Sustainability Excellence Report

Session-I ‘Innovation and discovering new value propositions for businesses’

Pradeep Bhargava, Immediate Past President, MCCIA and Independent Director-Persistent Systems Ltd. Pune, INDIA

Mr Pradeep Bhargava mentioned about the global challenges are increasing due to the imbalance in nature. He said that sustainability is all about yesterday, today, and tomorrow. If our initiatives are about saving the planet first, then humanity needs are taken care of itself.

He said that the imbalance in nature creating global challenges for the businesses but at the same time creating new opportunities as well. However, business leaders should know how to combat the challenges and make use of opportunities. He also highlighted how perpetually we are creating imbalances around us. Hence he said nature should not be blamed. He emphasized that we need to act for ourselves and our existence. He raised an important point about moral responsibility. He said that the moral, regulatory, and statutory responsibility must come on a common platform.

He also said the sustainability should be considered a movement within the organization and in the supply chain. And MSMEs play important role in this movement. He said they are the MSMEs are the nurseries from where the economy forests grow. Money, materials, and manpower are the biggest challenges faced by MSMEs. About energy consumption and emissions, He said that looking at energy as a whole, efficiency is important before you look at renewable energy in your energy consumption mix. The entire movement must be driven from the bottom of the pyramid to top. Before coming to renewable energy, we must look at energy as a precious resource.

It is a mistake if organizations aren't going green for renewable energy in addition to energy efficiency. There are reasonable renewable energy business models available which businesses can explore.

While talking about upgrading technologies, he said that searching for new technologies must continue. Focus also must be on developing the employee's concepts, you need to upgrade skills, and to upgrade technologies as well.

How do we effectively manage waste is another question that must be asked frequently? When you don’t send things to landfills you figure out ways to recycle waste.

He shared few insights from his experience.

He concluded saying that ‘anyone should not look at sustainability as a compliance rather it's a practical and realistic activity for preforming better day by day along with the elements of a sustainable organization.'

Key takeaways: - Planning Finances, - Innovative techniques in manpower, - No waste, conservation of energy, manage power factor, manage transformer, manage energy, - Energy is a precious resource and it should be conserved, - Make your vendors join Greenco movement which will help to spread awareness around the world, - Make employees involve in sustainability process, and - Long term planning helps an organization to get through pandemics or any type of global disruption.

Mr Anirban Ghosh, Chief Sustainability Officer, Mahindra Group, Mumbai, INDIA

Mr Anirban Ghosh mentioned about how He thinks of sustainability and how differently their various businesses combat the challenges and opportunities posed by climate change.

He gave three simple steps to think and act for. They are, - it’s about our people and the planet, - the future is uncertain for every one of us, and, - organizations must try to be sustainable.

He also stated that we are living beyond the planet's boundaries. Natural resources are getting exhausted and how we must live without stretching our resources.

He explained with examples of what initiatives they have done great work within the Mahindra. He cleared a misconception that sustainability is expensive and not for small organizations. He further gave a holistic approach to this. Once you start, you realize this is good for your organization, your stakeholders and the planet. One should step back and think about how are their actions are negatively affecting the environment. He emphasized how we must reduce carbon dioxide by being carbon neutral is another way to achieve this and to be carbon neutral we must reduce emissions. If we cannot do this, we must figure out a way to reduce these emissions from the air. More solutions to this are energy efficiency and renewable energy and electric vehicles to reduce emissions. It makes sense to use technologies that reduce emissions. Adoption of renewable energy brings down operating costs of energy and reduces the carbon footprint. These initiatives are big only when we scale them up each one of these initiatives can be achieved.

He said that 'one of the sides of sustainability is social inclusiveness. That begins at home. Does my work affect the people around me negatively is the main question that must be asked? Such questions help us to think and act.

While talking about the covid19 pandemic, Mr Anirban Ghosh said that “the importance of having spare cash for disruptions is another point I greatly emphasize on. The key learning is 'if earnings from the business activities invested in liquidity may not be available when you need it.' Now onwards, businesses shall consider this as a lesson and act on it too.

Key takeaways: - Social sustainability begins at home, - Importance of spare cash to sustain during disruption, - Have proper investments which will help during disruption, and - make business sustain.

Mr Rahula Kashyapa, AVP, Business Development, B2B Business, ReNew Power, Gurgaon

Mr Rahula Kashyapa said that previously we did not have many alternatives now we do and how many organizations look at the short-term goals. He answered the question of why all organizations are switching to cleaner forms of energy. He stated that for most of the organizations this might be a commercial activity. Hence for other organisations, there must be a change in this thought process.

He also added to the earlier statement made by Mr Ghosh on becoming carbon neutral by saying that the offered financial models ‘CAPEX and OPEX’ for reduction of energy cost and emissions helping many organizations to become sustainable year-on-year.

He said MSMEs could look at what some of the leading companies are doing for becoming to be more sustainable. The MSMEs need to look at the bigger comparison when adopting sustainable activities and technologies.

He said that renewable energy is quite economical as compared to other sources of energy even though it requires more capital. But due to growing market competitiveness and an enabling regulatory atmosphere, the innovative financial models will help MSMEs to gain value if they adopt a clean energy mix in their carbon neutral journey.

He concluded by saying that 'India is not only the fastest-growing country but also the largest emitter of Greenhouse gases.' This shows the potential for emissions reduction.

Key takeaways: - Planning risk mitigation methods, Planning an innovative mechanism, - Look at a long-term perspective making your business sustainable, and - MSMEs to look at the comparison when adopting sustainability.

Mr Hirendra Divgi, Executive Director, Divgi TTS, Pune, INDIA

Mr Hirendra Divgi said that when they have started working on the sustainability three years back. It gave them fresh perspectives to look at their organization's growth. He mentioned that most natural systems show the path of how to balance. All imbalances are temporary. Business entities are part of society, and we are a part of evolution. The businesses are constantly evolving over a couple of decades. Thus, businesses must know how to balance along with the environment and societal factors while projecting the future. He emphasized that as businesses we need to note down our responsibilities, we need to push this trajectory in the future and put in a system for rewards and recognition. We need to understand how this trajectory unfolds. This will bring more sustainable thinking in organizations.

He shared some insights about a few initiatives that Divgi TTS has taken to become more sustainable. He added by saying that we cannot be an island when it comes to sustainability; it requires a lot of thinking in terms of inclusiveness. He emphasized how this is the need of the hour. To create an impact in society, the sustainability circle must be widened into a supply value chain of MSMEs. This may need some promotion and activism, which will benefit organizations.

He also talked about sustainability standards and their benefits. He said GRI sustainability standards are important and helpful. Lots of sustainability practices are done naturally. This GRI standard gives an appropriate structure to this process. “We have a system of vendor ratings. If some companies have good sustainability practices, they get a good rating.” He said that ‘many companies fail to recognize their stakeholders, which is the first step to sustainability.'

Key takeaways: - Upgrading to new technologies is important, Skilling and upgrading employees, - GRI standard helps an organization to face disruptions more elegantly, Sustainability reporting should be given some points which will encourage the organizations, Recognizing Stakeholder is the first step of sustainability, Employees are key stakeholders in your system, Information collected during sustainability reporting helps organization to respond problems or barriers quickly, Businesses must know how to balance work along with the environmental factors.

He concluded by saying that 'India is not only the fastest-growing country but also the largest emitter of Greenhouse gases.' This shows the potential for emissions reduction.

Key takeaways: - Planning risk mitigation methods, Planning an innovative mechanism, - Look at a long-term perspective making your business sustainable, and - MSMEs to look at the comparison when adopting sustainability.

Wrap up by Mr Chetankumar Sangole

Mr Chetankumar Sangole thanked participants for attending the session-I. He also thanked speakers for their support and sharing key insights. He also thanked partners ReNew Power and Suhana for supporting this virtual dialogue.

Wrap up points: - Learning, development and upgrading are the three things will lead you to become a sustainable organization, - Learn to balance all resources and maintain it for sustaining through the process, and - developing leadership for a sustainable organization.

The session-I was moderated by Ms Vandana Saxena, Vandana Saxena Poria OBE

Session-II ‘Sustainable supply value chain, Sustainable cities and livelihood’

Dr Rene Van Berkel, UNIDO Representative, Regional Office in INDIA

Dr Rene Van Berkel started his talk by sharing about labour intensive/capital intensive which sustainable. He clarified that we can't pick or choose a single sector. Sustainability is for all sectors. It provides a framework, a value chain, where we can prioritize areas, which sector is contributing more and then accordingly helps to invest the time, efforts, and money.

He added to the sustainability features by saying that “It’s not only about industries but also about the economy of all sectors. Also, it's not so much about mass production but mass customization. We must support better urban planning and implementation of low carbon technology. We are working for customizing an urban sustainability framework, which was developed by the World Bank. We have to look at all the possible factors including social, environmental and governance i.e., economic factors. The sustainable assessment framework works on governance and data management. Ultimately, we need data in place. Also, in the current COVID-19 situations, there has been a great emphasis on sanitization and hygiene in India as waste management is the biggest challenge faced by the country. Coming to the building of low carbon infrastructure, we must handle it like a business so we can create and provide quality of service/s to our customers and make sure we can sustain it in the long run. Ultimately, if we have to advance sustainable city life and inclusivity, we must accept the fundamentals of co-existence and interdependence."

He further said, “If we look at sustainable strategies, we must look at why we want to implement them. And if we overlook this reason, we risk the factor of inaction. There are other issues of transparency, co-operation, and stakeholder engagements. We need to look at sustainability as an opportunity. If we drive this from the top this it will yield better results. We need to realize that the society and economy do not comprise of large organizations only. Especially, in a country like India where MSMEs play such an important role that we all know. These organizations will have to take effective steps, which will result in more efficient use of resources and less waste management.

He concluded this by saying "People would ultimately make or break an organization. We need to change our attitudes. People are organizations asset. We need to respect our co-existence for the different activities happening in our society. Sustainability must be seen as a big goal. It may be daunting or complex initially, but we should just get started.”

Key takeaways: - Sustainability provides a framework for business growth, optimized value chain, and helps to prioritize activities according to the contribution, Sustainability agenda is for all sizes of businesses and sectors, - Sustainability dialogue could support better urban planning and implementation of low carbon technology, - MSMEs should take effective steps towards efficient use of resources and waste management, - MSMEs should focus on transparency, co-operation and stakeholder engagement, - People would ultimately make or break an organization, - People are ultimately asset of the organization, - Sustainability must be seen as the big goal, - It may be daunting initially, but we should just get started, and - Encourage adoption innovative technologies.

Mr Saurabh Gaidhani, Lead Programs, Resilient Cities Network, SINGAPORE

Mr Saurabh Gaidhani said that we must take a systematic approach of which city responds, how to the supply chains work. Dependence on supply chains has increased during covid-19. That should be an inherent push to the local manufacturers. How resilient is your system and does it take care of your vulnerable parts of the city is important? is another important question for all of us.

He talked about the key features for sustainable cities other than the green approaches. He said that we must understand the city's resilient quotient. Sometimes we forget the mandate of the policies. With GDP growth and economic growth comes at a price of environmental degradation. We are looking at short-termism. There has to be a balance between development and the environment. Waste management is India's greatest challenge according to me at the moment.

He said “in Indian businesses, sustainability considered as a single aspect ‘environment’ but we must look at the ESG guidelines as a whole. Businesses will have to accept that they will be functioning in an unpredictable world now. Businesses will have to plan to see how they survive this dynamic of climate change. As critical as this sounds businesses can no longer have this patchwork approach. We have to think more long term. For urban systems as most businesses are linked to them, the policies must start at the top.”

He mentioned, "One of the key takeaways is that no matter how small the organization is there is no harm in being sustainable. Another takeaway is that we are working and performing in an ecosystem. We have to take care of it, we are not just business owners, but also responsible for the environment and society we work in. All kinds of resources used for the business must be preserved. Lastly focusing on long-term gains instead of the short-term ones is very beneficial as they are harder to achieve.

Key takeaways: - No matter how small the organization is there is no harm in being sustainable, - We are not just business owners but also responsible for the environment and society we work in, - Any resources used for the business must be preserved, - there must be a systematic approach towards supply chain considering their city response, - There must be a balance between development and environment, and - Focus on long-term gains instead of the short-term ones as they are very beneficial but harder to achieve.

Mr Randal Newton, Vice President Engineering, Trane Technologies, St Paul, Minnesota, US

Mr Randall Newton said that when I think about sustainability, I think about the history of how we got to the level of being a sustainable organization. The industrial revolutions have got as many changes. We are currently in the fourth industrial revolution, which is all about automation and machine-to-machine communication. The previous revolutions resulted in an increase in organization, mass production of goods and reduced costs, and so does the current fourth revolution. All of them have made a positive effect on our quality of life but ate the same time resulted in a negative effect on the planet. So, on the surface, there might be a call to move towards a more labour intensive value chain but this will affect the quality of life and Society will not be satisfied. The fourth industrial revolution promises that it improves the quality of life by being less labour intensive and does not have any negative effects on the planet. This revolution also promises that it will not cause any further ageing of the planet. But I believe the new industry 4.0 revolution can be both sustainable and capital intensive.

When asked about bringing a radical change in the organization, Mr Randall Newton gave insight with the help of a few examples. He started by saying how in the year 2014, about 7 years ago now, Trane technologies made its first climate commitment. In 2019 they signed the "Paradigm for Parity" making their second climate commitment as they had achieved the first. When they made their first commitment, they had faced many challenges and they struggled. But over a period they have successfully achieved their goals. Now, Trane Technologies has been one of the most successful companies in the stock market since 2014.

Mr Randal Newton emphasized on how radical change starts at the top. It requires aggressive goals from the top to bottom levels of management. The main goal of the "Paradigm for Parity" was to bring gender equality to the workplace. Contrary to the misconception that they would not find many skilled women engineers, Trane technologies have employed 15% of their organization with women in this role.

He also said sustainability changes the way you think, the way you design products and sell them. So, their strategy is to take these bold steps to achieve these bold commitments. The results of this have been great and they have outperformed themselves in the market.

Mr Randall Newton gave his key takeaways regarding the people-first attitude by saying "The people-first attitude provides employee sustainability. Companies cannot be successful without their people. My first take away from that is, zero attrition leads to productivity. It takes a long time to hire and train employees. Engaged employees lead to better productivity. If you tell people that you value their input that will also result in better productivity.”

Key takeaways: - 'People First'. People will help the organization to achieve sustainability, - Focusing on improving quality of life by being less labour intensive and decreasing negative impact on the earth, - Sustainability changes the way you think, the way you design and sell the products, and - Engaged employees lead in better productivity, Depression is the biggest productivity threat to the organization, and - When you take those first steps towards sustainability your employees notice and become more engaged.

Wrap up by Mr Chetankumar Sangole

Mr Chetankumar Sangole concluded the session by acknowledging the contributions of the panellists and audience members. He also thanked partners ReNew Power and Suhana for supporting this virtual dialogue.

The session-II was moderated by Ms Mitali Ghosh, Senior Manager, ReNew Power, Gurgaon, India

Session-III ‘‘Sustainability standards for emerging practices/actions’

Mr Rajesh Chhabara, Managing Director, CSRWorks International Pte Ltd, SINGAPORE

Mr Rajesh Chhabara stated that to define a shared economy depends on several factors. A sharing economy is defined as an economic system in which assets and services are shared between private individuals. Technology has been the biggest driver behind the sharing economy’s growth. The issues we face today are due to organizations operating on a business model which is linear and that has happened since the last industrial revolution. Businesses have relied on assumption that there is going to be a never-ending supply of resources which are used to produce their goods and services. Due to this process, there has been too much emphasis on profit maximization at the cost of value being destroyed and eroded for other stakeholder's society at large. The business should focus on creating shared value of the business model and selecting the resources that are going to be available for the long run.

He stated that the company’s business model should encompass social and environmental performance. Social inclusiveness is a key element for all the businesses especially for companies in the financial sector. If we achieve sustainable development goals it may expand prosperity, workforce, economic wellbeing is going to be enhanced. Social inclusion is defined as the process of improving the terms of participation in society, particularly for disadvantaged people, through enhancing opportunities, access to resources, voice, and respect for rights.

He discussed the pitfalls of stakeholder engagement. He stated that the biggest pitfall is planning stakeholder engagement process. Another pitfall is when stakeholder views the entire process, which is not genuine and well managed. To avoid the pitfalls good stakeholder engagement is needed. Purpose of stakeholder engagement is to initiate an honest trusted dialogue and then manage their expectations. Stakeholder engagement is the process used by an organization to engage relevant stakeholders for a clear purpose to achieve agreed outcomes.

He stated that the organizations should assess, identify and prioritize all the positive and negative impacts of business. Then focus on minimizing negative impacts and maximizing positive impact. He also discussed the approach promoted and advocated by the International Integrated Report Council.

He stated that preparing a sustainability report is overwhelming for large organizations but not easy for small organizations. Small enterprises don't have the skills, resources, knowledge required and are preoccupied with day-to-day survival with limited resources. It is very important.

He noted that in many areas there is a change in consumer preferences. Consumers are looking for an alternate lifestyle, alternate products and services. Especially the young generation is very much interested in supporting these businesses. He also stated that there is a serious amount of money waiting to be invested in the business, which is managing their ESG (Environmental, Social and Governance). This is an opportunity for smart organizations. Investors are evaluating ESG before investing. Last year less than 0.6% of 21 trillion dollars was invested in Asia. It is less because companies in Asia are not reporting their performance in the public domain.

Key takeaways: - Businesses should focus on creating shared value of the business model and selecting the resources that are going to be available for the long run, - Organization should assess, identify and prioritize all the positive and negative impacts of business and focus on negative impact, maximize positive impact, - Serious amount of money waiting to be invested in a business which is managing their ESG (Environmental, Social and Governance) and opportunities smartly, - The biggest pitfall is not planning stakeholder engagement process and another pitfall is when stakeholder views the entire process which is not genuine and well managed.

Dr Rene Van Berkel, UNIDO Representative, Regional Office in INDIA

Dr Rene Van Berkel stated we want businesses that are fit for the future. Because such businesses have addressed issues of the past, which is called Inclusive and Sustainable Development. This means to sustain the environment, share the prosperity, and economic competitiveness. Economic Competitiveness refers to work on common facility centre. Companies come together to develop new technologies, product components, quality testing, and approval. This process could be called as Share Economy from the perspective of services. Industries need to provide a fair return to everyone who contributes to industrial development. He also noted that other business model might be product lifetime expansion and also provide service of the product rather than the selling of product.

Dr René Van Berkel discussed how society can achieve benefits and increase the potential of people by fair distribution of wealth. Social exclusion describes a state, in which individuals are unable to participate fully in economic, social, political, and cultural life, as well as the process leading to and sustaining such a state. He stated that all over Asia they need to increase female workforce and different view people, which will help to stimulate productivity. He also noted that international buyers are not only looking for quality of products but also how inclusive are their supply chain and social inclusiveness practices followed by their producers. Standards in the sustainable supply chain are driving the social inclusion and enabling a business to become more competitive.

Dr René Van Berkel stated that all reasonable concerns of stakeholders should be noted down and then sorted as per the feasibility. He also mentioned that stakeholder engagement is an opportunity for value addition. Suggestions from stakeholders can add value to the business. Stakeholder engagement is the process by which companies communicate and get to know their stakeholders. By getting to know them, companies can better understand what they want, when they want it, how engaged they are and how the companies' plans and actions will affect their goals. Furthermore, they can improve their communication and rethinking their strategies and operations, having long-term benefits such as brand reputation or a first-mover advantage.

Dr René Van Berkel stated that an organization must create an internal desire or momentum that sustainability is important for the business. Improving natural resources, using clean technologies, less wastage, increasing efficiency, improving conditions of worker will help the organization to become more efficient.

Dr René Van Berkel stated that ESG is important for the organization. There must be an internal desire that it’s my organization, my company, my workers, my customers, my country, and my responsibility.

Key takeaways: - There must be an internal desire that it's my organization, my company, my workers, my customers, my country, my responsibility, - Standards in the sustainable supply chain are driving the social inclusion and enabling the business to become more competitive, - Stakeholder engagement is an opportunity for value addition hence taking a piece of paper and pen for discussing stakeholders importance should be a priority for MSMEs.

Ms Rubina Pal, Manager, GRI South Asia, New Delhi, INDIA

Ms Rubina Pal stated that stakeholder engagement is relevant for preparing a report. This may help to identify risk and understand the strength and weakness of the organization. It also shows the transparency of the organization, which helps in enhancing the trust of stakeholders as well as helps in the reputation of the company. Stakeholder mapping is a collaborative process of research, debate, and discussion that draws from multiple perspectives to determine a key list of stakeholders across the entire stakeholder spectrum. She stated that the GRI has not prescribed any particular process for stakeholder engagement it completely depends on the organizations.

She shared about the survey done by them on benefits from the report using GRI standards. She stated that the report helped organizations shaping strategy as per sustainability. It also helps in identifying innovative thoughts on sustainability, water, energy, and waste. The report helps in identifying the scope of improvement. The publishing of the report, influences company policy, business plans, and long-term management strategy. The sustainability report aids in benchmarking sustainability performance concerning codes, performance standards, voluntary initiatives, norms, standards, and compliances. The sustainability report tracks whether the company’s human development goals are met. Releasing a sustainability report is an opportunity to persuade investors and engage stakeholders.

She mentioned that MSMEs are the backbone of South Asian Economy and it acts as a key engine of job creation and income generation. There is continue globalization of supply chain providing huge opportunities to access new markets thereby contributing towards sustainable growth. Sustainability reporting helps in creating competitiveness differentiator which helps in entering the global value chain. The sustainability report is important for MSMEs to improve their competitiveness and access to other global markets. She also discussed the steps involved in report creation.

Key takeaways: - Sustainability reporting helps in creating competitiveness differentiator which helps in entering global value chain, and access other global markets, - The publishing of the report influences company policy, business plans and a long-term management strategy, - Stakeholder engagement shows the transparency of the organization and helps in enhancing the trust of stakeholders as well as in reputation of the company.

Mr Randall Newton gave his key takeaways regarding the people-first attitude by saying "The people-first attitude provides employee sustainability. Companies cannot be successful without their people. My first take away from that is, zero attrition leads to productivity. It takes a long time to hire and train employees. Engaged employees lead to better productivity. If you tell people that you value their input that will also result in better productivity.”

Wrap up by Mr Chetankumar Sangole

Mr Chetankumar Sangole concluded the session by acknowledging the contributions of the panellists and audience members. He also thanked partners ReNew Power and Suhana for supporting this virtual dialogue.

Wrap up points: - Sustainability helps to improve productivity, - to gain capital/value, - helps in cost optimization, - helps in attracting the investors, and - helps in creating a momentum of change in the organization.

The session-III was moderated by Dr Shilpa Kulkarni, Associate, Sustainability Desk, MCCIA, Pune, India

Session-IV ‘Business continuity and growth policy’

Mr Venkatesh Tammanavar, Director, Integral Process Controls India Pvt Ltd, Pune, INDIA

Mr Venkatesh Tammanavar stated that we are valve-manufacturing company. We don't participate in government tenders but we had come across tenders in which it was mentioned that ‘certain part of work should only be handled by women’ this relates to social inclusion parameter in the tenders for promoting sustainability. We do participate in some limited tenders, which are specially reserved for MSMEs. Valve business is always going to be there the only challenge is to make our business sustainable so we can take advantage of that and give good service to our customers.

He stated that the whole sustainability exercise has been a revolution for them because earlier we used to think that sustainability is only about the environment but later, we came to know about business sustainability and social sustainability. We also used to think business sustainability should be alike the only promoter can solve the business problems. But now we fully understood that employees should be empowered for making decisions too.

He said that we had around four consultative meetings of our sustainability journey. Data collection and analysis activity is in progress. With guidance from MCCIA under their sustainability cluster program, we feel confident that the sustainability activities will lead to very good results for our organization.

He further mentioned we were thinking that sustainability is a buzzword but now our perception is changed. The future is all about ‘sustainability’. Sustainability is still yet to percolate in MSMEs and that needs to happen very fast. He said, "I congratulate MCCIA for doing a very good job for educating members on sustainability.” He thanked Mr Chetankumar Sangole for convincing them to take up sustainability and become a member of the Sustainability Cluster Program. He said that as Dr Rene Van Berkel had mentioned sustainability should be practised in spirit and not just for the report.

He also stated that they will not practice sustainability just for reporting but will do it with true spirit and also try to be more socially inclusive.

Key takeaways: - Sustainability is still yet to percolate in MSMEs and that needs to happen very fast, our sustainability journey has just started still giving us great results and we would like to encourage others to start theirs.

Mr Hirendra Divgi, Executive Director, Divgi TTS, Pune, INDIA

Mr Hirendra Divgi stated we don't directly participate in government tenders. Government has publicly stated as Sustainable Development Goal (SDG) as a part of their Paris record. They are mandating company to spend part of them before tax on social responsibility related spending.

He said the way sustainability helped us developing excellence in certain parts of the business. It helped in leadership development and stakeholder engagement. Sustainability helped us achieving first prize in CII Leadership for Development. We went across the board right from the entry-level up to middle management and collaborated with IIM Ahmedabad and IIT for upskilling our management level. We interacted closely with companies. Toyota also participated in upskilling our operator level employees. When we did the gender mix comparison of our employees, we found that there were very fewer women employees compared to men. In our ethical code of conduct manual gender-related issues were addressed insufficiently. This weakness was identified during sustainability reporting.

He said, “I look at sustainability as a point of evolution.” Evolution happens based on rewards. Industries have evolved in the last 200 years. At one point of time slavery and colonialism was accepted and business thrived on the back of slavery which not just possible in today's world. After the financial crisis, great depression lot of accounting practices began and very soon the sustainability will become a norm.

He said, “We started practising sustainability four years ago. During these four years, we were separating from a very successful joint venture big global company and in the process of buying out their stake we had to raise money and go to private equity funds. The private equities had people from world for assessing. In this process, we realize that they had picked up our first sustainability report, which got a favourable view from the investor and was able to conclude a successful deal. At that time, we realize the real power of practising sustainability.”

He mentioned that sustainability is the key to business growth. We started focusing on project diversity, geographic diversity, and market segment diversity. Most people used to overlook geopolitics as a risk in the supply but this pandemic has torn through that perception. Those political structures, which are not transparent, cannot exist with the free-market economy. Being sensitive to that we have game planned alternative supply chains making our supply chain more robust and that helped us through the last quarter. He also noted that smaller companies have smaller footprints but if they get together the outcome will be humongous.

Key takeaways: - Sustainability reporting helps in identifying weaknesses in organization, - Sustainability is the key for business growth, - Smaller companies have smaller footprints but if they get together the outcome will be humongous.

Mr Sandesh Salian, Director, Dali and Samir Engineering Pvt. Ltd, Pune, INDIA

He mentioned that in terms of business excellence the bigger initiative is the governance where we focus on the growth strategy. We focused on upgrading the skill sets of our management and involving them in decision-making.

He said we are in the process of publishing our first sustainability report. Our philosophy was to focus on product portfolio and customer portfolio but now our vision is for future is not just investing on plant and machinery but key visionary is to invest in people, upgrading their skills and taking them along the journey. The company is not just a physical asset; the core strength of the company lies in people. The second thing we are looking at is upgrading the technology.

Mr Sandesh Salian thanked MCCIA for guiding us in sustainability practice, which helped us to identify micro risks which are at the process level.

Key takeaways: - We don’t need to mandate sustainability this needs to be incorporated with our vision and define our business process accordingly, - The company is not just physical asset, the core strength of the company lies in people, - Sustainability practice helps to identify micro risks which are at the process level.

Mr Raju Venkataraman, International Corporate Trainer and Leadership Coach, Director, Ecsel Consulting Pte Ltd, SINGAPORE

Mr Raju Venkataraman mentioned that the Singapore government is extremely committed to Paris accord and there are very proactive on this both for public authorities as well as encouraging the private sector. Recently Ministry Incharge was renamed as Ministry of Sustainability and Environment. One of the key things they undertook was to review and finalize guidelines to make sustainability an important part of a procurement decision. In Singapore, if the public authorities want to build a school or any major capital investment the decision-makers are mandated to specifically take into account its carbon footprint, energy efficiency; waste-recycling facility without these approvals won't be given. Some of the government linked companies have mandated laptop suppliers to ship multiple laptops in one large box using recyclable cushioning which will help in reducing carbon footprint, cost, and amount of packaging material. The Green Procurement Policy of Wild Reserves Singapore states that at least 40% of vegetable fruits purchased for the animal must be ugly food. So, ugly food means good quality fruits, vegetables, which don’t make till supermarket due to its aesthetic reasons. These reduce unnecessary food wastage and bring the nation closer to become a zero-waste nation.

Mr Raju Venkataraman said we all know MSMEs across the world are hit even harder by this pandemic and being sustainable may fall from the list of priorities. When one talks with the founder of MSME they may view sustainability and profit as two conflicting goals and this makes them more resistant to change. It deprives MSME of opportunities and may even cost them in a long run. Whether it Is ban on single-use plastics or minimum wage or reporting requirement, countries across the world are tightening the regulatory compliances. He also shared about the Walt Disney Company where he used to work are focusing on and increasing sustainability practices sincerely across their supply chain including MSME suppliers. In Disney's ethical policy one of the things is ensuring the vendors comply with labour standards. So as an MSME supplier you lose the chance of getting business getting from companies like Disney if you're found not following the sustainability standards. In 2015 when He was the head of Disney Consumer Products, he had to be involved in suspending the license of a licencee for not complying with labour standards. having said that, their interest was not in depriving the licencee, it's just ensuring they comply. So, He got isney's ILS people to work with the suppliers, train them, ensured compliance and then Disney restored the license. The differentiator in this innovative age is attracting talent, especially young talent. RAJU also coaches lot of upcoming talent, graduates in business school and one thing wowed him that the upcoming generations in general look for sustainable choices not only in the product they use or consume but also in the companies with whom they want to work. If MSMEs don't act today they may lose financing opportunities and also face higher compliance cost. Mr Raju Venkataraman said the MSMEs should focus on energy conservation, reducing carbon emissions, using renewable energy, smart metering, waste collection and waste recycling, better waste management, water management conservation, proper treatment of industrial water, developing green buildings, sustainable HR practices, building the human resource capability, train people for green-collar occupation. Mr Raju Venkataraman mentioned that the successful implementation of sustainability for MSME starts with leadership and partnership. Start the journey by prioritizing the approach, which may give a maximum return for your work.

Key takeaways: - MSMEs starting sustainability journey should focus on energy conservation, better waste management, water management conservation, Sustainable HR practices, training people for green-collar occupation, - If MSMEs don’t act today they may lose financing opportunities and also face higher compliance cost, and - Successful implementation of sustainability for MSME starts with leadership and partnership

Wrap up by Mr Chetankumar Sangole

Mr Chetankumar Sangole concluded the session by acknowledging the contributions of the panellists and audience members. He also thanked partners ReNew Power and Suhana for supporting this virtual dialogue.

Wrap up points: - Sustainability helps to improve productivity, - to gain capital/value, - helps in cost optimization, -helps in attracting the investors, and - helps in creating the momentum of change in an organization.

The session-IV was moderated by Chetankumar Sangole, Head – Sustainability Desk, MCCIA, Pune, India

Ms Vandana Saxena, MC

Ms Vandana Saxena thanked all panellists for sharing their experiences with all the participants and thanked all participants for their support.