Assess compliance with the OECD Guidelines for Multinational Enterprises using Inrate’s dual-perspective analysis. Inrate’s OECD Screening combines corporate disclosures with controversy assessments to evaluate both reported CSR performance and real-world behavior, ensuring the final evaluation reflects both policy intent and actual conduct.
Global Standards Screening: Dual-Perspective Assessment of OECD Compliance
Inrate’s OECD Screening uses a dual perspective to strengthen the robustness of the assessment. By evaluating both a company’s reported corporate social responsibility (CSR) performance and its real-world behavior (controversies), we offer precise, consistent, and actionable insights. This ensures strong alignment with internationally recognized standards and maximizes analytical value for investment decisions.
Topics Assessed
Inrate’s screening focuses on the nine specific chapters* of the OECD Guidelines for Multinational Enterprises to uncover any violations. Entities are assessed for compliance across each of these defined areas:
- Disclosure
- Human rights
- Employment
- Consumer interests
- Science, technology and innovation
- Bribery and corruption
- Competition
Taxation *The tenth chapter on general policies was not considered separately to avoid duplication of criteria throughout the screening, as the themes are already covered throughout the other specific chapters.
CSR and Controversy Assessment (The Dual Perspective)
Inrate's methodology combines two critical research streams to provide a holistic and objective assessment, reflecting both the entity's policy intent and its actual impact.
CSR Performance
Policy Intent and material Disclosures Evaluation of the company’s sustainability reporting to assess policy strength and resulting outcomes to determine compliance with relevant norms established across the nine chapters covered.
Controversy Assessments
Real-World Behavior (Impact) Assessment of the entity's involvement in adverse business practices to determine the alignment of real-world conduct with guidelines – identifying violations and quantifying their severity.
Outcome
Dual Perspective The final evaluation reflects the analysis based on both policy intent, reported outcome and real-world conduct, strengthening the robustness of the assessment.
Overrides and Compliance Logic
Final compliance with the OECD Guidelines overall is determined by a specific set of rules, including a multi-chapter threshold and a controversy severity override.
Chapter Threshold
Compliance with at least 6 out of the 9 chapters.
Controversy Override
Entities with high-severity controversies are considered non-compliant regardless of compliance with individual chapters.
Final Status
Entity is designated as Compliant or Non-Compliant with the OECD Guidelines overall. Offers precise, consistent, and actionable insights for investment decisions.
Anti-Corruption
Policies, due diligence and monitoring frameworks.
Actionable Insights & Analytical Value
Inrate’s OECD Screening offers precise, consistent, and actionable insights by ensuring strong alignment with internationally recognized standards. By combining corporate disclosures with controversy assessments, we maximize the analytical value for investment decisions, reflecting both policy intent and actual conduct.
The quantification of controversies and disclosure-based indications lends methodological flexibility, making it possible for each client to apply customized thresholds across each chapter and having an output that meets differentiated client requirements.
ESG Ratings
The Labour (L) and Environment (E) grades are a reflection of a company’s performance across L and E related KPIs from Inrate’s ESG Ratings. Clients can choose their thresholds of L and E grades beyond which a company would be deemed in violation of relevant UNGC themes.
Why Inrate
Impact Lens
Inrate has balanced financial materiality with impact well before 'double materiality' gained prominence in European Capital Markets. The impact of a company's business activities has stood at the core of Inrate's assessments, overcoming the biases created by disclosures.
Flexible Data Models
Inrate’s research can be customised to develop comprehensive datasets based on the client’s investment objectives and evolving regulatory requirements. This unmatched customisation utilises meticulous research on the impact of business activities, corporate sustainability disclosures, and ESG controversies.
Dedicated Client Support
Inrate operates as a ‘glass box’ with an unparalleled commitment to transparency and communication. We deliver unequivocal support from our long-standing team of research analysts, providing insights from our extensive research and subject matter expertise.
Regulatory Alignments
Inrate’s data lake evolves in tandem with new regulatory frameworks, consistently empowering clients to uncover their portfolio’s regulatory conformity. Our datasets promise relevance and materiality with the evolving sustainability market.
