Responsible Behavior Enhances Company Reputation and Drives Business Performance
BOSTON--(BUSINESS WIRE)--#CR--With its first place ranking in the largest global study on corporate responsibility (CR) of its kind -- released today by Reputation Institute -- The LEGO Group is giving new meaning to its purpose of “inspiring the builders of tomorrow.”
The LEGO Group -- headquartered in Denmark and best known for its interlocking plastic bricks first manufactured in 1947 -- earned the top spot in the 2019 Global CR RepTrak. The study, conducted by Reputation Institute, a global technology-driven provider of reputation measurement and management services, calibrated the perceptions of more than 140 companies on the merits of CR. CR RepTrak measures perceptions of Citizenship, Governance and Workplace, and provides a means of assessing a company’s Environmental, Social and Governance (ESG) credentials. The study is based on more than 230,000 individual ratings from the informed general public across 15 leading economies.
While others in the toy industry are struggling to compete with the growing popularity of digital toys and devices, the family-owned The LEGO Group is leveraging the power of its strong equity in CR to open scores of new retail stores around the world, especially in China.
“The LEGO Group is a great example of a company that is committed to delivering on corporate responsibility and realizing strong business results by doing the right thing,” said Kasper Nielsen, Chief Strategy Officer at Reputation Institute. “The core strength in corporate responsibility translates into 57% of consumers saying they would definitely buy The LEGO Group’s products -- which is a net 13.7 percentage points higher than the CR RepTrak 100 average.”
Consistent with The LEGO Group’s long-held approach to operating its business, the Business Roundtable -- an association whose members are CEOs of major U.S. companies -- said recently that corporations must invest in employees, support the environment, and deal ethically with business partners and not be solely focused on advancing the interest of financial stakeholders. The LEGO Group is the highest rated company when it comes to being fair in business, being ethical, open and transparent, according to the study from Reputation Institute.
“We are humbled that people recognize our efforts to create a better world for future generations,” said Niels Christiansen, CEO, The LEGO Group. “Our mission is to inspire and develop the builders of tomorrow. We do this through play which gives children skills to imagine and build a brighter future. And we do it through working hard to have a positive impact on the environment and our communities.”
In the 2019 CR RepTrak study, The LEGO Group’s year-over-year improvement caused it to knock Google off the top spot, relative to 2018. While The LEGO Group earned the highest overall rating, four other top 10 companies also achieved a strong CR rating: Natura, Microsoft, Google, and The Walt Disney Company. All other companies in the top 100 achieved a RepTrak rating of average, proving how difficult it is for companies to excel in CR.
This year’s top 10 companies with the best reputations for corporate responsibility worldwide are:
- The LEGO Group
- Natura (BVMF: NATU3)
- Microsoft (NASDAQ: MFST)
- Google (NASDAQ: GOOGL)
- The Walt Disney Company (NYSE: DIS)
- BOSCH (NSE: BOSCHLTD)
- Havaianas (BVMF: ALPA4)
- Intel (NASDAQ: INTC)
2019 Global CR RepTrak 100 Highlights
- Havaianas, Intel, and Lavazza joined the top 10 this year, while Canon and Michelin dropped.
- Companies in the energy sector, while still rated on the lower ranges of CR scores, are making a comeback. ExxonMobil, Chevron and Shell showed big improvements in CR in 2019.
- Uber experienced a significant improvement in perceptions of ethical behavior and openness, and the brand is more strongly associated with supporting good causes.
- Starbucks made it into the 2019 Global CR RepTrak 100 ranking at number 100 as the company demonstrated improvement in all three CR dimensions -- Citizenship, Governance, and Workplace.
Companies interested in learning more about the 2019 Global CR RepTrak study, or who want to access 2019 reputation scores should visit https://www.reputationinstitute.com and https://reputationinstitute.com/contact.
About Reputation Institute
Reputation Institute helps leaders at the world’s largest companies build credibility with the people that matter most by delivering data-driven insights about how they are truly perceived. We do this with RepTrak®, an unrivaled technology that provides actionable insights encompassing industry, competitors, and company-level analysis. Past and present clients have included Whirlpool, Barnes & Noble, The Estée Lauder Companies, JP Morgan Chase & Co., LEGO, P&G, Cisco, AB inBev, and Telefonica, among many others. For more information, please visit www.reputationinstitute.com.