Many businesses are making changes to their work model to be more inclusive or more adaptable. Then there are those who seek to be more ethical. Ethical companies have risen sharply over the years and the call for more ethical business practices continues to mount as we face an uncertain future. According to ethisphere.com, most ethical companies historically outcompete their competitors. The connection between ethical practices and financial performance is known as the Ethics Premium which has been in play for 16 years.
Ethisphere is an organization dedicated to upholding the values of ethics in the workplace. While this year’s list is still in the process of being made, they do have a list from last year. The list comes from over 20 countries and 45 industries. Just six of these organizations have been on the list since it’s been made. Let’s take a look at the top six companies to learn what makes them ethical.
Based in Columbus, Georgia, Aflac is an insurance company that has made it onto the Ethisphere list every single year to date. The reason is that they have allocated money towards communities, green buildings, renewable energy, and socioeconomic advancement and empowerment. They have a fair employment policy in which 64% of its employees are women or other minorities. Aflac is also known for its philanthropy and has donated over $170 million to children with cancer globally.
Another 16-time honoree, Ecolab is the top leader in the world for water, hygiene, and infection prevention solutions. They have over 3 million customer locations. Ecolab is based out in St. Paul, Minnesota where they work on conserving resources and optimizing industrial operations. With data-driven decision-making and premium service, Ecolab works with over 40 industries. They use chemical and digital technology to find solutions that have a minimal impact on both humans and the environment. In 2019 alone they managed to:
- Conserve 206 billion gallons of water
- Prevent 7.5 million food-borne illnesses per year
- Prevent 1.5 million metric tonnes of greenhouse emissions
From Memphis, Tennessee, this company is a leading producer of fiber-based products. They have a system in place that they call IP Way Forward. Their business involves forest protection and investing in people that want to improve the world. International Paper hopes to have 100% of their fiber come from a managed forest by 2023. Just two years ago, they were able to have a 26% reduction in waste from landfills.
Founded in 1887 way over in Japan, Kao Corporation follows the strategy known as Kirei. The word means “living a beautiful life inside and out”. It is based on three ideas that one should live by. They are:
- Make every day beautiful
- Create meaningful choices that benefit society
- Make the world cleaner
By using leftover material from palm oil, they created Bio IOS. This product is able to have a sustainable wetting agent for cleaning products. Kao Corporation also makes products that give customers the ability to reuse their packs so that there is no waste.
Milliken & Company
In South Carolina, this company is an industrial manufacturer that always ensures that their products are to make the world better. They focus on chemicals, floor coverings, and protective textiles. Milliken hopes to have corporate sustainability by 2025. That means they want to have:
- An inclusive community for their employees
- Reduce emissions, water usage, and solid waste by a quarter
- Nothing goes to landfills
- Tenfold their use of renewable energy
- Products are to be based on the Life Cycle Analysis
Last, but not least on this list, Pepsi is another ethical business that has made the list every year. In Harrison, New York, Pepsi comes up with ideas for sustainable agricultural practices. This also includes the use of cover crops to cut off carbon emissions and create richer soil. One of their projects involves reducing water use by replenishing the local watershed. Pepsi also hopes to improve its packaging by making inroads with recycling and educating its customer base.
These are the top six most ethical companies that you are going to find. There are still many more out there that have also made the list and will be making the list. As time moves on, we will be seeing more and more changes to promote better living for all.
So, if you are an entrepreneur, then you should be looking at ethical business practices. That way, you can build a brand on trust and ethics, making your company look better than your competitors. Besides, you are making the world a better place. That’s not a bad thing at all!