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Methodology for Change the World

METHODOLOGY

How We Chose the Companies

The Change the World list recognizes companies that have had a positive social impact through activities that are part of their core business strategy. We prioritize companies with annual revenues of $1 billion or more. The initial solicitation and assessment of nominees is conducted in partnership with FSG, a nonprofit social-impact consulting firm; the Shared Value Initiative, a global platform for organizations seeking business solutions to social challenges; and Professor Michael E. Porter of Harvard Business School. Fortune writers and editors then evaluate and rank the companies by these three factors:

1. Measurable social impact: We consider the reach, nature, and durability of the company’s impact on one or more specific societal problems. This category receives extra weight.

2. Business results: We consider the benefit the socially impactful work brings to the company. Profitability and contribution to shareholder value outweigh benefits to the company’s reputation.

3. Degree of innovation: We consider how innovative the company’s effort is relative to that of others in its industry and whether ­other companies have followed its example.