Material efficiency

Material efficiency (also known as material productivity) describes in simple terms the relationship between the products manufactured and the amount of materials used.72

Material efficiency = total product output / total material input

This focus on product output and material input applies mainly to the typical case of production. More specifically, material efficiency indicates the relationship between quantitative yield and quantitative effort. The term can therefore also be applied to disposal and recycling processes. Then the equation is:

Material Efficiency = Volume Revenue / Volume Effort

The quantitative yield can include both goods on the output side (production) and reductions on the input side (reduction of unwanted materials, waste). The quantitative effort can include goods on the input side (limited resources) and reductions on the output side (waste, emissions).

The increase in material efficiency therefore leads to an increase in profitability through the efficient use and application of all materials in the value chain.

There are other relevant terms in this context:

resource productivity

Total Product Output / Total Resource Input

Resource Productivity73

Gross domestic product / use of abiotic primary material.

Raw material productivity indicates how much abiotic primary material (in tons) is required to generate one unit of gross domestic product (in billion euros, price-adjusted). Abiotic primary material includes domestically extracted raw materials, excluding agricultural and forestry products, and all imported abiotic materials (raw materials, semi-finished and finished goods).

eco-efficiency

Economic value of a product / environmental impact