Decarbonization Strategy: A Step-by-Step Guide for Businesses

82% of companies maintained or accelerated their decarbonization timelines over the past year, even as geopolitical shocks, energy price volatility, and policy shifts created new pressures ^[1]. Corporate sustainability is entering a new phase defined by financial discipline and strategic precision: organizations are moving away from broad climate commitments toward targeted, high-return decarbonization actions that can be measured and reported with credibility. This guide presents the five key steps for building an effective decarbonization strategy, from establishing a carbon baseline to embedding climate actions into daily operations, with specific applications for the audiovisual production and live events sector.

What Is a Decarbonization Strategy?

A decarbonization strategy is a structured plan through which an organization systematically reduces its greenhouse gas (GHG) emissions across all of its activities, working toward a defined long-term objective such as net-zero. It is distinct from a one-off carbon offset purchase or a voluntary declaration: a credible decarbonization strategy is built on measured data, time-bound targets, prioritized action levers, and transparent reporting.

The scientific imperative is clear. Global emissions must fall sharply over the coming decades to limit warming to levels consistent with the Paris Agreement. Companies that embed decarbonization into their core business strategy are not only contributing to that goal but also positioning themselves for regulatory compliance, competitive advantage, and operational resilience ^[2].

A robust decarbonization strategy covers three emission scopes as defined by the GHG Protocol: Scope 1 (direct emissions from owned or controlled sources), Scope 2 (indirect emissions from purchased energy), and Scope 3 (all other indirect emissions in the value chain). For most organizations, Scope 3 represents 75% or more of the total carbon footprint, making supply chain engagement a central component of any serious strategy ^[1].

Step 1: Measure and Establish a Carbon Baseline

No decarbonization strategy can be credible without a reliable carbon baseline. The baseline quantifies where emissions stand across all three scopes at a defined reference point, enabling meaningful progress tracking over time.

What the baseline must cover

At minimum, the baseline must include Scope 1 and Scope 2 emissions, calculated using recognized methodologies such as the GHG Protocol Corporate Standard or market-based and location-based accounting approaches for energy. Scope 3 should be included wherever it represents a material share of total emissions, which for most service-sector organizations means including purchased goods and services, business travel, logistics, and employee commuting as a minimum.

The quality of the baseline determines the quality of the entire strategy: imprecise or cherry-picked data undermines target-setting, reporting, and stakeholder trust. The growing adoption of automated carbon tracking tools, which connect directly to accounting systems and convert operational data into GHG values in real time, is significantly improving baseline accuracy across industries.

The challenge of Scope 3 data

Only 18% of companies report consistently tracking supplier activities and emissions beyond their first tier, according to the most recent large-scale survey of corporate decarbonization practice ^[1]. This gap between ambition and measurement is one of the primary blockers to effective Scope 3 decarbonization. The recommended approach is to begin with the emission categories most significant in absolute terms, collect primary data from key suppliers progressively, and use sector-average emission factors as proxies where primary data is unavailable, flagging these as estimates in public disclosures.

For production and events companies, conducting a thorough carbon audit of each project is the most practical entry point to Scope 3 measurement, generating both per-project data and the aggregated baseline needed for corporate target-setting.

Step 2: Set Science-Based Reduction Targets

Once a baseline is established, the next step is to define reduction targets that are both ambitious and grounded in climate science. Science-based targets, as validated by the Science Based Targets initiative (SBTi), are the recognized global standard for corporate climate commitments ^[4].

SBTi targets distinguish between near-term commitments (5 to 10 years) and long-term net-zero targets. Both require independent validation and mandatory progress reporting. Companies with SBTi-validated targets consistently outperform peers on both decarbonization pace and financial resilience. TheGreenShot’s in-depth guide on how to set Science Based Targets provides a detailed breakdown of the validation process and scope requirements.

For organizations not yet ready for full SBTi validation, an internal target aligned with a 1.5 degrees C trajectory and supported by a documented reduction roadmap is a meaningful first step. What matters most is that targets are specific, time-bound, and cover the emissions scope that is most material to the organization.

Step 3: Identify and Prioritize Decarbonization Levers

Once the baseline is measured and targets are set, the strategy requires a clear map of the actions that will deliver the required reductions. These actions, called decarbonization levers, vary by industry, business model, and emission profile. Selecting and sequencing them strategically is critical to achieving targets within cost and time constraints.

Common Scope 1 and 2 levers

For Scope 1 and 2 emissions, the highest-impact levers typically include switching to renewable electricity (through power purchase agreements or on-site generation), electrifying company vehicle fleets, replacing fossil-fuel-based heating systems, and improving energy efficiency across owned facilities. These actions are often the most cost-effective starting points because they reduce both emissions and energy costs simultaneously, with most organizations reporting measurable financial returns within a defined payback period.

Common Scope 3 levers

Addressing Scope 3 requires a fundamentally different approach, centered on supply chain engagement, procurement policy reform, and product or service redesign. Priority levers include requiring key suppliers to disclose and reduce their own emissions, shifting procurement toward lower-carbon materials and logistics providers, redesigning products to extend their useful life and reduce manufacturing intensity, and encouraging customers or partners to adopt lower-carbon practices.

A phased implementation plan that sequences levers by their emissions impact, feasibility, and alignment with business strategy avoids the common mistake of pursuing highly visible but low-impact initiatives while deferring the larger structural changes that account for the bulk of the footprint.

Step 4: Implement and Embed Climate Actions

Strategy without implementation is a statement of intent, not a decarbonization plan. The transition from roadmap to action requires embedding climate responsibilities into existing operational processes rather than managing them as a parallel sustainability workstream.

Operational integration

Effective implementation assigns specific decarbonization responsibilities to operational teams (procurement, facilities, logistics, HR) rather than centralizing them in a sustainability function with limited authority. Budget allocations, supplier selection criteria, procurement specifications, and travel policies are the primary levers through which operational teams can make a material difference to the carbon footprint.

60% of companies now use AI-powered tools in their decarbonization operations, primarily for energy demand forecasting, supply chain analytics, and anomaly detection in emissions data ^[1]. The integration of automated carbon tracking into financial management systems is increasingly being used to provide real-time visibility on the emissions impact of purchasing decisions, enabling more granular operational control.

Supply chain engagement

For organizations where Scope 3 dominates the carbon footprint, supplier engagement is a non-negotiable component of implementation. This involves communicating clear expectations to strategic suppliers, requesting primary emissions data, supporting smaller suppliers with tools and training, and progressively incorporating climate performance into supplier qualification criteria. The most effective programs start with a small number of high-spend, high-impact supplier categories and expand progressively.

Step 5: Measure Progress and Report Transparently

Annual progress measurement and disclosure is the mechanism through which decarbonization strategies maintain accountability and credibility over time. Reporting against baseline data allows organizations to identify where actions are delivering results, where additional effort is required, and how the strategy needs to evolve in response to operational changes or emerging decarbonization opportunities.

The major reporting frameworks (GHG Protocol, CDP, CSRD, and the ISSB sustainability disclosure standards) provide the structure within which disclosures should be organized. Large companies in the European Union are now subject to mandatory climate-related reporting under the CSRD, which requires disclosure of a decarbonization transition plan alongside quantitative emissions data. Even where disclosure is not yet mandatory, voluntary reporting through CDP or alignment with GRI standards is increasingly expected by investors and major clients.

The quality gap between Scope 1 and 2 reporting (mature and well-understood) and Scope 3 reporting (fragmented, estimate-heavy) is one of the most significant challenges facing corporate climate disclosure today. Automated data collection tools that can ingest accounting data, supplier invoices, and operational records significantly reduce the manual effort required to build credible Scope 3 reports. Explore how carbon calculators work in practice for production-specific contexts.

Decarbonization in the Audiovisual and Events Sector

The audiovisual and live events sector faces a distinctive decarbonization challenge: each production or event is a temporary, complex supply chain that generates a concentrated carbon footprint over a short operational window. This project-based structure requires decarbonization strategies that operate simultaneously at the corporate level (multi-year targets and reporting) and at the production level (per-project carbon management).

Regulatory and industry pressure accelerating the transition

The European Audiovisual Observatory published a major report on the sector’s green transition, identifying regulatory frameworks, funding conditions, and industry tools as the three main drivers of decarbonization progress ^[3]. In France, the CNC has made access to a higher proportion of public funding conditional on producers submitting a carbon emission overview of their projects. At the European level, both the MEDIA Programme and Eurimages now include demonstrably sustainable production methods as criteria in funding decisions. In the United Kingdom, the film and TV industry has committed to making all temporary production power clean, supported by a sector-wide roadmap.

These regulatory and funding pressures mean that a decarbonization strategy is increasingly a prerequisite for commercial viability in the sector, not merely a reputational asset.

The five-step framework applied to productions and events

Applying the standard decarbonization framework to audiovisual productions requires adapting each step to the project-based operational model. The baseline is established per production using recognized methodologies (Carbon’Clap, Albert for film and TV, or GHG Protocol for events). Targets are set at the corporate level to cover the consolidated footprint across all productions and events in a given period. Decarbonization levers include local casting and crew sourcing to reduce travel, switching generators to hybrid or HVO-fuelled units, specifying sustainable catering and set construction materials, and consolidating logistics to reduce transport trips. Progress is tracked at both the production and corporate level, with per-project reports feeding into the consolidated annual disclosure ^[5].

For event organizers, the same framework applies, with a particular emphasis on power supply (shifting from diesel generators to clean power solutions), audience transport (promoting public transit and carpooling), and supplier selection (prioritizing local vendors and reusable infrastructure). Ecoprod’s Step Up platform and BAFTA’s Albert program provide sector-specific tools and training resources to support implementation at each stage.

TheGreenShot Green Management service supports production companies and event organizers through every stage of this process, from the initial carbon audit to supplier engagement, on-set eco-management, and final consolidated reporting. GreenPro, TheGreenShot automated carbon tracking platform, automates the data collection that makes per-project and corporate-level decarbonization reporting operationally sustainable.

Conclusion

A credible decarbonization strategy is built on five sequential and reinforcing pillars: measuring, target-setting, lever identification, implementation, and reporting. Each step depends on the quality of the one before it, which is why measurement infrastructure, and specifically the ability to collect reliable data across Scope 1, 2, and 3 emissions, is the most critical foundation to establish early. For organizations in the audiovisual and events sector, the additional complexity of project-based operations requires decarbonization tools and processes that can function at both the production level and the corporate level simultaneously. As regulatory requirements around the corporate sustainability disclosure continue to tighten and as funding bodies across Europe make environmental performance a condition of access, the organizations that invest now in robust measurement and credible target-setting will be best positioned to demonstrate genuine progress and maintain competitive access to markets, funding, and talent.

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