Return to Newsletters
| CSOs – CROs – On the Rise in Corporate America… Which Way is Forward in These Key Titles? Sometimes the “chief” whatever is enduring (as in Chief Financial Officer/CFO) and sometimes the chief position is fleeting (Chief Strategy Officer was the rage in the 1980s). We are heartened by the relatively rapid rise of the new chieftains in Corporate America – the “CSO” (Chief Sustainability Officer). The duties and organizing principles for this office are still being worked out.Does the CSO report up to the C-Suite (to CEO)? Do they have access to board room? Are they somewhere “down below,” like the fellows in the steamship boiler room who keep the big boat moving but are not on the bridge with the officers in white suits. Are they in the middle – reporting up to the CEO but through another “chief.” (Direct report to CFO is often the line up for some CSOs.)We’ve seen cases where the sustainability team is headed by the CEO in some structure, and the CSO is the critical influence in the team setting, alongside the CEO. European models are different from the U.S. corporate structure. The CEO is less king and more first among slightly-lesser-equals (at least in influence). There is a trend in place (and has been for about a decade) with large public companies and some mid-caps and small-caps appointing the CSO. The position is a connection point for a growing range of collaborators (internal and external). Subject matter experts (SMEs) and content owners inside don’t report to the CSO but do feed data, narrative, background information on an informal and formal basis (this is especially important for the company’s sustainability reporting). Where are we in this evolving business trend (appointing CSOs)? Our top story this week is from CR (Corporate Responsibility) Magazine – “The Growing Influence of the CSO,” by author Susan Hunt Stevens (CEO of WeSpire, an employee engagement platform for companies). It’s a nice perspective on the origination and growth of the CSO function. One aspect of all of this that we at G&A Institute monitor is the parallel development, the appointment of Chief Corporate Responsibility Officers (CROs). What are the duties of the CSO and CRO… differences… similarities… paths forward (and upwards on the corporate ladder)? Why do some companies title efforts “sustainability” and others, “responsibility” and even “citizenship” (like GE and American Airlines)? Will these come closer together and merge? Will there be separate job descriptions and expectations (of the “chiefs” by the top echelon “chiefs”)? Stay Tuned! Top Story The Growing Influence Of The Chief Sustainability Officer
Sustainability in Focus Why shoppers are the real challenge for M&S’ sustainability ambitions What am I doing about sustainability in my business? Which Companies Lead at Integrating Sustainability into Business Strategies? 5 Things the U.S. Could Learn from Norway about Sustainability Finding Value Through Sustainability – video How can food manufacturers incentivise sustainability and boost growth? Today’s jobs, tomorrow’s sustainability profession The Growing Influence Of The Chief Sustainability Officer Is this sustainability’s man-on-the-moon moment? SGX launches four sustainability stock indices Standardized OHS Sustainability ReportingBy Ford Announces Better World Project, Releases 2015-16 Sustainability Report
ESG Issues & Players 6 CEOs with excessive executive compensation packages The U.S. and China Are Neither Allies Nor Enemies — But They Must Get Along The World Nears Peak Fossil Fuels for Electricity 30 years ago scientists warned Congress on global warming. What they said sounds eerily familiar
Asset Managers, US Pension Funds, Executive pay in spotlight at shareholders meetings No wonder our pensions are in crisis: The FTSE giants with vast pension black holes still handing billions to shareholders New York’s $178 Billion Pension Sees Returns Lag as Stocks Fall
Watching the Watchers
Headquarters: Boston, Massachusetts Key Partners OVERVIEW/MISSION BACKGROUND From the INCR: “With its unique capacity to foster constructive engagement between investors, companies, environmentalists and policymakers, INCR has grown from 10 institutional investors managing $600 billion in 2003, to 100 members managing nearly $10 trillion in assets today.” METHODOLOGIES / OPERATIONS INCR has always stressed that global climate change presents risks as well as opportunities: the organization cites as successes “formal guidance on climate change-related disclosure” from Canadian and U.S. regulators; an investor campaign on strengthening “risk oversight measures for deepwater oil drilling, natural gas ‘fracking’ and oil sands production”; improved climate-related programs at Fortune 500 companies; and a 2010 forum with financial leaders. Differentiation: INCR was established by a well-known, credible organization (Ceres) working in sustainability and socially responsible investments. The Network holds biennial investor summits. The 2012 event, “2012 Investor Summit on Climate Risk & Energy Solutions,” hosted 500 people at the United Nations on January 12, 2012. Topics of discussion included data on clean energy investments, research on climate investments and policy, and institutional investors’ approaches to climate change. Video of the summit is available online. The 2010 event, called “2010 Investor Summit on Climate Risk: Developing a Low-Carbon Economy, Leveraging Private Investment,” was INCR’s fourth summit. It “explored how the rapid global shift to clean technologies and energy efficiency can stimulate economic growth, and highlights how investors can participate in the low-carbon transition.” INCR’s second Institutional Investor Summit at the United Nations (2005), looked at issues such as corporate climate risk disclosure and encouraged research analysts and fund managers to consider these risks. The 2008 Investor Summit on Climate Risk — co-hosted by the United Nations Foundation — resulted in the Investor Network on Climate Risk Action Plan, released by almost 50 institutional investors managing assets of over $1.75 trillion. The plan intends to “boost investments in energy efficiency and clean energy technologies and require tougher scrutiny of carbon-intensive investments that may pose long-term financial risks.” News Sweeps
|
G&A Institute Sustainability Update™ Think Big & Bold — Think Grand Vision: Embrace Sustainability As “America’s Grand Strategy?” G&A Institute’s Report on Sustainable Brands 2016 — Theme: Finding new ways to activate purpose Doing Well by Doing Good – Novozymes’ Head of Sustainability Explains How and Why _______________________________ Governance & Accountability Institute Service Highlight _______________________________ _______________________________
Sustainability & Corporate Responsibility Reporting G&A Institute is the exclusive Data Partner for the Global Reporting
_______________________________
Navigating the way to sustainability… Copyrights for other providers are noted where appropriate. Please credit the source if quoted.
|
|||||||||
| SustainabilityHQ Highlights is prepared by the Governance & Accountability Institute, Inc. based on continuous monitoring of trends and developments in Sustainability and ESG. Click here for more information on the Governance & Accountability Institute’s SustainabilityHQ resources. The SustainabilityHQ™ platform is available by subscription.
Governance & Accountability Instiute is the “Sustainability Headquarters™” for clients in the corporate, investment, public and social sectors. Based in New York, G&A is a for-profit consulting organization providing a range of value-added strategies, services and resources related to ESG & sustainability to clients in the corporate and capital markets communities. The G&A services portfolio includes: SustainabilityHQ™ is managed and published by Governance & Accountability Institute, Inc. |
||||||||||
CSOs – CROs – On the Rise in Corporate America…Which Way is Forward in These Key Titles?
June 27, 2016
Investor Network on Climate Risk (INCR)
