Most major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors and industries. However, a company’s market value is determined by more than financial performance: it’s estimated that in many industries as much as 80 percent of market capitalization is made up of intangibles. To better categorize companies that share similar resource intensity, as well as sustainability risks and opportunities, SASB has created the Sustainable Industry Classification System™ (SICS™).
Please note: SASB has proposed a number of amendments to SICS, which were open for a 90-day public comment period starting in April 2016. SASB is currently in the process of updating SICS based on these changes, and the revised classification system will go into effect when the standards are codified in 2018. In the meantime, SASB invites you to review the prospective modifications to SICS.