Resource Efficiency

Resource Efficiency

Resource Efficiency Jonathan Poland

Resource efficiency is the process of using resources in a way that maximizes their value and minimizes waste. This can involve using fewer resources to produce the same goods or services, using renewable resources instead of non-renewable ones, or finding new ways to reuse or recycle resources. Resource efficiency is important because it can help to reduce the environmental impact of human activities, conserve resources for future generations, and improve the sustainability and long-term viability of communities and economies. Many organizations and governments around the world are implementing resource efficiency strategies in order to meet these goals.

Conversion Efficiency

The amount of available sunlight that a solar panel converts to electricity is known as conversion efficiency. This can exceed 20% for modern solar panels.

Energy Efficiency

The amount of energy used by a facility, product, service, process or activity relative to its output. For example, the luminous efficiency of a light source is a measure of how well a light source converts energy into visible light. The luminous efficiency of an LED light bulb can exceed 20%.

Energy Intensity

Another term for energy efficiency measured in terms of value produced. For example, energy per passenger mile is a means for comparing the energy consumption of transport. This can be measured in kilojoules per kilometer.

Design Efficiency

Design efficiency is achieving the desired level of quality of a design with the minimum amount of resources. For example, a safe, luxurious car that weights 4000 kilograms versus an equivalent design that weights 6800 kilograms. Generally speaking, design efficiency improves with time in a large scale trend known as dematerialization.

Building Efficiency

The energy efficiency of a building. For example, smart glass that adapts to available sunlight to help achieve lighting, heating and cooling settings of a room such that they reduce electricity consumption.

Productivity

The efficiency of labor is known as productivity. This can be measured as the amount of value produced in an hour of work. For example, a farmer who improves their efficiency to $50/hour by installing an automated irrigation system.

Crop Yield

Crop yield is the amount of a crop produced relative to land used measured with kilograms per hectare or bushels per acre. This is generally increased with intensive farming techniques that may use land effectively but use a large amount of inputs such as water, chemicals and capital equipment.

Land Footprint

Land footprint is similar to crop yield but can be applied to any industry. For example, the land footprint of a highway could be measured in acres per billion passenger miles and compared to a competing type of infrastructure such as a high speed rail line.

Cost Efficiency

Cost efficiency is the cost per output of something. This is occasionally a reasonable approximation for resource efficiency as costs often map to resource consumption. For example, the dollars per mile may be a reasonable approximation for the total resources consumed by travel if you include all costs such as infrastructure costs and the value of land consumed by infrastructure.

Carbon Footprint

The amount of carbon dioxide and other carbon compounds emitted by a facility, process, product, service, activity or entity. For example, the amount of carbon dioxide emitted per square foot of construction.

Water Footprint

The amount of water consumed by an output such as a ton of agricultural product.

Externalities

Externalities, or economic bads, are negative results of economic activity such as chemicals and gases released into the environment by a farm, ship, factory or vehicle. For example, kilograms of agricultural chemicals used per hectare of farmland.

Learn More
Product Cannibalization Jonathan Poland

Product Cannibalization

Product cannibalization refers to the situation in which the sales of one product within a company’s portfolio negatively impact the…

Keep It Super Simple Jonathan Poland

Keep It Super Simple

Keep it Super Simple or Keep it Simple Stupid. The KISS principle is a design guideline that suggests that unnecessary…

Razor and Blades Jonathan Poland

Razor and Blades

The razor and blades model, also known as the bait and hook model, is a business strategy that involves selling…

Business Management Jonathan Poland

Business Management

Business management is the process of overseeing and running a business or organization. This involves a wide range of activities,…

IT Operations Jonathan Poland

IT Operations

IT operations involves the delivery and management of information technology services, including the implementation of processes and systems to support…

Persistence Jonathan Poland

Persistence

Persistence is the ability to maintain motivation and effort over a prolonged period of time. It is a behavior or…

Big Picture Thinking Jonathan Poland

Big Picture Thinking

“The big picture” refers to the broadest possible perspective that can be taken in a thought process. Big picture thinking…

Personal Data Jonathan Poland

Personal Data

Personal data is any information that can be used to identify an individual, including their name, date of birth, address,…

Adaptive Performance Jonathan Poland

Adaptive Performance

Adaptive performance is the ability of an individual to perform well in changing, uncertain, and stressful situations. This type of…

Content Database

Search over 1,000 posts on topics across
business, finance, and capital markets.

What is a Durable Product? Jonathan Poland

What is a Durable Product?

A durable product is a product that is designed to last for an extended period of time, typically several years…

Organic Growth Jonathan Poland

Organic Growth

Organic growth refers to an increase in revenue that is generated through a company’s own efforts, such as marketing, innovation,…

Perfect Competition Jonathan Poland

Perfect Competition

Perfect competition is a theoretical market structure in which a large number of buyers and sellers participate and no single…

Business Goals Jonathan Poland

Business Goals

Business goals are targets that an organization sets for itself in order to improve its overall strategy and performance. These…

Inventory 150 150 Jonathan Poland

Inventory

Understanding inventory is crucial for the successful operation of many businesses. Inventory is a broad area with many facets, and…

Advertising Objectives Jonathan Poland

Advertising Objectives

Advertising objectives are the specific goals that an advertising message or campaign aims to achieve. These objectives can be used…

Examples of Consumer Goods Jonathan Poland

Examples of Consumer Goods

Consumer goods are physical products that are purchased by individuals for their own personal use. These goods are typically tangible,…

Becton Dickinson Jonathan Poland

Becton Dickinson

Becton, Dickinson and Company (BD) is a global medical technology company that is focused on improving the lives of people…

Strategic Management Jonathan Poland

Strategic Management

Strategic management involves the formulation and implementation of the major goals and initiatives taken by a company’s top management on…