3M, Target Among World’s Most Admired Companies
3M and Target are among the 50 most-admired companies, according to an annual ranking done by Fortune magazine.
The “World’s Most Admired Companies 2015” listed the Maplewood- and Minneapolis-based organizations in 21st and 48th place, respectively.
The list pulled from the Fortune 1000 largest American companies list, as well as international companies with revenues of at least $10 billion. Executives, directors and analysts were polled on these companies and scored them on nine criteria: innovation, people management, use of corporate assets, social responsibility, quality of management, financial soundness, long-term investment value, quality of products/services and global competitiveness.
Apple marked its 8th year as the most admired company on the list. It was followed up by fellow tech giant Google and Warren Buffet’s holding company, Berkshire Hathaway.
3M’s ranking at 21st was an improvement from last year, when it ranked 23rd. It received generally high marks for innovation, financial soundness and competitiveness, but was flagged for use of its corporate assets. The company had been slipping on Fortune’s list for several years, down from its 18th ranking in 2012. The magazine noted that 3M is currently benefiting from low raw material costs, especially plastics and other petroleum-based materials.
Target fell nearly 20 spots this year to 48th place. The company is still dogged by its Christmas 2013 data breach—when more than 70 million customers had credit card information stolen—and the recent fallout of its Canadian operations. Target just pulled the plug on its 133 stores there and is currently liquidating them to staunch losses. Hundreds of jobs in the Twin Cities and India will be cut.
Despite its woes, Fortune noted increasing sales in the past two quarters and said, “the advance buzz surrounding its upcoming collaboration with designer Lilly Pulitzer suggest Target still has a knack for offering cheap chic.” The company received above-average rankings across all categories, including top marks for social responsibility. Like 3M, Target was dinged with a middling mark for use of corporate assets.
New CEO Brian Cornell, the company’s first CEO from outside the company, has been shaking up the normally bogged-down bureaucracy of its corporate office, putting a new emphasis on smaller, urban stores and focusing on categories where Target is often a leader: apparel, home and beauty.
Other Minnesota companies like St. Jude Medical and General Mills have made the list in the previous years, but have since fallen off.
The entire list of rankings can be viewed here.