Otis Worldwide Corporation

Carbon per million dollars of revenue. The legacy industry-standard reference (CDP, MSCI). Useful for cross-sector context, but distorted by margin — high-margin firms appear artificially efficient. Read alongside the operational and asset intensities for the full picture.

OpEx (operating expenditure) is the running cost of the business — staff, services, energy, materials. This shows how carbon-intensive operations are per million dollars of spend. Removes the margin distortion that revenue-based ratios introduce.

EVIC (Enterprise Value Including Cash) is the firm's total capital footprint — equity + debt + cash + minority interest. The EU's standard intensity measure (SFDR PAI 3) — answers: how much carbon does each million of capital deployed in this business produce?

PP&E (Property, Plant & Equipment) plus leased real-estate assets is the firm's physical infrastructure on the balance sheet. This shows the carbon intensity of that physical footprint — uses Scope 1+2+3 for consistency with the other headline intensities. Surfaces stranded-asset risk for asset-heavy firms.

Otis aims to reach carbon neutrality for factory electricity by 2030. As of 2021, 41% of factory electricity was carbon-neutral. Factory operations in Spain and Germany source 100% of electricity from renewable sources, and a new factory in San Sebastian, Spain is powered entirely by 100% renewable (zero carbon) energy. A renewable energy roadmap is being developed by year end 2022.

No narrative on durable removals approach in the firm's most recent reports.

• Energy management and operational efficiency across factories, real estate and fleet

  Otis' climate strategy is built on near-term SBTi-validated targets (55% absolute Scope 1&2 reduction by 2033 from 2021 base). Key near-term initiatives focus on energy management and operational efficiency across manufacturing facilities, the real estate portfolio and the vehicle fleet. The company also targets real estate portfolio climate resilience as a medium-to-long-term initiative.

• Product sustainability through digitalization and innovation (energy-efficient elevators)

  Otis advances product sustainability through digitalization and innovation, including energy-efficient elevator platforms such as Gen3 and Gen360. Escalators feature sensors that run only when passengers approach or operate at reduced speeds to conserve energy when idle. The company directs 1.4% of net sales to R&D and digital/strategic initiatives to develop solutions that enhance sustainability.

• Real estate footprint optimization & EV fleet

  Otis is reducing operational emissions through footprint optimization to right-size space and lower emissions, has added GHG impact benchmarks to its real estate lease approval process, and has implemented electric vehicle pilot programs to decarbonise its service fleet.

• Zero-waste-to-landfill factory program

  Otis is targeting 100% factory eligibility for zero-waste-to-landfill certification by 2025. On-track for 40% implementation of program requirements by year end 2022, up from 23% in 2021. Current focus on sustainable purchasing policies and colleague outreach; Hangzhou (China) factory recognised as a 'No-Waste Factory'.

• Responsible climate-resilient sourcing (Scope 3 purchased goods)

  Otis' SBTi target includes a 33% reduction in absolute Scope 3 emissions from purchased goods and services by 2033 from 2021 base year. The strategy focuses on responsible climate-resilient sourcing across a diverse network of several thousand global suppliers, with approximately 400 key suppliers for manufacturing supply chain.

• Use-of-sold products emissions reduction through connected IoT and modernization

  Otis targets a 33% reduction in Scope 3 emissions from use of sold products by 2033. The company advances this through IoT-connected units (1.1 million connected globally via Otis ONE) enabling predictive maintenance and energy optimization, and through modernization of aging equipment, which is growing at 9% organic growth in 2025. Modernization backlog increased 30% at constant currency.

• Business travel emissions reduction (Scope 3 Category 6)

  Business travel is explicitly included in Otis' SBTi Scope 3 target boundary, with a committed 33% absolute reduction by 2033 from 2021 base. The UpLift program and Global Business Services model with an external partner, along with digitalization initiatives (Otis ONE IoT, remote diagnostics), support reductions in field travel requirements over time.

• Use of sold products (product energy efficiency)

  Otis identified product use as a priority Scope 3 category. The company publishes Environmental Product Declarations (EPDs) — five new EPDs in 2022, bringing the total to nine accredited EPDs globally — to communicate and drive product energy efficiency, since use-phase electricity dominates lifetime emissions for elevators and escalators.

• Purchased goods decarbonisation

  Otis identified purchased goods as one of two priority Scope 3 categories alongside product use. Quantification work with a third-party SME is underway in 2022-2023 to enhance method, confirm priorities, and assess initial opportunities to impact this category.