Ratings are made at the indicator or strategic thrust level. (eg. Greenhouse Gases, Water Use, etc)
To begin your evaluations, pick a strategic thrust and compare performance to the other 4 companies within the sector. (navigation tip: Use new tabs or windows to go back and forth between companies)
Once you have analyzed the companies across the sector, try to establish the industry average or status quo. This will help to benchmark performance as the industry average equates to a “5” on the rating scale. From there, you can begin to rate above average performers and industry leaders greater than 5, and laggards less than 5.
It may help to do a simple averaging calculation in the case of quantitative data, or by examining the trends and finding the status quo amongst the industry. Remember industry average would equate to a rating of 5.
Some questions to keep in mind include: Who are the laggards and who are the leaders in the industry? Is anybody exceptionally good or poor? What indicators are the best for relative comparison? (Per/unit or absolute)? Is the performance data material? How do external sources view the company’s performance?
If you have researched an indicator that is of relevance and you have found no available information, give it a rating of 1 (the minimum rating). This shows that it has be researched and the company is not transparent on this aspect despite its importance to the industry.