Getting real about diversity and sustainability metrics
"Last week Nike released its FY20 Impact Report—which detailed the sportswear giant’s progress on and achievement of a set of 2020 sustainability targets. With it, the company unveiled a set of 29 new, Purpose 2025 Targets that, according to CEO John Donahoe, “aren’t just aspirations — they outline clear goals, action plans and accountability.” As Donahoe details in an accompanying letter:
“We are redefining what responsible leadership looks like. For the first time, we will tie executive compensation to Nike’s progress in deepening diversity and inclusion, protecting the planet, and advancing ethical manufacturing.”
"Meanwhile, the week before Chipotle Mexican Grill announced that it has introduced a new Environmental, Social and Governance (ESG) metric that ties executive compensation to ESG goals. Starting this year, 10 percent of execs’ annual incentive bonus will be tied to the company’s progress toward achieving goals in the areas of Food & Animals, People, and the Environment — holding Chipotle’s executive leadership team responsible for making business decisions that cultivate a better world."
Article: Trending: Nike, Chipotle Tie Exec Compensation to Diversity, Sustainability Metrics