Monday, April 17, 2023
ESG activities correlate to stronger financial performance
New study from Bain & Company and EcoVadis
ESG activities, regarding sustainability, diversity and employee satisfaction, correlate with stronger financial profitability and growth for private companies, revealed a joint study by Bain & Company and EcoVadis released today.
Four correlations between ESG activities and business results:
- Companies with more women on the executive team have better financial results.
- Renewable energy usage correlates with higher EBITDA margins in carbon-intensive industries.
- Companies that focus on ethics, environmental and labor practices within their supply chains are more profitable.
- ESG leaders have higher employee satisfaction; companies with the most satisfied employees grow faster and are more profitable.