Management Accounting

Color Clients Unimpressed

CFOs say that banks' nascent efforts to go green won't win their business, all else being equal.
CFO StaffOctober 1, 2010

You might think carbon footprints are the last thing banks are worried about these days, but a number of them are trying to go green, and potentially prod their clients to do the same. These efforts run the gamut from making bank branches more energy-efficient to advocating for the use of electronic statements versus paper.

Some activists would like to see banks go further, and scrutinize the environmental impact of clients’ projects. To date, most banks have resisted this demand, even as they eagerly publicize the progress they have made on their internal green initiatives. We asked CFOs to what degree the “green banking” movement might prompt them to rethink who they do business with. The results suggest that when it comes to banks, CFOs are primarily concerned with the amount of green in the vaults.

For more on how CFOs regard their banking partners, see “Take Control of Your Bankers.”

Would a bank's environmental and social goals positively influence your decision to work with it?