produced energy from trigeneration Seniority of work
schools and universities
No. of employees Total self-produced energy (of which Hiring and resignation
total electricity consumed, of which
total electricity sold)
Total compensation of employees Self-produced electricity from Number of new hires
photovoltaics
14
Taxes withheld and paid on behalf of Self-produced energy from trigeneration Number of discharged
employees
Taxes collected from customers on CO2 emissions Rate of new hires
behalf of a tax authority
Industry taxes and other taxes or Natural gas (Scope 1) Turnover rate
payments
to the Public Administration Diesel for car fleet (Scope 1) Recruitment and resignation rates by
age group (<30 years, 30–50 years, >
50 years)
Balance of intragroup debt held by Electricity purchased from non- Breakdown of personnel by
entities in the tax jurisdiction renewable sources (Scope 2), of which: educational qualification
a. Emissions from consumption of (professional institutes, technical
electricity purchased from non- institutes, other secondary schools,
renewable sources; b. Emissions from technical degrees, humanities
consumption of electricity purchased degrees, other lower qualifications)
from non-renewable sources
Revenues from sales to third parties Purified water Average hours of training by
professional category
Revenues from intercompany Cubic meters treated at the purifier Total number of training hours
transactions with other tax provided to Managers
jurisdictions
Pre-tax profit/loss Hours worked by workers in DEP Total number of training hours
departments provided to Managers
Purchase volumes divided by type Water consumption (megalitres) Total number of training hours
provided to Employees
Services Water withdrawal Total number of training hours
provided to workers
Third party machines Drain of water Average hours of training per
Manager
Raw material Water consumption Average hours of training per Middle
Manager
constructive Waste production (tons) Average hours of training per
Employee
Commercial Total weight of waste produced Average hours of training per worker
Purchase trend of machines and Total weight of waste not destined for Average hours of training by gender
spare parts (euro) disposal (of which hazardous waste, of
which non-hazardous waste)
Total purchase volumes by Total weight of waste destined for Total number of training hours
geographical area (euro) disposal (of which hazardous waste, of provided to female employees
which non-hazardous waste)
R&D resources and projects Total number of training hours
provided to male employees
No resources engaged in research Average hours of training per female
and development employee
No. of projects assigned to research Average hours of training per male
and development employee
Number of man months dedicated Training
No. man months/projects Total hours of training
The patents Average hours of training per
employee
Patent applications (total number) Total training costs (€)
Patent applications filed during the Training provided
year
Active patents (total number) professional technical training
language training
Safety and environmental training
Amount of investments for training
(€)
Hours of training/year
Individual people involved per year
Accident rates
Number of injuries
Days lost due to injuries
Number of hours worked
Number of injuries/hours worked
*200,000
Days lost due to injury/hours worked
*1000
Membership consistency
no. associates
% shareholders on total employees
Refund (euros)
Social loan (euro)
Distribution of total turnover by
customer size (small, medium, large)
15
Distribution of total turnover by

geographical area (Italy, the West,
developing countries)
Support to the local, national and
international territory by area of
intervention (euro)
Healthcare/Social
Art/Culture
School
Sports/leisure
Total
performance and make informed decisions aimed at emission reduction. 4.2. Energy-intensive ceramic industry
Through a thorough analysis of the data derived from this metric, the
company can adopt more sustainable practices concerning expenses, Building on the previous premise, this article explores the connection
such as utilizing environmentally friendly fuels, among other measures. that must be established in the industrial field between sustainability
Table 4 presents the chosen environmental indicators for ceramic and digitization. In particular, the analysis focuses on a world leader in
companies. Through the analysis carried out, we identified 13 macro- ceramic production, examining other companies in its supply chain,
categories and 61 specific environmental performance indicators, each including suppliers and customers. This approach allows for a more
with its respective calculation metric. These indicators can provide a specific and detailed analysis and definition of how this sector is
comprehensive view of a company’s environmental sustainability, addressing sustainability. Notably, the ceramic process is one of the
including its impact on air, water, and material quality, as well as waste most energy-intensive in the industrial sector, making it essential to
management, energy efficiency, and greenhouse gas emissions. By continuously monitor sustainability indicators to avoid environmental,
tracking these indicators, ceramic companies can monitor their envi economic, and social impacts. Therefore, it is crucial for every company
ronmental performance and make informed decisions about their op in this industry to have a data monitoring system that provides essential
erations, ultimately contributing to a more sustainable future. information to executives to make strategic decisions that anticipate and
Table 5 shows the selection of social indicators. Following the address potential issues. In the medium to long term, it will be necessary
analysis, a total of 88 social performance indicators were identified, to identify anomalies or improve analyses based on well-documented
grouped into 11 macro-categories. Each indicator has a specific calcu and historical data variations.
lation metric assigned to it.
Once the indicators have been identified and measured through 4.3. Definition of set of indicators
specific metrics, the goal of every company should be to predict the
company’s situation as sustainability parameters change. Therefore, it is To answer the first research question, "How do ceramic industries
crucial to connect technology and digitization with sustainability to measure their sustainability indicators?", the state of the art of how Italian
have a tool that helps corporate decision-makers in data management companies monitor their sustainability performance has been defined.
and strategic decision-making. Access to data that serves as a foundation The presence of sustainability indicators in the various corporate doc
for corporate decision-making facilitates informed choices, especially uments was then assessed and a corporate strategy plan was outlined to
those concerning sustainability. Qualitative and quantitative parameters allow companies to be more sustainable and, at the same time, more
are essential for improving the environmental, social, and economic competitive on the market. As a result, it became necessary to identify a
performance of company products. By using Industry 4.0 technologies set of performance indicators specific to the ceramic sector to stan
and digital tools such as big data monitoring, analytics tools, and digital dardize sustainability calculation across companies.
twins, it is possible to collect data and evaluate company sustainability A set of KPIs was established and divided into three areas (economic,
parameters in a straightforward, immediate, and efficient manner. environmental, and social) by a group of experts. The corresponding
metrics for each indicator were specified to allow for quantitative or
4. Discussion qualitative calculation. Moreover, macro-categories and sub-categories
were defined within each sustainability area. The results of the
4.1. Importance of sustainability in the company research led to the selection of 43 economic indicators (with 57 metrics),
61 environmental indicators (each with one metric), and 88 social in
In the year 2030, companies that are not sustainable will represent dicators (with 88 specific metrics). This standardization of indicators
only a residual part of the market, where "sustainable" products and permits companies to customize their selected indicators to their specific
services will be the norm. Many companies share the common goal of context based on their size and data availability.
improving their skills and communication strategies to capitalize on the
efforts made so far in increasing industry awareness of the value of
sustainability. To facilitate industries in this paradigm shift, it is 4.4. Industry 4.0 and digitization to promote sustainability
necessary to launch a new industrial policy plan that promotes in
vestments in green and sustainable transition. The current concept of The management of large amounts of corporate data is a challenging
Industry 4.0, mainly focused on innovation, is evolving towards a 5.0 task. However, the implementation of new technologies of Industry 4.0
solution where innovation merges with the elements of sustainable and digitization can help structure and standardize data management.
transition. Therefore, it is essential to implement initiatives that support Digitization plays a pivotal role in corporate management, enabling
companies in moving towards a more sustainable world. Every com constant and up-to-date data monitoring. These digital tools, such as
pany’s mission should be to embody the concept of "realizing to realize," Cyber-Physical Systems, Big data analysis, Artificial Intelligence, and
because only by truly understanding the importance of measuring one Digital Twins, among others, are digital entities that aid in providing
self can concrete initiatives be implemented with a view to pertinent data for industrial sustainability monitoring. Once the com
sustainability. pany’s data is obtained, it becomes feasible to implement measures
aimed at mitigating the impacts generated, particularly the
16
Table 3 Table 3 (continued )

Selected economic KPIs and metrics for ceramic companies. ECONOMIC KPI -
ECONOMIC KPI - Ceramic
Ceramic companies
companies
MACRO SUBCATEGORIES METRICS
MACRO SUBCATEGORIES METRICS CATEGORIES
CATEGORIES
Revenue Revenues from euro of revenues from
Costs Purchases from capital euros for purchases from intercompany transactions intercompany transactions
providers capital suppliers with other tax jurisdictions with other tax jurisdictions
Debt and venture capital euros of debt and risk capital Revenues from sales to third euros of revenues from sales to
Total capitalization (equity total euros of capitalization parties third parties
debt) (equity debts) Staff Employee Wages and euros for employee wages and
Gross Cash Flow euros of gross cash flow Benefits benefits
Costs of the supply chain euros for supply chain costs Turnover euros per turnover
Training costs euros for training costs Economic value Distributed economic value euro of distributed economic
Waste costs euros for waste costs value (suppliers, personnel,
Operating costs euros of waste treatment costs lenders, shareholders, public
euros of costs for the end of administration, community)
life of the product Economic value generated euro of economic value
euros of energy costs generated
euro of environmental costs Generated economic value/ euro of economic value
euros of installation costs distributed economic value generated/euro of economic
euros of labor costs value distributed
euros of logistics costs Economic value withheld euro of retained economic
euros of maintenance costs value
euros of production costs Purchase volumes Purchase volumes divided euros for purchase volumes
euros of material costs by type divided by type (services,
euros of packing costs third-party machines, raw
euros of transport costs materials, construction,
euros of utility costs commercial)
euro of warranty costs Total purchase volumes by euro for total purchase
euros of water costs geographical area volumes by geographical area
Health and safety costs euros for health and safety 8 ECONOMIC 43 ECONOMIC KPIs 57 ECONOMIC METRICS
costs KPIs (macro- (subcategories)
Social costs euros for social costs categories)
Total cost of operations total euro for costs of
operations (sales)
Total cost of materials total euro for materials environmental consequences associated with an energy-intensive in
produced produced dustry such as the ceramics sector. In fact, digitization can play a crucial
Gross operating margin euros of gross operating
role in reducing the environmental impact generated by industries such
margin
Payments to the Public euros for payments to the as the energy-intensive ceramic industry. Having consistent and com
Administration Public Administration plete definitions of data facilitates the implementation of software and
Net assets euros of equity provides more reliable decision-making information. Proper documen
Net income euros of net profit tation of measurement details ensures consistent calculation and
Patents and Patent applications number of patent applications
Resources and Patent applications filed number of patent applications
adequate presentation of results during reporting periods. Meaningful
R&D projects during the year filed during the year analyses and conclusions on KPI performance can only be drawn
Active patents number of active patents through this approach. With these statements we answer the second
Resources engaged in number of resources engaged question of the research "How can technology help to have real-time and
research and development in research and development
constantly updated data?".
Projects assigned to number of projects assigned to
research and development research and development
Resources used number of man-months 4.5. Sustainability Digital-Twin
dedicated
Resources used per project number of man-months/
projects In the field of manufacturing, several digital technologies of Industry
Taxes Taxes collected from euros of taxes collected from 4.0 can be applied to optimize the production processes. One such
customers on behalf of a tax customers on behalf of a tax technology is the Digital-Twin, which can create a virtual replica of the
authority authority company’s real-time situation to identify and correct inefficiencies
Taxes withheld and paid on euros of taxes withheld and
behalf of employees paid on behalf of employees
before they occur in the physical world. The identification of this tool
Investments Ethical investments euros for ethical investments allows us to answer the third question of the research "What technologies
Investments in energy euros for investments in are available today for viewing and using company data?".
efficiency on plants energy efficiency on plants This study aims to develop a tool that can manage the data obtained
Investments in innovation euro for investments in
from specific KPIs for the ceramic sector to monitor the company’s
innovation per year
Investments in the euros for investments in the sustainability performance.
community community The Digital-Twin is an essential tool to achieve this goal. This tech
Investments by Business euro for investments by nology enables constant monitoring of the company’s economic, envi
Unit Business Unit ronmental, and social sustainability performance. It is referred to as the
Total investments euro total investments
Recycling processes euro of investment for
"Digital Twin of Sustainability" and should be implemented in every
recycling processes company that aims to monitor its corporate data. As shown in Fig. 4, the
Quality euro of investments for the Digital Twin of Sustainability provides a digital display to manage the
quality of the products parameters and make decisions that lead to sustainable outcomes. As the
tool evolves, it will enable sustainable production planning, considering
every aspect of the economic, social, and environmental sphere.
17
Table 4 Table 4 (continued )

Selected environmental KPIs and metrics for ceramic companies. ENVIRONMENTAL KPI -
ENVIRONMENTAL KPI - Ceramic companies
Ceramic companies
MACRO CATEGORIES SUBCATEGORIES METRICS
purchased for
Waste Total waste produced tons of waste produced consumption
Waste generated tons of waste generated Self-generated and GWh of energy consumed
Total waste recovered total tons of waste unconsumed electricity, for self-generated and
recovered (hazardous and heating, cooling and non-consumed electricity,
non-hazardous) steam heating, cooling and
Total waste disposed of total tons of waste steam
disposed of (hazardous Electricity sold GWh of electricity sold
and non-hazardous) Electricity consumption Electricity purchased GWh of purchased
Hazardous waste percentage of hazardous (GWh) of which: electricity consumed
waste (out of the total, of Electricity produced by GWh of electricity
which sent for recovery, photovoltaics produced by PV
disposal, stored on site) consumed (excluding
Non-hazardous waste percentage of non- turbines)
hazardous waste (of Consumption of self- GWh of self-produced
which sent for recovery or produced electricity electricity consumed
disposal) Total self-produced total GWh of self-
Waste sent for recovery percentage of waste sent energy produced electricity
out of the total waste for recovery out of the consumed (of which total
produced total waste produced electricity consumed, of
Differentiated waste tons of separate waste which total electricity
collection sold)
Waste transferred to third tons of waste transferred Self-produced energy GWh of self-produced
parties for the specific to third parties for the from trigeneration energy from trigeneration
EER codes of the ceramic specific EER codes of the consumed
sector ceramic sector Renewable energy GWh of energy consumed
Toxicity of the materials toxicity of the materials from renewable sources
used and waste produced used and waste produced Consumption of fuel from Natural gas consumed in GJ of natural gas
Consumption of materials Raw materials for dough quantity of raw materials non-renewable sources production consumed in production
for mixture (sands, clays (turbine and heating)
or fldspars) Diesel fuel consumed by GJ of diesel fuel
Materials for glazing and quantity of materials for company cars consumed by company
coloring tiles glazing and coloring the cars
tiles (glazes, additive Diesel fuel consumed by GJ of diesel fuel
colorants or inks) company vehicles used consumed by company
Other materials that are quantities of other for logistics and vehicles used for logistics
not part of the final materials that are not part production and production
product but are needed in of the final product but CO2 Emissions CO2 emissions tons of CO2 emissions
the production process are needed in the CO2 emissions/finished tons of CO2 emissions/
production process (such product tons of finished product
as machine lubricants or Particle material (g/m2 g/m2 of particle material
mineral oils) finished product) on the finished product
Packing/wrapping quantity of packaging Emissions of NOx, SOx tons of emissions of NOx,
materials materials (paper, plastic and other significant SOx and other significant
and wood) emissions emissions (Dust, NOx,
Circularity of materials Production waste amount of recirculation of SOx, Lead compounds,
recycling production waste Fluorine compounds,
Maximum recycled maximum amount of Aldehydes, CO, SOV,
content in the spray-dried recycled content in VOC)
mixture atomized blend Lead (g/m2 finished g/m2 of lead on the
Efficient use of materials efficient way of managing product) finished product
materials Fluorine (g/m2 finished g/m2 of fluorine on the
Recycled input materials amount of recycled input product) finished product
used materials used Company direct Greenhouse gas emission tons of greenhouse gas
Water Total water withdrawal total cubic meters of emissions | SCOPE 1 emissions (CO2, CH4,
water (of which from N2O, HFCs, PFC,s SF6,
wells, aqueducts, NF3)
industrial) Stationary combustion tons of stationary
Total water recycled and total cubic meters of combustion
used recycled and used water Mobile fuel tons of mobile fuel
Consumption intensity total water consumed Cogeneration plants tons of cogeneration
(m3)/finished product plants
(m2) Calculation of HFC and total tons of HFCs and
Water drain place of drainage Total PFC PFCs
Purified water cubic meters treated in Emissions deriving from Greenhouse gas emission tons of greenhouse gas
the purifier the use of electricity from (CO2, CH4, N2O, emissions (CO2, CH4,
Energy consumed within From non-renewable GWh of energy consumed purchased by the HFCs, PFCs SF6, NF3) N2O, HFCs, PFC,s SF6,
the organization fuels from non-renewable fuels company | SCOPE 2 NF3)
(natural gas, diesel, etc.) Purchased energy GWh of purchased
Electricity, heating, GWh of energy consumed electricity
cooling and steam for electricity, heating, Environmental Environmental behaviour environmental behaviour
purchased for cooling and steam responsibility of those who can have an of contractors,
consumption subcontractors and
18
Table 4 (continued ) Table 5

ENVIRONMENTAL KPI -
Selected social KPIs and metrics for ceramic companies.
Ceramic companies SOCIAL KPI -
Ceramic companies
MACRO SUBCATEGORIES METRICS
influence on the suppliers that may have
CATEGORIES
environment an impact on the
environment Employees Senior executives number of executives in the
Management of ways of managing company
environmental impacts environmental impacts Manager number of manager in the
Pollution methods of managing company
pollution Employees and Apprentices number of employees and
Radioactive emissions amount of radioactive apprentices in the company
emissions Equate yourself number of equivalents in the
Management of natural ways of managing natural company
resources resources Workers number of workers in the
Climate change ways of managing climate company
change Administered/Trainees number of contract
Waste sorting method of managing workers/trainees in the
separate waste collection company
Soil and subsoil methods of soil and Totals total number of employees
subsoil management in the company
Biodiversity ways of managing Number of employees by total number of employees
biodiversity State by state
Sustainable management Transportation of the mode of transport of the Number of employees per total number of employees
of logistics and supply finished product finished product to the company per company
chain final customer and of the Organic composition Permanent (Men, Women, number of men/women/
raw materials to the Total) total with permanent
factory contracts
End of life Disposal and end of life of types of effect on the Fixed-term contract (Men, number of men/women/
marketed products environment due to the Women, Total) total with fixed-term
disposal or end of life of contracts
marketed products Full time (Men, Women, number of men/women/
Life cycle of the product product shelf life Total) total with full-time contract
13 ENVIRONMENTAL 61 ENVIRONMENTAL 61 ENVIRONMENTAL Part time (Men, Women, number of men/women/
KPIs (macro- KPIs (subcategories) METRICS Total) total with part-time
categories) contracts
Employees by category % male and female
employees
5. Conclusions Employees by age group % employees by age group
(<30 years, 30–50 years,
>50 years)
The aim of this article is to support ceramic manufacturing com
Breakdown of Professional institutes number of employees with
panies in monitoring their sustainability performance. This requires the personnel by educational qualification:
definition of a set of indicators and metrics capable of calculating educational professional institute
company data in the three areas of sustainability (economic, environ qualification Technical institutes number of employees with
mental, and social). Commencing with an examination of the current educational qualification:
technical institute
landscape regarding the integration of sustainability as a strategic driver Other secondary schools number of employees with
in ceramic companies, it has been observed that a limited number of the educational qualifications:
surveyed companies produce sustainability reports or perceive sustain other secondary schools
ability as a valuable resource upon which to anchor future organiza Technical degrees number of employees with
educational qualifications:
tional advancements. The article responds to this emerging gap by
technical degrees
proposing a set of KPIs (88 social indicators, 61 environmental in Humanities degrees number of employees with
dicators and 43 economic indicators) selected for ceramic companies educational qualification:
that are able to measure their own sustainability performance, providing humanities degrees
data on the basis of which to implement plans strategic. Other lower titles number of employees with
educational qualifications:
The research also presented an innovative contribution by offering others with lower
the potential applicability of the obtained findings not solely to address qualifications
the requirements of ceramic companies but also to provide a method Turnover New hires number of new hires
ology applicable to any manufacturing enterprise, facilitating self- Positive turnover positive turnover number
Positive turnover by age number of positive turnover
monitoring from a sustainability standpoint. This approach recognizes
group by age group
the existence of indicators that may be shared among various com Positive turnover by gender number of positive turnover
panies, such as raw material consumption, transportation costs, and by gender
other similar factors. Positive turnover by number of positive turnover
This study has placed particular emphasis on environmental and nationality by nationality
Overall turnover total turnover number
energy indicators as they are currently recognized as key factors to be Overall turnover by age number of total turnover by
monitored within manufacturing companies. To achieve this, companies group age group
need to understand the importance of investing in the digitalization of Overall turnover by gender number of total turnover by
processes. Only by ensuring the implementation of Industry 4.0 digital gender
Overall turnover by number of total turnover by
technologies can constantly updated and real-time information be
nationality nationality
obtained. Occupational health Total injuries total number of injuries
The purpose of this article is to promote the integration between and safety
sustainability and digitalization to develop a "Digital Twin of (continued on next page)
19
Table 5 (continued ) Table 5 (continued )

SOCIAL KPI - SOCIAL KPI -
Ceramic companies Ceramic companies
MACRO SUBCATEGORIES METRICS MACRO SUBCATEGORIES METRICS

CATEGORIES CATEGORIES
Of which with serious total number of injuries with Complaints system possibility of having a
consequences serious consequences complaints system
Of which I died total number of injuries Absence of toxic products workplace without toxic
resulting in death products
Hours worked total number of hours Local, national and Innovation actions to support social
worked international innovation
Deaths resulting from work-related death rate support Support to the local actions to support the local
occupational accidents community community
Accidents at work with rate of occupational Involvement and awareness actions of involvement and
serious consequences accidents with serious of the territory sensitization of the territory
(excluding fatalities) consequences (excluding Healthcare/Social actions to support health
fatalities) and social services
Recordable work accident recordable accident rate at Art/Culture actions to support social
work innovation
Employee welfare employee welfare School actions to support art and
Losses due to accidents days lost due to injuries culture
OSHA standards introduction of OSHA Sports/leisure actions in support of sport
standards and free time
Training Executives (number of number of hours and hours Volunteer Programs actions with volunteer
hours, hours per capita) per capita of training for programs
executives Philanthropy philanthropic actions
Managers (number of number of hours and hours Charitable Contributions actions to support charitable
hours, per capita hours) per capita of training for contributions
managers Human rights Equal opportunities and workplace with equal
Employees (number of number of hours and hours non-discrimination opportunities and non-
hours, hours per capita) per capita of training for discrimination
employees Human rights and fair workplace with human
Intermediate (number of number of hours and hours working conditions rights and fair working
hours, hours per capita) per capita of training for conditions
intermediates Ratio of basic salary and ratio of basic salary and
Workers/administered number of hours and hours annual salary annual remuneration
workers (number of hours, per capita of training for between women and men
per capita hours) workers/administrative for the white-collar category
workers Gender equality, diversity workplace with gender
Hours of training total training hours and inclusion equality, diversity and
Hours of training provided total number of training inclusion
to employees by gender hours provided to Employees receiving Percentage of employees
employees by gender (men regular performance and receiving regular
and women) career development reviews performance and career
Training provided Professional technical number of hours of development reviews
training professional technical Talent development and workplace with talent
training retention development and retention
Language training number of hours of language Justice fair workplace
training Child labor workplace where child labor
Safety and environmental number of hours of safety is not exploited
training and environmental training Forced labor workplace where forced
Training Academy Sales and Key Account training on sales and key labor is not used
Management account management Fair trade fair trade
Safety and Health at Work occupational health and Fight against corruption fight against corruption
safety training 11 SOCIAL KPIs 88 SOCIAL KPIs 88 SOCIAL METRICS
English english training (macro- (subcategories)
GDPR GDPR training categories)
Quality management quality management
training
Content marketing content marketing training Sustainability": a tool that can help business managers make decisions
Technical courses training on technical before they generate irreversible consequences for the company. This
courses
Software courses training on software courses
tool was chosen due to its classification as an Industry 4.0 digital tech
Internal logistics internal logistics training nology, enabling a proactive assessment of the company’s sustainability
Corporate welfare Work flexibility in case of access to work flexibility status. By providing real-time access to comprehensive data, it facilitates
maternity/paternity leave systems in the event of the integration of sustainability considerations in product design, en
maternity/paternity leave
ables continuous monitoring of various company parameters, and sup
Benefits benefits
Smart working possibility of working in ports proactive decision-making. Ultimately, this tool ensures a
smartworking reduction in environmental impacts, resource consumption, and waste
Work-life balance work-life balance generation, thereby enhancing the company’s sustainability and
Parental leave possibility of having competitive positioning in the market. Although a detailed analysis of
parental leave
Collective Bargaining number of employees
the state of the art of ceramic companies was carried out, the selection of
Agreements covered by collective KPIs was limited starting from the companies belonging to the supply
bargaining agreements chain of the case study company. Therefore, the indicators identified
may not fully cover the three areas of sustainability.
Moreover, the process of selecting the KPIs and their classification
20
Fig. 4. Diagram summarizing the idea of the whole paper – Digital Twin of Sustainability scheme.
into macro-categories was executed by the designated team, entailing a CRediT authorship contribution statement
subjective assessment reliant on the individual expertise and experi
ences of the team members. A final limitation of the research is that Giuditta Contini: Investigation, Writing – review & editing. Mar
there are no case studies that demonstrate the effective validity of the set gherita Peruzzini: Conceptualization, Methodology, Supervision,
of KPIs in an industrial application. The study undertaken possessed an Validation. Stefano Bulgarelli: Conceptualization, Supervision. Gildo
exploratory character, as it did not involve empirical assessment of the Bosi: Conceptualization, Supervision.
proposed Key Performance Indicator framework in an operational
context. This analysis has facilitated the construction of a model to serve Declaration of competing interest
as the foundation for subsequent operational analyses. Future research
endeavors will focus on validating the proposed set of KPIs within a The authors declare that they have no known competing financial
specific business context, aiming to develop the "Digital Twin of interests or personal relationships that could have appeared to influence
Sustainability." the work reported in this paper.
Supplementary material Data availability
Digital version of Figures and Tables are available at this link: Cera Data will be made available on request.
mic Companies.xlsx.
21
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Journal of Cleaner Production 414 (2023) 137664

Contents lists available at ScienceDirect

Journal of Cleaner Production

Developing key performance indicators for monitoring sustainability in the

Fig. 2. Manufacturing ceramic process.

16 the Letter to consolidated

Journal of Cleaner Production 414 (2023) 137664

also prove valuable to various stakeholders, including policymakers,

100 As discussed in earlier sections, the implementation of real-time

duction processes becomes imperative, ensuring enhanced accuracy of

This article focuses on a case study involving seven supplier and

Group and Imola

identification of the following aspects for each of the seven selected

- The sustainability indicators used for monitoring (categorized into

economic, environmental, and social indicators)

- The Sustainable Development Goals (SDGs) to which they respond

through the presented indicators

3.1. Emerging gap

After an initial analysis of the supply chain companies in the case

study, those with sufficient data and information regarding company

monitoring systems were selected for further analysis. However, only 7

out of 33 companies provided documents containing their company

performance monitoring system on their sustainability report or web­

measuring oneself and having key indicators available for sustainability

selves. The identified indicators have been systematically classified and

categorized based on the three dimensions of sustainability: economic,

environmental, and social. The outcomes of this analysis are showcased

data, a notable observation is that several companies often conflate the

Consequently, this confusion generates significant challenges in effec­

tively communicating the monitoring methodologies employed by each

company. As a result, there is a pressing need to unambiguously define

the specific indicators within each sustainability dimension, accompa­

nied by their corresponding metrics, to facilitate accurate and consistent

qualitative or quantitative calculations.

Furthermore, it has been observed that the majority of these com­

capable of defining all the specific calculation parameters. Information

data monitoring system is often not mentioned in the documents.

The purpose of monitoring sustainability parameters is to obtain data

seem to have understood this strategic possibility. To address this, spe­

cific metrics were presented in the article to respond quantitatively or

3.2. Results of the analysis

Following an assessment of the existing knowledge and the identi­

panies, irrespective of their size. The selection of indicators and their

corresponding calculation metrics was carried out based on the KPIs

provided by each analyzed company in their financial statements and/or

Company Organization profile CONSOLIDATED FINFLOOR WASTE MANAGEMENT (t) EMPLOYEES 1

Purchased energy Managers (number of hours, hours

Economic responsibility DIRECTLY GENERATED ECONOMIC CO2 emission reduction projects

(hazardous waste, non-hazardous, total:

Pay attention to the Recovery (t) Access to work flexibility systems in

Distribution of total turnover by

Table 3 Table 3 (continued )

Table 4 Table 4 (continued )

Table 4 (continued ) Table 5

Table 5 (continued ) Table 5 (continued )

MACRO SUBCATEGORIES METRICS MACRO SUBCATEGORIES METRICS

Supplementary material Data availability

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performance monitoring system on their sustainability report or web

Consequently, this confusion generates significant challenges in effec

the specific indicators within each sustainability dimension, accompa

Furthermore, it has been observed that the majority of these com

seem to have understood this strategic possibility. To address this, spe

Following an assessment of the existing knowledge and the identi