Sustainable Companies Outperform Peers During Financial Crisis

February 11, 2009

Email this story Print this post Add your comments

A.T. Kearney announced findings in a new report which showed that companies focused on sustainability outperformed their peers by 15% during the financial crisis.

The report, titled “Green Winners: The Performance of Sustainability-focused Companies in the Financial Crisis” looked at 99 companies with a strong commitment to sustainability as defined by the Sustainability Index and the Goldman Sachs Sustain Focus List.

Over the six months from May through November 2008, the study found that in 16 of the 18 industries studied, companies committed to sustainability averaged $650 million more than the industry average in protected market capitalization per company.

Dr. Daniel Mahler, author of the study, said, “We find common characteristics among the leading companies that show that sustainability goes far beyond the narrow definition of being environmentally friendly.”

These characteristics include:

A focus on long-term strategy, not just short-term gains
Strong corporate governance
Sound risk-management practices

The firm released a study in 2007 revealing that while 60% of companies have sustainability strategies, only 36% have applied it to their supply chain. EL has reported in the past on A.T. Kearney’s ‘carbon-neutral consulting.’

click to enlarge

Email this story Print this post Add your comments

Advertisers

Make sustainability part of your strategy.

Get equipped at the SAP Sustainability Resource Center. >>

Unclear about the EPA's new GHG Rule?

Learn how it could affect your business. >>

EPA mandatory emissions reporting starts Jan 1st

CSA Standards can help your organization get ready for compliance. Find out how. >>

Product Environmental Compliance Best Practices

How to achieve compliance at a significantly lower cost. Download the full report. >>

Join the Discussion

Recent Daily News [ see all ]

11/23/2009
11/20/2009
11/19/2009

Charts [ see all ]

European Paper Industry Cuts CO2 Emissions by 42% since 1990

S. America Takes Most Urgent View of Copenhagen Talks

Nike Tops Annual Climate Action Scores

Oceans May Trap more Carbon than Forests

Jobs

View All Jobs >> Post a Job >>

Comments and Discussions

Btok on Canada Delays GHG Emissions Regs, Russia Ups Emissions Cuts
"http://www.infowars.com/dr-tim -ball-on-the-significance-o..."

ruffie on Wind Power Investments Grow in North America
"Anyone with any knowledge of the energy business in Canada knows that the majority of smart..."

Rod Johnson on Stimulus Package Delivers $2.4 Billion for Electric Vehicle Projects
"Will this stimulus be extended to other electric utility vehicles?"

Charli on Trade Group on EPA Chemical Regs: ‘If Everything is a Priority, Then Nothing is a Priority’
"Thanks Environmental Leader, for..."

James Beddingfield on Oceans May Trap more Carbon than Forests
"Another great thing about an ocean-based carbon sink is that it can’t..."

Custom Organic Shirts on Climate Scientists Alleged to Have Manipulated Data
"Wow, EL – should have seriously done even some background research..."

Phil on Climate Scientists Alleged to Have Manipulated Data
"Pete old boy, why don’t you just trot out the math that carries you from your..."

Environmental Leader