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Our methodology


Vigeo has developed an original and robust rating methodology, based on five broad principles which aim ‎to provide clients with reliable and value-added opinions:‎

  • Evaluation criteria are based on international norms and standards
  • Sector-specific rating models are applied
  • Analysis process is structured, precise and rigorous
  • Data collection is multi-source and traceable
  • Opinions are well-argued and actionableune opposabilité des critères d’évaluation

 

A norm-based generic rating framework

 

Vigeo rating measure companies’ performance on 38 environmental, social and governance issues (“ESG”) ‎grouped in 6 domains.

Vigeo_Domains

Amongst our 38 evaluation criteria.

 

Sector-specific rating models 

For each of the 35 sectors under review, we select and weigh the relevant ESG sustainability drivers ‎according to:‎

  • The level of exposure of stakeholders
  • The resulting level of risks and opportunities for companies


For example, the improvement of health and safety in the workplace is critical for companies operating in the ‎chemical sector as a large part of the workforce is exposed to toxic and dangerous substances. Poor prevention ‎and management of this risk factor may affect the company’s human capital, cause operational disruptions, ‎expose it to litigation and eventually tarnish its reputation.

A 360° analysis ‎

For each sustainability driver, we review in detail the company’s strategy and management practices and ‎assess:‎

  • The relevance of commitments (Leadership) by assessing management policies in place‎
  • The effectiveness of  their implementation (Implementation) by assessing the breadth and depth ‎of concrete application measures‎
  • The performance achieved (Results) by analyzing quantitative performance indicators, as well as allegations or controversies from stakeholders. ‎

 Vigeo_360Analysis


Multi-source and traceable data collection

We draw on a systematic consultation of companies, on the one hand, and their stakeholders (NGOs, trade ‎unions, etc.) on the other hand, using in total over 250 indicators.‎

 

Operational opinions

Our clients are informed and alerted, on a continuous basis, about:‎

  • the ESG performances and risks of companies and
  • their ability to preserve and develop their intangible value (reputation, human capital, operational efficiency, ‎legal security)