This thesis develops a systematic approach for companies to select suitable methods for greenhouse gas emission compensation, addressing the dual strategies of carbon offsetting and insetting, with a focus on an emerging concept: provider-based insetting. This research analyzes the ecological, economic, and social impacts of traditional offsetting and two types of insetting. It explores self-developed insetting, where companies implement projects within their supply chain, and provider-based insetting, where external providers manage sustainability projects for multiple companies. The study identifies unique advantages and challenges with provider-based insetting, such as accessibility for small enterprises, while noting risks related to accountability and potential quality inconsistencies. This research proposes a set of quality criteria for assessing insetting projects, adapted from a recent comprehensive meta-analysis on offsetting standards. Building on these criteria, a decision-making framework is developed and validated through two case studies featuring hypothetical companies with different emission profiles. These case studies illustrate the model's effectiveness in helping companies align their capabilities with ambitious sustainability goals. The findings suggest that provider-based insetting offers a viable approach to addressing Scope 3 emissions, allowing firms to enhance their environmental efforts without taking on full project ownership. At the same time, self-developed insetting projects show great promise for companies prioritizing control and direct ownership, an approach that offsetting via the voluntary carbon market cannot fulfill. Future research should aim to refine criteria specific to provider-based insetting and examine its applicability across various industry sectors