Corporate Sustainability is a business approach that creates long-term shareholder value by embracing opportunities and managing risks derived from economic, environmental and social developments.(1)
Guiding principles include:
- Sustainable business practices are critical to the creation of long-term stakeholder value in an increasingly resource constrained world
- Sustainability factors represent opportunities and risks that competitive companies must address
Sustainability megatrends are changing our world and they’re having a measurable impact to both top and bottom lines of many organizations. Long-term challenges such as climate change, resource scarcity and demographic shifts are re-defining societal expectations, public policies, regulatory frameworks and hence – business investment outcomes. (2)
Last year, more than 3,000 of the worlds largest publically traded companies, were invited to participate in the Dow Jones Sustainability Index (DJSI) Assessment. This is an industry specific questionnaire featuring approximately 100 financially relevant Economic, Environmental and Social factors. Based on the sustainability data collected through the DJSI assessment, companies that are more likely to outperform as a result of their adoption of sustainability best practices are identified.
Another important tool that we use to measure our environmental performance, relative to our industry peers, is the Carbon Disclosure Project (“CDP”). The process ensures that there is an ongoing business focus on environmental management within the organization. It also enhances the decision making process on where we can make strategic changes that increase efficiency, save money and capitalize on commercial opportunities.
The Carbon Disclosure Project (“CDP”) is a not-for-profit organization which holds the largest collection of self-reported climate change, water and forest-risk data in the world. A total of 4,500 companies from more than 80 countries share their environmental information.