Index: Sustainable Development in ITC 2012-13

Sustainable Development in ITC 2012-13
No
Particulars
Page
No.
Introduction
1-8
Organization Study
9-27
Review Of Literature
28-34
Research Methodology
35
Sustainable Development
36-68
Findings, Suggestions, and
69-71
Conclusion
Bibliography
72
Index
CHAPTER-I
INTRODUCTION
1.1 SUSTAINABLE DEVELOPMENT:
Sustainable development is development that meets the needs of the present
without compromising the ability of future generations to meet their own needs. It
contains within it two key concepts:
The concept of needs, in particular the essential needs of the world's poor, to
which overriding priority should be given; and
The idea of limitations imposed by the state of technology and social

organization on the environment's ability to meet present and future needs.
Parameters of Sustainable Development

The goal of sustainable development is an outcome achieved through joint effort
among several interrelated parameters and requiring coordination at both vertical and
horizontal levels. There exists dynamic triangular relationship among three key
Environmental, Economic and Social parameters. The people centered social
parameter form the broad base of triangle as active public participation holds an
instrumental role. The interrelationship between population, environment and
development is complex. Besides key factors, efficient manpower capacity building,
institutional
strengthening,
including
strong
political
will
and
effective
implementation/ monitoring mechanism play equally important roles for successful

outcome of the sustainable development.
Particularly, these can be dealt as environmental sustainability, economic
sustainability, social sustainability, and institutional sustainability:
Environmental sustainability:
This relates with maintenance of carrying capacity of natural resource
base and life support systems. This emphasizes on area of conservation of
biodiversity hotspots, increase in forest cover, watershed protection, and
2

adoption of holistic approach. Equally important are reduction of
environmental threats, environmental pollution and adoption of environment
friendly clean and green technologies to mitigate local to global level
environmental problems such as biodiversity loss, climate change from an
intergenerational equity perspective.
Economic sustainability:
This provides basically important energy source like a battery to secure
environmental and social sustainability. This emphasizes on promotion of
economic self-sustenance of development projects through measures like
adequate budgeting, budget transparency and financial incentive. The focus
area includes; alleviation of poverty, increase in per capita income, promotion
of income generating activities including off farm employment and green
micro-enterprises, establishment of mechanism of fair sharing of benefit and
natural resource accounting.
Social sustainability:
This focuses on upgrading human environmental quality of life with
fulfillment of basic needs and transforming human from most dangerous
animal to most important creative resource. It emphasizes local communities
be well informed on tips of sustainable ways of resource utilization. Ensure
active public participation at various level of development activity as well as
fair sharing of responsibility of benefit as user groups. . Collaborative effort
in conservation and development activities, improvement in public health,
education and basic need, reduction of conflict among stakeholders on
resource use. This will be derived through upgrading public environmental
awareness. Enhanced gender equity and self-confidence among local
community with an emphasis on economically disadvantaged/marginalized
groups.
Institutional sustainability:
Plans and programs without action represent futile exercise. Strict
implementation and monitoring of relevant environmental policies, plans,
laws, regulations and standards is indispensable to attain the goal of
sustainable development. There should be adequate skilled and motivated
manpower and strong institutional capacity to address environmental and
social sustainability. Focus area lies to achieve environmental quality of life
such as reduced air, water soil, noise pollution to accepted level of
international standard and public confidence to get involved in environmental
conservation activities. Institutional strengthening of project management
should be efficient to deal environmental problems having local, national,
regional to global level significance and including legally binding world
conventions and treaties.
1.2 INDUSTRY PROFILE
India is the 15th largest paper producer in the world and has emerged as the
fastest growing market when it comes to consumption, posting 10.6% growth in per
capita consumption of paper in 2009-10 and expected to touch 12% by 2012. It
provides employment to nearly 1.5 million people and contributes INR25.0 billion to
the government. The paper industry in India looks extremely positive as the demand
for upstream market of paper products, like, tissue paper, tea bags, filter paper, light
weight online coated paper, medical grade coated paper, etc., is growing up. Indian
paper industry is expected to attract Rs 10,000 crore investments in three to five
years for setting up green field projects as well as capacity expansion of the existing
plants. Also, paper production in the country is likely to double to 22 million tonne in
the next three years.
India produces many varieties of papers; under printing and writing paper are
Cream wove paper, super printing paper, maplitho paper (non-surface and surface
size), copier paper, bond paper and coating base paper and others. Varieties under
packaging paper are kraft paper, boards, poster paper and others. The other varieties
4

under coated paper are art paper/board, chromo and paper/board in which printing /
writing paper accounts for 30.6% or 85 million tonnes. In general, per captia
consumption of printing/ writing paper is high in developed countries and so is the
percentage of printing / writing paper consumption of the total paper and paperboard
consumption (about 27-41% in developed countries, but only 5% in India).
Consumption of paper in India is set to double from the current 7 million tonnes per
annum in the next eight years, according to Indian Paper Manufacturers Association.
Paper in India is made from 40 per cent of hardwood and bamboo fibre, 30 per
cent from agro waste and 30 per cent from recycled fibre. Newsprint and publication
paper account for 2 million tonnes, of which 1.2 million tonnes of newsprint paper is
manufactured in India and the remaining 0.8 million tonne is imported.
Indias Paper/Pulp Export and Import:

India imports about two million tonnes of pulp (soft wood and hardwood)
and waste paper (sack waste for unbleached grades, envelopes waste, cup stock for
white grades and magazine waste) for newsprint.
The following prime grades of paper are imported from USA, Europe, Dubai
and Singapore: label stock, wet strength papers, tea bag tissue, soft tissue, filter
paper, insulation kraft, extensible kraft, decorative laminates, overlay tissue, thermal
papers, digital papers, coated papers/boards and some specialities. Stock lots of all
grades totaling about 200,000 tonnes arrive every year mostly from USA and
Europe. These are imported by traders in major metro cities of Mumbai, Chennai,
Cochin, Bengaluru and Delhi.
India has surplus to export some grades. It exports following grades of papers
to Middle East, South Eastern countries, Eastern Europe and USA: A4 copiers,
wood-free (mostly from bamboo and agro waste by several small mills), MG
varieties (from small agro based mills), coated duplex (mostly recycled fibre) and
large quantity of converted products like stationery items, calendars, books,
magazines, childrens play books and comics.
5
Paper and Paperboard - Production in India:

India is self-sufficient in manufacture of most varieties of paper and
paperboards. Import is mainly related to certain specialty papers such as light weight
coated variety of paper, cheque paper, etc Due to the scarcity of raw material, the
companies also need to rely on imported wood pulp and waste paper. In last 5 years,
capacity was increased mainly through expansion and modernization of the existing
facilities rather than setting up Greenfield projects. The per capita consumption of
paper in India is very low i.e. 7 Kgs in 2006, as compared to an average consumption
of 28 Kgs and 58 Kgs in Asia and world respectively. The per capita consumption is
expected to increase to 12 Kgs by
2020.The domestic paper market is dominated by large players owing to their size,
brand value and financial strength. In 2008-09, the top 10 players control around
60% of the market in term of capacity.
Paper & Paperboard - Production and Consumption:

Various macro-economic factors like national economic growth, industrial
production, promotional expenditure, population growth and the governments
allocations for the educational sector influence the demand for paper. The growth in
paper consumption is directly related to GDP growth in the country. With expected
GDP growth of 9-9.5%, the demand for Newsprint and Writing & Printing Paper is
expected to grow at the same rate. Continued availability of raw materials would be a
big challenge for the industry in the next 5-10 years.
According to the Indian Pulp and Paper Technical Association (IPPTA), the
paper industry is expected to fall short of demand by 1.1 million tonnes by 2010-11
due to raw material constraints. According to ITCs estimation, the total demand for
paper is around 8.0 million tonnes and is expected to grow to 10.0 million tonnes by
2012 and 21.0 million tonnes by 2020.According to Indian Paper Manufacturers
Association (IPMA), consumption of paper in India is set to double from the current
7.0 million tonnes per annum by 2015.
6
The main waste paper grades available for recycling are:

Table 1.1: List of Wastepaper grades
Waste Paper Grade
Old corrugated containers
Office refuses
Old newspapers and magazines
Mixed paper
Percentage %
40%
20%
20%
20%
Outsourcing Opportunities:
According to Indian Printing, Packaging and Allied Machinery
Manufacturers Association (IPAMA) estimates, the printing industry in India
provides employment to 1.3 million people and consists of more than 130,000
presses. According to Pira International study (2007), the Indian printing industry
would grew at more than 70% by 2011. Paper production is likely to grow at a
CAGR of 8.4% while paper consumption will grow at a CAGR of 9% till 2012-13.
Growth Drivers- Paperboard:

Overall economic growth
High growth in industries
-
Pharma
Apparels
Food
FMCG
Organized retail
Communication: mobile phone cards
Liquid packaging, disposable paper cups
Boom in construction industry
Capacity addition:
Paperboard capacity
7

-
Addition announced 2 lac tpa, mostly in lower end recycled

boards.
May create excess capacity in the short term
Medium term projections demand will continue to be above

supplies
1.3PROBLEM IDENTIFICATION:
To study about the ITC S emission of Carbon Content, air, treated

water against the Standard limits and ITCs contribution towards the
development of the society.
1.4 IMPORTANCE OF THE STUDY:
To know the functions of the various departments in ITC and their
performance.
To know the Various Contribution of HR department towards the
Organization effectiveness.
1.5 OBJECTIVES:
The main objective of the study is as follows:
To identify the Parameters considered by the ITC for their Sustainable
Development.
To know about the Various HR practices in ITC.
To know about the ISO Standards of ITC limited.
1.6 LIMITATIONS:
The support from the organization was limited for the collection of
information.
CHAPTER-II
ORGANIZATION STUDY
2.1 INTRODUCTION ABOUT ITC
ITC was incorporated on August 24, 1910 under the name of Imperial
Tobacco Company of India Limited. As the companys ownership progressively
Indianised, the name of the company was changed from Imperial Tobacco Company
of India Limited to India Tobacco Company Limited in 1970 and then to I.T.C
limited in 1974. The full stops in the companys name were removed on
September18, 2001.
The company concentrated on Leaf Tobacco and Cigarettes business for the
first six decades. In the seventies, due to the corporate transformation, momentous
changes have taken place in ITC.
The corporate office is located in Kolkatta and the PSPD units are located
in four places which are, the Bhadrachalam Unit, the Tribeni unit, Bollaram and the
Kovai unit.
In 2000, ITC forayed into the Greeting, Gifting and Stationery products business
with the launch of Expressions range of Greeting cards. A line of premium range of
notebooks under the brand PAPERKRAFT was launched in 2002. To augment its
offering and to reach a wider student population, the popular range of notebooks was
launched under the brand Classmate in 2003. CLASSMATE over the years has
grown to become Indias largest notebook brand and has also increased its portfolio
to occupy a greater share of the school bag. Years 2007 2009 saw the launch of
Children books, Slam Books, Geometry Boxes, Pens and Pencils under the
Classmate brand. In 2008, ITC repositioned the business as the Education and
Stationery Products Business and launched Indias first environment friendly
premium business paper under the Paperkraft brand. Paperkraft offers a diverse
portfolio in the premium executive stationery and office consumable segment.
Paperkraft entered new categories in the office consumable segment with the
launch of text liners, permanent ink markers and white board markers in 2009.
VISION
Sustain ITCs position as one of Indias most valuable corporations through
world class performance, creating growing value for the Indian economy and the
companys share holders.
MISSION
To enhance the wealth generating capability of the enterprise in a globalizing
environment and delivering superior and sustainable stock holder value.
2.2 ITC KOVAI UNIT:
In 2004, ITC Ltd acquired the paperboard manufacturing facility of BILT

Industrial Packaging Co. Ltd (BIPCO), near Coimbatore, TamilNadu. The Kovai unit
allows ITC Ltd to improve customer service
This plant is located at Thekkampatty village, 15 kms away from Karamadai,
near Coimbatore. This plant was started by SERVALL in 1994, was undertaken by
BIPCO in 1999 and finally ITC took over in 2004.
Table 2.1- Range of Boards Manufactured by ITC
S.NO
GRADE
PRODUCTS
GSM RANGE
1.
Coated Board Grey
Double Coated Grey Back
230 390
2.
Back
Coated Board White
Double Coated White
240 390
3.
Back
Coated Match Shell
Back
Single Coated
270 300
4.
Board
Duplex Board Grey
Uncoated
250 300
Back
2.3 ORGANISATIONAL STRUCTURE

10
The organisational structure of ITC PSPD UNIT, KOVAI is a process based

organisational structure with a LEAN MANUFACTURING Initiative Structure.
This system is to maximize the value added by eliminating the Wastes of the
organisations activity. ITC is considered to meet the challenges of the competing
global market. It also follows the pull method meaning the production is based on the
customers order only.
STRUCTURE:
DIVISIONAL STEERING BOARD
UNIT STEERING BOARD
PILLARS
AREA EFFECTIVENESS TEAM & SERVICE EFFECTIVENESS TEAM
PROCESS & ASSET CARE TEAM (PACT)
2.3.1 FUNCTIONS:
Divisional steering board: This board organizes and takes control of the divisions
of ITC. The Executive Director is the HEAD of the Divisional boards.
Unit steering board: The unit steering board is the controlling body for the
individual units. The board consists of the Unit Head and the Functional Heads who
are collectively called the Unit Steering Board committee.
Pillars: The pillars team will develop processes and systems. It also checks the lean
manufacturing systems. There are five pillars and the pillar Heads are the Functional
heads. The five pillars are the:
1.
2.
3.
4.
5.
Human Resource Pillar/ Education & Training Pillar (HR)

Environmental Health & Safety Pillar (EHS)
Planned Maintenance Pillar (PM)
Quality Pillar
Process & Asset Care Team Pillar (PACT)
11

One member each from the AET and the SET will be a member of each pillar. The
member of the pillar will be the coach for the PACT team. The leader of the pillar
team will be the Functional Head. The pillars meet once in a week and discuss on
various issues. For example, the HR Pillar takes care of the modules preparation,
training conditions, internal and external faculties and many others.
Area Effectiveness Team & Service Effectiveness Team: The AETs are
production based teams and daily management teams whereas the SETs are
service based teams. There are four AETs and six SETs.
The AETs are:
1.
2.
3.
4.
Utility
Stock preparation
Board machine
Finishing house
The SETs are:

1.
2.
3.
4.
5.
6.
Quality SET
Engineering SET
Finance SET
Materials SET
Personal and Admin SET
Outside sheeting (OSS) SET
The AETs are cross functional teams. It consists of about 6 7 members and a
Leader. The members include Process Specialists and Engineering Specialists in
fields of electrical, mechanical and instrumentation. The AETs meet for an hour
everyday and have its own targets and keen performance indicators (KPI) towards
which they act as a team to attain it.
Process and Asset Care Team (PACT): There are 17 PACT teams, 5 in Board
Machine, 3 in stock preparation, 3 in utility, 1 in materials, 2 in finishing house, 1 in
personal and admin and 2 in engineering. The Leader and the Deputy Leader are the
Shift In charge. The employees are given ownership of individual equipments to
increase their sense of responsibility. The safety of the environment and the
employees are considered very important in ITC. In case of abnormal machines, an
abnormality tag is put on the machine. Yellow and red tags are put up which
indicate small problems that can be solved by the PACT members itself and those
12

that require specialist checks, respectively. The CLTI Asset care (cleaning,
lubrication, testing and inspection) mechanism is adopted.
2.4 AET
2.4.1 UTILITIES AET

The Utility unit consists of the Cogeneration Plant, the Ash Handling
Systems, the Fuel Handling Systems and the Demineralisation Plant.
CO-GENERTION PLANT
The Co-generator plant is used mainly for two purposes:
To generate power for running the PSPD unit
To generate steam for drying the pulp

The output of the plant is about 8 MW which is suitable for running the plant.
The plant saves around Rs. 3 lakh by generating its own power every year. The
power plant is thermal based and a boiler is used to generate the steam which in turn
rotates the turbine resulting in power generation. The following units are a part of the
co-generation plant.
Boiler
Steam Turbine
Generator
The different types of systems and components used in the power plant are as
follows:
a)
b)
c)
d)
e)
f)
g)
h)
i)
High pressure boiler

Prime mover
Condensers and cooling towers
Fuel handling systems
Ash and dust handling systems
Draught systems
Feed water purification systems
Pumping systems
Air preheater, economiser, super heater.
The Fuel Handling System consists of the fuel which is used in the boiler to
generate steam. The fuel is mostly coal and lignite. Composition is 50 % fossil fuel
13

and 50 % bio fuel. The size of the granule is in the 6mm range for maximum fuel
utilization. The fuel is delivered into the boiler by means of a conveyor belt.
DE-MINERALISATION PLANT
De-mineralisation plant is solely for the purpose of softening the
water adequately before sending the water into the boiler. Producing quality steam on
demand depends on properly managed water treatment to control steam purity,
deposits and corrosion. The boiler receives all of the pre-boiler contaminants. Boiler
performance, efficiency and service life are direct products of good water treatment.
Most of the components in the feed water are soluble. However, under heat and
pressure particles sometimes come out as crystalline and amorphous forms. When
the solubility of a specific component increases, scales or deposits develop. For
avoiding these problems, the unit has a demineralisation plant.
Demineralisation is the removal of salts which hinder the efficient operation
of the boiler. This is achieved by using a ion exchange resin, which exchanges the
cations in the raw water with hydrogen ions, producing hydrochloric, sulphuric and
carbonic acid. Carbonic acid is removed in the degassing tower in which air is blown
through the acid water. Following this, water passes through an anionic resin which
exchanges anion with the mineral acid and forms water. Regeneration of cations and
anions is necessary at intervals using mineral acid and caustic soda respectively
The Ash Handling System takes care of the residue which is left over in the
boiler. Electro static precipitator is used for removing the ash. The ash is stored in
Ash Silos and then transported for making bricks.
The Boiler is the main component of the power plant. The boiler is an
enclosed vessel that provides a means for combustion heat to be transferred into
water until it becomes heated water or steam. The hot water or steam under pressure
is then usable for transferring the heat to a process. Water is a useful and cheap
medium for transferring heat to a process. When water is boiled into steam its
volume increases about 1600 times. Heat is transferred from one body to another by
means of 1) radiation, 2) conduction and 3) convection.
14
BOILER SPECIFICATION:
MAKE
: Thermax Babcock & Wilcox
TYPE
: Atmospheric Fluidised Bed Combustion systems
RATING
: 60 TPH
STEAM PRESSURE
: 62 kg/cm^2
TEMPERATURE
: 480 5C
FEED WATER INLET
: 150C
TEMPERATURE
TYPE OF FUEL
: Agro waste & fossil fuels

Agro waste Saw dust, De oil bran
Fossil fuels Lignite (from NLC)
Coal (from Indonesia)
START UP FUEL
: High Stack Diesel (HSD)
HEATING SURFACE
: 2887 m^3
BED COILS
: 108
ECONOMISER COILS
: 148
PRI. SUPER HEATERCOILS: 144

SEC. SUPER HEATER COIL: 48
AIR PRE HEATER COILS : 1175.
The Steam Turbine is driven by the steam from the boiler. There are multiple
stages of re-heaters before the steam reaches the turbine mainly for attaining the
suitable temperature necessary for the turbine. The turbines rpm is 7500.
The Generator converts the mechanical energy into electrical energy. The
generators rpm is 1500. The generators rpm is synchronised with the electrical lines
in order to transmit power.
2.4.2 STOCK PREPARATION AET
The Stock Preparation takes the waste paper as input and it is processed in
the pulp form before being sent to the Board Machine. The whole division is
controlled by a Distributed Control System (DCS).
15

The waste papers consisting of old newspaper, discarded papers, used
cartons, etc. is sent to the pulper by means of a conveyor. The waste paper is
classified into two types based on its usage. The pre-consumer is the waste paper
which has not been used by the consumer but discarded by the producer as it did not
meet the requirements. The post-consumer is the waste paper which has been used by
the consumer before being dumped for recycling. The paperboard consists of three
layers white back, filler and grey back.
White back Made up of mainly plain white waste papers which have no
markings
Filler Made up of all types of waste papers
Grey back Made up of lower grade waste papers

There are three types of pulper. Each pulper is for a specific kind of layer.
One pulper is used for the white back while other two pulpers are used for the filler
layer and grey back layer. The water from the river is used for the pulping process. It
is treated before being sent into the pulper. The pulper crushes the waste paper into
pulp by means of a rotator with a specific speed controlled by the DCS.
The crushed pulp has many unnecessary materials like plastics, sand, etc. So
the pulp is sent to the coarse screen which removes the bigger particles which cannot
be converted to paperboard. The particles are sent for re-processing where some of
the pulp fibers are again removed from the particles for using in paperboard
production. The fine screener is then used to remove the finer particles like small
plastic granules.
The screened pulp contains printing ink which is unsuitable for the
paperboard production. Hence the ink is removed by a process called de-inking. A
De-inking process is used for removing the ink from the pulp. Surfactants are added
to the pulp in the de-inker and the mixture is churned. Froth is formed on the top of
the mixture which contains the ink. The froth is removed by means of a valve on the
top.
The pulp is sent to the centri-cleaning after the ink is removed. The centricleaner removes the residual dirt which is left in the pulp after the de-inking process.
The pulp is then sent to the disc filter which increases the consistency of the pulp.
16

The pulp is much diluted and cannot be directly used for drying. Hence for
increasing the concentration of the pulp, the disc filter is used. A disc constantly
rotates and increases the concentration of pulp fiber. It also removes excess water.
The disperser is then used to disperse the pulp evenly in the solution.
2.4.3 BOARD MACHINE AET
The board machine converts the pulp into paper form by drying. A total of 9
dryers are used in sequence for drying the pulp at various points in the board
machine.
Wires are used for the formation of board. There are three wires.
Filler wire
Top wire
Base wire
The pulp is combined from the three wires and in the first step natural
vacuum is used for dewatering. Forced vacuum is then used to remove the water
content. The pulp still contains some amount of moisture which is removed by
pressection. The pulp is visibly dry after the Pressure process. Driers 1,2,3,4 and 5
contain steam at increasing levels. The Board is passed through the driers and
moisture is removed. The Board is then passed through the machine glossing unit
which smoothens the paperboard by rolling it over a specific surface. Again the
paperboard is sent through driers 6 and 7 to remove residual moisture. Starch is
added to increase the firmness of the paperboard and prevent it from curling at the
edges. Driers 8 and 9 are used to remove the moisture caused by the starch addition.
The paperboard is then passed through a machine known as calendar. The calendar is
used to smoothen out peaks and valleys on the surface of the paperboard on a micro
level. The surface can be altered according to the requirements by using the calendar.
A two stage coating process is used for coating the paperboard. The
paperboard passes through three coating tunnels for coating. The first tunnel contains
four fans, the second tunnel contains four fans and the third tunnel contains eight
fans. The paperboard is then sent to the rewinder which winds it into reels. The reels
are then sent to the finishing room for further processing.
17
2.4.4 FINISHING HOUSE AET

The reels are brought to the conveyors by means of a lift and a conveyor. The
reels are either directly sent to the customers or cut into sheets and then sent to the
customers as per the requirements.
The reels which are directly sent to the customers are wrapped in cover by
reel wrap machine. The reel wrap machine contains hydraulic pump, lift, guide,
crimper and sealer which aid in wrapping the reel. The pump operates the machine
and the lift propels the reel to main work area. The guide then pushes the reel onto a
board where the reel is wrapped by a packing cover. The crimper then presses the
cover against the reel. The sealer contains two metal discs which are heated. The
crimped reel is placed exactly between the two metal discs. A plastic based adhesive
cover is placed on the two metal discs each. The two discs are then brought together
and the reel is sealed. The packaged reel is then sent to the storage area from where
they are transported to the companies.
The sheets are cut from the reel by two imported machine cutters Pasaban
and Jagenberg. The entire process is automated and only the metrics are set and
monitored. The sheets are sold to customers in three forms Bulk, Bundle and
Reams Pallet.
Bulk The sheets are placed on a pallet and the entire thing is packaged
Bundle The sheets are packaged as bundles and placed on the pallet
Reams Pallet The sheets are split into reams and then placed on the pallet
and packaged. It is a mixture of bulk and bundle.
The sheets are also manually cut by the floor workers using machines. The
GSM (Grams per Square Metre) of the paperboard manufactured is 230 400.
Lamination is done to achieve 1860 GSM by combining 5 paperboards. The sheets
are glued together by glue pumped from the glue motor which provide uniform
application of glue onto the paperboards.
2.5 SET
2.5.1 QUALITY SET
18

The Quality SET ensures that the standard specifications are followed. The
paperboard is accepted or rejected based on its quality. The quality SET samples the
pulp at various stages and gives appropriate feedback. The quality parameters are
tested from the jumbo, where the paperboard is rolled into reels before being sent to
the finishing house.
All the customer complaints are dealt by the Quality SET. The relevant
complaints are first sorted out and then they are discussed with the production team.
The root cause of the problem is found out and then it is rectified. The Quality SET
is also involved in product improvement and product modification. First, the trials
are conducted and then the procedure is documented before the product is
manufactured. The Quality SET has two labs for finding out the quality conformance
of the product during the intermediate and final stages. The labs are dry lab and wet
lab.
2.5.2 FINANCE SET
The Finance SET deals with the monetary details of the PSPD unit. The
categories mainly dealt in the Finance SET are,
Wage Processing
Bills Payable
Costing
Budget and
Taxation
In wage processing, the payroll is processed by means of process masters
which contain the details of the employees like joining date, designation, date of
birth, etc. These details are provided by the HR department. The salary is calculated
for each worker using number of working days procured form the Time Office.
The production incentive is based on monthly production and quantity. The
incentives offered are separate form salary. The wages are processed and then
Cheques are made which are deposited in the bank. The bank then distributes salary
to the employees. The Finance SET also deals with cash bank, insurance for
19

equipment, new asset purchase (machine), capitalisation, bill verification and book
closing for every month.
The Bills Payable includes bill for materials, waste paper, chemicals involved
in processing, boiler fuel, general store and ensuring that bills are paid before due
date. The document prepared form the bills payable section is used in the Cheque
preparation.
The Costing section deals with the daily contribution report, daily production
cost, variance analysis with respect to the plan, monthly estimate, reporting of actual
profit after book closure. The annual plan is formulated for 5 years by taking into
account forecasting and the NSR (Net Sales Realization Rate).
The Budgeting section deals with allocation of money for the functioning of
the PSPD unit. Budgeting is done at the unit level with the approval from the DMC
and the CMC. The Taxation is of two types direct and indirect. The indirect tax
includes the central excise sales tax and monthly return along with customs and
service tax. The direct tax includes the income tax which is controlled by the head
office and sometimes by the unit. The TDS scheme (Tax Deducted Source) is
employed in PSPD unit wherein the employees receive their salary after the
deduction of income tax.
2.5.3 MATERIALS SET
The Materials SET deals with the purchase of materials, stores management
and waste paper yard.
2.5.4 ENGINEERING SET
The Engineering SET includes engineers from various specializations such as
mechanical, electrical and instrumentation. Each engineer offers his services to the
AET. The teams are basically cross functional and all the engineers are required to be
well versed in other specializations as it helps in better understanding of the
functioning of each processing stage. In addition, a problem can be sort out quite
easily if the teams are cross-functional.
2.5.5 PERSONAL & ADMINISTRATION SET
The Personal and Administration SET is involved with the administration of
various AETs as well as the employees who work in the AETs.
20
2.6 FUNCTIONS OF HR
2.6.1 GENERAL ADMINISTRATION

Transport facilities are provided for the employees as the company is situated
in a rural area. There are a total of 4 buses. Two buses are for the contract employees
and two buses are for the managers and employees. As per the need, local workers
are picked by van. There is a separate Organization Health Centre with Doctor/Staff
Nurse were present 24/7 on a shift basis. There is also an ambulance for transporting
the injured Person.
2.6.2 EMPLOYEE RECRUITMENT
The new recruitments are made whenever a vacancy arises. The recruitment
will be arranged after consulting with the unit head. The permanent employees are
recruited as per the requirement in personnel after a requisition form is approved by
the unit head. All recruitments are based on the qualification and the skill
requirement.
The sources of information for the recruitment are office files, employment
exchange, recruitment agencies, newspapers and open interviews. The HR
department has to publish advertisements for the open interviews. The appointment
is based on the profile and performance in the interviews and written test. The HODs
evaluate the performance of the newly appointed employees after completion of
training period. They are then recommended for their designation. The records are
maintained by the HR department which contains all the details of the employees.
2.6.3 EMPLOYEE TRAINING

Employee training in ITC-PSPD is about 18 man hours for every employee
per year. A detailed training report is maintained which contains the date of the
training, the topic undertaken, feedbacks from the employee, etc. Managers training
21

are formulated after the performance appraisal. The improvement areas for each
manager are identified and then a training programme is planned. The training varies
with respect to the job position and the skill sets required for the job. The training
programmes of all employees constitute the training calendar.
There is a standard procedure for personnel management process. The
purpose of the personnel management process is to bridge the skill gap between the
required and existing skill set of the employee or the manager. The scope includes
personnel management function and in house and external training. The process
owner is the Head HR.
Fig: 2.1- Workflow of Personnel Management Process
The flowchart of the procedure is given below
22
1
2
3
4
5
6
7
8
9
1
0
The operating procedure consists of skill matrix, identification of training
needs, training calendar programme, imparting training, assessment of effectiveness
and new recruitments.
The skill matrix is for determining the skill and competency required. It
forms the basis for the preparation. The preparation should be in compliance with the
activities and there should be no deviation. In identifying the training needs, the
department heads have to identify the strength and weakness of the department
employees. The needs identification should be done by the Head HR. based on the
company objectives, production quality and customer requirements. The training
need identification form is used for filling in the necessary details. The training
programme is based on the knowledge building, awareness creation and attitude
development.
The Head HR is in charge of the training schedule for the calendar year. The
communication is received from the DHQ regarding the training programme. The
23

Head HR then communicates about the training programme to the heads of each
department. The training programme is governed by management regulations. Care
is also taken to see that the training also caters to the needs of the employees.
The training is imparted either internally or externally. In case of the internal
training, it is done by experts, officers and seniors. The facilities are arranged by the
officer of the personnel department. The training attendance is recorded for
documentation. After the imparting of the training, the training effectiveness is
gauged by getting feedback from employees during the training and after the
training. It is evaluated by HODs after 2 months of the completion of the
programme. The techniques employed depend on the subject, participants level of
qualification and the trainers recommendation. The training effectiveness feedback
report is given to the HR department by the HODs.
2.6.4 STANDARD OPERATING PROCEDURES

The standard operating procedures are a set of rules which are followed for
certain functions in a particular unit. The SOPs are reviewed once in two years and if
compliance is not present then escalation is done. The ITC-PSPD Kovai unit has a
set of 20 SOPs which are followed in the unit. They are,
Recruitment of company apprentice trainees
Recruitment of permanent employees
Recruitment of Badli
Procedure & Guidelines for Badli employment
Contract Labour Administration
Emergency Advance/Wages Advance to employees
Security Operation
Lorry Yard & Weighbridge Operation
Statutory Health Centre/Ambulance Room
Procedure for VDA Payment

24
Canteen Operation
Canteen Token Administration
Procedure for Re-imbursement of Medical Benefits pertaining to workmen

not covered under ESI Act
Availing Transit House Accommodation & Other facilities
Land Administration
Unit Level Social Welfare & Community Development Activities
Security Operation at Outside Godowns
Procedure for permitting Visiting Managers and Other Visitors
2.6.5 TIME OFFICE

The time office administration mainly deals with employees and managers
attendance capturing, payroll process, welfare facilities, distribution of food, snack
and tea tokens, statutory records and returns, canteen administration and industrial
relation.
The PSPD unit runs on a continuous basis and there are a total of three shifts,
namely
Shift A 6 a.m. to 2 p.m.
Shift B 2 p.m. to 10 p.m.
Shift C 10 p.m. to 6 p.m.

Besides these shifts there is a general shift which operates from 8.30 a.m. to
5.30 p.m. There are three types of employees in the unit. They are permanent
employees, Apprentice/Trainees and Badli. The Badlis are workers who are used as
replacement for workers who are absent. They have about 18 working days per
month.
Each employee is provided with a time card for every month for marking
their attendance. There is also a punch card coupled with a fingerprint scanning
system for capturing the attendance. The employee punches the card on his way in
25

and punches the card on his way out. The attendance from the punch card/ scanning
is compared to the time card and then the final attendance is marked in the register.
Form 25(A&B) is used for recording leaves and calculating the number of working
days for each employee.
The time card is colour coded for each employee. The permanent employees
have a green colour card, the Apprentice/Trainees have a yellow card and the Badlis
have a red colour card. Each shift is marked in the attendance register by means of
colour coding. In addition to the attendance taken by the time office, shop floor
attendance also taken and then sent to time office for confirmation. The department
arrives at the time office 2 hours after start of a shift.
The types of leave vary according to the usage.
Casual Leave It is 10 days per year and cannot be carried over to next year.
Earn leave The Earn leave will be calculated based on total attendance
(presence of 240 days in a year).
Sick Leave The sick leaves are for non-ESI employees. It is 7 days per year.
About 30 days can be retained with respect to sick leaves.
ESI is provided for employees who have a salary of Rs. 15,000 or less. The
family of the employee is also entitled to free medical treatment. There is also
compensation for dismemberment. The contribution fund comprises of 1.75 % from
employee and 4.75 % from employer. Hence a total of 6.5 % is contributed to the
ESI. The provident fund is mainly for the pension of the employee and it is 12 % of
the monthly salary. The salary day or payday is 7 th of every month. The workers get
their salary either in cash or can use the ATM to acquire the cash. The bank sends a
representative who distributes the cash. The employee can procure his salary at the
start of his shift or at the end of his shift.
Statutory Acts like Factory Act, Workman compensation Act, Labour Welfare
Act, etc. are strictly adhered to, in the organisation.
26

2.7 AWARDS:
2.7.1 Operations & Energy:

The British Safety Council's Five Star Health and Safety Award to Kovai
Unit in 2007, 2008, 2010 and 2011.
The British Safety Council also awarded unit Kovai the International Safety
Award with Distinction in 2011. These awards are given for excellence in
Health & Safety management.
Unit Kovai was declared as the Excellent Water Efficient Unit under
National Award for Excellence in Water Management 2011 for the fourth
time.
2.7.2 Environment:
In 2011, the British Safety Council, London conferred the Globe of Honour
Award for best Environment Prevention and Protection to Kovai Unit.
Kovai unit achieved 5 star rating in Environment Audit.
In 2010, Excellent in Energy Management-CII National award for
Excellence in Energy Management.
In 2010, National Energy Conservation Award-Bureau of Energy
Efficiency
2.7.3 Others:
ITC became the first Indian company to gain membership with WWF GFTN
for responsible forestry
ITC PSPD kovai unit were FSC-CoC (Forest Stewardship CouncilChain of Custody) certified enabling it to provide a diverse range of
paperboards/paper with FSC certificate which is a gold standard in wood
certification for ethical and legal sourcing.
27
CHAPTER- III
REVIEW OF LITERATURE
The Central Pollution Control Board (CPCB)1 in 2006 under the title
Corporate Responsibility for Environment Protection, statutory organisation,
was constituted in September, 1974 under the Water (Prevention and Control of
Pollution) Act, 1974. Further, CPCB was entrusted with the powers and functions
under the Air (Prevention and Control of Pollution) Act, 1981.
It serves as a field formation and also provides technical services to the
Ministry of Environment and Forests of the provisions of the Environment
(Protection) Act, 1986. Principal Functions of the CPCB, as spelt out in the Water
(Prevention and Control of Pollution) Act, 1974, and the Air (Prevention and Control
of Pollution) Act, 1981, (i) to promote cleanliness of streams and wells in different
areas of the States by prevention, control and abatement of water pollution, and (ii)
to improve the quality of air and to prevent, control or abate air pollution in the
country.
Air Quality Monitoring is an important part of the air quality management.
The National Air Monitoring Programme (NAMP) has been established with
objectives to determine the present air quality status and trends and to control and
regulate pollution from industries and other source to meet the air quality standards.
It also provides background air quality data needed for industrial sitting and towns
planning.
Besides this, CPCB has an automatic monitoring station at ITO Intersection
in New Delhi. At this station Resirable Suspended Particulate Matter (RSPM),
Carbon Monoxide (CO), Ozone (O3), Sulphur Dioxide (SO2), Nitrogen Dioxide
(NO2) and Suspended Particulate Matter (SPM) are being monitored regularly. This
information on Air Quality at ITO is updated every week.
1 http://cpcb.nic.in/Water_Quality_Criteria.php
28

Fresh water is a finite resource essential for use in agriculture, industry,
propagation of wildlife & fisheries and for human existence. India is a riverine
country. It has 14 major rivers, 44 medium rivers and 55 minor rivers besides
numerous lakes, ponds and wells which are used as primary source of drinking water
even without treatment. Most of the rivers being fed by monsoon rains, which is
limited to only three months of the year, run dry throughout the rest of the year often
carrying wastewater discharges from industries or cities/towns endangering the
quality of our scarce water resources. The parliament of India in its wisdom enacted
the Water (Prevention and Control of Pollution) Act, 1974 with a view to maintaining
and restoring wholesomeness of our water bodies. One of the mandates of CPCB is
to collect, collate and disseminate technical and statistical data relating to water
pollution. Hence, Water Quality Monitoring (WQM) and Surveillance are of
utmost importance.
Table 3.1: Water Criteria

Designated-Best-Use
Class
Criteria
of
Drinking
Water Source
without
conventional
treatment
but
water
A
Total
Coliforms
Organism
MPN/100ml shall be 50 or less
after
disinfection
pH between 6.5 and 8.5
Dissolved Oxygen 6mg/l or more
Biochemical Oxygen Demand 5 days

20C 2mg/l or less
Outdoor
(Organised)
bathing
Total
Coliforms
Organism
MPN/100ml shall be 500 or less pH

between 6.5 and 8.5 Dissolved
29
Oxygen 5mg/l or more

20C 3mg/l or less
Drinking
water
after
source
conventional
Total
Coliforms
Organism
MPN/100ml shall be 5000 or less pH
treatment and disinfection
between 6 to 9 Dissolved Oxygen

4mg/l or more

20C 3mg/l or less
Propagation of Wild life
and Fisheries
pH between 6.5 to 8.5 Dissolved

Oxygen 4mg/l or more
Irrigation,
Industrial
Free Ammonia (as N) 1.2 mg/l or less
Cooling, Controlled Waste

disposal
pH between 6.0 to 8.5
Electrical Conductivity at 25C

micro mhos/cm Max.2250
Sodium absorption Ratio Max. 26

Boron Max. 2mg/l
Title: Recycled Materials Supply 40% of the Global Raw Material

Needs
Bureau of International of Recycling (BIR) 2 in 2011, under the title
Corporate Responsibility for Environment Protection Proposed a report that
approximately there are 1.6 million people worldwide are active in the recycling
2 http://www.bir.org/industry/paper/
30

industry. Together, they handle more than 600 million tonnes of recyclables every
year. With an annual turnover of more than $200 billion, similar to the GDP of
countries such as Portugal, Colombia and Malaysia, the sector has already become a
key driver for tomorrows sustainable development. About 10% of this amount is
spent on new technologies, research and development that contribute to creating
high-skilled jobs and making recycling more efficient and environmentally sound.
The recycling industry has become an integral part of modern society not
only due to its social and economic impact but also because it plays a vital role for
the future of our planet. The use of recycled materials directly translates into fewer
natural resources being used and considerably less energy being consumed when
compared to production processes using virgin materials.
Table 3.2: Energy savings through Recycling
Energy Savings
Aluminium
> 95%
Copper
> 85%
Plastic
> 80%
Paper
> 65%
Steel
> 74%
Zinc
> 60%
Lead
> 65%
Source: BIR Study on the Environmental Benefits of Recycling, 2009
Global Trade
In recent years, many developed and developing countries have introduced
specific recycling and environmental performance targets aimed at encouraging
people to recycle. The industrial demand for recycled commodities is truly global.
International trade in recycled materials plays a pivotal role in supplying the worlds
mills and factories and is instrumental in increasing the benefits offered by the
industry. BIR has always advocated the free flow of recycled materials and actively
monitors potential threats posed by trade restrictions and other protectionist
measures.
31
Recycled Materials are Not Waste

Attempts by some legislators to categorise and regulate recyclables as waste
have been particularly detrimental for the international recycling industry. BIR and
its member associations campaign extensively before the UN, OECD and other
supranational bodies to remove the waste label from the products generated by the
recycling industry.
Design to Recycle
The high level of complexity achieved in product design incorporates a wide
array of materials and components, which increases the cost of recycling. In certain
cases, it makes recycling almost impossible and commercially non-viable. The
recycling industry is working on new solutions to tackle design complexity and BIR
consistently campaigns for recycling to be taken into consideration at the earliest
stages of product development.
Changing Consumers' Perceptions

Many consumers are still reluctant to buy certain items containing recycled
materials. However, goods manufactured with recycled materials have to meet the
same quality standards as those produced using virgin materials. BIR members
contribute to providing accurate information on the optimal reliability and
performance of recycled materials.
Materials
Made from vegetable fibres called cellulose, paper as we know it today was
first created in China more than two centuries ago. Since the advent of the printing
press in the 15th century , its use has spread across all continents to the extent that,
currently, it is hard to imagine the world without this versatile material. More than
400 million tonnes of paper and cardboard are produced worldwide every year, with
more than half coming from recovered sources.
Approximately 50% of recovered paper comes from industry and business.
This includes paper trimmings, cuttings and shavings from manufacturers and
converters, as well as goods discarded before they reach the consumer, such as
unsold newspapers and magazines. Well over a third of recovered paper comes from
32

households. Almost any used paper can be recycled, including newspaper, cardboard,
packaging, stationery, direct mail, magazines, catalogues, greeting cards and
wrapping paper.
Recycling used paper and cardboard has significant advantages over other
disposal options - namely landfill and incineration. It is imperative to stimulate the
demand for products containing high levels of recycled fibre because of their
environmental benefits. The work carried out by BIR has been instrumental in
encouraging the development of new markets for recovered paper.
Applications
Recovered paper can be used to make new products composed entirely of
recovered fibre or a blend of recovered and virgin fibres. The most common
applications for recovered paper include newsprint, containers and tissue. Some
products commonly manufactured using recycled materials are:
o
Cereal boxes
Egg cartons
Pencil barrels
Grocery bags
Cellulose insulation materials
Recycling Facts
o
Recycling one tonne of paper saves up to 31 trees, 4,000 kWh

of energy, 1.7 barrels (270 litres) of oil, 10.2 million Btu's of energy,
26,000 litres of water and 3.5 cubic metres of landfill space.
Burning that same tonne of paper would generate about 750

kilograms of carbon dioxide.
33

Recycling paper saves 65% of the energy needed to make new
paper and also reduces water pollution by 35% and air pollution by
74%.
o
Recycling one tonne of corrugated containers saves 390 kWh

of energy, 1.1 barrels (176 litres) of oil, 6.6 million Btu's of energy, and
5 cubic metres of landfill.
Recycling cardboard requires only 75% of the energy required

to make new cardboard.
Energy Requirements and Carbon Footprint for Paper Production
The global average energy requirements for the production of 1 tonne of

paper has been reported as 10.8GJ of thermal energy and 4.5GJ of electrical energy,
and it has been claimed that primary production requires 40% more energy than
secondary production, but more fossil fuels are required to make secondary paper. It
has also been reported that to produce paper from wood and then recycle it back into
paper requires 22-53MJ/kg, excluding transportation.
34
CHAPTER-IV
RESEARCH METHDOLOGY
4.1 Research Design:
Research design is a specification of procedure for scientifically collecting
and analyzing the information required for the solution of specific problem it
provides a systematic research on the specific topic.
It enables to draft a clear-cut frame work of varied and integrated process in a
sequential manner, further to systematize the procedure at view.
Exploratory Research:
The information regarding the sustainable development of ITC was collected
from the utility department experts in ITC PSPD kovai unit and the study is
conducted.
4.2 Sources of Data
The research can be done with primary data or secondary data or both. Secondary
data are the information that already exists, where the primary data are those the data
is collected first handed by the researcher. The type of data analyzed in the study is
primary data.
4.2.1 Primary Data:
The Primary data is collected from the Organization about the last five years
regarding to the emission of Carbon monoxide, fresh water intake and effluent
discharge.
4.2.2 Secondary Data:
The Secondary data is collected from the internet from the Sustainable report
of ITC, their HR practices and their standards regarding to their awards.
35
CHAPTER- V
SUSTAINABLE DEVELOPMENT
5.1
Kovai unit
ITC Kovai unit is ISO 9001; ISO 14001 and OHSAS 18001 certified and
meet strict Environment, Health and Safety norms.
Carbon Positive
Water Positive
Solid Waste Recycling Positive
5.1.1 Carbon Positive (6th year in a row)

ITC has consolidated its Carbon Positive status over the years by adopting a
strategy of reducing specific energy consumption, increasing its renewable energy
portfolio and large scale carbon sequestration through additional forestry activities
on degraded wastelands.
In kovai unit, currently they reduce their Fossil Fuels usage and increased
their Agro Fuels (40:60) to reduce the emissions of Carbon Intensity. The Agro Fuels
(chip/sawdust and de-oiled bran) as boiler fuel in Kovai were sourced from local
Suppliers.
ITC kovai unit had own land of 223 Acres and they had planted 1, 25,513
Species and Maintained to reduce the Carbon Emission. The standards are compared
against the plants standards and the air quality is surveyed. ITC made continuous
improvements in this area and ensured that emission levels not only comply with
statutory norms but also achieve international benchmarks.
Fig: 5.1 Tree populations

36
Tree population
117018
104082
120000
100000
80000
72680
83680
Tree population
60000
40000
20000
0
Till 2008 Till 2009 Till 2010 Till 2011
This was achieved through adoption of cleaner technology/fuel and state of

the air pollution control equipment.
Table: 5.1 Levels of Co Emission in Kovai unit
Year
STANDARDS(PPM)
ITC LEVELS (PPM)
10-11
2000
376
09-10
2000
423
5.1.2 Carbon Credit

A carbon credit is a generic term for any tradable certificate or permit
representing the right to emit one tonne of carbon dioxide or the mass of another
greenhouse gas with a carbon dioxide equivalent (CO 2) equivalent to one tonne of
carbon dioxide.
Carbon credits and carbon markets are a component of national and
international attempts to mitigate the growth in concentrations of greenhouse gases
(GHGs). One carbon credit is equal to one metric tonne of carbon dioxide, or in
some markets, carbon dioxide equivalent gases. Carbon trading is an application of
37

an emissions trading approach. Greenhouse gas emissions are capped and then
markets are used to allocate the emissions among the group of regulated sources.
The goal is to allow market mechanisms to drive industrial and commercial
processes in the direction of low emissions or less carbon intensive approaches than
those used when there is no cost to emitting carbon dioxide and other GHGs into the
atmosphere. Since GHG mitigation projects generate credits, this approach can be
used to finance carbon reduction schemes between trading partners and around the
world.
There are also many companies that sell carbon credits to commercial and
individual customers who are interested in lowering their carbon footprint on a
voluntary basis. These carbons off setters purchase the credits from an investment
fund or a carbon development company that has aggregated the credits from
individual projects. Buyers and sellers can also use an exchange platform to trade,
such as the Carbon Trade Exchange, which is like a stock exchange for carbon
credits. The quality of the credits is based in part on the validation process and
sophistication of the fund or development company that acted as the sponsor to the
carbon project. This is reflected in their price; voluntary units typically have less
value than the units sold through the rigorously validated Clean Development
Mechanism.
ITCs Carbon Credits:

ITCs Paperboards and Specialty Papers Division, has been rated as the most
energy efficient Indian Paper & Paperboards manufacturer according to the Centre
for Science & Environment Study, 2010. Specific energy consumption at the largest
integrated Paper and Paperboards Unit at Bhadrachalam which accounted for 73.4 %
of the total energy consumed across ITC in 2010-11, has marginally increased
(around 1% over 2009-10 ) due to increase in production of pulp (reducing import of
pulp) and value added products.
38
5.1.3 Water Positive (9Th Consecutive Year)

In 2010-11, ITC units withdrew 29.36 million Kilolitres (KL) of fresh water,
(29.96 million KL in 2009-10), a reduction of 2% over the previous year, despite
significant growth in almost all businesses. This was made possible only by a
focused approach by all Units through water audits, benchmarking and adoption of
leading practices to achieve the lowest possible specific water consumption (water
required per unit of production).
ITCs approach to Water Management is as follows:
1. Water conservation
Water audits, benchmarking and use of leading practices to achieve lowest possible
specific water consumption (water per unit of product).
2. Zero effluent discharge

Treating and progressing to achieve recycling of all wastewater.
3. Water positive footprint

Enhance our water positive footprint through rainwater harvesting, both within our
own Units and across different watershed areas.
4. Water availability
Ensure supply of water of satisfactory quality to neighboring farmer communities
during the non- monsoon period so as to provide an alternative option to rain-fed
agriculture.
39
5.1.4 Water Conservation

Kovai Unit
Table: 5.2- Water Conservation at kovai unit (KL/Tonne)
Year
(KL/Tonne)
2010-11
13.97
2009-10
13.10
2008-09
15.31
2007-08
17.31
2006-07
21.01
33.5%reduction in specific fresh water intake over 2006-07
Consistent efforts towards implementing water conservation initiatives have

yielded positive results in the Kovai Unit. Kovai has achieved substantial reduction
of close to 33.5% in specific fresh water intake over the 2006-07 level, as illustrated
above. This specific freshwater intake of 13.97 KL/tonne is better than the proposed
benchmark standard of 19 KL/tonne by NPC, New Delhi in 2006 for this category
of Paper Mill.
5.2 Effluent Discharge

Fig: 5.2 - Effluent discharge in kovai unit (mg/l)
40

300
250
250
200
150
Kovai unit
Series 3
112
100
100
50
38
30
0
BOD
COD
TSS
Kovai unit in mg/l & figures rounded off to nearest digit

BOD -Biochemical Oxygen Demand
COD -Chemical Oxygen Demand
TSS
- Total Suspended Solids
Kovai Units is already well within norms (100 KL/tonne) of specific treated
effluent discharge, as defined by Corporate Responsibility for Environmental
Protection (CREP), a voluntary charter by the Ministry of Environment & Forests
and Central Pollution Control Board.
5.3 Specific treated effluent discharge in ITC Paperboards &

Specialty Papers Units (KL/TONNE)
41

The National Productivity Councils (NPC) report on 'Proposed standard for
Pulp and Paper Industries in India' recommends a benchmark standard of 50 KL
/tonne for Integrated Pulp and Paper industry
Fig: 5.3 Treated Effluent Discharge
12
10
11.3
9.6
8.1
2006-07
6.9
2007-08
2008-09
2009-2010
2010-2011
2
0
kovai unit
5.4 Solid Waste Recycling Positive

The Kovai unit currently focuses entirely on recycled boards, servicing
requirements for both greyback and whiteback recycled boards. This unit helps ITC
to consume waste, and convert it into high quality paperboards for packaging and
graphic applications. The consumption of waste by this unit helps ITC achieve
"SolidWasteRecyclingpositive"status.
5.5 Wealth Out of Waste

The Consumption of Waste will be progressed through WOW Programme.
ITC's Wealth out of Waste is a recycling initiative that works towards spreading
awareness about recycling, and encouraging people to segregate and dispose waste
responsibly. WOW is an internationally recognized initiative by Bureau of
International of Recycling. BIR is a worldwide international trade federation
representing the world's recycling Industry, promoting recycling across the globe.
42
In this programme, WOW reaches out to schools, institutions and homes

through its awareness building teams, about source segregation of waste. After a
stipulated period of time, the WOW team goes back to collect the waste kept aside
by schools/institutions/homes, and pays them for the recyclables collected. While
many countries have advanced systems of waste collection and regulations on source
segregation, awareness in India regarding recycling and its benefits is low. There are
basically two types of waste:
Dry waste
Wet waste
About 40% of the dry Waste can be recycled while wet waste can be
converted in to compost and can be used as Manure.
The WOW programme seeks to not only build awareness, but also to
encourage people to segregate their waste at the source which is their households.
This reduces the amount of waste filling up the landfills - and provides industries
with clean raw materials. For example, ITC's Kovai unit is exclusively dependent on
recycled fibre. By end 2011, ITC PSPD would be using close to 210,000 tonnes of
wastepaperperannum.
Recycling of waste has huge environmental and economical benefits.
Recycling of one tonne of waste paper saves 17 trees and 7,000 gallons of water.
Through WOW, ITC helps to deal with various issues like environment protection,
reduction of global warming, improving green cover, reducing landfills, improving
ground water quality, general health and hygiene, reducing garbage handling costs,
better civic amenities and providing cost competitive raw materials to industries.
5.5.1 WOW WAYS

ITC's WOW teams in different regions conduct awareness sessions in
schools, residential societies and offices - explaining the benefits of source
segregation. The WOW team provides bags to collect the recyclables classified as
paper, plastic, glass and metal. While collecting the recyclables, the WOW personnel
43

accurately weighs the recyclables and immediately reimburses the individual with
cash which are at competitive rates. The material collected is then channeled into an
appropriate recycling stream - the paper waste is sent to ITC's units, for recycling
into a wide range of paperboards, while the other materials are responsibly
transferred to relevant industries. This collection activity not only helps recycling,
but helps many people find gainful employment as waste collectors and as volunteers
spreading the idea and concept of WOW in their localities.
Segregation of waste:
Table: 5.3- List of Wastes and their disposal
Hazardous waste item
Sludge from Effluent treatment Plant of
Disposal
To authorised agencies for making
PSPD
paperboards, trays, etc.
Empty Containers of hazardous
Authorised landfill
Decontaminated and returned to
chemicals
Used oil
Used batteries
Spent solvents/ink/ink sludge/adhesives
Original Suppliers
Recycled through authorised recyclers
Returned to original suppliers
Recycled
Incinerated/or sent to authorised
landfills/stored within the unit
Incinerated/Autoclaved
Biomedical waste
Kovai Paperboards Unit, continued to use post-consumer wastepaper for the entire
production as raw material
5.6 ISO STANDARDS

ITC Kovai unit is
ISO 9001
ISO 14001 and
OHSAS 18001 certified.
5.6 ISO 9001 Requirements:

The requirements of the ISO 9001:2000 standard are organized into the following
five sections:
44
Quality Management System
Management Responsibility
Resource Management
Product Realization
Measurement, analysis and improvement
5.6.1 Quality management system

General Requirements
The Quality Management System (QMS) is the collection of processes,
documents, resources, and monitoring systems that direct the work of an
organization regarding product and service quality. The organization needs to
establish, document, carry out, and maintain this system to meet the requirements of
ISO 9001:2000.
Documentation requirements
General
The organization needs to document either electronically or on paper the
quality policy, quality objectives, and quality manual. Written procedure, plans, and
operations need to describe how product and service quality is attained. Certain
records, providing evidence of activities that were carried out (i.e. purchase orders,
sales contracts, inspection records, design review notes, etc.), have to be retained
The quantity, detail, and form of the documentation can differ from one
organization to another depending on size, type of activities, or complexity of
processes.
Quality manual
45

The quality manual describes the extent of the QMS and may exclude certain
sections of the Standard that don't pertain to the organization. All of the quality
procedures are either included in the quality manual or are referenced by it. The
interaction between processes making up the QMS is also described.
Control of documents
All of the documents in your QMS must be legible, identified, reviewed,
authorized, up-to-date, issued, distributed, and periodically updated. Obsolete
documents have to be identified and protected from unintended use. Documents that
come from outside the organization also have to be identified and controlled.
Control of records
Certain records need to be kept to demonstrate how the QMS is operating.
These records must be legible, and easy to identify and retrieve. A written procedure
must describe how they are identified, stored, protected, retrievable, and define their
retention and disposal times.
5.6.2 Management responsibility

Management commitment
The Standard recognizes that an effective quality program requires the involvement
and commitment of the organizations top management. Therefore, the Standard
assigns top management the following responsibilities:
Overseeing the creation of the Quality Management System (QMS),
Communicating the importance of meeting requirements, including customer,

legal, and regulatory requirements,
Establishing the quality policy and the quality objectives,
46
Communicating with parties responsible for product and service quality,
Providing adequate resources for the operation of the QMS
Reviewing the operation of the QMS.
Customer focus
Top management must ensure that customer requirements are understood and
met with the goal of improving customer satisfaction.
Quality policy
The quality policy identifies the main goals of the QMS. The quality policy must be:
Appropriate to the organizations purpose,
Include a commitment to meet customer, legal and regulatory requirements,
Create a background for establishing quality objectives,
Communicated throughout the organization,
Reviewed for ongoing suitability to the needs of the organization and its
customers
Planning - Quality objectives

Establish measurable quality objectives that support the quality policy and
communicate them throughout the organization.
QMS planning
Plan the QMS so that the quality objectives are met and so the system
continues to work as it is changed to incorporate improvements.
Responsibility, authority and communication

47
Responsibility and authority

Effective work depends on a clear understanding of each persons
responsibility and authority. Therefore responsibility and authority must be defined
and communicated.
Management representative
Top management must appoint a manager to have ongoing operational
responsibility for the QMS. This person is referred to as the Management
Representative. The duties of the Management Representative include:
Ensuring that processes needed for the QMS are established, implemented,
and maintained,
Reporting on the performance of the QMS and any improvements needed,
Promoting awareness of customer requirements throughout the organization
Internal communication
Top management needs to set up an effective system of communication to ensure
effective operation of the QMS.
Management review
General
Top management is required to regularly review certain aspects of the QMS
to make sure that the goals are being achieved and to look for ways to improve the
QMS. The review must cover suitability, adequacy, and effectiveness of the QMS.
The review also includes assessing opportunities for improvement and needed
changes to the QMS, quality policy, and quality objectives. Records of these reviews
must be kept.
Review input
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These meetings must address the following areas:
Internal audit results,
Customer feedback,
How well processes have been working,
How well products have been meeting requirements,
Status of previously identified problems,
Items identified for follow-up in previous management reviews,
Planned process or product changes that could affect quality,
Recommendations for improvement generated through the operation of the

QMS
Review output
These reviews result in decisions and actions related to:
improving the QMS, and
improving the product,
The need for additional resources, including human resources.
5.6.3 Resource management
Provision of resources
Provide the people, equipment, tools, and materials need to:
build and maintain the QMS,
continually improve the effectiveness of the QMS, and to

49
meet customer requirements
Human resources
General
People performing work affecting product and service quality must be
competent to carry out that work. This competency is attained through a combination
of education, training, skills, and experience.
Competence, awareness and training

The organization must:
Identify the talents, skills, knowledge, and capabilities each person needs to
carry out their assigned responsibilities,
train or otherwise assist people to meet these identified competencies,
assess the competency of each person to carry out their responsibilities,
Make sure each person understand how their work contributes to the quality
of products and services and to meeting quality objectives.
keep records of each person's education, training, skills, and experience
Infrastructure
The infrastructure for a QMS includes the building, workspace, equipment,
and the supporting services involved in creating the organizations products or
services. The organization will need to determine, provide and maintain the
infrastructure needed to achieve the planned results.
Work environment
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The work environment of the organization must not interfere with the ability
of employees to perform effectively in order to meet quality requirements.
5.6.4 Product Realization Requirements
Planning of product realization

Product realization is the term used to describe the work that the organization
goes through to develop, manufacture, and deliver the finished goods or services. An
effective Quality Management System (QMS) includes a comprehensive approach to
getting from the product concept to the finished product. This approach, sometimes
called a quality plan, includes the following:
product requirements and quality objectives,
creation of the processes, documents, and resources needed for product

realization,
required verification, monitoring, inspection, and test activities,
The records to be kept.
Customer-related processes
Determination of requirements related to the product
The Standard requires the organization to determine product requirements.
These requirements can come from the customer, may be mandated by laws or
regulations, and include generally accepted standards within your industry or market.
Requirements are established by standard contracts or oral agreements that the sales
department uses in discussions with customers, and other sources.
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Review of requirements related to the product
After gathering preliminary product requirements, these requirements need to be
reviewed to be sure that the customer understands them and that the organization is
meeting these requirements. This review must ensure:
The requirements are known and understood,
Any changes from the original contract or discussions is understood,
The organization has the ability to meet the requirements
Records are kept of this review.
Routine orders for items described in a catalog of products are considered reviewed
when the relevant product information is reviewed.
Customer communication
Put in place effective customer communications channels, to allow dialogue
regarding:
product information,
questions about contracts, order handling, changes, and
receiving customer feedback, including complaints.
Design and development planning

To effectively plan the design and development process, the organization must:
Clearly define the stages involved in the design and development process.
Identify how the review and verification of the design will take place.
Describe clear responsibility and authority for the people doing this work.
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See that design information flows effectively among the various groups
having a role in designing, selling, managing, manufacturing, and servicing
the products.
Keep design and development plans up to date.
Design and development inputs

Determine the product requirements, including:
what it does and how well it must perform,
legal and regulatory requirements,
pertinent information from similar designs,
Other pertinent requirements.
Design and development outputs

The output of design and development must include sufficient information to
verify that design output meets design input requirements. In addition, it must:
Include the information need to purchase component materials, manufacture

the product, and service the product.
specify how to determine if the product has acceptable performance,
Highlight safety and usage considerations.
Design and development review

Review the design and development work products to:
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determine if the design meets the design input requirements,
identify and problems with the design,
propose solutions to identified design problems,
Include representatives from each function concerned with the design and
development stage being reviewed. Keep records of the reviews.
Design and development verification

Verify, according to your plan, that the design output meets design input
requirements. Record the results of these verification activities.
Design and development validation

Validate the operation of the resulting product under actual operating
conditions. If the product has multiple uses, validate operation for each intended use.
The methods for validation defined in the design output should be followed.
Whenever possible, the validation of a product or service should be performed prior
to delivery to the customer. Record the results of these validation activities.
Control of design and development changes

Identify, document, review, and approve all design changes before carrying
them out. Evaluate the impact of the changes on the present design of the product.
Keep records of the review.
Purchasing
Purchasing process
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The organization needs to ensure that purchased products and services meet
purchasing requirements. The purchasing group must establish criteria for how they
evaluate and choose suppliers. These criteria must be based on the suppliers ability
to provide products and services that meet order specifications, especially product
and service quality requirements. The extent of the controls depends on the
importance of the purchased goods in the finished product. Finally, records must be
kept showing how purchased products and services were evaluated.
Purchasing information
Clearly describe on purchase orders the product or service being ordered.
Consider including the following specifications:
how products, procedures, processes, and equipment are approved for

purchase,
required competencies for contracted personnel,
Requirements for the supplier's quality management system.
Review and approve purchasing requirements before sending them out.
Verification of purchased product

Carry out a plan for verifying that purchased services and materials are
adequate, i.e. meet purchase specifications.
Production and service provision

Control of production and service provision
Plan production, installation, and service processes and provide an environment
where work can proceed in an orderly fashion. These controlled conditions may
include:
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information regarding product specifications,
written instructions for carrying out the work,
suitable equipment,
adequate tools for monitoring and measuring process and product

characteristics,
activities for monitoring and measuring process and product characteristics,
criteria for product release,
Delivery and post delivery servicing activities.
Validation of processes for production and service provision

Process validation demonstrates that operation of the processes achieves the
planned results. When it is not possible to verify the finished good or service through
monitoring or measurement the QMS must require validation. Validation is
particularly important where deficiencies are not identified until the product is in use,
or the service is delivered. When validation is required, the QMS must define the
criteria for the following:
review and approval of the process,
approval of the equipment used,
competency of the people who operate the process,
specific methods and procedures used,
records to be kept,
ongoing assessment of the process validation
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Identification and traceability

Where appropriate, establish procedures to identify a product and determine
what specifications pertain to it as it moves through manufacturing, delivery, and
installation. Record the inspection and measurement status of the product. Individual
products or batches of products must have unique serial identification recorded if
assuring product quality requires this.
Customer property
Special care must be taken when a customer provides their property for use or
incorporation into the product. Identify, verify, and protect customer property
provided and maintain records of lost, damaged or unsuitable customer property.
This may include intellectual property.
Preservation of product
The standard requires the organization to preserve the product, including
identification, handling, storage, packaging, protection, and delivery of parts and
products throughout all processes.
Control of monitoring and measuring devices

Any measurement worth taking is worth taking correctly. The standard
requires the organization to identify the inspection, test and measurements taken,
their required accuracy, and the equipment used to make the measurements.
Procedures must describe how measurements are carried out.
Measuring equipment must be carefully cared for, including:
timely calibration to national standards,
identification with a calibration label,
preventing adjustments that would invalidate the calibration,
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Preserving the equipment accuracy during handling, storage and use.
Measurements taken with equipment later found to be inaccurate must be assessed

and corrected.
5.6.5 Measurement, analysis and improvement requirements

General
Plan and carry out the inspection, test, measurement, analysis, and improvement
activities needed to:
assure product meets product requirements,
assure the QMS works as planned,
Improve the operation and results from the QMS.
Customer satisfaction
Monitor the end customers' opinion of your product and service. Determine
how to gather and use this information.
Internal audit
Internal audits are verification activities performed by trained auditors within
the organization. Their purpose is to determine how well the plans making up the
QMS are being followed. The Standard requires internal audits be carried out
regularly in each area covered by the QMS. Audits address conformity with the
QMS, the requirements of ISO 9001:2000, and the effectiveness of the
implementation.
Audit plans address:
Audit criteria, and extent,
Frequency, and methods used,

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Responsibility for conducting the audit
Auditors are trained, objective, and never audit their own work. Identified problems
are quickly resolved by the manager responsible for area being audited. Audit results
are reported and recorded, follow up actions are verified.
Monitoring and measurement of processes

Monitor and measure the performance of the processes that make up the
QMS. Compare these actual results to the planned results. Take corrective action to
make sure the product or service meets requirements.
Monitoring and measurement of product

During the production process, monitor and measure the product to assess if
requirements are met. Keep records showing:
The product meets acceptance criteria.
The name of the person who authorized release of the product.
The product has proceeded through all of the planned process steps, including
all planned verifications.
Control of nonconforming product

Nonconforming product is any product or service that does not meet
requirements. Have documented procedures to identify nonconforming products and
to make sure they are not used by accident. Define who is responsible for deciding
what to do with a bad product. One of the following three actions must be taken:
fix the product as if the problem never happened,
ask the customer to accept it, perhaps on new terms,
Discard it or clearly mark it as unsuitable for its original use.

59

Keep records of nonconformities.Re-inspect any corrected products according to the
procedures for new products. Mitigate potential losses, perhaps by recall, from any
product that has been found to be defective after its release to the customer.
Analysis of data
The standard requires the organization to collect information on the functioning
of the QMS. This information is then analyzed to evaluate the effectiveness and
efficiency of your system and to identify opportunities for continual improvement of
the QMS. Information collected and analyzed relates to:
customer satisfaction,
meeting product requirements,
process characteristics and trends,
product characteristics and trends,
Supplier performance.
Improvement
Continual improvement
Make use of the quality policy, quality objectives, audit results, data analysis,
corrective and preventive actions and management review to improve the QMS.
Corrective action
When problems occur, fix the underlying process responsible for the defect.
The thoroughness of each solution depends on how costly or unsafe the actual or
possible problems are.
Create written procedures for:
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satisfying customer complaints
investigating and solving reported product and process problems,
identifying the underlying cause of these nonconformities,
understanding how to eliminate the cause of nonconformities,
making sure corrective actions are carried out,
keeping a record of corrective actions,
Following up on corrective actions.
Preventive action
The same actions described above for corrective actions must be considered
for problems that have yet to occur. This is called preventive action. Effective
preventive action involves identifying the potential problem, examining the root
cause, putting a plan in place to prevent occurrence of the problem, evaluating the
effectiveness of the plan, recording actions taken, and reviewing the preventive
actions taken. A written procedure is required to describe the preventive action
process.
5.7 ISO 14001 Requirements

The ISO 14001 standard follows a PLAN DO CHECK ACT cycle. The
first phase is developing the environmental policy and planning the EMS. The
second phase is implementing the EMS. The third phase is checking and reviewing
the system. The fourth phase is the continuous improvement of the EMS.
Within the standard there are 17 elements of ISO 14001 that are required to
be met by organisations seeking formal recognition for their EMS. ISO 14001
requirements are as follows:
61
1.
2.
3.
4.
An environmental policy supported by senior management;

The identification of environmental aspects and impacts, and the identification of
significant environmental impacts that the organisation may cause;
Identification of legal and other requirements;
The development of objectives and targets, and their environmental management
programs;
5.
Defined resources, roles, responsibilities and authorities for environmental management;
6.
The development of competence, training and awareness procedures;
7.
A communication process of the EMS to all stakeholders and interested parties;
8.
The development of EMS documentation as required by the standard;
9.
The development of document control procedures;
10. The development of operational control procedures;

11. The development of emergency preparedness and response procedures;
12.
The development of procedures to monitor and measure operations that can have
significant impact to the environment;
13. An evaluation of compliance procedure;
14.
Procedures developed for the management of non-conformance, corrective and

preventative actions;
62
15. The development of a records management procedure;

16. A program for completing internal EMS audits and corrective actions; and
17. The development of procedures for management review by senior management.
The standard can be easily integrated into existing safety (AS/NZS 4801 or
OHSAS18001) and quality (AS/NZS ISO 9001) management systems.
5.7.1 ISO Checklist

There are many steps involved with the development and implementation
of an effective EMS. Organisations may benefit by developing their own ISO 14001
checklist detailing the steps involved with ISO 14001 development and
implementation. (The article How to up the EMS ante provides further reading about
common mistakes made by organisations, as well as, describing the actions required
to avoid and overcome these mistakes.)
The first item on your ISO 14001 checklists should be to ensure senior
management are committed to and involved with its development, implementation
and management. Human, financial and physical resources need to be identified.
Ongoing resources need to be allocated. Responsibilities need to be assigned and
agreed to at this stage.
The organizations EMS scope will need to be defined i.e. the identification
of the products, services and activities it covers and anything that is excluded. An
Initial Environmental Review should be completed in accordance with AS/NZS ISO
14015 Environmental management Environmental assessment of sites and
organizations (EASO) and HB 206 Initial Environmental Review (handbook).
The amount of detail required should be assessed prior to its commissioning.
Current environmental management activities should be integrated into the
ISO 14001 EMS. These current activities should be identified during the initial
environmental review stage and EMS gap analysis. Organisations should plan for the
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systematic development and implementation of the elements of the EMS. Plans need
to include implementation requirements, education and training requirements,
internal audits and time to close out any actions, time to run the system (records are
collected to demonstrate implementation) and demonstration of continuous
improvement. This needs to be completed prior to an external ISO 14001
certification audit.
ISO 14001 should be developed in conjunction with ISO 14004
Environmental managements systems General guidelines on principles,
systems and support techniques. ISO 14004 provides further guidelines for the
elements of an EMS and its implementation. Organisations should identify
whether they have the skills and resources to develop an ISO 14001 EMS
internally or whether they should outsource its development. Often systems
developed can be more complicated than they need to be, somewhat confusing and
difficult to manage. Engaging a Consultant should overcome this but remember not
all Consultants have equal experience and qualifications, and unfortunately it's still
quite common for Consultants to produce substandard EMSs.
Engaging a
Consultant which specializes in environmental risk management and EMSs as well

as having adequate qualifications and experience could be considered.
5.7.2 ISO Certification

An ISO 14001 EMS will need to be fully developed and implemented prior to
an ISO 14001 certification audit. For an EMS to be implemented the organisation
will need to demonstrate a variety of completed actions including:
The development and communication of an environmental policy;
Environmental aspects need to be reviewed;
Legal requirements need to be assessed and compliance monitored;
Objectives and targets need to be set and the programs in which to achieve
them developed;
Training needs should have been identified and a strategy for achieving
them implemented;
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An internal audit completed; and
A management review of the EMS and their organisation's environmental
performance.
During the implementation phase organisations should seek the services of an
Accredited Certification Body which will conduct annual audits and arrange ISO
14001 certification on behalf of the organisation. Audits can be completed with other
certified management systems such as ISO 9001 Quality Management Systems and
AS/NZS 4801 Occupational Health and Safety Management Systems.
The Client Manager from the Accredited Certification Body should monitor
the implementation progress. They should manage the application and set dates for
ISO 14001 certification audits. The initial registration involves a two stage process
of a document review and a site visit. A pre-assessment may be recommended prior
to the registration audit to identify any gaps. The Accredited Certification Body will
assess the system to both the requirements of ISO 14001 and the organisations
environmental policy. Where successful the Accredited Certification Body will issue
a certificate of registration. ISO 14001 certificates are valid for three years.
Ongoing annual ISO 14001 surveillance audits may focus on specific
elements of the ISO 14001 EMS. Where an organisation has multiple sites that are
certified, a sample of these sites may be selected for surveillance audits. ISO 14001
certification is a voluntary scheme however there is increasing pressure by customers
for their suppliers to be ISO 14001 certified. As an alternative to ISO 14001
certification organisations could consider developing and implementing an ISO
14001 EMS but only having it internally audited or audited externally by an
independent ISO 14001 Auditor. This may reduce the financial burden where ISO
14001 certification isn't specifically required.
5.7.3 ISO AUDIT:

There are two types of ISO 14001 audits, internal and external. An internal
ISO 14001 audit is an audit which fulfils the requirements. An external ISO 14001
audit is an audit which is typically conducted for the purpose of ISO 14001
certification and completed by an Accredited Certification Body. Of interest, it is
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becoming increasingly common practice for businesses to be audited by other
businesses. This is because some businesses have identified their suppliers as part of
their overall environmental risk. They are now directly auditing their suppliers to
ensure there are appropriate systems and controls in place to manage these risks.
ISO 19011 Guidelines for quality and/or environmental management systems
auditing provides information regarding choice of auditor. ISO 14001 Auditors
should have personal attributes such as ethics, tact, and open-mindedness and be
perceptive. They should understand audit principles, procedures and techniques, as
well as having gained experience through conducting audits. ISO 14001 Auditors
should know the subject matter they are auditing against and how this applies to the
organisation.
ISO 14001 Audit Team Leaders should be able to plan and resource
effectively, has good communication and leadership skills. Preferably ISO 14001
Environmental Auditors should complete environmental auditing training and have
attained an appropriate level of education. A good Auditor should have both skills
and experience. With any ISO 14001 audit consideration could be given to assessing
the Auditor's skills and experience, and checking whether they impartial and
objective.
5.8 ISO 18001:

This OHSAS specification is applicable to any organization that wishes to:
Establish an OH&S management system to eliminate or minimize risk to

employees and other interested parties who may be exposed to OH&S risks
associated with its activities;
Implement, maintain and continually improve an OH&S

management system;
Assure itself of its conformance with its stated OH&S policy;demonstrate

such conformance to others;
66
Seek certification/registration of its OH&S management system by an

external organization; or
Make a self-determination and declaration of conformance with this OHSAS

specification."
The elements of OH&S management system are
General requirements
OH&S policy
Planning
Implementation and operation
Checking and corrective action

Management review
5.8.1 General requirements

Organisations have to establish and maintain an OH&S management
system which meets the requirements set out in the rest of clause 4.
5.8.2 OH&S policy

The organisations top management has to authorise an OH&S policy
stating the organisations OH&S objectives and its commitment to continual
improvement.
There
are
other
requirements
covering,
for
example,
communication and review of the policy.
5.8.3 Planning
Planning for hazard identification, risk assessment and risk control.
Organisations have to have procedures for risk assessment and risk control and use
the outputs from these procedures in setting OH&S objectives. There is also a list
of criteria which must be met by the hazard identification, risk assessment and risk
control procedures.
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Legal and other requirements. Organisations must keep up to date records of

the legal and other OH&S requirements which apply to them, and ensure access to
details of these requirements. The requirements must also be communicated to
employees and other relevant interested parties.
Objectives: Organisations have to establish and maintain documented
OH&S objectives and these OH&S objectives have to meet certain criteria.
OH&S management programme(s): These programmes are the ones required to
achieve the OH&S objectives. The programme(s) must be documented, with
details of responsibilities and timescales, and reviewed and revised as necessary.
5.8.4 Implementation and operation

Structure and responsibility: Organisations are required to document
OH&S responsibilities and how these responsibilities are structured. A
member of top management (the management appointee) must be
responsible for the totality of the OH&S management system.
There are also requirements to provide adequate resources for the
OH&S management system and for all those with management
responsibility to demonstrate their commitment to continual improvement of
OH&S performance.
Training, awareness and competence: This sub clause requires that

personnel are competent to perform tasks that may impact on OH&S and, when
training is used to provide competence, it takes into account the ability and
literacy of the trainees and the risk to which they will be exposed.
The sub clause also lists a number of OH&S issues of which employees should
be aware.
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Consultation and communication: Organisations must have procedures

for communication on OH&S issues and documented arrangements for employee
involvement and consultation. There is also a list of criteria to be met by the
involvement and consultation arrangements.
Documentation: There must be a written description of the management

system with, as necessary, references to more detailed documentation.
Document and data control: There must be control of all documents and
data required by the OH&S management system and this control must ensure a
number of things, including adequate locating, reviewing and archiving of
documents and data.
Operational control: This sub clause begins with a requirement to identify all
activities where control measures need to be applied. These activities must then be
planned to ensure that they are carried out under specified conditions. There is
also a list of criteria which must be met by these plans, and their implementation.
Emergency preparedness and response: Organisations must identify the
potential for, and responses to, incidents and emergency situations. The plans
must be reviewed and tested where practicable.
5.8.5 Checking and corrective action

Performance measuring and monitoring: This sub clause begins with a
list of the requirements for monitoring and measuring OH&S performance and
then deals with what organisations have to do if they use monitoring equipment.
Accidents, incidents, non-conformances and corrective and preventive action.
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Organisations must have procedures for investigating accidents, incidents and
non-conformances and for ensuring that appropriate corrective and preventive
action is taken. Proposed corrective and preventive actions must be the subject
of a risk assessment prior to their implementation.
Changes arising from any of these activities must be documented.
Records and record management: The main purpose of records is to be able to
demonstrate conformance with the OHSAS 18001 specification, and this section
lists the criteria which must be met by the record management procedures.
Audit: Organisations must have periodic OH&S management system audits
which check whether the OH&S management system conforms to planned
arrangements, is properly implemented and maintained, and is effective. To meet
the requirements, the audit programme and procedures have to conform to a
number of criteria.
5.8.6 Management review

Top management is required to review the suitability, adequacy and effectiveness
of the OH&S management system at intervals determined by the top management.
The reviews must be documented.
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CHAPTER-VI
FINDINGS, SUGGESTIONS AND CONCLUSION
FINDINGS:
Sustainable Development:
In ITC, they reduce the usage of Fossil Fuels and increase the usage of Agro
Fuel which reduces the emission of Harmful content in air.
They water used for the production will be treated properly and then used for
their afforestation purpose.
They increase their plantation sequentially in every year which contributes

them for the green Environment.
The recycle the waste both inside and outside of the plant and their
contribution towards the sustainable development.
HR practices:
In ITC, the relationship between the Employees and Management is good.
The Employees attrition rate is 0.8% and which indicates the growth of the
organization.
They were providing the wages based on the Minimum Wages according to
the Minimum Wages Act, 1948.
ISO Standards:
The Management giving more importance towards Quality of the product.
They were giving more importance towards the Safety of the Plant and as
well as the employees of their organization.
Their LEAN Structure adds Value to Product by reducing the Wastages.
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SUGGGESTIONS:
The organization should reduce Overtime of work Methods which will

increase the retention of Casual Employees
The training methods for the Employees should be altered by analysis their
Needs Analysis.
Their Contribution towards the development of rural development near to

their factory method should be improved
If they focus on Export Oriented units, they will be the World Market leader
in Paper Industry.
They should improve their usage of Fossil fuels to the generation of Steam
and it will lead the organization towards getting the nationalized recognition.
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CONCLUSION
ITC, who have extended their business to reach all doorsteps through their
innovative products such as Paperboards, have one of their major plants set up at
Kovai. As mentioned earlier, the unit has been recognised as an ISO 9001, ISO
140001 and OHSAS 18001 plant. The training period in ITC was a good learning
experience. It helped me gain practical knowledge regarding its production,
maintenance and environmental health and safety aspects.
According to their Production capacity they were manufacturing less due to
their consumption, low Economic growth. They were focusing on the usage of AgroFuels to reduce the emission of Carbon pattern and encourage the afforestation to
sequester the Emission of harmful content released by them. At the same time they
must in need to focus on their Quality. Their Internal audit is effective which shows
the accurate results and the areas needs improvement.
The relationship between the Employee and the management should be
improved and it is necessary to conduct effective training when there is a need for
both the employees and managers. As a Master of Business Administration student, it
has also provided me with a clear understanding about the Various HR Practices and
their measures that are undertaken to evaluate their progress.
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BIBLIOGRAPHY:
http://www.scribd.com/afids123
http://en.wikipedia.org/wiki/Paperboard#Paperboard_industry
http://industrytracker.wordpress.com/2011/04/19/paper-industry/
http://www.forestindustries.fi/infokortit/Paper_industry/Pages/default.aspx
http://www.itcpspd.com/
http://www.itcgreenpapers.com/operations.aspx
http://www.itcportal.com/
http://cpcb.nic.in/Water_Quality_Criteria.php
http://www.bir.org/industry/paper/
74

Index: Sustainable Development in ITC 2012-13

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Index: Sustainable Development in ITC 2012-13

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Sustainable Development in ITC 2012-13

Findings, Suggestions, and

Sustainable Development in ITC 2012-13

The idea of limitations imposed by the state of technology and social

Parameters of Sustainable Development

implementation/ monitoring mechanism play equally important roles for successful

Sustainable Development in ITC 2012-13

Sustainable Development in ITC 2012-13

Sustainable Development in ITC 2012-13

Indias Paper/Pulp Export and Import:

Sustainable Development in ITC 2012-13

Paper and Paperboard - Production in India:

Paper & Paperboard - Production and Consumption:

Sustainable Development in ITC 2012-13

The main waste paper grades available for recycling are:

Growth Drivers- Paperboard:

Sustainable Development in ITC 2012-13

Addition announced 2 lac tpa, mostly in lower end recycled

May create excess capacity in the short term

Medium term projections demand will continue to be above

To study about the ITC S emission of Carbon Content, air, treated

1.4 IMPORTANCE OF THE STUDY:

To know the functions of the various departments in ITC and their

To identify the Parameters considered by the ITC for their Sustainable

Sustainable Development in ITC 2012-13

Sustainable Development in ITC 2012-13

In 2004, ITC Ltd acquired the paperboard manufacturing facility of BILT

Coated Board Grey

Double Coated Grey Back

Double Coated White

2.3 ORGANISATIONAL STRUCTURE

Sustainable Development in ITC 2012-13

The organisational structure of ITC PSPD UNIT, KOVAI is a process based

Human Resource Pillar/ Education & Training Pillar (HR)

Sustainable Development in ITC 2012-13

The SETs are:

Sustainable Development in ITC 2012-13

2.4.1 UTILITIES AET

To generate power for running the PSPD unit

To generate steam for drying the pulp

High pressure boiler

Sustainable Development in ITC 2012-13

Sustainable Development in ITC 2012-13

: Thermax Babcock & Wilcox

: Atmospheric Fluidised Bed Combustion systems

FEED WATER INLET

: Agro waste & fossil fuels

: High Stack Diesel (HSD)

PRI. SUPER HEATERCOILS: 144

Sustainable Development in ITC 2012-13

Filler Made up of all types of waste papers

Grey back Made up of lower grade waste papers

Sustainable Development in ITC 2012-13

Sustainable Development in ITC 2012-13

2.4.4 FINISHING HOUSE AET

Sustainable Development in ITC 2012-13

Sustainable Development in ITC 2012-13

Sustainable Development in ITC 2012-13

2.6.1 GENERAL ADMINISTRATION

2.6.3 EMPLOYEE TRAINING

Sustainable Development in ITC 2012-13

The flowchart of the procedure is given below

Sustainable Development in ITC 2012-13