Rating Criteria


“ESG Navigator is not another one-size-fit-all rating scheme. The Navigator organizes current and emerging ESG topics in one place. It assists practitioners in assessing the relevance of these topics to their business and, with context, examines the organization’s maturity in each area and identifies improvement opportunities.”

Edan Dionne – Vice President – IBM


We refer to the ESG Navigator scoring methodology as Key Sustainability Indicators (KSIs). The ESG Navigator KSIs define actions, processes, structures and programs companies have created or aim to create to capture business value from ESG.

The ESG Navigator methodology stands in stark contrast to criteria from external ESG raters. ESG raters’ criteria focus almost entirely on data and (to date) almost entirely on risk (not opportunity). As a result, ESG raters focus to a very limited degree on corporate governance and strategy — and are especially weak on the “G” in ESG.

Background and History

The ESG Navigator methodology has been fine-tuned over 20+ years. Since 1997, we have “cast a wide net” to capture leading industry ESG practices and ambitions globally. The criteria are shaped not only by where leading companies are today – but also by where leaders aim to be in the future.

2021 KSI Edits

Every 12-18 months, we update the ESG Navigator rating criteria. We aim to continually sharpen and simplify – yet retain the integrity for year-over-year comparisons. We invite 20-30 active ESG Navigator practitioners to provide input.

  • In Q4-2020, we began a comprehensive review of the KSIs .
  • Rating Criteria may be available upon request if you are not currently a registered user; please email Gib (gib@hedstromassociates.com) if you want to learn more.
  • If you would like a Word version of the proposed edits to add your comments, please email gib@hedstromassociates.com

PDF Download – Current KSI Listing

  • Some ESG Navigator users like to have a single document with all of the rating criteria in one place.
  • Rating Criteria may be available upon request if you are not currently a registered user; please email Gib (gib@hedstromassociates.com) if you want to learn more.