ICT firms have put in a weak showing in the 2007 Accountability Rating Survey conducted by University of SA`s (Unisa`s) Centre for Corporate Citizenship.
The country`s top 51 JSE-listed companies by turnover were rated this year for the second time on how responsibly they conduct their business. Those ranked in the top 10 were honoured at a gala dinner, in Johannesburg, last night.
With an average score of 27%, the computer, electronic and telecommunication sector, consisting of five companies, was the worst performer of the sectors represented, while the materials sector (glass, metals, chemical, and mining) was the top-performing sector, with an average score of 64%.
The financial sector was second, with an average 38%, followed by industrial (35%), and retail/fast-moving consumer goods (29%).
The overall winner was, for the second time, BHP Billiton, the world`s largest diversified resources group, which scored 80%, up from 79% last year.
Lead researcher Dr Ven Pillay says the assessments were based on publicly disclosed information only, found in annual reports, sustainability reports and on company Web sites.
She says the methodology used was developed by AccountAbility and csrnetwork, and used to assess Fortune Global 100 companies.
Criteria
The research assesses the companies on a range of criteria that indicate how well they are able to identify and incorporate social, environmental and broader economic issues into their core business strategy.
The criteria include strategy, governance, performance management, stakeholder engagement, public disclosure and assurance by third parties.
The best performer in the computer, electronic and telecommunication sector was the MTN Group, which scored 51% (2006: 43%) and was ranked 14th overall. Telkom, in 15th place, scored 49% (48%).
Dimension Data, in 44th place overall, scored 14% (24%), while Datatec, which scored 10% (24%), was ranked 47th. Included in the sector was media group Naspers, which also scored 10%.
Pillay says the resources sector scored higher than the global companies, "but as far as our computer and telecommunications sector is concerned, this sector performed badly, both in SA and globally too".
Unisa vice-chancellor Prof Barney Pityana says there is a growing drive to "go green", to the extent "that triple bottom line reporting is no longer an exception for most organisations. Environmental and social issues have become a permanent part of both business and higher educational institutions alike," he says.
The triple bottom line refers to economic prosperity, social responsibility and environmental sustainability.
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