In a business ecosystem defined by speed, volatility, and relentless innovation, Israel’s companies are being pushed to rethink what responsibility actually looks like. At the center of that shift is Maala, the nonprofit that has spent nearly three decades moving the country’s largest corporations toward measurable social and environmental accountability.
Headquartered in a nondescript building in north Tel Aviv, Maala’s influence is not loud, but it’s transformative. More than 130 major companies, representing a significant share of Israel’s GDP and workforce, now operate under its CSR and ESG frameworks. These companies include banks, industrial giants, defense companies, tech firms, and consumer brands that shape daily life in Israel.
By adopting Maala’s standards, they are committing themselves to tracking everything from their emissions and energy use to diversity, ethical procurement, and community investment. In a country where regulation often lags behind innovation, Maala has become the de facto architect of responsible business norms.
Founded in 1998, Maala was inspired by the American Business for Social Responsibility movement and was established to help companies create positive social impact in a more structured way. It has been led by Momo Mahadav for over 20 years, who has witnessed a significant shift in how companies view their role in society.
In its early years, Mahadav explained to The Jerusalem Post, corporate responsibility was often associated with philanthropy and charitable giving. While those measures remain important, today Maala's approach focuses not only on what companies contribute financially but also on how they operate, treat employees, manage environmental and social impacts, and engage with communities.
October 7
And that was extremely important after the October 7 attack by Hamas three years ago. In the days following the outbreak of the war, Israeli businesses responded with an urgency that surprised even long-time observers of corporate responsibility.
"The real essence of corporate responsibility was what we saw at the beginning," Mahadav said. "Large businesses immediately responded. There was a sense of urgency and emergency.”
Businesses could have focused primarily on immediate concerns such as cash flow, but many instead mobilized resources for community support, food distribution, housing initiatives, and other emergency activities.
On the one hand, businesses helped communities in need. On the other hand, companies also found themselves supporting their own employees, particularly around mental health challenges created by the war and its aftermath.
For Mahadav, the response reflected a deeper change within Israeli business culture.
"The whole concept of corporate responsibility is much more integrated into the DNA of businesses," he said.
‘Safe haven’
At the same time, he believes Israeli society faces a challenge that extends well beyond environmental or social metrics.
Mahadav describes polarization as a global problem that has become especially acute in Israel. The issue, he said, is no longer simply disagreement. "It's not just differing opinions," he said. "There's hostility."
In that environment, he views businesses as one of the few places where people from different backgrounds continue to encounter one another through shared work and common goals.
"Businesses are a safe haven for Israeli society," Mahadav said. "People of diverse beliefs can meet and discuss beyond their typical circles."
That role gives companies influence that extends beyond economic performance, he argues. Human connection is critical, but polarization remains a broader societal challenge that businesses cannot ignore because of the impact it has on employees, workplaces, and communities.
On issues such as diversity and inclusion, Mahadav advocates gradual, long-term change rather than quotas or rapid interventions.
ESG Index
The organization’s flagship tool, the Maala ESG Index, is where its impact becomes visible. Published annually on the Tel Aviv Stock Exchange, the index evaluates companies across more than 200 indicators, creating a rare layer of transparency in a market that historically prioritized performance over process.
Participation is voluntary, yet the index has become a competitive benchmark. In 2025, 160 companies took part, collectively contributing NIS 960 million to social and community initiatives. The index doesn’t just measure responsibility – it incentivizes it, pushing companies to improve year over year.
"We're still measuring corporate giving," he said, referring to benchmarks such as donations as a percentage of pre-tax profits. "But the major part is operations. You need to manage it, report it. It needs to be measured."
That emphasis on measurement has become standard among major multinational corporations, he noted, pointing to large global companies that publicly disclose their performance and progress.
Maala also holds over 150 workshops, trainings, and forums annually – creating a professional infrastructure around ESG with shared metrics and shared expectations.
‘Worst and best of times’
Looking ahead, Mahadav described the current moment as one that contains both deep uncertainty and opportunity.
"There is a sense of urgency as to where Israeli society is heading," he said, calling it both "the worst and best of times."
But Maala’s work doesn’t claim to solve Israel’s social divides or the pressures reshaping its economy. It has done something more fundamental: It is changing what Israeli companies believe they are responsible for. By embedding measurement, transparency, and long-term accountability into the corporate mainstream, Maala is pushing responsibility from the margins of business strategy to its center.
In a country navigating war, polarization, and economic uncertainty, that shift matters. It means the largest players in Israel’s economy are no longer responding to social and environmental challenges as external obligations but as core operational priorities.
Maala’s influence is quiet, but it is structural. It is shaping expectations in boardrooms, guiding investor scrutiny, and setting the standards by which corporate leadership is increasingly judged.
And despite the exhaustion felt across society after three years of war, Mahadav remains focused on the ability of organizations and people to continue moving forward.
"We need more hope looking ahead," he said. "Given everything that's happened, we continue to reach goals."