How to Select Your Top 10-20 Highly Relevant KSIs?
This is the #1 issue for most of you during 2020. The purpose of tagging as “Highly Relevant” KSIs is to aid in selecting those activities most critical over the coming few years that enhance the value of your corporation.
- Many of you now have a solid set of updated KSI ratings (drawing on input from colleagues inside your company).
- Next up is how to select the “right” top 12-15 priority KSIs. You want to feel good about these before sharing with your executives.
Use These Definitions
Governance Section: Which ~8-10 of the 47 Governance KSIs are:
- Most critical to how we run the company – and to fully integrate ESG into our core business operations?
Strategy Section: Which ~3-5 of the 31 Strategy KSIs are:
- Most important to driving tomorrow’s revenue growth from more sustainable products, services and solutions?
Environment Section: What ~2-3 of the 29 Environment KSIs are:
- The most material environmental issues, representing greatest risk to your company and industry sector(s)?
Social Section: What ~2-3 of the 22 Social KSIs are:
- The most material social issues, representing greatest risk to your company and industry sector(s)?
Suggested 3-Step Process
- Environment and Social: Pick your company’s top three material Environmental and Social issues. Our favorite tool for this is the German Environment Ministry’s SD-KPI Standard.
- Governance: Do this next; it’s the toughest.
- Strategy: Think about how your company drives tomorrow’s revenue growth – offering products, services and solutions that will win in the marketplace. Review the Strategy section and select 3-5 KSIs that align with how your company drives growth.
In other parts of this section, you can tap into additional guidance:
- Learn Gib’s “top 20” guidance – based on both decades of personal experience and analysis of ESG Navigator data.
- Learn which KSIs your peer companies select most often as being “highly relevant”
- See our KSI Prioritization Toolkit – tools companies have used to narrow their list of “highly relevant” KSIs from ~25-30 down to ~10-12