Weather measurements provider Vaisala has received a 9.7 environmental, social and governance (ESG) risk rating from sustainability rating company Sustainalytics and was assessed to be at negligible risk of experiencing material financial impacts from ESG factors.
Sustainalytics’ ESG risk ratings measure a company’s exposure to industry-specific material ESG risks and how well a company is managing those risks. This multi-dimensional way of measuring ESG risk combines the concepts of management and exposure to arrive at an assessment of ESG risk, i.e. a total unmanaged ESG risk score or the ESG Risk Rating, that is comparable across all industries. Sustainalytics’ ESG Risk Ratings provide a quantitative measure of unmanaged ESG risk and distinguish between five levels of risk, which are negligible, low, medium, high and severe.
Vaisala was rated across categories ranging from carbon footprint and supply chain management to employee matters. The company’s resulting ESG risk rating places it in the second percentile in the electronics equipment industry assessed by Sustainalytics. In addition to Sustainalytics, Vaisala’s sustainability work was also merited with the Carnegie Sustainability Award 2022 on May 31, 2022.
Marjo Hietapuro, sustainability manager at Vaisala, said, “We have been continuously improving our sustainable business practices, and I am happy to see all the work we have done reflected in Sustainalytics’ ESG evaluation. Nonetheless, while ESG risk management is important, it is also crucial that businesses align their strategies with our planet’s challenges. Vaisala’s greatest sustainability impact stems from the use of our products, as our customers can study, mitigate, and adapt to climate change, for instance.”
“The ESG rating by Sustainalytics is a testament to the sustainability work we do in Vaisala every day. We also want to continue on developing, and most recently, we committed to setting a science-based target and have put more focus on diversity and inclusive work culture,” Hietapuro said.