Developing KPIs for Advancing SDG 9: Aligning Innovation and Industrial Performance with Sustainable Business Strategy

Abstract

The SDG 9 is focused on good infrastructure, inclusive and sustainable industrialization and innovation. To businesses, this can only be achieved through measurable, actionable, and strategy aligned performance indicators. The given work creates a bundle of Key Performance Indicators (KPIs) that is aimed at harmonizing innovation metrics, industrial efficiency, and sustainable business strategy. The framework of the KPIs identified in this research study will use the literature analysis, interviewing the stakeholders, and benchmarking across the sectors, to bring together the economic, environmental, and social aspects to determine development aimed at achieving SDG 9. The methodology integrates quantitative industrial performance indicators, which include resource productivity and ratios in R&D investments, and qualitative measures of innovation, comprising a network of collaboration and sustainable levels of technology adoption. Results indicate that the matching of KPIs of certain industrial performance with that of sustainability adds value to the longer-term of competitive advantage, enables transparent reporting and value addition in innovative activities that drive growth. Nevertheless, its limitations are pragmatic, that is, sector specificity, data unavailability and regulatory differences. The upcoming studies should verify the KPI system in other sectors, include the AI-based analytics to monitor the performance in real-time, and examine its cross-SDG synergies, especially in connection to SDG 12 (Responsible Consumption and Production) and SDG 13 (Climate Action).