Corporate Knights, a Toronto-based media and research company, recently released its annual list of the world’s most sustainable companies. This list is unique in that it takes into consideration what corporations need to do to make the most of not only environmental resources, but also human and financial capital. Corporations must be able to sustain the global environment as a whole, including the people who live in it.
Sustainable practices are tracked in a number of measurable ways including environmental factors such as how much energy and water are consumed and how much emissions and waste are generated. Key human factors include the ratio of CEO compensation to that of the company’s employees, worker safety and turnover, and representation of women in board and management positions.

These four companies work hard to take care of the Earth and its resources, along with the people who make the companies successful.

1. Biogen

Biogen is the leading developer of therapies for people suffering from neurological, autoimmune, and hematologic diseases. Environmentally, Biogen is a carbon-neutral company meaning that it has effectively neutralized carbon-emitting activities with reduction and offset projects. In the community, Biogen sends thousands of employee ambassadors to promote and support STEM (science, technology, engineering, and math) programs in schools and provides two Community Labs where middle and high school students can study in real-life settings.

For employees, Biogen specifically targets talented women to guide them into leadership roles and has extended resource networks to include employees of every imaginable background. Biogen promotes a sustainable work-life balance for every employee and is now including a year-end shutdown and employee sabbatical program.

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2. Adidas

With operations around the world, German-based Adidas is the manufacturer of Adidas and Reebok branded sporting equipment. Its general approach to sustainability is to find the balance between shareholder expectations, respecting human rights and the needs of its employees.

Adidas strives to provide the best lifestyle for its employees by including creative scheduling and time off models. Employees can earn flexible time off and have a lifetime working time account to bank time to use as paid vacations, sabbaticals, or early retirement. Its unique Parent Pool allows parents to continue on a part-time basis without losing status. In fact, some locations offer nursery rooms and fully-equipped temporary offices that are kid-friendly.

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3. Kesko

Based in Finland, the grocery retailer Kesko operates across eight countries. The objectives of its responsibility program include working conditions, social accountability, product safety, and mitigating climate change.

In its 2019 list of Sustainability Indices, Kesko showed continued growth in community investments like youth sports, veterans care, science research, and environmental organizations. Employees are provided with health coverage, parental leave, and retirement benefits and group leisure activities are encouraged through a dedicated program. It continues to decrease overall energy consumption, reduce emissions, and manage waste throughout the entire organization.

4. BMW

Based in Germany and with operations around the globe, BMW strives to build social engagement into the entire corporation including products and processes. Its sustainability efforts start in the manufacturing line as BMW continually strives to reduce the emissions of the vehicles it produces and offer electric and hybrid choices for its customers.

Within the organization, BMW has been working to minimize its impact on the environment since 1973 when it appointed one of the first Environmental Officers in the world. For employees, BMW is committed to equal opportunities and is working to refine its strategies to include an aging workforce rather than alienate it. BMW actively promotes women advancing into leadership positions, and uses flexible positions and scheduling to help employees find the balance between work and home.

These four companies have placed sustainability and the triple bottom line at the top of their business priorities. They are a great example of social and environmental responsibility among corporations and leaders in approaches to sustainability in a corporate context.

Be sure to check out The University of Scranton’s Free Guide, “Sustainability and the MBA: The Triple Bottom Line” which offers more information on today’s MBAs and sustainability in business with its focus on the social, environmental and financial aspects of business. Or visit the online MBA page to learn more about the program and specializations available.

Is a triple-bottom line a sound marketing and business strategy? We’re definitely seeing a trend with more corporations adopting a triple-bottom line approach, because it makes good business sense. Creating shared values and passions for the greater good of society with your customers leads to strong brand loyalty. It engages them in the discussion of where a product comes from and how it is made. When you buy a container of Nutiva’s coconut oil, you’re buying a part of our social mission.

Beyond its marketing value, a triple-bottom engenders greater efficiencies and cost savings, fosters resiliency and spurs innovation. Another department that benefits is human resources. A corporate social responsibility (CSR) strategy leading to better governance, transparency and benefits results in more engaged and productive workers. CSR has also been called the hottest recruitment and retention tool for Millennials.

It’s becoming increasingly clear that running a business for profit only can lead to poor results for the business and society as a whole, so there has to be wider objectives around treating people fairly and minimizing environmental impact.

Why should companies care about social responsibility? Companies care about CSR because their customers do. There’s a heightened awareness of the need to be a good corporate citizen. In the Internet Age where information about a company’s environmental and social practices is readily accessible and readily tweeted, companies must pay careful attention to what their customers do and say. Customers are more educated, and they’re kept informed by the steadily increasing flow of information from the media, watchdog nonprofits, bloggers and social media.

Of increased interest to customers is responsibility along the supply chain. For instance, where does their food come from? Are farmers in developing countries protected by fair labor standards? Are they working in safe environments and receiving fair pay? When a business addresses the social impacts of food throughout the supply chain–from farm to fork–it addresses the customer’s need for transparency as well as reduces risk.

Companies also care about CSR because they see it as their responsibility to do so. It will take unprecedented coordination between the public and private sector to solve our society’s complex problems, such as the consequences from climate change.

In the past, we’ve left it up to government and nonprofits to solve the world’s problems, but they can’t do it alone. Corporations have tremendous spending power and are well positioned to use their leverage as a force for good.

Can a brand make social responsibility part of its marketing strategy and still be authentic? It depends on the practices and culture of the company, and whether they have a mission statement or an income statement leading the way. Companies still have the burden of building trust with their customers by delivering real results. We have a responsibility to our brand fans to maintain standards and fight the fights they want us to engage in.

For companies to take CSR seriously it has to be transparent and it has to be integrated into the DNA of the business. That comes through in the jobs we provide and our hiring practices, the products we make, and the ways in which we use resources. Transparency and building culture are antidotes to greenwashing.

How can business leaders encourage more social responsibility within the corporate environment? Many prominent leaders are already encouraging and inspiring other businesses. Look at the successful tech entrepreneurs who have started foundations and are taking on big social problems, or Warren Buffet’s commitment to donate the bulk of his fortune.

You don’t need a lot of money to model social responsibility to other businesses. Rubicon Bakery here in Richmond is a small business that hires the formerly incarcerated; they find them to be very loyal and hard working. Nutiva’s own CEO John Roulac advocates and speaks about his passions, from labeling genetically modified products to carbon farming.

Although we have exemplary leaders in business, there are those who believe the sole responsibility of business is to increase profits for its shareholders. This group is only going to be persuaded by financial benefits. Fortunately, a growing body of research and surveys reveal strong linkages between an organization’s CSR activities and improvements in a company’s traditional performance drivers, such as competitiveness, revenue growth, marketshare, profits, and the ability to recruit and retain top talent. Business seems to be listening to the evidence. Ten years ago, only about a dozen Fortune 500 companies issued a CSR or sustainability report. Now the majority does.

Can you share some tips on how a brand can incorporate messages about its social responsibility on its packaging and in other marketing vehicles? Messaging on food packaging can be restricted by space, but using symbols like our 1% to Sustainable Agriculture can communicate to shoppers via shorthand. Using certification logos such as Organic and Fair Trade offer further guarantees of commitment and performance. Many companies also publish CSR reports and webpages committed to such communications. Of course, the type of packaging material used communicates a company’s commitment to sustainability as well.

Social media is a primary vehicle used to communicate our social message. We have an active presence across multiple platforms. The analytics and brand building opportunities with social media are astounding when you engage consumers in relevant and visually exciting content.

Best Triple Bottom Line Companies

Is there anything else you would like to share with our readers? Every choice we make as a business comes with a trail of impacts caused by the choice. I see a triple-bottom line approach as an opportunity to make better decisions and focus on what impacts we can improve. In the big picture, caring about social responsibility contributes to our communities and quality of life. It makes life worth living.