Helping Asahi Group Holdings bring visibility to its ESG value Using impact-weighted accounting to calculate the social impact of non-financial business activities

　ABeam Consulting Ltd. (Chuo-ku, Tokyo; Takahiro Yamada, President and CEO) has applied impact-weighted accounting*¹ to help Asahi Group Holdings, Ltd. (Sumida-ku, Tokyo; Atsushi Katsuki, President and Group CEO [Asahi GHD]) visualize the ESG value of its non-financial activity initiatives.
　For this project, we adopted the theme of "Communities," one of Asahi GHD's Material issues, in calculating the social impact of their activities by converting the impact of such activities on society into monetary value.

　Impact-weighted accounting is a method by which the impact that a company exerts on society and the environment are converted into an overall monetary value, both positive and negative. The social impact of employees, products, and the environment can be used to calculate ratios to sales revenue and EBITDA as a subject for analysis, by which it is possible not only to assess the company's own changes over time, but also to draw comparisons with other companies and products. In addition to its utility in managerial decision-making, this information can also be used for disclosures to investors based on objective data, given its conversion of monetary values using transparent logic, thereby promoting understanding of corporate value through non-financial information. ABeam Consulting has been providing support for visualization of ESG value using impact-weighted accounting since 2022.

　Asahi GHD has specified "Integration of Sustainability into Management" as one of the core strategies in its medium- to long-term management policy. To realize this goal, they are working to visualize the business and social value that result from ESG activities in order to apply them in determining priorities, managing progress, and in corporate management and disclosure to stakeholders to achieve sustained growth.
　To carry out this support project, ABeam Consulting conducted an analysis for conversion into monetary value using impact-weighted accounting. Our aim has been to realize sustainable communities through the creation of human connections in the context of "Communities," one of Asahi GHD's Material issues, and to quantify and visualize the social impact of these activities.

　Specifically, we conducted analyses using product impact accounting, one of the methods of impact-weighted accounting, to determine the extent to which an impact on improving the well-being of agricultural producers can be brought about by utilizing beer yeast agricultural materials, byproducts of the beer production process, during crop production. We looked at the period from the time of delivery of these materials to the producer until their disposal, and divided the study into two crop groups, one for vegetables and field crops, and the other for fruit trees. From the sample data obtained from each, we estimated the percentage of increase in yield and the amount of CO₂ reduction due to reduction of fertilizers and agricultural chemicals.
　According to our results, in the case of vegetable and field crops, the rate of increase in harvest volume was 1.21 times, and the social impact amount was 6.49 billion yen. In the case of fruit trees, the ratio of increase in harvest volume was calculated to be 1.20 times, and the amount of social impact was 1.62 billion yen. Thus, we were able to visualize the use of beer yeast agricultural materials as having a positive impact on society.

　ABeam Consulting provided comprehensive support for this initiative, leveraging our expertise in the promotion of data-driven ESG management and extensive knowledge of impact-weighted accounting to (1) develop logic for Asahi GHD using an impact-weighted accounting framework, (2) support data collection, (3) calculate impact, and (4) assist in establishing the credibility of disclosure.
　In addition to supporting visualization using impact-weighted accounting, ABeam Consulting's Digital ESG Service*² is used to visualize how Asahi GHD's non-financial activities are connected to the improvement of corporate value, the overall story (relatedness) that provides a path for the value chain, and to analyze the correlation to improvement of corporate value (PBR).

　This initiative is reported as an effort to visualize impact in the Integrated Report 2024 issued by Asahi GHD on May 31.