Corporate water assessment is a company’s effort to measure their water performance throughout the value chain and better understand and identify water-related business risks and impacts. Effective water assessment allows companies to determine how their direct and indirect water use and wastewater discharges affect communities and ecosystems, evaluate material water-related risks, track the effects of changes in their water management practices, and credibly report their trends and impacts to key stakeholders. Water assessment also allows consumers, civil society groups, and the investment community to compare different companies’ water risks and impacts in order to inform their actions and decision making.
Today, companies generally seek out water assessment tools to fulfill four inter-related purposes, which are to:
- Promote operational efficiency and more sustainable product design and manufacturing;
- Identify and assess water-related business risk;
- Understand and manage water-related impacts on communities and the environment; and
- Communicate water information to stakeholders.
Read on to better understand corporate water assessment and to identify specific assessment tools that are most useful for your specific needs.