Thirty-one California Chamber of Commerce member firms are among the 124 named as the 2017 World’s Most Ethical Companies by the Ethisphere Institute.
The institute, a global leader in defining and advancing the standards of ethical business practices, said the honorees span five continents, 19 countries and 52 industry sectors.
Three CalChamber members are among the 13 companies that have been recognized all 11 times since Ethisphere started the list in 2007.
Ethisphere describes its program as one that has honored companies “who recognize their role in society to influence and drive positive change in the business community and societies around the world. These companies also consider the impact of their actions on their employees, investors, customers and other key stakeholders and leverage values and a culture of integrity as the underpinnings to the decisions they make each day.”
Ethisphere CEO Timothy Erblich explains that over the last 11 years “we have seen an impressive shift in societal expectations, aggressive emergence of new laws and regulation and geopolitical swings that can further disrupt the balance.
“We have also seen how companies honored as the World’s Most Ethical respond to these challenges. They invest in their local communities around the world, embrace strategies of diversity and inclusion and focus on long term-ism as a sustainable business advantage. In short, these companies are transformative, not just out of need, but because they recognize that integrity is the key to their advancement.”
CalChamber members on the list are:
- 3M Company: Fourth consecutive year.
- Accenture: 10th consecutive year.
- Allstate Insurance Company: Third consecutive year. Phillip John Telgenhoff, field senior vice president, is a CalChamber Board member.
- Arthur J. Gallagher & Co.: Sixth consecutive year.
- Avnet, Inc.: Fourth consecutive year.
- Blue Shield of California: Four times on list. David Fields, executive vice president – markets, is a CalChamber Board member.
- CBRE Group, Inc.: Fourth consecutive year.
- CH2M: Ninth consecutive year.
- Cummings Inc.: 10th consecutive year.
- Ford Motor Company: Eighth consecutive year.
- Granite Construction Incorporated: This is the eighth year in a row Granite has been recognized. Laurel J. Krzeminski, executive vice president and chief financial officer, is a CalChamber Board member.
- Ingredion Incorporated: Fourth consecutive year.
- International Paper Company: All 11 years the list has been issued.
- ManpowerGroup: Seven times on list. Phil Blair, executive officer of Manpower West, is a CalChamber Board member.
- Marriott International, Inc.: Nine times on list.
- Microsoft: Seventh consecutive year. Gail Thomas, vice president, U.S. West Region Enterprise and Partner Group, is a CalChamber Board member.
- Paychex, Inc.: Nine times on list.
- PepsiCo: All 11 years the list has been issued.
- Prudential Financial, Inc: Third consecutive year.
- Republic Services, Inc.: First time on list.
- Rockwell Collins: Eighth consecutive year.
- Schneider Electric: Seventh consecutive year.
- Sharp HealthCare: Four times on list. Michael W. Murphy, president and CEO, is a CalChamber Board member.
- Target Corporation: Nine times on list.
- Teradata Corporation: Eighth consecutive year.
- The AES Corporation: Fourth consecutive year.
- TIAA: Third consecutive year.
- U.S. Bank: Third consecutive year.
- UPS: All 11 years the list has been issued.
- USAA: Second year in a row.
- Waste Management: 10th consecutive year.
The World’s Most Ethical Company assessment is based upon the Ethisphere Institute’s Ethics Quotient® (EQ) framework, which offers a quantitative way to assess a company’s performance in an objective, consistent and standardized way. The information collected provides a comprehensive sampling of definitive criteria of core competencies, rather than all aspects of corporate governance, risk, sustainability, compliance and ethics.
The EQ questionnaire is developed by an Ethisphere internal team of legal and compliance professionals and an advisory panel. Members include leading experts from the fields of law, corporate reputation, corporate ethics, governance, anti-corruption, and government.
Scores are generated in five key categories: ethics and compliance program (35%), corporate citizenship and responsibility (20%), culture of ethics (20%), governance (15%) and leadership, innovation and reputation (10%).
Ethisphere reviews documentation submitted by companies and may conduct additional research and request additional information and documentation from the company. EQ scores are often adjusted based on documentation review and independent research
The full list of the 2017 World’s Most Ethical Companies can be found at worldsmostethicalcompanies.ethisphere.com/honorees/.
Best practices and insights from the 2017 honorees will be released in a series of infographics and research throughout the year. Organizations interested in how they compare to the World’s Most Ethical Companies are invited to participate in the Ethics Quotient.