Corporate Sustainability Measurement and Assessment of Czech Manufacturing Companies using a Composite Indicator

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216305%3A26510%2F17%3APU123063" target="_blank" >RIV/00216305:26510/17:PU123063 - isvavai.cz</a>

Result on the web

<a href="http://dx.doi.org/10.5755/j01.ee.28.1.15323" target="_blank" >http://dx.doi.org/10.5755/j01.ee.28.1.15323</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.5755/j01.ee.28.1.15323" target="_blank" >10.5755/j01.ee.28.1.15323</a>

Result language

angličtina

Original language name

Corporate Sustainability Measurement and Assessment of Czech Manufacturing Companies using a Composite Indicator

Original language description

This paper discusses the measurement and assessment of corporate sustainability by a composite indicator. The aim of the paper is a construction of a composite indicator "Index corporate sustainability” (ICS). A tool for measuring and assessing corporate sustainability is an appropriately designed model called the “Sustainable Environmental, Social, Governance and Economic Model (SEESG Model)". The composite indicator ICS integrates 5 financial (economic) and 14 non-financial, environmental, social and corporate governance (ESG) performance indicators Iji, which are determined in a stepwise fashion from a basic set of performance indicators using the principal component analysis (PCA) modelling. The composite indicator ICS is one of the possible ways to create a tool for measuring and assessing corporate sustainability that allows for the assessment of companies by a set of financial and non-financial indicators in various areas of their performance, thus enabling a detailed analysis and determination of the impact of various performance areas and factors in complex corporate performance. An important characteristic of the composite indicator is the possibility to easily make comparisons and rankings of companies in a particular sector, and estimate whether they are heading towards sustainability. The use of benchmarking for company-to-company comparisons makes it possible to interpret summary information and to quantify differences in the performance of individual companies using graphic visualization. For this reason, ICS can be offered as a consistent and flexible benchmarking for owners, managers and investors. Using this indicator, they can incorporate sustainability into their decision-making processes, and achieve economic growth and ensure protection of the environment and social values.

Czech name

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Czech description

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Type

J_imp - Article in a specialist periodical, which is included in the Web of Science database

CEP classification

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OECD FORD branch

50202 - Applied Economics, Econometrics

Project

Result was created during the realization of more than one project. More information in the Projects tab.

Continuities

P - Projekt vyzkumu a vyvoje financovany z verejnych zdroju (s odkazem do CEP)

Publication year

2017

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Name of the periodical

Engineering Economics

ISSN

1392-2785

e-ISSN

2029-5839

Volume of the periodical

28

Issue of the periodical within the volume

1

Country of publishing house

LT - LITHUANIA

Number of pages

13

Pages from-to

88-100

UT code for WoS article

000396637100009

EID of the result in the Scopus database

2-s2.0-85014769932