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Return on Sustainability Investment (ROSI™) Methodology

ROSI is used by corporate leaders and investors to bridge the gap between sustainability and ESG initiatives and financial performance.


Proving Sustainable Business is Good Business


Sustainability drives business and societal success, yet the challenge most businesses face is proving the monetary impact of their sustainability efforts as they seek to address environmental, social, and governance (ESG) related issues.

CSB has developed our Return on Sustainability Investment (ROSI) methodology to bridge the gap between ESG strategies and financial performance, helping to build a better business case for both current and planned sustainability initiatives.



ROSI for Corporate Management and Investors


For corporate management, ROSI drives better-performing business - socially, environmentally, and financially - by embedding sustainability into core business strategy, decision-making, and accounting and quantifying the full range of costs and benefits, including intangibles.

For investors, ROSI improves decision-making, valuation, and communications - by better understanding ESG data, assessing where relative value exists in corporate strategies and investments, and better integrating, measuring, and reporting on financial performance driven by ESG strategies.

Resources for Understanding and Implementing ROSI

CSB offers extensive resources on ROSI for current and future business leaders to better understand how sustainability drives financial performance, including:

> An in-depth step-by-step overview of the ROSI process
> Original research publications in top tier academic and corporate journals
> Case studies on implementing ROSI in industries such as automotive, utilities, and agriculture
> Excel tools for testing ROSI focused on risk, talent, and operational efficiency
> A free online course module on building the case for sustainability

Explore the resources

CSB Director on Making a Better Business Case for ESG - August 2020

Facing societal issues, companies often indicate that they can't afford to invest in solutions in order to return sufficient shareholder profits. In Stanford Social Innovation Review, CSB Director Tensie Whelan explains that embedding ESG is not only good for making money, but also essential to customer allegiance and risk mitigation.

Read the article

Case Study on Monetizing the Benefits of Early Decarbonization - June 2020

Facing a Canadian mandate to go coal-free by 2030, CSB helped a North American power producer develop a more aggressive position to decarbonization, using ROSI to evaluate the business case for an early exit from coal-generated electricity. Read more in the June 2020 edition of the Journal of Applied Corporate Finance.

Read the article

Building the Financial Case for ROSI™

At the 2020 CSB Practice Forum, Director Tensie Whelan presents how companies are using ROSI™ to identify, track, and monetize sustainability returns driven by innovation, operational efficiency, employee engagement, brand enhancement, and risk mitigation.

Watch the video

PARTNERING WITH BUSINESS LEADERS TO DRIVE CHANGE

CSB has collaborated with over 20 corporate and research partners to date on building and implementing ROSI. To learn more about bringing ROSI to your organization, reach out to sustainablebusiness@stern.nyu.edu.