The index assesses the level of performance and transparency of Romanian companies from the perspective of Corporate Sustainability.
The evaluation sheet for Romania Corporate Sustainability & Transparency Index (Romania CST Index) analyses the performance and the level of transparency regarding Corporate Sustainability mainly among the companies that have over 500 employees in Romania and of the companies that choose to participate in the evaluation process for this index, even if they have less than 500 employees.
The information analysed refers to sustainability management, diversity issues and to issues that reflect the economic, environmental and social impact of the evaluated company.
Romania Corporate Sustainability & Transparency Index 2022 has 10 categories:
1. Sustainability Governance
2. Diversity Policy
3. Economic Impact (+ Industry-based DMA)
4. Climate Change & Energy (+ Industry-based DMA)
5. Environmental Governance (+ Industry-based DMA)
6. Human Rights and Anti-Corruption Policy
7. Responsible Employer
8. Product & Marketing Responsibility (+ Industry-based DMA)
9. Investments in Communities (+ Industry-based DMA)
10. Supply Chain (+ Industry-based DMA)
DMA = Disclosure on Management Approach for an industry-based indicator
Notes on Romania Corporate Sustainability & Transparency Index 2022 Methodology:
- For the 2022 Romania CST Index, we will take into account the information reported by companies for FY 2021.
- For each indicator included in the 10 categories (1-10), the maximum score awarded is 4 points and it is obtained if the company communicated both textual information (1 point), performance indicators, progress obtained and targets (KPIs) (2, 3 or 4 points).
- Each category has a different weight depending on the industry to which the company belongs. This weight is essential for calculating the final score of each company.
- The score for certain indicators, marked in the evaluation sheet with the mention: “Not Applicable”, is calculated according to the relevance of the respective indicator for the industry of which the company is part.
- Specifically, if at least 10% of the companies in the industry has published information about that specific indicator, these companies receive 1 point or 2/3/4 points, depending on the information provided. Companies that have not published data do not receive points, so they are not scored when calculating the final score. If no company in the respective industry has published data, the indicator is not taken into account for the final score and no company is thus losing points.
- If no company has published information for a specific indicator that is marked compulsory, then the indicator becomes optional and points will not be lost for this indicator.
- The information that will be taken into account for the Romania CST Index, especially information about policies, materiality and stakeholder engagement, will not be older than 3 years.
- Romania CST Index is aligned to the most important standards or references at international level used in the sustainability industry. One of the most important references is Directive 2014/95/EU – also called the Non-Financial Reporting Directive (NFRD). Regarding the reporting of sustainability information, the index is aligned to GRI Standards, the most widely used reporting standards worldwide. In addition, there is alignment to the 17 Sustainable Development Goals (SDGs) of the UN, United Nations Global Compact, Dow Jones Sustainability Index methodology, London Benchmarking Group, Social Return on Investment or ISO 26000.
The 2020 edition was a special edition keeping in mind that it was the first year when all companies which have more than 500 employees were obliged to publish a non-financial report.
You can find more information about Romania CST Index from 2021 in this flash report: Report_Romania_CSR_Index_2021
For more information about Romania CST Index, the methodology and the indicators that are used, please contact us at email@example.com.