The Global 100 Index is an annual ranking of the world's most sustainable corporations. The list is published by Toronto-based media and research company, Corporate Knights (and announced each year during the World Economic Forum in Davos, Switzerland). From its inception in February 2005 to January 2022, the Global 100 index made a net investment return of 331%, compared to 279% from the MSCI All Country World Index (ACWI). The adoption of large green recovery programs in response to the COVID-19 pandemic is suspected to have widened this performance gap.
History
The Global 100 was created by Corporate Knights magazine in 2005. The index was created with the intention of devising a methodology to quantitatively compare and rank the world's largest publicly traded companies. As a rules-based sustainability rating that emphasizes the impact of a company's core products and services, the Global 100 is the best-performing global sustainability index (ticker: CKG100).
Methodology
The Global 100 uses a purely quantitative methodology to determine inclusion in the ranking.[1] The Global 100 starting universe automatically considers all publicly listed companies with US$1B+ revenue during the rating year. The firms are screened for: a financially based Piotroski F-score to ensure financial stability, and fines, penalties or settlements paid out by the company for sustainability related violations. Companies involved in certain products or services and behaviours counterproductive to sustainable development are eliminated. The initial screening process culminates in the Global 100 shortlist. Companies are scored on up to 25 key performance indicators (KPIs), according to the companies’ Corporate Knights Peer Group (CKPG) classification and KPI Weighting System.
The 25 KPIs used to rank Global 100 companies include:
- Energy Productivity
- GHG Productivity
- Water Productivity
- Waste Productivity
- VOC Productivity
- NOx Productivity
- SOx Productivity
- Particulate Matter Productivity
- Sustainable Revenue
- Sustainable Investment
- Injuries
- Fatalities
- Percentage Tax Paid
- CEO to Average Worker Pay
- Pension Fund Quality
- Employee Turnover
- Sanction Deductions
- Paid Sick Leave
- Sustainability Pay Link
- Non-males in Executive Management
- Non-males on Boards
- Racial Diversity Among Executives
- Racial Diversity on Board of Directors
- Supplier Sustainability Score
- Political Influence
Accolades
The Global 100 Index has been recognized as a leader in transparency and industry best practices for sustainability rankings, according to SustainAbility's Rate the Raters project.[2]
World's Most Sustainable Corporations
2022: Vestas Wind Systems[3]
2021: Schneider Electric[4]
2020: Ørsted[5]
2019: Chr. Hansen Holding A/S[6]
2018: Dassault Systèmes[7]
2012: Novo Nordisk[13]
2011: Statoil ASA
See also
References
- ↑ Staff, C. K. (2021-04-03). "Global 100 Resources". Corporate Knights. Retrieved 2022-09-14.
- ↑ "Rate the Raters 2019".
- ↑ "Vestas ranked the most sustainable company in the world 2022". www.vestas.com. Retrieved 2022-09-14.
- ↑ "French tech firm Schneider Electric tops global league of green firms". The Guardian. 2021-01-25. Retrieved 2022-09-14.
- ↑ "Global 100 index: Ørsted is the world's most sustainable company". orsted.com. 2022-09-14.
- ↑ "Chr. Hansen ranked as the most sustainable company in the world" (Press release). www.chr-hansen.com. Retrieved 2022-09-14.
- ↑ "Dassault Systemes Brand Ranking | All Brand Rankings where Dassault Systemes is listed!". www.rankingthebrands.com. Retrieved 2022-09-14.
- ↑ Kauflin, Jeff. "The World's Most Sustainable Companies 2017". Forbes. Retrieved 2022-09-14.
- ↑ Boeriu, Horatiu (2016-01-21). "BMW Group tops Corporate Knights' Global 100 Ranking". BMW BLOG. Retrieved 2022-09-14.
- ↑ "2015 Global 100 results". Corporate Knights. 2015-01-21. Retrieved 2022-09-14.
- ↑ "Westpac ranked most sustainable company in the world" (Press release). www.westpac.com.au. Retrieved 2022-09-14.
- ↑ Hardcastle, Jessica Lyons (2013-01-23). "Umicore Tops Corporate Knights' 2013 Global 100". Environment + Energy Leader. Retrieved 2022-09-14.
- ↑ "Novo Nordisk Tops List of World's 100 Most Sustainable Firms". Greenbiz. Retrieved 2022-09-14.
- ↑ "GE Tops 2010 Global 100 List; A Mere 12 U.S. Companies Make it to Sustainability Ranking". Firsthand. Retrieved 2022-09-14.