New 2017 Grades!

In the face of increasing consumer expectations and demand for new transparency from companies, the emerging concepts of company stewardship go well past traditional concepts of corporate social responsibility.

Companies that act as good stewards take care of the communities they touch and take care of the planet.

They take care of the community in the following ways:

  • Abiding by laws and regulations
  • Caring for employees
  • Using their core capabilities to help solve local and global problems, and doing so with discretion
  • Showing restraint in executive compensation, use of tax havens, and brand presence

They take care of the planet in ways that include the following:

  • Staying within the limits of relevant laws and regulations
  • Documenting and disclosing a company’s environmental impact
  • Minimizing ecological harm (and seeking to fix ecological problems)
  • Showing restraint (taking appropriate precautions) in developing new products

On our Good Company Index, we use six different measures to rate companies as stewards.  These measures are broken into four different categories:

  • Environment (Newsweek Green Rankings, Dow Jones Sustainability Index)
  • Penalties/fines imposed by government agencies
  • Restraint (CEO compensation, avoiding the use of tax havens)
  • Contribution (whether a company uses its core capabilities to contribute in some way to society)