CSR Research: Environmental Sustainability

Competition reduces toxic releases

Toxic releases have fallen dramatically since 1987, when the median facility released 19,300 pounds of toxic chemicals per year. By 2007, median releases were below 3,300 pounds— a roughly 83 percent reduction.

Engagement with nonfinancial stakeholders correlates to increased disclosure about carbon emissions

The degree to which firms disclose carbon emissions is affected by both operational performance and outside influences. Firms that that emit less are more likely to disclose their carbon emissions, as are those that are more engaged with nonfinancial stakeholders, including the government, general public, the media, employees, and customers.

Improving performance against carbon emission goals

To encourage green behaviors from consumers, companies must first be green themselves

Companies are more likely to adopt energy savings initiatives when implementation disruption is low

Firms are significantly more likely to adopt energy savings initiatives that yield moderate economic benefits and easy to implement over ones that are more financially beneficial, but disruptive to the organization.

Green practices and financial performance: A global outlook

Companies benefit financially when they invest in environmental activities such as pollution prevention, supply chain management, and green product development.

Acquisitions provide opportunities to improve environmental capabilities

During an acquisition, environmental capabilities can be transferred between the two firms, leading to measurable improvements in waste reduction efforts following the acquisition event.

Recycling intentions are influenced by size, durability, and perceptions of reusability

RESEARCH BRIEF - Efforts to reduce packaging may actually reduce recycling behaviors.

Corporate citizenship executives require structure to be effective

RESEARCH BRIEF - Corporate Sustainability Officers working for environmentally intensive companies are more likely to be successful in improving environmental performance when their companies are headquartered in states with more rigorous environmental regulations.

What drives success—financial or environmental performance? Research says both.

RESEARCH BRIEF - Strong environmental performance both stems from and results in strong financial performance, though focusing on outcome-based initiatives—such as carbon reduction efforts—will result in both market and accounting-based value-creation.

Want to make money while helping the environment? Avoid doing ‘too little’

RESEARCH BRIEF - When it comes to environmental investments, firms should avoid doing ‘too little of a good thing.’ While financial performance suffers slightly when companies make only modest environmental investments, it increases sharply when they exhibit strong environmental performance.

Emotional messaging may lead to greater environmental action

RESEARCH BRIEF - Immediately after viewing emotionally affecting communications, individuals are more likely to engage in pro-environmental behaviors and donate to sustainability causes.