[Sponsored Report] 57 Korean companies make DJSI

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[Sponsored Report] 57 Korean companies make DJSI

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According to the Korea Productivity Center, 57 Korean companies were listed at least once on the 2015-16 Dow Jones Sustainability Index (DJSI).

First released in 1999 by S&P Dow Jones Indices, one of the world’s biggest market information providers, the DJSI is a corporate evaluation index that assesses companies based on sustainability in not only their profits but also their social contributions. The index’s definition of “contribution” is qualitative, meaning it aims to go beyond the numbers by taking a deeper look into companies’ strategies and systems.

The DJSI is becoming more important as the global business environment changes. In the past, companies’ sole responsibility was to create profit. These days, however, companies are also required to fulfill certain social and environmental expectations.

The index is composed of three subcategories: DJSI World, Asia Pacific and Korea. The 2015-16 DJSI World index includes 317 companies, among which 21 are Korean companies. In the regional DJSI Asia Pacific index, 41 out of the 145 selected companies operating in the Asia Pacific are Korean. The DJSI Korea index recognized 52 of the top 202 Korean companies by market capitalization.

This year, Korean companies saw an improvement year on year in “human resources development,” which evaluates the amount of investment in education and welfare that companies make for their employees. The companies were most lacking in the “corporate governance structure” and “ethical management” categories.

According to the Korea Productivity Center, which jointly released DJSI Korea, the number of domestic companies appearing on the DJSI has been stagnant for the last three years. Although 21 companies have managed to keep their spot on the DJSI World list since 2013, only one company was added to the DJSI Asia Pacific list over the same period.


BY SONG KYOUNG-SON [song.kyoungson@joongang.co.kr]

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