An Analysis of Environmental, Social, and Corporate Governance (ESG) Ratings of Lean Versus Non-Lean Companies

Lean manufacturing is a business philosophy concerned with continually eliminating waste from processes while producing quality products greater efficiency. In addition to profits, organizations worldwide are beginning focus on environmental, social, and corporate-governance (ESG) factors because of the changing global environment. The Environmental Protection Agency has specifically stated that many have found implementing lean concepts tools results in improvements environmental performance. This study uses matched-pairs design, matching companies non-lean companies, assesses whether experienced better Sustainalytics ESG risk ratings than companies. Results show achieved more favorable did