Corporate sustainability ratings: an investigation into how corporations use the Dow Jones Sustainability Index
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The DJSI application process is time-consuming, requiring a significant commitment to complete.
“the application process is time-consuming, requiring a significant commitment to complete (Searcy and Elkhawas, 2012)”
From Strategic Silence: Withholding Certification Status as a Hypocrisy Avoidance Tactic (2018) · cites this paper as Searcy and Elkhawas, 2012
Inclusion on the DJSI can increase perceptions of legitimacy among socially conscious investors and enhance brands or reputations, helping maintain or improve competitive position.
“inclusion on the index can increase perceptions of legitimacy among socially conscious investors and enhance their brands or reputations more generally, all factors that can help to maintain or improve the firm's competitive position among its industry peers (Searcy and Elkhawas, 2012)”
From Strategic Silence: Withholding Certification Status as a Hypocrisy Avoidance Tactic (2018) · cites this paper as Searcy and Elkhawas, 2012
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Sustainable planning of e-waste recycling activities using fuzzy multicriteria decision making
Yeh, C., & Xu, Y. (2013) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2013.03.003 · Cited by 80 · see citing works
Mohammed, K. S., Serret, V., Jabeur, S. B., & Nobanee, H. (2024) · Journal of Environmental Management · doi:10.1016/j.jenvman.2024.120977 · Cited by 76 · see citing works
Sustainable Development, Sustainability Leadership and Firm Valuation: Differences across Europe
Quirós, M. D. M. M., Quirós, J. L. M., & Arraiano, I. G. (2017) · Business Strategy and the Environment · doi:10.1002/bse.1964 · Cited by 74 · see citing works
“These indices have been created to give investors a deeper insight into corporate sustainability performance and are therefore a key benchmark for both investors and firms (Searcy and Elkhawas, 2012).”
BackgroundPalazzo, M., Vollero, A., & Siano, A. (2020) · International Journal of Bank Marketing · doi:10.1108/ijbm-04-2020-0168 · Cited by 69 · see citing works
Goyal, P., Rahman, Z., & Kazmi, A. A. (2015) · Journal of Modelling in Management · doi:10.1108/jm2-09-2012-0030 · Cited by 69 · see citing works
da Rosa, F. S., Guesser, T., Hein, N., Pfítscher, E. D., & Lunkes, R. J. (2013) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2013.10.035 · Cited by 64 · see citing works
Water management and corporate social performance in the food and beverage industry
Weber, O., & Saunders‐Hogberg, G. (2018) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2018.05.269 · Cited by 63 · see citing works
“…Dovers, 2006; Keeble, Topiol, & Berkeley, 2003; Keeler et al., 2012; Kharrazi et al., 2013; Mattingly & Berman, 2006; Nikolaou et al., 2014; Roca & Searcy, 2012; Stefan Schaltegger & Burritt, 2010; Searcy & Elkhawas, 2012; Sidle, Benson, Carriger, & Kamai, 2013; Strzelczyk,…”
BackgroundAre sustainable investments interdependent? The international evidence
Mirza, N., Naeem, M. A., Nguyen, T. T. H., Arfaoui, N., & Oliyide, J. A. (2022) · Economic Modelling · doi:10.1016/j.econmod.2022.106120 · Cited by 62 · see citing works
“Extracted from DataStream, Dow Jones Sustainability Indexes are generally recognized as the superior sustainable indices as it employs a best-in-practice assessment process, tracking the performance of companies that lead the field in terms of corporate sustainability (Searcy and Elkhawas, 2012).”
BackgroundGonzález, M. Á. A., de la Poza, E., & Olmeda, M. N. G. (2019) · Corporate Social Responsibility and Environmental Management · doi:10.1002/csr.1829 · Cited by 62 · see citing works
Development of a conceptual method for sustainability assessment in manufacturing
Swarnakar, V., Singh, A., Antony, J., Tiwari, A., & Cudney, E. (2021) · Computers & industrial engineering · doi:10.1016/j.cie.2021.107403 · Cited by 51 · see citing works
Assessment of environmental responsibility of oil and gas companies in Russia: the rating method
Shvarts, E. A., Pakhalov, A. M., & Knizhnikov, A. Y. (2016) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2016.04.021 · Cited by 61 · see citing works
Measuring sustainability risks: A rational myth?
Boiral, O., Talbot, D., & Brotherton, M. (2020) · Business Strategy and the Environment · doi:10.1002/bse.2520 · Cited by 60 · see citing works
Corporate Sustainability Reporting and Analysis of Sustainability Reports in Turkey
Aktaş, R., Kayalıdere, K., & Karğın, M. (2013) · International Journal of Economics and Finance · doi:10.5539/ijef.v5n3p113 · Cited by 60 · see citing works
“Searcy and Elkhawas (2012) analyzed 24 listed firms in terms of using Dow Jones Sustainability Index (DJSI) in some aspects such as using its logo.”
MethodSustainable Practices in Logistics Systems: An Overview of Companies in Brazil
Martins, V. W. B., Anholon, R., Quelhas, O. L. G., & Filho, W. L. (2019) · Sustainability · doi:10.3390/su11154140 · Cited by 59 · see citing works
Silvestre, W. J., Antunes, P., & Filho, W. L. (2016) · Technological and Economic Development of Economy · doi:10.3846/20294913.2016.1213199 · Cited by 60 · see citing works
Sartori, S., Witjes, S., & Campos, L. M. D. S. (2017) · Energy Policy · doi:10.1016/j.enpol.2017.08.054 · Cited by 60 · see citing works
“corporations share information on their sustainability performance (Searcy and Elkhawas, 2012).”
BackgroundInfluentialFerraz, F. A. V. G. D., & Gallardo‐Vázquez, D. (2016) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2016.03.104 · Cited by 54 · see citing works
Sofian, I., & Dumitru, M. (2017) · Sustainability · doi:10.3390/su9081319 · Cited by 54 · see citing works
Nunhes, T. V., Garcia, E. V., Espuny, M., Santos, V. H. D. M., Isaksson, R., & de Oliveira, O. J. (2021) · Sustainability · doi:10.3390/su13031429 · Cited by 52 · see citing works
Building trust in the fabric of sustainability ratings: An impression management perspective
Boiral, O., Brotherton, M., & Talbot, D. (2020) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2020.120942 · Cited by 51 · see citing works
The New SWOT for a Sustainable World
Pereira, L., Pinto, M., Costa, R. L. D., Dias, Á., & Gonçalves, R. (2021) · Journal of Open Innovation Technology Market and Complexity · doi:10.3390/joitmc7010018 · Cited by 50 · see citing works
“As a response to these issues, companies looked at sustainability as a resource and implemented initiatives and communicated them through sustainability reporting [34].”
BackgroundOn the relationship between policy uncertainty and sustainable investing
Shaikh, I. (2021) · Journal of Modelling in Management · doi:10.1108/jm2-12-2020-0320 · Cited by 50 · see citing works
Nazarian, A., Shahzad, M., Ding, X., & Appolloni, A. (2023) · Journal of the Knowledge Economy · doi:10.1007/s13132-023-01256-2 · Cited by 50 · see citing works
“…the needs of current and future beneficiaries and is based on the beneficiary theory, which recognizes companies responsible regarding these beneficiaries (Searcy & Elkhawas, 2012); therefore, it can be emphasized that the sports goods industry is highly important in SD (United Nations, 2018).”
A State-of-the-art Review and Evaluation of Tools for Factory Sustainability Assessment
Chen, D., Schudeleit, T., Posselt, G., & Thiede, S. (2013) · Procedia CIRP · doi:10.1016/j.procir.2013.06.173 · Cited by 50 · see citing works
“The intensive assessment effort is also claimed in literature [15].”
BackgroundRaghupathi, V., Ren, J., & Raghupathi, W. (2020) · Sustainability · doi:10.3390/su12114753 · Cited by 51 · see citing works
ESG Reporting: Empirical Analysis of the Influence of Board Heterogeneity from an Emerging Market
Lavín, J. F., & Montecinos-Pearce, A. A. (2021) · Sustainability · doi:10.3390/su13063090 · Cited by 54 · see citing works
“In the context of financial markets, many agencies elaborate stock indices; the Dow Jones Sustainability Index (DJSI), the MSCI ESG Indices, and FTSE4Good Index are examples of indices constructed from stock-listed companies selected from a universe of rated companies which fulfill certain ESG thresholds [5,6].”
BackgroundModel for assessing sustainability performance of agricultural cooperatives’
Marcis, J., de Lima, E. P., & da Costa, S. E. G. (2019) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2019.06.170 · Cited by 54 · see citing works
Corporate Environmentalism: Motivations and Mechanisms
Chrun, E., Dolšak, N., & Prakash, A. (2016) · Annual Review of Environment and Resources · doi:10.1146/annurev-environ-110615-090105 · Cited by 46 · see citing works
“Searcy C, Elkhawas D. 2012.”
BackgroundDevelopment of sustainability indicator scoring (SIS) for the food supply chain
Manning, L., & Soon, J. M. (2016) · British Food Journal · doi:10.1108/bfj-01-2016-0007 · Cited by 49 · see citing works
“221 Searcy and Elkhawas (2012) suggest that there are many global sustainability indices linked to 222 financial markets, including the Dow Jones Sustainability Index (DJSI), the FTSE4Good Index, 223 and the MSCI ESG (Environmental, Social, and Governance) Index (formerly known as the KLD 224 and…”
BackgroundMeasure the Performance with the Market Value Added: Evidence from CSR Companies
Carini, C., Comincioli, N., Poddi, L., & Vergalli, S. (2017) · Sustainability · doi:10.3390/su9122171 · Cited by 44 · see citing works
The Inclusion of Socially Irresponsible Companies in Sustainable Stock Indices
Arribas, I., Espinós-Vañó, M. D., García, F., & Morales-Bañuelos, P. (2019) · Sustainability · doi:10.3390/su11072047 · Cited by 44 · see citing works
“This might be a problem, as the methodologies applied by social rating agencies have been widely criticised for the lack of transparency and standardisation of the processes, as well as the unreliable information used, as information is mostly provided directly by the examined companies [17,42,43].”
MethodCorporate social responsibility and financial performance: event study cases
Wang, Y., & Chen, Y. (2015) · Journal of Economic Interaction and Coordination · doi:10.1007/s11403-015-0161-9 · Cited by 44 · see citing works
“Ziegler and Schröder (2010) criticize the lack of standardization in the DJSI’s assessment and screening mechanism.”
BackgroundSustainability premium in energy bonds
Díaz, A., & Escribano, A. (2021) · Energy Economics · doi:10.1016/j.eneco.2021.105113 · Cited by 42 · see citing works
Membership of sustainability index in an emerging market: Implications for sustainability
Ateş, S. (2019) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2019.119465 · Cited by 41 · see citing works
Schrippe, P., & Ribeiro, J. L. D. (2018) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2018.10.001 · Cited by 39 · see citing works
Sustainability rating and moral fictionalism: opening the black box of nonfinancial agencies
Boiral, O., Talbot, D., Brotherton, M., & Saizarbitoria, I. H. (2021) · Accounting Auditing & Accountability Journal · doi:10.1108/aaaj-12-2019-4356 · Cited by 38 · see citing works
Shvarts, E. A., Pakhalov, A. M., Knizhnikov, A. Y., & Ametistova, L. (2018) · Business Strategy and the Environment · doi:10.1002/bse.2049 · Cited by 37 · see citing works
Murillo‐Avalos, C. L., Cubilla‐Montilla, M., Sánchez, M. Á. C., & Vicente‐Galindo, P. (2020) · Corporate Social Responsibility and Environmental Management · doi:10.1002/csr.2039 · Cited by 43 · see citing works
Polanco, J. P., Ramírez, F., & Orozco, M. (2016) · Estudios Gerenciales · doi:10.1016/j.estger.2016.05.002 · Cited by 36 · see citing works
Reactivity to Sustainability Metrics: A Configurational Study of Motivation and Capacity
Slager, R. C., Gond, J., & Crilly, D. (2020) · Business Ethics Quarterly · doi:10.1017/beq.2020.20 · Cited by 34 · see citing works
“In these cases, managers seem to put more emphasis on the DJSI, which is considered to be “harder to get into” (CSR Manager, C6) and therefore a more prestigious index to express leading sustainability performance.”
BackgroundRePSIM metric for design of sustainable renewable based fuel and power production processes
Martı́n, M. (2016) · Energy · doi:10.1016/j.energy.2016.08.031 · Cited by 35 · see citing works
Bilbao‐Terol, A., Arenas‐Parra, M., Cañal‐Fernández, V., & Nguema, P. (2017) · Journal of the Operational Research Society · doi:10.1057/s41274-017-0229-0 · Cited by 35 · see citing works
“…analysed following the GRI guidelines that appear to be the most popular and comprehensive CSR reporting framework in use today, and the latter covering all three dimensions of sustainability and receiving worldwide recognition (Brown, de Jong, & Levy, 2009; GRI, 2011a; Searcy & Elkhawas, 2012).”
BackgroundMethodSustainability Performance Reporting
Rusu, T. M., Odagiu, A. C. M., Pop, H., & Paulette, L. (2024) · Sustainability · doi:10.3390/su16198538 · Cited by 34 · see citing works
Nikolaou, I. E., Kourouklaris, G., & Tsalis, T. Α. (2013) · Journal of Sustainable Finance & Investment · doi:10.1080/20430795.2013.823853 · Cited by 33 · see citing works
“In particular, some stock exchanges of western countries have developed a composite sustainability index (including corporate water performance aspects) to measure corporate sustainability performance such as the Dow Jones Sustainability Group Index, FTES4Good and MSCI ESG (Searcy and Elkhawas 2012).”
BackgroundZakaria, M., Aoun, C., & Liginlal, D. (2021) · Sustainability · doi:10.3390/su13031054 · Cited by 34 · see citing works
“Historically, corporate reports served as the main medium for corporations in sharing information about their sustainability performance [22].”
BackgroundThe Impact of Corporate Characteristics on Climate Governance Disclosure
Dilling, P. F. A., Harris, P., & Caykoylu, S. (2024) · Sustainability · doi:10.3390/su16051962 · Cited by 30 · see citing works
“Echoing this sentiment, Searcy and Elkhawas (2012) found that Canadian companies regard inclusion in the DJSI as a signal of reputational excellence [142].”
BackgroundIntegrated Sustainability Reporting
Bini, L. M., & Bellucci, M. (2019) · Springer eBooks · doi:10.1007/978-3-030-24954-0 · Cited by 39 · see citing works
Bang, Y.-Y., Lee, D. S., & Lim, S. (2019) · Energy Policy · doi:10.1016/j.enpol.2019.110897 · Cited by 31 · see citing works
Sarigiannidis, C., Halkiopoulos, C., Giannopoulos, K., Giannopoulou, F., Politis, A. E., Boutsinas, B., & Kollias, K. (2021) · Springer proceedings in business and economics · doi:10.1007/978-3-030-72469-6_41 · Cited by 30 · see citing works
Sustainability Assessment Methodologies: Implications and Challenges for SIDS
Flour, P. O. S., & Bokhoree, C. (2021) · Ecologies · doi:10.3390/ecologies2030016 · Cited by 31 · see citing works
“Dow Jones Sustainability Index (DJSI) [23] √ √ √ √”
Organizational Factors Influencing the Sustainability Performance of Construction Organizations
Afzal, F., & Lim, B. T. (2022) · Sustainability · doi:10.3390/su141610449 · Cited by 34 · see citing works
Corporate sustainability assessment heuristics: A study of large Brazilian companies
Schrippe, P., & Ribeiro, J. L. D. (2018) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2018.02.232 · Cited by 28 · see citing works
Do nonfinancial reporting practices matter in SDG disclosure? An exploratory study
Erin, O. A., & Olojede, P. (2024) · Meditari Accountancy Research · doi:10.1108/medar-06-2023-2054 · Cited by 26 · see citing works
Chousa, J. P., Castro, N. R., & Vizcaíno‐González, M. (2019) · Sustainability · doi:10.3390/su11041211 · Cited by 26 · see citing works
“In fact, Searcy and Elkhawas [11] explain the benefits derived from being listed in a SRI index (e.g., using the index logo at their websites and in corporate reports) so that companies could find incentives to try to improve their CSP in order to be included or remain in the index [84].”
InfluentialCircular Economy: The Beauty of Circularity in Value Chain
Pavel, S. (2018) · Journal of Economics and Business · doi:10.31014/aior.1992.01.04.52 · Cited by 26 · see citing works
Why Corporate Sustainability Is Not Yet Measured
Pazienza, M., de Jong, M., & Schoenmaker, D. (2023) · Sustainability · doi:10.3390/su15076275 · Cited by 30 · see citing works
“Work in data collection and editing is wasted, or hidden, behind a single number of dubious significance [76].”
BackgroundSustainability in finance teaching: evaluating levels of reflection and transformative learning
Brunstein, J., Sambiase, M. F., Kerr, R. B., Brunnquell, C., & Perera, L. C. J. (2019) · Social Responsibility Journal · doi:10.1108/srj-07-2018-0164 · Cited by 24 · see citing works
Sustainability reporting tools: Examining the merits of sustainability rankings
Patara, S., & Dhalla, R. (2022) · Journal of Cleaner Production · doi:10.1016/j.jclepro.2022.132960 · Cited by 23 · see citing works
Bolibok, P. M. (2021) · Sustainability · doi:10.3390/su132112006 · Cited by 22 · see citing works
Palazzo, M., Vollero, A., Foroudi, P., & Siano, A. (2019) · Journal of Business-to-Business Marketing · doi:10.1080/1051712x.2019.1611087 · Cited by 21 · see citing works
“DJSI is the oldest and most reputable index for CSR (Searcy and Elkhawas 2012).”
BackgroundAnimal Welfare for Corporate Sustainability: The Business Benchmark on Farm Animal Welfare
Mateo, J. F., & Barrera, A. (2020) · Journal of Sustainability Research · doi:10.20900/jsr20200030 · Cited by 20 · see citing works
“20900/jsr20200030 Sustainability indices have been criticised for their lack of a common methodology and questionnaire [98]; for the different weights assigned to the variables that comprise it [95,99]; for the heterogeneity and insufficiency of information and the different definitions of risk [95]; for the lack of s…”
Background
- Authors
- Searcy, C., & Elkhawas, D.
- Affiliations
- Toronto Metropolitan University (CA)
- Corresponding author
- Searcy, Cory
- ORCID
- Searcy, Cory
- Venue
- Journal of Cleaner Production
- Publisher
- Elsevier BV
- Published
- 2012-11
- Volume
- 35
- Pages
- 79-92
- ISSN
- 0959-6526 (ISSN-L)
- OpenAlex
- W2089325011
- Cited by
- 245
- References
- 77
- Citations by year
- 2026: 10 · 2025: 10 · 2024: 16 · 2023: 16 · 2022: 17 · 2021: 37 · 2020: 23 · 2019: 24 · 2018: 26 · 2017: 14 · 2016: 19 · 2015: 15 · 2014: 6 · 2013: 12
- FWCI
- 29.32
- Type
- journal article
- Language
- en
- Open access
- closed
- Locations
- Journal of Cleaner Production (publishedVersion)
- Funders
- Natural Sciences and Engineering Research Council of Canada (NSERC)
- Topics
- Social Sciences › Business, Management and Accounting › Strategy and Management › Corporate Social Responsibility Reporting
- Social Sciences › Business, Management and Accounting › Marketing › Environmental Sustainability in Business
- Social Sciences › Business, Management and Accounting › Management of Technology and Innovation › Sustainability and Innovation in Business
- Keywords
- Dow Jones Sustainability Index, corporate sustainability ratings, sustainability index, Canadian firms, sustainability reporting, sustainability rating agencies, corporate transparency, stakeholder engagement
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