ESG and our efforts to assess and address CO2 emissions
Here at First Factory, it is imperative that we conduct ourselves with dignity, courtesy, and respect. This respect extends to our employees, partners, customers, and the environment. We know we need to supply our teams with hardware and consume electricity and other natural resources, but we take care in making smart choices that allow us to tread lightly on the earth.
We partnered with Green Project Technologies to measure and analyze our annual environmental impact. The primary goal was to establish a baseline measurement of our greenhouse gas (GHG) emissions and identify areas for improvement. The Green Project team conducted a comprehensive inventory of our Scope 1, 2, and 3 GHG emissions, analyzing everything from utility bills, real estate costs, and inventory purchases and disposals to the impact of travel and beyond.
- Scope 1 emissions refers to direct emissions from sources owned or controlled by the company.
- Scope 2 emissions are indirect emissions from purchased electricity.
- Scope 3 emissions encompasses all other indirect emissions from our value chain.
KEY IMPACT FINDINGS
A key finding of the assessment was that First Factory has an extremely small carbon footprint. Our lean operations, choice to limit direct-emitting activities, and use of green-minded suppliers resulted in zero Scope 1 and Scope 2 emissions. Our total footprint was accounted for in Scope 3—upstream and downstream emissions. To gain a better understanding of our environmental performance, our emissions data was benchmarked against similar companies in the Green Project database.
Our total annual carbon footprint came in at 289 metric tons of CO2, or the equivalent of 67 gasoline-powered passenger vehicles driven for one year. This is considered very small given our company size of over two hundred and twenty employees. Green Project indicated that our emissions were lower than all of our peers and similarly sized companies due to our choice to seek out partners that handle the operational control over any emitting activities.
Green Choices
There’s more to the story than simply finding service providers for activities like software hosting and infrastructure. We look at the lifecycle of the assets we purchase, choosing to either repair and donate or upcycle equipment. We maintain a remote-first relationship with our employees, leveraging our office space for team meetings and special activities that benefit highly from in-person attendance. One of the most significant contributors to our green story has been our choice of Costa Rica as the home base of our operations. When landing in Costa Rica nearly twenty years ago, we knew we were picking a country that highly valued sustainability. The country generates a significant portion of its electricity from renewable energy sources, with roughly 99% of its electrical energy output coming from renewables like hydropower (the primary source), as well as geothermal, wind, and solar power. Through the country’s ongoing efforts to reforest and protect the natural environment, Costa Rica has become a global leader in renewable energy usage and sustainability.
Getting to Zero
Leadership here at First Factory sought to reduce our footprint to zero. Instead of rushing into buying renewable energy credits to offset our carbon footprint, we learned that we can instead support initiatives that either stop current carbon dioxide emissions or fund projects that remove carbon dioxide from the atmosphere with removal credits.
Carbon removal credits represent a more direct approach to addressing climate change, as they permanently remove carbon dioxide from the atmosphere. With the help of our climate action partner, ACT Commodities, we were able to help fund a project that reduced natural gas leakage in the distribution network of an energy supply company through the implementation of advanced leak detection and repairs at components in the natural gas above-ground distribution system. By supporting these efforts, not only were we at First Factory able to offset our entire carbon footprint, but we also helped prevent hundreds of tonnes of carbon dioxide from being pumped into the atmosphere indefinitely.
SOCIAL AND GOVERNANCE PERFORMANCE
In addition to our environmental impact, the Green Project assessment also evaluated our social and governance performance. We continue to maintain a safe working environment, with no work-related injuries or lost workdays. We will continue to improve our diversity of hiring despite having a stronger percentage of female employees than our other regional technology competitors and in the country overall. We will also be keen on identifying key players who continue to support the representation of female employees in our limited C-suite positions.
GREENER PASTURES
Based on these findings and reflecting upon our operational structure and processes, we at First Factory are committed to taking further steps to maintain a carbon-neutral footprint and enhance our overall sustainability performance. By continuing to measure our impact, identify areas for improvement, and implement sustainable practices, we hope to demonstrate our commitment to a greener future and remain an organization which partners and employees can be proud to be associated with.
We expect to remain lean, clean, and green for a long time to come.
To discuss our green journey or how we can become a part of yours, Contact us
