ROSI™ Resources and Tools

Understanding the Return on Sustainability Investment (ROSI™) Methodology

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How ROSI Works
Excel Tools for Testing ROSI

Research Papers and Articles
ROSI at the CSB Practice Forum
Other Resources
Guidance on Using and Citing ROSI™

How ROSI Works

CSB ROSI is designed to be a simple yet comprehensive process that identifies material sustainability strategies and the changed practices resulting from those strategies, then quantifies and monetizes the benefits through the lens of the ROSI mediating factors. To learn more about ROSI and each of the steps, click here.

Step 1 - Assess Opportunities and Risks: Identify the material sustainability strategies for the sector and the company, using SASB or GRI as guides. For example, a specific sustainability strategy for an auto manufacturer may be to improve waste management.

Step 2 - Identify Associated Strategies: For each sustainability strategy, identify the material changes in business practice. For example, a practice to improve waste management for automakers is to recycle paint and solvents.

Step 3 - Determine Expected Benefits: Determine the potential and realized financial and societal benefits of these practices, through the lens of the mediating factors of financial performance (innovation, operational efficiency, supplier loyalty, etc.). For example, recycling paint and solvents (A) reduces purchase of the product, (B) reduces waste disposal costs, and (C) brings in revenue through selling excess recycled material.

Step 4 - Quantify Results of Benefits: For example, idenfity the % of manufacturing waste that is recovered and reused.

Step 5 - Monetize the Benefits: Apply a monetization process to calculate monetary values for the intangible and tangible benefits. For example, weighted average unit cost of recovered materials versus the cost of reused materials and upfront investment, with the net being the return on investment.

Excel Tools for Testing ROSI

Below you'll find five Excel tools that CSB has developed to apply ROSI to the specified mediating factors or through collaboration with industry partners.

Employee Wellbeing Monetization Tool (Interactive Module)
Apparel Industry Sustainable Strategies Framework
Talent Attraction, Productivity, and Retention (Excel Download)
Risk Management (Excel Download)
Operational Efficiency (Excel Download)
Automotive Industry (Excel Download)
Commodity Supply Chains (Excel Download)

Research Papers and Articles

Publication	Description
NYU Stern CSB March 2025	The Business Case for Zero Waste to Landfill by 2030: Working with Owens Corning’s Fiberglass Insulation Business Owens Corning is a Fortune 500 company specializing in the development, manufacturing, and marketing of insulation, roofing, and fiberglass composites. This case study applies the Return on Sustainability Investment (ROSI) framework to Owens Corning’s Zero Waste to Landfill goal to ultimately demonstrate the considerable savings to processing costs, procurement costs, and carbon emissions that recycling their own materials can yield.
ClimateCAP MBA Academy (Podcast) February 2025	ClimateCAP MBA Academy: Using the ROSI Framework to Build the Business Case for Sustainability In conversation with Jessica Wingert of ClimateCAP, Chisara Ehiemere, Sr. Research Lead at NYU Stern CSB, dives into the Return on Sustainability Investment (ROSI) methodology and demonstrates how it can be used to unite sustainability strategies and financial performance. During this conversation, Ehiemere provides an overview of the methodology, potential applications, and real-world case studies of the framework in action.
NYU Stern CSB November 2024	Natra Case Study: Measuring the Financial Return on Sustainability Investment Changes to customer attitudes in major chocolate-consuming markets have been pushing the industry more towards sustainably sourced cocoa, which has opened new avenues for sales and growth for manufacturers, such as Natra. Natra worked with NYU Stern CSB to apply the Return on Sustainability Investment (ROSI) methodology to calculate the financial impacts that environmentally and socially sustainable practices would have on operations. This analysis was an important step towards helping the sustainability team demonstrate that sustainability could both improve the company’s competitive position and help deliver long-term financial gains.
NYU Stern CSB November 2024	The Business Case for Decarbonization of Oil & Gas Waste Management–A Case Study on Slurry Injection Milestone Environmental Services, an energy waste sequestration company based in Houston, TX, collaborated with CohnReznick and NYU Stern CSB to apply the Return on Sustainability Investment (ROSI) framework to identify potential financial benefits for the company, their customers, and their landowner partners. The framework was specifically applied to Milestone’s slurry injection operations but the methods and lessons learned can potentially be applied by other organizations in the oil and gas and energy waste management industries.
Wall Street Journal July 2024	Food Companies Show How Sustainability Investments Can Reap Positive ROI NYU Stern CSB collaborated with Deloitte to expand on the existing Food and Agriculture Sustainability Strategies Framework by surveying 350 senior executives from food and agriculture companies throughout the US and Europe. In this Wall Street Journal article, Aaron Dalton spoke with Tensie Whelan (founding director of CSB) and Ben Ninio (a leader in Deloitte’s Sustainability Strategy & Transformation practice) to dive into the value creation potential of various sustainability strategies in the food and agriculture space.
Trellis May 2024	Make the internal business case for sustainability investment In this article for Trellis (formerly GreenBiz), Tensie Whelan explains the 5-step approach that CSB’s Return on Sustainability Investment (ROSI) framework uses to unlock business value through investing in sustainability. The ROSI framework helps businesses account for more of the financial benefits that sustainability offers that would otherwise fall through the cracks due to lack of data, lack of engagement with finance teams, and other factors.
The Pricing For the Planet Podcast April 2024	Revolutionizing Profit - How Sustainability Becomes Your Business Superpower: ROSI by Tensie Whelan In this episode of The Pricing For the Planet Podcast, Fabien Cros discusses the Return on Sustainability Investment (ROSI) methodology with Tensie Whelan, founder of NYU Stern CSB. Whelan provides an overview of the ROSI methodology while also sharing critical insights into how sustainability can create strategic advantages for businesses and pave the way for long-term financial gain.
Fortune October 2023	Some politicians are waging a war on sustainability. New research shows U.S. consumers of all persuasions, from Gen Zer to boomers, are going in the opposite direction In this article for Fortune, Tensie Whelan and Randi Kronthal-Sacco leverage NYU Stern CSB’s Sustainable Market Share Index (SMSI) to show that sustainability-marketed products are growing twice as fast as conventionally marketed products while also selling at a premium. Through partnership with Edelman and nine iconic brands, CSB was able to further explore how sustainable messaging drives consumer purchase intent. Ultimately, they found that messaging about “my health, my wealth, my world” resulted in the highest ratings.
Fortune May 2023	Companies don't know how to measure their human capital other than as a labor cost--and it's hurting profits In this article for Fortune, Ulrich Atz and Tensie Whelan argue that businesses are often not using decision-useful metrics for their corporate employees, meaning that businesses often miss or underestimate the role that human capital plays in corporate financial performance. Atz & Whelan provide thorough evidence and case studies demonstrating the gaps in both reporting metrics and accounting methodologies that result in the discounting of the role of human capital.
NYU Stern CSB January 2023	The Business Case for Biocontrol Use–A Case Study on Combating Aflatoxins in Corn Aflatoxins are a type of fungal toxin that can contaminate crops and threaten human health. With funding from HSBC and in collaboration with Rafhan Maize Products, a Pakistani manufacturing company, and Ingredion, NYU Stern CSB applied the Return on Sustainability Investment (ROSI) methodology to quantify the financial and societal impacts of implementing the appropriate agricultural interventions to control aflatoxins. This case study can be useful for corn growers or food & agriculture companies undergoing similar challenges.
NYU Stern CSB January 2022	The Business Case for Sustainable Farming to Improve Biodiversity Hero Group is a mid-sized food company that sells baby foods, jams, and snacks across the world. Hero partnered with NYU Stern CSB to apply the Return on Sustainability Investment (ROSI) methodology to their bee-friendly farming (BFF) practices. This case study demonstrates the financial benefits and value creation that can be derived from sustainable farming practices, such as increased price stability and reduced carbon emissions.
Capco Journal of Financial Transformation November 2022	Finding the Return on Sustainability Investments In order to effectively manage the material environmental and social issues that affect businesses on a daily basis, business leaders will need new strategies, practices, and tools. In this article for the Capco Journal of Financial Transformation, CSB authors explain the consistent benefits that sustainable business practices deliver throughout the value chain.
ESG Talk: Candid Conversations with ESG, finance, and business leaders (Podcast) November 2022	The ROI of Sustainability ft. Tensie Whelan, NYU Stern Center for Sustainable Business In this episode of ESG Talk, host Mandi McReynolds speaks with Tensie Whelan, founder of NYU Stern CSB, to discuss key examples of companies achieving significant return on investment (ROI) from their sustainability initiatives. Additionally, Whelan shares how sustainability initiatives and cost avoidance can help inform ESG KPI development.
Journal of Sustainable Finance and Investment July 2022	Does Sustainability Generate Better Financial Performance? Review, Meta-analysis, and Propositions In this article for the Journal of Sustainable Finance and Investment, Atz et al. surveyed 1,141 primary peer-reviewed papers and 27 meta-reviews related to sustainability in business and finance from 2015-2020.
Harvard Business Review July 2022	ESG Reports Aren’t a Replacement for Real Sustainability By focusing more on reporting than actually investing in sustainability, many corporate leaders are seeing that their ESG efforts are not being meaningfully rewarded in capital markets. Whelan makes the argument that to properly embed sustainability and make it a source of competitive advantage, companies need to incorporate sustainability into their strategy and, ultimately, target the material issues.
Green Chemistry & Commerce Council October 2021	Green Chemistry: A Strong Driver of Innovation, Growth, and Business Opportunity “Green Chemistry” is defined by the US EPA as “the design of chemical products and processes that reduce or eliminate the use or generation of hazardous substances”. This study synthesizes evidence across various sources (incl. case studies, consumer sales trends, and economic analysis) to argue that the green chemicals and products sector is growing quickly and is likely to soon become more dominant in major investment portfolios.
NYU Stern CSB October 2021	Complementary Solutions for Holistic Impact Valuation: Return on Sustainable Investment (ROSI™) and Impact-Weighted Accounting (IWA) Despite the need to balance multiple stakeholder interests, managers lack a common analytical lens through which to make evidence-based decisions. This article describes how two complementary impact monetization methodologies can be used together to provide managers with a comprehensive assessment of financial, social, and environmental impact using the common language of currency. Internalities or business impact can be effectively monetized using the Return on Sustainability Investment (ROSITM) framework4, while Impact-Weighted Accounting (IWA)5 is a tool to demonstrate monetary value created (or eroded) for employees, the environment, and consumers. Used together, ROSITM and IWA produce financial data for managers to incorporate into decision-making discussions.
NYU Stern CSB June 2021	The Business Case for Circularity at Reformation While many apparel companies prioritize sustainability investments, there is often a lack of knowledge as to how these investments help to drive financial performance. With funding from HSBC, the NYU Stern Center for Sustainable Business (NYU Stern CSB) recruited a group of apparel companies, including Reformation, to better understand and define the strategies that these businesses are using to achieve and monetize benefits stemming from sustainability efforts.
NYU Stern CSB May 2021	The Business Case for Implementing Sustainable Practices to Drive Financial Performance within the Automotive Sector Using the automotive industry as an example, this case study maps the connection between good management of the material environmental, social, and governance (ESG) issues identified in the SASB Standards and the resulting measurable improvements in financial performance uncovered through the NYU Stern Center for Sustainable Business’ Return on Sustainability Investment (ROSI) framework
The Council of Fashion Designers of America, Inc. April 2021	The Business Case for Sustainable Apparel There are numerous material environmental, social and governance (ESG) issues facing the apparel industry including environmental issues in the supply chain, labor issues, and climate change. In addition, apparel companies face increasing pressure from consumers, regulators, and investors to increase sustainability of their business models. With support from HSBC, NYU Stern CSB partnered with a set of apparel companies on the ROSI methodology to estimate the value of tangible and intangible benefits that apparel companies can accrue by making strategic investments in more sustainable business practices. We engaged Reformation, REI, EILEEN FISHER, and conducted both primary and secondary research leveraging industry experts, company contacts, and academic literature to inform our framework.
Journal of International Business Policy February 2021	Financial benefits of reimagined, sustainable, agrifood supply networks Multinational enterprises face challenges to integrate the UN’s Sustainable Development Goals into their supply chains because it requires cooperation outside of their direct control. In global agrifood value networks, companies struggle to engage their suppliers in sustainability. One reason is that key intermediaries, the offtakers, have not been engaged in sustainability strategies in a way that is economically feasible, and thus fail to act as a cooperating link. We developed and applied a return on sustainability investment (ROSI) model of a more strategic supply-chain approach for food commodities (one that values partnerships over transactional relationships).
NYU Stern CSB January 2021	The Business Case for Sustainable Apparel at EILEEN FISHER While many apparel companies prioritize sustainability investments, there is often a lack of knowledge as to how these investments help to drive financial performance. With funding from HSBC, the NYU Stern Center for Sustainable Business (NYU Stern CSB) recruited a group of apparel companies, including EILEEN FISHER, to better understand and define the strategies that these businesses are using to achieve and monetize benefits stemming from sustainability efforts.
Harvard Business Review December 2020	How to Talk to Your CFO About Sustainability The Return on Sustainability Investment (ROSI) is an analytic tool, which companies can use to measure the financial returns on their sustainability activities. Implementing ROSI is a five-step process. Companies should (1) identify their current sustainability strategies, (2) identify related changes in operational or management practices, (3) determine the resulting benefits, (4) quantify the benefits, and (5) calculate the monetary value. The savings and growth thus revealed can reach hundreds of millions of dollars; in large companies, it can be billions.
NYU Stern CSB November 2020	#OptOutside REI Co-op's Employee WellBeing Programs Allign with Positive Financial Outcomes While many apparel companies prioritize sustainability investments, there is often a lack of knowledge as to how these investments help to drive financial performance. With funding from HSBC, the NYU Stern Center for Sustainable Business (NYU Stern CSB) recruited a group of apparel companies, including REI, to better understand and define the strategies that these businesses are using to achieve and monetize benefits stemming from sustainability efforts.
Sustainable Consumption and Production November 2020	The Return on Sustainability Investment (ROSI): Monetizing Financial Benefits of Sustainability Actions in Companies Practitioners and researchers struggle with valuing the return on sustainability investment (ROSI). We apply a five-step methodology that systematically monetizes sustainability actions to answer a key question: Do sustainable practices lead to a positive financial return for the business? We demonstrate the versatility of this methodology across two types of industries: Brazilian beef supply chains that committed to deforestation-free beef and the automotive industry, where companies were working to make manufacturing operations more sustainable. Our ROSI methodology guides managers to better value sustainability’s financial benefits.
Stanford Social Innovation Review August 2020	Making a Better Business Case for ESG Without clearer insight into the financial benefits of corporate sustainability efforts, they may never be scaled up in the face of climate change, COVID-19, inequality, and many other perceived or real challenges to a company's bottom line.
Journal of Applied Corporate Finance June 2020	Using the Return on Sustainability Investment (ROSI) Framework to Value Accelerated Decarbonization The study presented here describes the outcomes of a recent analysis in which CSB in collaboration with ALO Advisors worked with Capital Power Corporation, a North American power producer, to estimate the value likely to be created by accelerating its transition to clean energy. Through their work with the Chief Sustainability Officer, Chief Financial Officer, and senior managers from several key business functions, the authors identified seven major sources of benefits, and quantified the expected effects on value of four of them, to produce an estimated contribution to the value of the company of about $30 million.
EcoVadis and NYU Stern CSB July 2019	Sustainable Procurement Barometer 2019: From Compliance to Performance The EcoVadis Sustainable Procurement Barometer offers insight into how sustainability is evolving in procurement priorities, and the tools and processes being used to drive tangible improvements and business results. Conducted in partnership with NYU Stern CSB and featuring the CSB ROSI Methodology, the analysis suggests organizations are placing greater emphasis on business ethics and labor and human rights practices compared to three years ago.
St John's University: Review of Business Journal June 2019	The Return on Sustainability Investment (ROSI): Monetizing Financial Benefits of Sustainability Actions in Companies CSB is proud to announce that the Review of Business editorial board and Munich Re awarded this article with "Best Paper" for its demonstration of how a publicly-traded firm can quantify the relative value of integrating sustainability-related initiatives in its core operations. In the article, we introduce ROSI and emphasize nine mediating factors when monetizing tangible and intangible benefits of sustainability actions such as innovative sustainable agricultural techniques or innovation in electric vehicles. We showed empirically which factors likely drove corporate financial performance in cases in the beef and auto industries.
Harvard Business Review September 2017	How to Quantify Sustainability’s Impact on Your Bottom Line In this article, we review the findings from our case study on beef production in the Amazon (read the full report below). ROSI and its application in this case study demonstrate that these financial improvements can be quantified and monetized in a credible and cost-effective manner, and have the potential to serve as a powerful tool with business decision makers.
NYU Stern CSB August 2017	Deforestation-Free Supply Chains: Financial Impact for Brazilian Beef Production After investigating the financial costs and benefits of the uptake of sustainable and deforestation-free beef by ranchers, slaughterhouses and retailers in Brazil, we found that sustainable and deforestation-free practices have the potential to create significant financial benefits across the entire value chain. While sustainable agricultural practices provided the most financial benefit, deforestation-free commitments reduced risk.
Harvard Business Review October 2016	The Comprehensive Business Case for Sustainability (Full PDF Here) In this review of business and academic literature, NYU Stern CSB found positive financial and strategic benefits for companies taking a comprehensive approach to managing for sustainability and embedding it in their core business strategy.

ROSI at the CSB Practice Forum

The Annual Practice Forum focuses on how to identify, track, and monetize sustainability returns driven by innovation, operational efficiency, employee engagement, brand enhancement, and risk mitigation, for better decision-making by the C-suite and investors. Learn more about ROSI through the following materials from recent Practice Forums, including presentations, panel discussions and workshops.

Value Drivers in Sustainable Food and Agriculture (Practice Forum 2024)
ROSI in Action: Circular Supply Chains (Practice Forum 2024)
ROSI Roundtable: Monetizing Sustainability Initiatives Across Industries (Practice Forum 2023)
Coming Soon: ROSI panels on Automotive and Real Estate sectors from the 2025 Practice Forum

Other Resources

ROSI Research Database: CSB presents the largest selection to date of corporate and academic research on the direct relationship between sustainability initiatives and financial performance.

JUST Capital Report Builds on CSB ROSI Methodology: In June 2019, JUST Capital published a new report supporting "what we have long suspected, and what our empirical analysis corroborates: that just business is simply better business." The report builds on the NYU Stern CSB ROSI Methodology that demonstrates how companies that embed sustainability in their strategy and practice drive greater profitability, higher valuation, and a lower cost of capital.

Guidance on Using and Citing ROSI™

NYU Stern CSB’s Return on Sustainability Investment (ROSI™) methodology is designed to be a simple yet comprehensive process that monetizes material sustainability strategies and the practices resulting from those strategies.

We encourage corporates, investors, consultants and others to adopt the ROSI™ approach and share findings with broader networks. However, to maintain consistency, we ask that our partners preview any reference to ROSI™ (whether on a website, in print, or on social media) with our team. Please send materials for review to sustainablebusiness@stern.nyu.edu and allow 2-3 business days for a response before publishing. Thank you.

Citation Guidance

Use the full name of the methodology and credit our organization:
- “Return on Sustainability Investment (ROSI™) Methodology, developed by the NYU Stern Center for Sustainable Business (CSB)”
- Following the first mention, you may use the following abbreviations: “NYU Stern CSB”; “ROSI™”
Link to the NYU Stern CSB website or tag our account page whenever possible.
- Website: stern.nyu.edu/csbrosi or stern.nyu.edu/sustainability
- LinkedIn: @NYU Stern Center for Sustainable Business

Center for Sustainable Business | ROSI™ Resources and Tools