EIRIS' Sustainability Ratings Report
The German sportswear manufacturer Puma is named a global leader in EIRIS' Sustainability Ratings report with British drugs company GlaxoSmithKline and the Dutch electronics company Philips also scoring highly.
A fifth of UK companies score A (the highest of five grades) based on their sustainability performance, followed by 12 per cent of mainland European ones. But only 2 per cent of US companies and 1 per cent of Asian ones make the top grade in EIRIS' Global Sustainability Ratings.
EIRIS' report 'On track for Rio+20? How are global companies responding to sustainability?' analyses the sustainability performance of 50 of the world's largest companies (by market cap). The highest-ranked largest companies include Novartis, the Swiss pharmaceutical group, and French group Sanofi. In contrast, some strong consumer brands, most notably Apple and Google, both receive D grades.
Top 10 Global Sustainability Leaders
- Puma despite operating in a sector at high risk for human-rights abuses, Puma has a strong environment record and demonstrates improvements in supply chain labour standards.
- FirstGroup derives more than 90 per cent of sales from rail and bus services and the company has made major improvements in reducing its environmental impacts.
- National Australia Bank Owner of Clydesdale and Yorkshire banks trains staff to understand and identify environmental and social risks when doing business.
- GlaxoSmithKline scores well across the board, demonstrating particular strengths in providing drugs cheaply to developing countries.
- Roche, the Swiss pharmaceutical company has a strong equal-opportunities policy and operates an advanced code of ethics with strong anti-bribery rules.
- Novartis, another Swiss pharmaceutical company, has strong environmental reporting and a good anti-bribery programme.
- Philips Electronics, the Dutch electronics company, has made significant progress on environmental issues, particularly through increasing the energy-efficiency of its products.
- Deutsche Börse, the German stock exchange, scores highly for its strong practices in relation to environmental issues, corporate governance and stakeholder engagement.
- Novo Nordisk, the Danish pharmaceutical company, has reduced its water use and its all-round environmental, social and governance record is strong.
- Go-Ahead Group, the UK bus and train company, has a strong record on the environment.
- Apple, the world's biggest company, gets a D in EIRIS' sustainability ratings and lags behind other tech companies. The company needs to do more to address sustainability challenges - particularly those related to supply-chain risks.
- ExxonMobil, the world's second biggest company, shows poor performance in the areas of biodiversity, climate change and water management.
- Toyota, the Japanese car maker, produces greener cars, but lags behind rivals on human-rights and supply-chain-labour standards, earning it a C.
- Chevron along with other major oil and gas producers, including ConocoPhillips and Occidental Petroleum, is given the lowest ranking.