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Purpose

The Hot Spot Analysis developed by the Wuppertal Institute is a screening tool focussing on the demand of reliable sustainability‐oriented decision‐making processes in complex value chains identifying high priority areas (“hot spots”) for effective measures in companies. This paper aims to focus on this tool.

Design/methodology/approach

The Hot Spot Analysis is a qualitative method following a cradle‐to‐cradle approach. With the examples of coffee and cream cheese hot spots of sustainability indicators throughout the entire life cycle are identified and evaluated with data from literature reviews and expert consultations or stakeholder statements. This paper focuses on the indicator resource efficiency as an example of how the methodology works.

Findings

The identified hot spots for coffee are the raw material procurement phase in terms of abiotic material, water and energy consumption, the production phase concerning biotic material and the energy consumption in the use phase. For cream cheese relevant hot spots appear in the raw material procurement phase in terms of biotic materials and water as well as biotic materials and energy consumption during the production phase.

Research limitations/implications

Life cycle analyses connected to indicators like resource efficiency need to be applied as consequent steps of a Hot Spot Analysis if a deeper level of analysis is eventually aimed at which is more cost and time intensive in the short term. The Hot Spot Analysis can be combined with other sustainability management instruments.

Practical implications

Research and management can be directed to hot spots of sustainability potential quickly which pays off in the long term.

Originality/value

The paper shows that companies can address sustainability potentials relatively cost moderately.

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