Glossary

In the Greenhouse Gas Protocol (GHGP), Scope 1 Emissions are direct GHG emissions that happen from sources owned or controlled by an organization including fuel combustion in boilers, furnaces, vehicles.

In the Greenhouse Gas Protocol (GHGP), Scope 2 Emissions are a result of a company’s activities but often occur outside a company’s physical facility (e.g. at an electricity utility plant), hence scope 2 emissions are considered an indirect emission source.

Scope 3 emissions are the result of activities from assets not owned or controlled by the reporting organization, but that the organization indirectly affects in its value chain. An organization’s value chain consists of both its upstream and downstream activities.

Scrap rate is the number of units produced that must be scrapped because of product defects or errors, divided by the total number of units produced by the manufacturing group over the same period, as a percentage.

Given the long production cycles in the aerospace industry, it is important to minimize the scrap rate to increase the efficiency of day-to-day operations and meet tight delivery schedules.

Scrap/Rework Costs are the costs of fixing defective products so they pass quality checks including final inspection, plus the costs of parts and materials wasted during the production process.