Case Study

Impaakt: Crowdsourcing better ESG ratings

8 pages
December 2020
Reference: IMD-7-2213

The global rise of responsible investing in the last decades (boosted by the increasing debates around climate change, business ethics and distribution of wealth) urged the development of coherent and reliable methodologies gauging the effect of business on Environmental, Societal and Governance (ESG) aspects. However, existing ESG rating methods not only differs greatly among themselves, but they are also typically based on companies’ own practices (outputs), not on the final impact (outcome). To measure the latter, a Geneva-based company called Impaakt developed a digital platform, using the 17 United Nations’ Sustainable Development Goals (SDGs) as benchmark, engaging the collective intelligence of the global community (on a Wikipedia-like model) to achieve this ambitious goal. This case explores the strategies behind the design of such a platform, investigates the importance of scale and sides, and analyses to what extent social and environmental impact can be measured objectively.

Learning Objective
  • The analysis of this case will enhance the understanding on the current state of the affairs of the sustainable investing metrics, particularly on the measurements on Environmental, Societal and Governance factors (ESGs).
  • Case readers should grasp how a digital platform could provide a different model of ESG measurements, by using few different perspectives. This should happen on the Strategic, the Digital Transformations, and the Critical Thinking level.
Keywords
Sustainability, Digital Transformation, Platform Strategy, Collective Intelligence, Strategy, Impact Measurement, Sustainable Development Goals, Environmental Social and Governance
Settings
World/global
Impaakt, Business Management Services, Business Services
2015 - 2019
Type
Field Research
Copyright
© 2020
Available Languages
English
Related material
Teaching note
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This case study is part of a series
  • Impaakt: Crowdsourcing better ESG ratings
  • Impaakt: Harnessing collective intelligence to improve ESG ratings
2020 HEC CSR CHALLENGE CASE WRITING COMPETITION AWARD WINNER (2nd place)
Center for Sustainable & Inclusive Business
This case study is part of a series
  • Impaakt: Crowdsourcing better ESG ratings
  • Impaakt: Harnessing collective intelligence to improve ESG ratings
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Impaakt: Crowdsourcing better ESG ratings
By Benoit F. Leleux Pablo Percelsi René Rozendal Pietro Valenzano Menada and Stefan Witschi
Case reference: IMD-7-2213 ©2020
Summary
The global rise of responsible investing in the last decades (boosted by the increasing debates around climate change, business ethics and distribu...
2020 HEC CSR CHALLENGE CASE WRITING COMPETITION AWARD WINNER (2nd place)
Reference IMD-7-2213
Copyright ©2020
Copyright owner IMD Copyright
Organization Impaakt
Industry Business Management Services, Business Services
Available Languages English
Contact

Research Information & Knowledge Hub for additional information on IMD publications

Impaakt: Harnessing collective intelligence to improve ESG ratings
By Benoit F. Leleux Pablo Percelsi René Rozendal Pietro Valenzano Menada and Stefan Witschi
Case reference: IMD-7-2120 ©2020
Summary
The global rise of responsible investing in the last decades (boosted by the increasing debates around climate change, business ethics and distribu...
2020 JOHN MOLSON MBA CASE WRITING COMPETITION AWARD WINNER (4th prize)
Reference IMD-7-2120
Copyright ©2020
Copyright owner IMD Copyright
Organization Impaakt
Industry Business Management Services, Business Services
Available Languages English
Contact

Research Information & Knowledge Hub for additional information on IMD publications