Study Promotes Transparency in Corporate Responsibility Reporting

June 27th, 2008

In the race to put metrics around enterprise sustainability initiatives, there is now a published study that grades California public companies on their sustainability reporting. In this report, our client Chevron got an A+, while a leading IT company got an F. It’s not about what you say you are doing — this study grades how you are REPORTING what you are doing. The PDF of the report is available for download. The Roberts Environmental Center of Claremont McKenna College of Claremont, California, conducted the study and concluded that many companies do not adequately report their sustainability efforts on their websites.

This is a move to promote greater transparency in EHS and CSR reporting, much as Sarbanes-Oxley requirements encourage greater transparency in financial reporting.

On the environmental side, the most frequent reporting subject is accountability and the most frequently reported environmental performance topic is energy usage. Many companies have posted their intent to be accountable for executing on their sustainability goals. The one objective where they seem to have made the most progress is energy efficiency. Companies are reporting energy savings that are clear and measurable.

The Roberts Environmental Center rates sustainability reports on the basis of intent (based on a discussion of a topic and an example of an initiative undertaken on a reported topic); reporting (transparency in public discussion of the issues); and performance (measured by meeting industry standards, external awards or achievement of numerical goals).

We are moving in the direction of greater transparency and greater inspection of sustainability efforts, which can only be proven by better data. How is your organization’s data? Why not share in the comments section what your company is doing and how you are measuring your efforts.

Tags: csr reporting environmental roberts environmental center sustainability reporting

Entry Filed under: Sustainability, Corporate Responsibility