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Corporate responsibility and inclusion

Data for good: Measuring and quantifying diversity

Patsy Doerr  Global Head of Corporate Responsibility and Inclusion, Thomson Reuters

Patsy Doerr  Global Head of Corporate Responsibility and Inclusion, Thomson Reuters

In 1997, two NASA researchers coined the term ‘big data’ to refer to the challenge of processing and visualising vast amounts of information generated by supercomputers. We’ve come a long way since then. Data is considered the oil of the 21st century with limitless possibilities for impact.

Measuring Total Societal Impact (TSI)

Total Societal Impact (TSI) is a collection of measures and assessments that capture the economic, social, and environmental impact (both positive and negative) of a company’s products, services, operations, core capabilities, and activities. It’s getting easier for companies to measure their TSI thanks to the rise of transparency and availability of environmental, social and governance (ESG) data.

ESG data powers many of our products and solutions, helping investors align their financial goals with their values. ESG issues such as environmental impact, diversity, ethics and corporate governance are at the forefront of public and political attention. Investors (and their clients) are increasingly demanding that these issues are factored into their portfolios and fund managers are differentiating their services using ESG criteria.

Why do investors care about measuring ESG?

Because study after study continues to show that responsible companies are best positioned for long term financial success. Responsible companies attract the best and brightest. Millennials are the first generation to grow up with the concept of corporate social responsibility and working for a company that makes a positive social impact matters to them. Responsible companies build diverse teams. This means not only the traditional definitions of diversity but also factoring in diversity of thought, style, approach, and life experience. Diverse teams are more likely to be creative, think outside the box to solve problems and challenge the status quo. This leads to a more innovative, engaged and productive workforce.

Thomson Reuters Diversity and Inclusion Index overview page in Eikon

Last year, we launched the D&I Index, a first-of-its-kind index that measures relative performance against multiple factors that define diverse and inclusive workplaces. The Index ranks the top 100 publicly traded companies globally with the most diverse and inclusive workplaces, as measured by 24 metrics across four key categories: Diversity, Inclusion, People Development and News Controversies. The Index is then calculated by weighing each metric based on importance in the market and how each company compares with its peers.

The index ratings are supported by our ESG data, designed to transparently and objectively measure the relative performance of over 5,000 companies and provide clients with differentiated insight. Index scores are calculated for each company for the Diversity, Inclusion, People Development and News Controversy pillars. Only companies with scores across all four pillars are assigned an overall score (the average of the pillar scores). The top 100 ranked companies with the best overall scores are selected for the Index.

For us, the D&I Index delivers on our commitment to deliver the most relevant news, information and analytics to the global financial community. With the rise of impact investing and continued research demonstrating that the diverse companies are the most financially successful over the long haul, investors and analysts need this critical information to inform their portfolios.

Top 5 companies from the Thomson Reuters D&I Index
The top five companies from the Thomson Reuters D&I Index. See the top 100 listed companies here.

Learn more

To learn more about the Thomson Reuters Diversity & Inclusion Index, please visit:

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