Tools and Calculators

ESG Metrics

Before you get into learning about the tools and calculators, it is best you understand what is actually measured. Here are the Key ESG Metrics

The Green House Gas (GHG) Protocol. This is a leading framework for measuring and managing greenhouse gas (GHG) emissions. The protocol offers several tools to calculate their carbon footprints and track emissions over time and each tool reflects best-practice methods that have been extensively tested by industry experts. The tools are categorized into Cross-sector, Sector-specific and Country specific tools; For industries like oil & gas, waste management, and agriculture, the GHG Protocol offers calculators that take into account unique emissions factors and processes. They are all free available of their website click here. 

But it is advised that companies should consult GHG Protocol’s Corporate Accounting and Reporting Standard for guidance on the entire inventory development process.

Climate Action Tracker. This tool provides up-to-date assessments of government and corporate climate actions and their alignment with global climate goals. It’s especially helpful for companies wanting to track national climate policies in countries where they operate, making it easier to align their own actions with those policies.

Task Force on Climate-related Financial Disclosures (TCFD) Framework. While not a calculator, TCFD provides a clear structure for assessing climate-related financial risks. Many companies use it to disclose how climate change might impact their operations and finances, making it easier for stakeholders to see the link between environmental action and financial resilience. 

B Impact Assessment (BIA)- A free tool to measure your company's social impact, ideal for those pursuing B Corp Certification. The too assesses social impact in multiple ways. For example: 

Workers. The BIA examines how well companies support their employees by assessing fair wages, health and safety standards, benefits, career development, and overall work culture. It also looks at policies for diversity, equity, and inclusion, ensuring that the workplace is fair and inclusive.

Community Impact. The BIA evaluates how businesses contribute to their local and global communities. This includes practices around local hiring, community engagement, and charitable giving, as well as supply chain ethics, which assess how the company works with suppliers and partners in a socially responsible way.

Customer Responsibility. For companies in direct service or product delivery, the BIA assesses their commitment to ethical marketing, customer data protection, and product safety. It looks at whether the business actively works to benefit its customers’ well-being and avoids harmful practices.

GRI Standards - Social Impact- The Global Reporting Initiative (GRI) Standards provide a framework for social impact reporting, covering aspects like labor practices, human rights, and community impact. Its focus is mostly on workforce development, human rights, diversity, and community contributions. 

The GRI Standards include several key areas;

Labor Practices and Decent Work (GRI 401–406)

Employment. Reports on the company’s workforce, including the types of employment (permanent, temporary, etc.), hiring policies, and employee turnover.

Labor/Management Relations. How the company maintains relationships with employees, including freedom of association, collective bargaining, and conflict resolution.

Occupational Health and Safety. Addresses the safety measures taken to ensure employees' well-being, including injury rates, training, and the company's approach to health risks.

Training and Education. Measures how the company invests in the development of its employees, including training opportunities, career advancement, and the overall education environment.

Diversity and Equal Opportunity. Reports on diversity within the workforce, including gender, age, and cultural diversity, and the company's initiatives to promote equal opportunity.

Human Rights (GRI 412–414)

Non-discrimination. Reporting on policies and practices designed to prevent discrimination in the workplace or throughout the organization’s operations.

Child Labor and Forced Labor. How the company ensures its operations and supply chains are free from child labor and forced labor.

Freedom of Association. Reporting on the ability of workers to form or join trade unions and the company’s stance on collective bargaining.

Community Impact. This includes how the company engages with and impacts local communities, from supporting local economies to addressing social needs.

Society (GRI 413–415)

Local Communities. This standard measures the company’s interaction with local communities, including programs for local development, infrastructure support, and engagement with stakeholders.

Public Policy. How the company influences or participates in public policy, including lobbying, political contributions, and community advocacy.

Anti-corruption. Evaluating the company’s measures to prevent corruption, unethical behavior, and bribery both within the organization and in its dealings with third parties.

Compliance. Reporting on any legal actions taken against the company for social violations, including labor laws, human rights breaches, and other relevant regulations.

1. Corporate Governance Scorecards

OECD Corporate Governance Toolkit. Developed by the Organisation for Economic Co-operation and Development (OECD), this toolkit offers guidelines and scorecards for evaluating governance practices. It helps companies assess board structure, executive accountability, transparency, and shareholder rights.

International Finance Corporation (IFC) Corporate Governance Scorecards. These scorecards, tailored for emerging markets, assess corporate governance based on factors like board independence, disclosure practices, and risk oversight. They can be adapted for different industries and are commonly used by investors to assess governance risk.

2. Governance Indicators and Indexes

ISS Governance Quality Score. Institutional Shareholder Services (ISS) provides a Governance QualityScore based on factors such as board diversity, executive pay, shareholder rights, and audit practices. This tool is widely used by investors to assess governance risk and benchmark companies against their peers.

MSCI ESG Ratings. MSCI rates companies on their governance, including board structure, ownership, executive pay, and ethical standards. This tool provides a quantitative score that reflects governance risks and opportunities, helping investors make informed decisions.

3. Risk Management and Compliance Tools

COSO Framework. The Committee of Sponsoring Organizations of the Treadway Commission (COSO) framework is a widely used model for assessing internal control and risk management practices. It helps companies evaluate their ability to manage financial reporting, operational risks, and compliance effectively.

Enterprise Risk Management (ERM) Systems. ERM software, such as Metric Stream, Risk Watch, and Resolver, integrates governance and risk assessments by tracking key governance metrics like policy compliance, risk oversight, and internal controls. These tools provide dashboards for ongoing monitoring and reporting.

4. B Impact Assessment (BIA) – Governance Section

For companies pursuing B Corp certification, the BIA’s governance section assesses practices related to ethics, transparency, mission alignment, and board accountability. It evaluates whether the company’s governance structure supports social and environmental commitments, including policies for ethical behavior and stakeholder involvement.

5. GRI Standards - Governance Disclosures

GRI Standards for Governance (GRI 102, 103). The Global Reporting Initiative offers governance-specific guidelines, covering topics like board diversity, governance structure, stakeholder engagement, and anti-corruption practices. Companies use these disclosures to report on governance performance as part of their broader ESG reporting.

6. SASB Standards – Governance Metrics

The Sustainability Accounting Standards Board (SASB) includes industry-specific governance metrics that help companies report on issues like data privacy, business ethics, and regulatory compliance. These standards provide a structured way to disclose governance practices in line with industry norms and investor expectations.

7. Internal Governance Scorecards and Self-Assessments

Many companies develop custom scorecards and self-assessment tools to evaluate their internal governance practices. These tools typically track metrics like board independence, executive accountability, risk management, and regulatory compliance. Regular self-assessments help companies identify gaps, set goals, and improve governance practices.

PRI (Principles for Responsible Investment). is a global organization that works to understand the investment implications of environmental, social, and governance (ESG) factors. It promotes the integration of ESG factors into investment decision-making processes, helping investors better manage risk and generate long-term returns. PRI provides frameworks, tools, and guidance for institutional investors to embed sustainability into their investment strategies.

Through the PRI Reporting and Assessment framework, investors disclose their ESG practices, actions, and results. This process includes detailed questionnaires on governance, ESG integration, active ownership, and engagement with portfolio companies on sustainability matters.

• The reporting provides transparency, allowing PRI to assess the signatories' efforts and how well they align with sustainable finance objectives.

• This process encourages accountability, prompting investors to adopt stronger ESG practices over time.

Morningstar Low Carbon Designation. This tool is particularly relevant for investors who are looking to align their portfolios with net-zero targets and climate risk management strategies, helping to direct capital to companies and funds with lower carbon footprints. It identifies funds with low carbon risk, helping investors make climate-friendly investment decisions. Through the Morningstar Low Carbon Designation, investors can drive capital toward solutions that are less carbon-intensive, supporting the global transition to a more sustainable, low-carbon economy. 

Impact Investment Tools:

Investment Portfolio Impact Analysis Tool. This is a tool offered by the UN Environment Programme | Finance Initiative and it was developed to enable financial institutions to holistically identify and assess the impacts associated with their investment portfolios. 

GIIN's Impact Reporting & Investment Standards (IRIS+). A widely used framework to measure and manage the social, environmental, and financial performance of investments.

ESG Investment Screeners:

• Bloomberg Terminal: Offers a sustainable finance section, where investors can screen stocks, bonds, and funds based on ESG criteria and sustainability metrics.

• MSCI ESG Research: Provides ESG scores, data, and analytics to help investors integrate sustainability factors into their investment strategies.

MSCI ESG Ratings

MSCI ESG Research provides ESG ratings for approximately 14,000 equity and fixed-income issuers, making it a prominent figure in the ESG rating sector. It evaluates companies based on their exposure to ESG risks and how effectively they manage these risks relative to industry peers. 

Learn More  MSCI ESG Ratings

S&P Global ESG Scores. 

They are a measure of a company's exposure to and performance by analyzing each ESG pillar for potential risks and opportunities. S&P Global ESG Scores are measured on a scale of 0 – 100, where 100 represents the maximum score. The assessment is done via the S&P Global Corporate Sustainability Assessment (CSA). The Corporate Sustainability Assessment includes 62 industry-specific (banking, pharmaceuticals, mining) questionnaires.

Learn More S&P Global ESG Scores

Moody’s ESG Solutions.

It is a business unit of Moody's Corporation. They provide ratings and research on environmental, social, and governance factors, especially in relation to credit risk and based on based on more than 13,000 ESG assessments. It is meant to to help investors understand a company's ESG performance in depth. 

Learn More Moody's ESG Scores