With the world becoming more environmentally conscious, eco-friendly companies are experiencing increased success.
As per the latest trends, customers are making purchases that prioritize environmental impact. Their decision to work with companies that share a commitment to environmental protection comes at a time when the option is becoming increasingly obvious. It can be difficult to distinguish between companies that are legitimately eco-friendly and the ones that are simply hopping on the environmental bandwagon and gradually labeling themselves ‘eco-friendly.’
Given the gravity of the current climate crisis, it is critical for businesses to maintain high environmental expectations, and businesses that continue to prioritize and work at the forefront of environmental innovation should be applauded. We all know that ‘eco-friendly’ means a lot more than simply not harming the climate. Environmental consciousness is woven into every part of the company’s brand for genuinely eco-friendly businesses.
Read more: ESG Data Sources
What Makes a Company Sustainable?
The level of an organization's sustainability is achieved by including environmental, social, and governance (ESG) metrics. These three factors are the pillars of sustainability and help guide corporate governance efforts.
Three Pillars of Business Sustainability
The three pillars of sustainability are environment, social responsibility, and economic impact. They are also known as people, planet, purpose, and profits.
- People refer to employees, customers, and community members.
- The planet is the physical environment as well as its natural resources.
- Purpose highlights the reasons an organization functions as it does.
- Profit highlights more than making money. It encircles a business's effects on the environment and society.
Environmentally friendly companies produce sustainable and ethically sourced products and follow environmentally friendly manufacturing and production methods. Environmentally friendly companies are also working to change the landscape of businesses’ involvement and responsibility in environmental protection fully. In their battle against climate change, eco-friendly organizations go beyond their products. In addition to engraining sustainability within their core business functions, they also work to protect the environment by advocating for sustainable policies, raising environmental consciousness, encouraging local involvement in conservation efforts, collaborating with other campaigns and groups, and more.
To identify the best of these companies, we have factored in parameters on how innovative their technology is or how sustainable their operational practices are.
Most Sustainable Companies
- Schneider Electric
- Ørsted
- Nvidia
- Cisco Systems Inc
- Keysight Technologies KEYS
- Neste
- Stantec
- McCormick & Company
- Kering
- Metso Outotec
- American Water Works Company
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Schneider Electric
Recognized as the leader in the digital transformation of energy management and automation, Schneider Electric is one of the world's most eco-friendly companies. This French energy-solutions powerhouse, Schneider Electric, is the world's most sustainable company of 2025. The organization bagged the top spot in this year's Corporate Knights Global 100 ranking, moving up from seventh place last year because of its high level of sustainable investment and revenue-leading performance on gender diversity and the low carbon intensity of its production.
Schneider Electric is contributing to lowering CO2 emissions and reducing the rise of the temperature of the Earth by emphasizing innovative and renewable disruptors. Their initiatives are helping to prevent overheating of the Earth's atmosphere and producing environmentally friendly goods that enable better access to energy.
Schneider Electric Chair and CEO Jean-Pascal Tricoire stated that the foundation of their strategy is to establish a business and organization that is sustainable. Schneider has always been committed to ESG concerns, and they continue to set higher standards for themselves, as well as their customers and partners.
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Ørsted
As one of the most sustainable companies, Ørsted has pledged to battle climate change with renewable energy. Ørsted offers energy products to its customers and is the only energy enterprise globally with a net-zero emissions target. The company, also known as one of the largest renewable energy developers, has transitioned from using fossil fuels to renewable energy for its operations and has set its target to achieve carbon neutrality by 2025.
Ørsted aims to provide a net-positive biodiversity impact from all new renewable energy projects it will commission from 2030. The company has consistently ranked high on the Global 100 list. The brand's vision reflects both its dedication to driving a profitable and sustainable business and its resolution to create a world that runs entirely on green energy. They are catalysts for green energy transformation and instrumental in the battle against climate change.
Read more: “Net-Zero by 2070”: #COP26 Climate Deal, Here Are the 5 Biggest Talking Points
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Nvidia
Nvidia is one of the world’s largest manufacturers of semiconductor chips. It is one of the world’s leading designers of graphics processing units (GPUs) and system-on-chip units (SOCs) for the gaming, mobile, and automotive industries.
As a manufacturer of chips, and at that scale, Nvidia has a massive carbon footprint. It mines materials, and its factories and labs are power-hungry and consume a lot of water. However, Nvidia is renowned for its sustainability practices, operating at power efficiencies as high as 35%. By 2025, it has pledged to increase its renewable energy usage to 65%.
The manufacturer is also 100% Responsible Minerals Assurance Process-compliant. Besides environmental stewardship, it is also renowned for its generous medical plan and paid parental leave policy.
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Cisco Systems Inc
Leading developers and manufacturers of networking hardware, software, and telecommunication equipment, Cisco ranks in the list of the world's most eco-friendly companies. It is remarkably energy-efficient across its supply chain, from sourcing materials, designing products, and consuming electricity to promoting fair hiring and securing data. Cisco claims that 80% of its electricity (operations only) is clean. It has also reduced its Scope 1 and Scope 2 emissions by nearly 50%. (Scope 1 refers to emissions generated by direct, owned sources like company vehicles. Scope 2 refers to indirect sources like cooling or heating systems. Scope 3 emissions are caused by the remaining aspects in the value chain, like employee commute and waste management.)
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Keysight Technologies KEYS
A leader in communications testing and measurement solutions, Keysight Technologies contains the strongest and broadest communications testing capabilities across hardware, software, and services. Due to Keysight's strong ESG reporting and oversight of ESG issues, the company is implementing a strong whistleblower program that incorporates adequate governing policies for environmental issues and strong social supply chain standards.
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Neste
Neste is a global leader in sustainability, renowned for its renewable diesel, sustainable aviation fuel, chemical recycling to reduce plastic waste, and innovation in refining raw materials into renewable fuels. The Finnish company went from third to fourth place in a year, but it is still on the Corporate Knights Global 100 Index for the 15th year in a row, which is far longer than any other global energy company.
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According to Peter Vanacker, Neste President and CEO, the company’s goal of making the world a better place for our children motivates them to strive for greater heights every day. Numerous businesses are constantly upgrading their sustainability initiatives, making it increasingly challenging to make a list each year. It’s encouraging to see more businesses actively incorporating sustainability into their operations.
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Stantec
Stantec is not just one of the world’s most environmentally friendly companies, but it also leads the way in North America. Half of the company’s overall score came from clean earnings and clean investment, which are commodities and services that have a proven environmental and social impact.
Stantec President and CEO Gord Johnston stated that the company's outstanding track record on sustainability is the product of their people’s profound commitment and excellent leadership across their worldwide operations. Their teams are working to improve sustainability in their own operations, as well as assisting clients in setting and achieving their sustainability objectives.
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McCormick & Company
McCormick & Company may be regarded as the world’s sixth most sustainable company, but it is also the food industry’s leader. The packaged and processed foods industry in the United States has risen 16 spots to its highest place since the index’s inception five years ago.
Read more: Lab-Grown Meat Is the “Clean” Food the World Needs. So, What’s the Beef?
According to Lawrence E Kurzius, McCormick & Company Chairman and President, it has never been more crucial to join hands towards the future of flavor and to reduce its influence on the planet. The company is committed to generating clean revenue, delivering renewable energy projects, and transitioning to 100% circular packaging.
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Kering
The only luxury corporation to make it to the top ten sustainable companies list is Gucci, Saint Laurent, Bottega Veneta, Ulysse Nardin, and Pomellato’s parent company.
Kering maintained its strong position when evaluated against 24 quantitative KPIs, including resource management, people management, financial management, clean revenue and investment, and supplier performance. Sustainability is advocated at every governance level, from the Board of Directors to the House managers, in order to shape the future of luxury.
According to Conservation International CEO Dr. M Sanjayan, Kering’s pledge to safeguard the environment on which it relies is a huge leap for the fashion industry, and it represents a massive gateway for the luxury sector to influence the masses and help reimagine fashion and luxury goods. Kering's 2025 sustainability strategy aims to create value for its customers and society as a whole.
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Metso Outotec
Metso Outotec, a global leader in sustainable technology and services catering to recycling industries, aggregates, and mineral processing industries, is ranked 8th on the Global 100 Index. The Finland-based corporation has set a variety of ambitious targets, including limiting global warming to 1.5 degrees Celsius, in order to make a positive impact on the earth as a sustainable leader.
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Metso Outotec’s Senior Vice President of Business Development, Piia Karhu, stated that for their aggregates, metals, and minerals industry customers, their focus is on producing sustainable goods and services. They accelerate sustainable innovation together by collaborating with their customers, partners, and communities.
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American Water Works Company
American Water is one of the world’s most eco-friendly companies because of its leadership and transparency. The US company, which was founded in 1886 and employs over 6,800 employees, is the largest publicly traded water and wastewater utility company in the world.
Despite serving 15 million people in 46 states, the corporation saves 12.5 billion liters of water every year, thanks to its efficiency techniques. It has also committed to a 40% reduction in greenhouse gas emissions by 2025.
According to Walter Lynch, President and CEO of American Water, providing a consistent supply of safe, clean, and affordable water to their customers, as well as treating their wastewater, is just one part of their commitment to constantly improve their business’s sustainability and create a greater societal impact.
Read more: Top ESG Investing Trends to Watch Out for in 2022
How Can Companies Improve Their Sustainability Strategies?
The starting point of accelerating an organization's sustainability strategy must always begin with its mission. This constitutes a starting point for analyzing the firm and its operations. The focus should be on why they exist, how they operate, and their goals. They must be aware of and contribute positively to the sustainability challenges faced globally.
When an organization decides on its sustainability strategy, it must also decide its main goal. By operating with Environmental, Social, and Governance (ESG), they can examine its sustainability performance across a number of factors.
Environmental criteria identify how an organization performs in terms of its responsibilities to nature. Similarly, social factors refer to relationships with employees, customers, and communities. Governance deals with principles related to rights, responsibilities, and expectations between stakeholders in managing corporations.
Improving the company’s sustainability can help mitigate the risks for investors. This includes external examination to determine what to produce or what gap in the market to work with. However, executing a sustainable strategy can be a challenging process.
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Creating a Strong Sustainability Strategy
Recognizing the importance of sustainability for business operations is not enough. They also need to incorporate and align sustainability into their actions and measurements in a coherent strategy. However, only this way may have a demonstrative effect. Developing a strong sustainability strategy provides an opportunity to view progress. Moreover, it provides the framework to successfully review, develop, and change activities for your business.
The best way to track the company’s sustainability progress is to establish Sustainability Key Performance Indicators (KPIs). Measuring the sustainability process is critical to ensure the organization is moving forward and reaching its sustainability goals. In other words, they assist in keeping up their measurements of sustainability progress. Additionally, it offers a better idea of where they can achieve this improvement in the future while also tracking their sustainability progress.
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Establishing Sustainability KPIs
How should organizations go about establishing their own sustainability KPIs? One of the major issues they face when trying to enforce sustainability KPIs is the number of potential KPIs. Corporate sustainability reports have considerable variation in the use of performance indicators, which indicates a trend that could likely hinder benchmarking efforts, making it difficult to track progress.
There can be different opinions on how best to adjudicate the performance of involved indicators. It can be caused by a number of factors, including the differing interpretations of sustainability or lack of mandatory ESG standards for reporting.
To develop a strong sustainability strategy in a company, it is important to focus on bridging the gap between the interpretations of sustainability and developing workers’ buy-in. In order to achieve consistent success, an organization needs to ensure strong fundamental factors like aligning sustainability understanding.
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Onboarding staff with the KPIs and Sustainability
The successful integration of a strong sustainability strategy depends on the alignment between the workforce as well as the company's goals. This can align perfectly when the entire team is on board with the company’s objective of fostering sustainability. The most effective way is by involving employees and key decision-makers in the process.
An important part of developing a strong sustainability mission includes bridging the gap between the sustainability strategy of the organization and employees’ sustainability thinking. The gamified process helps unleash creativity in the workforce values and anchor the company strategy. Accelerating the company’s sustainability strategy is fostered by the buy-in that the workers develop with the sustainability processes.
To accelerate sustainability strategy, businesses need to upskill their workforce and onboard the whole team, especially those who can assist in further driving the process forward.
Key Highlights: Top Sustainable Companies
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Consumer purchase decisions have changed dramatically in recent years. They are willing to spend more on eco-friendly products and solutions that are marketed as sustainable.
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Sustainable companies are witnessing stronger growth and more loyal customers, as today, sustainability matters more than ever.
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The rise in support of eco-friendly companies makes sustainability a vital aspect of customer experience and critical for the environment.
Conclusion - Most Sustainable Companies
An organization's approach to sustainability illustrates how it anticipates as well as addresses the associated long-term risks. Companies that mishandle ESG issues are likely to incur high economic costs, thus jeopardizing their ability to earn long-term, sustainable profits.
The above-mentioned major green tech companies are expected to perform well in the future. With the ever-growing demand for eco-friendly and green technology products and solutions, these corporations will likely become increasingly popular in years to come to foster strong ESG management practices for a long-term advantage.
Now is the time for organizations to accelerate the pace of change!
A leader in ESG Services, SG Analytics offers bespoke sustainability consulting services and research support for informed decision-making. Contact us today if you are searching for an efficient ESG (Environmental, Social, and Governance) integration and management solution provider to boost your sustainable performance.
About SG Analytics
SG Analytics (SGA) is an industry-leading global data solutions firm providing data-centric research and contextual analytics services to its clients, including Fortune 500 companies, across BFSI, Technology, Media & Entertainment, and Healthcare sectors. Established in 2007, SG Analytics is a Great Place to Work® (GPTW) certified company with a team of over 1200 employees and a presence across the U.S.A., the UK, Switzerland, Poland, and India.
Apart from being recognized by reputed firms such as Gartner, Everest Group, and ISG, SGA has been featured in the elite Deloitte Technology Fast 50 India 2023 and APAC 2024 High Growth Companies by the Financial Times & Statista.
FAQs - Most Sustainable Companies
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What is the most sustainable company in the world?
This French energy-solutions powerhouse, Schneider Electric, is the world's most sustainable company of 2025. The organization bagged the top spot in this year's Corporate Knights Global 100 ranking, moving up from seventh place last year because of its high level of sustainable investment and revenue-leading performance on gender diversity and the low carbon intensity of its production.
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How are companies ranked for sustainability?
An organization's sustainability can be measured by examining its environmental, social, and governance (ESG) performances. This can also be accomplished through reporting, assessments, and indices. They are ranked for their sustainability measures depending on their comprehensive evaluation of their ESG approaches, integrating a combination of data from reports, external audits, and stakeholder surveys to generate a final sustainability score and ranking.
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What are the benefits of being a sustainable company?
A sustainable organization can benefit significantly from reduced costs through the efficient use of resources, enhanced brand reputation, improved customer loyalty and employee retention, attracting new investors, fostering innovation, and gaining a competitive edge by aligning with growing consumer demands. Incorporating these responsible practices will essentially help contribute to long-term business viability as well as minimize environmental impact.
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How can small businesses adopt sustainable practices?
In today’s ever-evolving landscape, debating whether to integrate sustainability into your business strategy is no longer an option. Considering a values-driven approach when designing business strategies is vital to long-term success. Small businesses can adopt sustainable practices in order to conserve energy, reduce waste, and use renewable energy.
Set up recycling bins and composting, support local recycling initiatives, avoid single-use plastics, use reusable products, and repurpose used materials. Small businesses can further contribute to sustainability by integrating green technologies and implementing energy-efficient practices. Additionally, utilizing energy-efficient equipment can further enhance sustainability efforts. These measures will help decrease the environmental footprint and result in long-term cost savings. By incorporating these methods, small businesses can play their part in fostering a sustainable future.
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What are the biggest challenges in corporate sustainability today?
Some of the biggest challenges in corporate sustainability are - managing complex supply chains in order to ensure ethical sourcing, accurately estimating and reporting sustainability impacts, integrating sustainability into core practices, addressing potential greenwashing concerns, navigating diverse customer as well as stakeholder expectations, and adapting to evolving regulations while asli balancing short-term profits with long-term sustainability goals.