The annual survey, conducted by CDP, found that almost two-thirds (62 per cent) of companies said the ultimate responsibility for water issues lay at boardroom level, up from 58 per cent the previous year.
Of the 174 Global 500 companies that responded, 68 per cent said that exposure to water risk could “generate a substantive change” in their business.
The companies also stated that 90 per cent of them integrate water into “group-wide business strategies”, with 82 per cent also setting goals and targets to reduce their water consumption.
However, the survey revealed that only 16 per cent of the UK-based companies undertook risk assessments at a river basin level.
CDP chief executive Paul Simpson said: “Water is an essential resource for any business.
“The potential for water-related problems to damage brand value or limit corporate growth is increasingly understood.”