IFVI and VBA’s impact accounting methodology: implementation guide

Conde, Sofia; Ferreira, Nuno; Lancastre, Filipa

http://hdl.handle.net/10400.14/55442

Use this identifier to reference this record.

Name:	Description:	Size:	Format:
131435968.pdf		949.44 KB	Adobe PDF	Download

Send Feedback

Authors

Conde, Sofia

Ferreira, Nuno

Lancastre, Filipa

Abstract(s)

This research note presents the methodological foundations and practical implementation framework of the Impact Accounting (IA) methodology developed by the International Foundation for Valuing Impacts (IFVI) and the Value Balancing Alliance (VBA). It explains how this approach enables companies to measure, value, and report their impacts on society and the environment in monetary terms, bridging the gap between sustainability disclosure and business decision-making. The note outlines a five-phase development process that ensures scientific rigor, expert validation, and stakeholder legitimacy for each impact topic. It then details a six-step implementation framework that guides companies through context analysis, material impact identification, data collection, outcome assessment, impact valuation, and aggregation into unified impact accounts. Crucially, the methodology is designed for straightforward implementation. When a value factor validated by the Valuation Technical & Practitioner Committee (VTPC) is available, companies simply multiply their existing data points, often those already reported under the CSRD, by the corresponding value factor. This eliminates the need for complex modeling or outcomes definition, making impact accounting both practical and scalable. By combining robust valuation techniques and standardized value factors, the IFVI and VBA methodology provides a clear, comparable, and decision-useful tool for embedding impact accounting in corporate strategies. It enables organizations to move beyond compliance-driven sustainability reporting and toward impact-driven decision-making, creating measurable value for both business and society.

URI

http://hdl.handle.net/10400.14/55442

Citation

Conde, S., Ferreira, N., & Lancastre, F. (2025). IFVI and VBA’s impact accounting methodology: implementation guide. Universidade Católica Portuguesa. https://doi.org/10.34618/hv3x-ba09