Industry Defines Shared Baseline For Environmental Performance

(MENAFN- 3BL) AMSTERDAM, HONG KONG and OAKLAND, Calif., May 19, 2026 /3BL/ - Cascale announces it has convened stakeholders including World Resources Institute (WRI), World Wide Fund for Nature (WWF), and ZDHC to establish an aligned industry definition of Foundational Environmental Performance (FEP). The milestone marks an important step towards industry alignment for baseline environmental management practices expected of all global manufacturing facilities producing consumer goods. Developed through engagement with 80 stakeholders at more than 30 organizations across the value chain, the initiative aims to improve consistency, strengthen comparability, support legal compliance, and reduce environmental risks across supply chains.

“For years, facilities and brands shared the same frustration: too many frameworks and not enough clarity on what actually matters. Foundational Environmental Performance answers that need by delivering a clear, globally aligned baseline for environmental management that can help facilities focus resources where they matter most. Aligning manufacturers, brands, NGOs, and technical experts required two years of difficult conversations and FEP is the result: The industry now has a clear, shared reference point that supports both compliance and continuous improvement at scale.” - Maravillas Rodriguez Zarco, vice president of tools & data, Cascale

“We are honored to have been trusted by stakeholders across the industry to convene this process and help build alignment on an issue that is fundamental to credible environmental performance. The development of Foundational Environmental Performance reflects the power of collaboration. This milestone demonstrates what is possible when manufacturers, brands, NGOs, and technical experts come together around a shared goal of improving environmental outcomes across global supply chains.” - Nikki Wood, director of governance and stakeholder engagement, Cascale

Key Takeaways

Cascale convened stakeholders including WRI, WWF, and ZDHC to establish a clear, industry-aligned definition of Foundational Environmental Performance (FEP). FEP addresses gaps in baseline environmental compliance across global manufacturing facilities, and aligns stakeholders to reduce duplication and improve data comparability. Cascale defined a set of foundational questions that establish credible FEP across key impact areas, designed to be practical for facilities with various levels of capacity and maturity. Cascale has introduced structured governance to ensure consistency with industry standards, alignment with regulatory changes, and continuous improvement.

Why FEP is Important

An aligned definition of Foundational Environmental Performance (FEP) was developed to address a fundamental gap: the absence of a clear, unified, industry-aligned definition of what baseline environmental performance should look like. While there is broad agreement that facilities must meet essential environmental management practices, the industry had lacked a consistent, shared understanding, creating reputational, regulatory, and credibility risks for brands, manufacturers, and suppliers, particularly as stakeholder scrutiny increases.

Given its scope, member reach, and stewardship of the Higg Index, which is implemented globally through the Worldly sustainability and supply chain intelligence platform, Cascale was uniquely positioned to convene the industry on a solution. The organization led a multi-phase consultative process that prioritized inclusivity and ensured balanced input from all key stakeholders including Cascale members (through the Higg FEM Strategic Council) and - critically - manufacturers and suppliers, as well as brands, retailers, and nonprofit organizations to shape an industry-aligned definition for FEP.

These consultations resulted in five guiding principles defining the baseline for FEP across all critical areas. Building on this, Cascale convened additional industry stakeholders - including WWF and ZDHC - to establish the FEP question set.

“Clear, consistent definitions are fundamental to driving credible environmental action. By aligning stakeholders around a shared framework for Foundational Environmental Performance, the industry can improve comparability, strengthen decision-making, and unlock more effective strategies to manage environmental risks across value chains.” - Eliot Metzger, director of sustainable business and innovation, World Resources Institute (WRI)

“Defining Foundational Environmental Performance helps ensure that all facilities are meeting a minimum standard to prevent environmental harm. This kind of alignment is essential to safeguarding ecosystems, reducing cumulative impacts across supply chains, and enabling more ambitious progress over time.” - Payal Luthra, global textiles lead, World Wide Fund for Nature (WWF)

“Industry alignment on foundational expectations is critical to advancing sustainable chemical management and reducing environmental risk. We welcome the alignment with ZDHC's frameworks and appreciate that all Foundational Environmental Performance (FEP) questions reflected in the Higg FEM are in scope for Level 1 of ZDHC Supplier to Zero V2 as foundational requirements. This reinforces consistency and clarity for suppliers working toward improved performance.” - Frank Michel, chief executive officer, ZDHC Foundation

Governance and Next Steps

The FEP question set addresses critical environmental performance areas that are central to sustainability progress in the consumer goods industry. As such, ensuring it is subject to the appropriate governance mechanisms is both a priority and a responsibility for Cascale. The FEP question set will therefore be directly governed by Cascale's Technical Advisory Council (TAC). This structured approach balances stability and predictability with the need to remain aligned with regulatory changes, industry standards, and stakeholder expectations.

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