STUDY AND ANALYSIS OF THE SUSTAINABILITY

REPORTS OF 3 MANUFACTURING COMPANIES

By

ANIRUDH K – 1928502

ASWIN PRAKASH – 1928503

VARUN SRIVATHSAV – 1928510

JESWIN BENNY – 1928517

Under the Guidance of

PROF. SIVA KUMAR PUJARI

Institute of Management

Christ (Deemed to be University), Bangalore

AUGUST 2020

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Table of Contents

1. INTRODUCTION:......................................................................................................................3

2. TOYOTA KIRLOSKAR MOTOR PVT. LTD:........................................................................3

About the Company:.......................................................................................................................3

Triple Bottom Line (TBL):.............................................................................................................4

1. Profit (Economical)..............................................................................................................4

2. People (Social)......................................................................................................................4

3. The Planet (Environment)...................................................................................................6

Alignment to Sustainable Development Goals (SDGs).................................................................8

Initiatives outside mandated CSR................................................................................................12

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 1. INTRODUCTION:

This Project focus on 3 Indian manufactures, where the sustainability reports of these
companies are compared on their best practices.

2. TOYOTA KIRLOSKAR MOTOR PVT. LTD:

About the Company:

The fundamental of Toyota way is continuous improvement. Toyota Kirloskar Motor (TKM)
strives for continuous improvement and is taking ownership to drive the change in society.
TKM publishes its annual sustainability report on a yearly basis in accordance with the
Global Reporting Initiative (GRI). TKM has also incorporated sustainable measured
considering the global context and also aligned with the United Nations Sustainable
Development Goals. TKM announced the environment Challenge and set goals for 2050. The
Chairman Vikram Kirloskar also announced the intermediate milestone targets for 2030 in
order to have clarity on the phase-wise action towards achieving the same.

Toyota has already made substantial improvements in line with its Sustainable goals. Few of
them are listed below:

  8.4 MW in-house solar power plants and 18 MW offsite solar installations 

 89% of water demand met by harvested rainwater and recycled water resulted in a
saving of 5,67,608 m3 of freshwater. 
 2,84,000 saplings planted cumulatively 
 88% of electricity source from renewable sources resulting in an offset of 68,121 tons
of CO2 
 168 villages benefited from the water purification unit 
 7,40,000 school children trained in road safety 
 Point Seven 20.72 crore in CSR investment 
 24,500 school children provided with learning aids 
 100% of dealers trained in echo dealership guidelines 
 1500+ students undergone environmental training of at Ecozones 
 92 villages were assisted by TKM to become 100% ODF 

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Triple Bottom Line (TBL):
1. Profit (Economical)
While considering sustainability it is a balance between the environmental, economical and
the people. Considering the economical sustainability, it is important to assess the impact the
business has on its economic environment. Few of the economic parameters that are
measured at TKM are:

 20,003.79 crores were their total revenue through their core business segments.
 Wages and benefits provided to employees was 1.015.67 crores
 Investment in community development and CSR investments was 20.72 crores.
 Contribution to provident and other funds was 63.84 crores
 Staff welfare expenses were 106.62 crores
 TKM didn’t receive any financial assistance from Government with regards to, IT
exemptions, the land provided at a subsidized rate, sales tax deferrals, waiver of
custom, and excise duties.

Toyota considers climate change implications in its business risk management. This aids the
company’s competitiveness in the long run and also present financial opportunities through
the process and product improvements. The main focal point of the business operations lies in
adopting responsible business practices and keeping customer satisfaction high.

2. People (Social)
At Toyota employees are the most values asset and the one that plays a crucial role in
achieving business goals. They believe in having a diverse workforce in an inclusive
environment where people are respected and nurtured. There are yearlong training and
development programs to cultivate the practice of consistent learning. 
Human development:
Toyota views headcount management as an opportunity to continuously improve the
competitiveness of its employees. Headcount management ensures that the count of
people is based on the requirements of each business section. Headcount management is
considered as an important factor to secure profitability, competitiveness, and flexibility.
Employee welfare:

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Toyota engages in fair labor practices. Toyota ensures the recruitment process is transparent
and not gender biased they practice “people pay for equal work” while adhering to the
country's minimum wage rule.
Compensation:
Employees are rewarded with the most competitive compensation which is best in the
industry. the factors influencing the compensation include the company's performance,
market position, employee performance, and other perspectives such as attrition, inflation,
cost of living, and the market price of labor. 
 
Employee benefits 
Apart from mandatory and regular allowances they also provide other benefits schemes such
as: 
 Leave encashment 
 employee deposit linked insurance scheme 
 additional $1000 insurance coverage 
 personal loan tip up with banks 
 Toyota might car scheme which is a car discount scheme for employees 
 interest-free car loan scheme 
 Maternity benefit policy ( over and above the act - 30 weeks plus Max five months
childcare leave) 
Ensuring Safety at Workplace

Safety is a top priority at TKM. TKM emphasize to create and strengthen the safety culture
always and continuously strives to bring the safety consciousness in all of their process/work
carried out. Safety and Health Committee meetings are undertaken at various levels to discuss
means to improve the health and fitness of the employees, reduce absenteeism and illness.

Learning and Development:

Through Toyota Learning & Development India (TLDI), equal learning opportunities are
provided for all employees. Skill Enhancement Plan (life-long learning) is designed which
provides an abundance of training and development opportunities to employees to enhance
the knowledge, skills and attitude throughout their career.

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To develop Toyota Way competencies, employees are trained in global content, regional
contents and need-based local content. Further, functional training is imparted to enhance
their functional competencies.

Role-based and skill-based training is imparted as part of post promotion programs.

Employees are trained on policies and procedures (Service Policy Guidelines and Code of
Ethics) including human rights. Security personnel is trained in the organization's policies
and procedures which includes safety, health, code of conduct and aspects related to human
rights relevant to their operations during induction, along with periodic firefighting training.

3. The Planet (Environment)

At Toyota, they show consideration to the
planet in everything that they do. The
aspiration that inspires team Toyota of the
environmentally-conscious development
started way back in 1992 when Toyota
issued its "Earth Charter". As a responsible
organization, TKM firmly believes in the
philosophy of "Respect for the Planet" and
we are aligning our activities to this vision.

Toyota established Environmental subcommittees to decentralize the responsibilities of

Environmental Management and promote Cross-functional efforts to manage the key focus
areas in Environment Management. Environmental Assessment System was developed to
give clear directions for each of the subcommittees and the organization is audited by Asia
Pacific headquarters on the performance against the EAS requirements.

In the reporting year two sub-committees are included to the Environmental Management
organizations:

 Chemical Management Subcommittee – To ensure the elimination of Substances of

Environmental Concerns and prohibition of banned chemicals in vehicle parts,
accessory parts, production materials and in packaging

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  End of Vehicle Recycling Subcommittee – To make TKM future-ready to enhance
recyclability of the vehicle

Global EMS

To strengthen the Environment

Management System and to
appendage to the ISO 14001: 2015,
Toyota Globally has developed the
Global Environment Management
System (GEMS). GEMS contains
specific directions for implementing
a robust Environment Management
System.

Legal Compliance - TKM and

Value chain

As non-compliance might lead to

legal action, TKM ensures that our
vendors, suppliers, and dealers are compliant with all the applicable laws of the land. TKM is
working towards creating a sustainable supply chain, it is crucial to deliver long-term
profitability. Business partners and suppliers are associated based on overall strength and
mutual trust. By developing various programs TKM helps in providing a significant
competitive edge for their suppliers in this changing market landscape.

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Alignment to Sustainable Development Goals (SDGs)

Toyota Environmental Challenge 2050 Challenge to zero and beyond:

Toyota has aligned its recent development in the fields of environmental sustainability and
resource consumption to give back to the environment what we take from it. This implies
going beyond their comfort zones to embrace sustainability in all Toyota initiatives towards a
net positive impact.

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2030 Milestones:

The 2030 Milestone indicates how the six challenges will be as of 2030, including the details
of this announcement Their activities are being further proceeded along with the Toyota
Environmental Action Plan that sets the specific action plans and targets for every five years
to contribute to the realization of a sustainable society

Challenge 1 New Vehicle Zero CO2, Emissions Challenge

Make annual global sales of more than 5.5 million electrified vehicles, including more than 1-
million-euro emission vehicles (BEVs and FCEVs). The estimate of global average CO 2
emissions reduction in g-CO2/km from new vehicles will be 35 percent or more, Which may
vary depending on market conditions, compared to 2010 levels.

Challenge 2 Life Cycle Zero CO2, Emissions Challenge

Reduce CO2, emissions by 25 percent or more over the entire vehicle life cycle compared to
2013 levels by promoting activities for the milestones of Challenges 1 and 3, with support
from stakeholders such as suppliers, energy providers, infrastructure developers,
governments, and customers.

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Challenge 3 Plant Zero CO2, Emissions Challenge

Reduce CO2, emissions from all plants by 35 percent compared to 2013 levels

Challenge 4 Challenge of Minimizing and Optimizing Water Usage

Implement measures on a priority basis, in the regions where the water environment is
considered to have a large impact. TKM considers this as a priority issue and multiple efforts
are taken to address the issue of water scarcity like reduce, reuse, recycle and disclose
information appropriately and communicating actively with local communities and suppliers

Challenge 5 Challenge of Establishing a Recycling-based Society and Systems

Complete establishment of battery collection and recycling systems globally. Complete set up
at 30 model facilities for appropriate treatment and recycling of End of life vehicles.

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Challenge 6 Challenge of Establishing a Future Society in Harmony with Nature

Realize "Plant in Harmony with Nature” – 12 in japan and 7 overseas as well as implement
activities promoting harmony with nature in all regions where Toyota based in collaboration
with local communities and companies. Contribute to biodiversity conservation activities in
collaboration with NGOs and others. Expand initiatives both in-house and outside to foster
environmentally conscious person responsible for the future.

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Initiatives outside mandated CSR

1. Education
Quality infrastructure
and quality workforce
have a huge impact on
the learning outcomes
and the retention of children in schools. Studies have shown that poor infrastructure,
inadequate teaching, and learning resources affect the quality of education. TKM
focus on providing quality education that helps children to improve their mental,
emotional, and physical skills.

Improving Infrastructure in Government Schools

In Karnataka state, 24% of primary schools need infrastructure repairs to be done.
TKM is addressing the lack of clean, safe, accessible, and adequate school
infrastructure for students.

Since 2001, TKM is working with government schools to build modern pucca (solid)
school buildings with functional toilets.

Model School

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 Based on TKM’s research, model school is the way to achieve the vision to create a
sustainable village. In model school, they are focusing on all those factors responsible
to nurture a student to achieve higher learning levels, which covers good
infrastructure and amenities, e-learning material, teacher capacity building, eco-
friendly environment, health & safety care, extracurricular activities, and many more.

2. Health & Hygiene

A Behaviour Change Demonstration (ABCD)

TKM is working to achieve sustainable sanitation practices in the communities. TKM
has incorporated two-pronged approaches; first is to build sanitation facilities in
schools and communities, and second is to sustain the impact. ABCD program
focuses on promoting behavior change in children. TKM believes that these children
act as a catalyst, where using ABCD they could promote awareness in their
communities, and the ripple effect will continue to work.

Water Purification Units:

TKM installed water purification units that provide safe and affordable drinking water
to the communities. Soon, the village from the neighboring villages has started
utilizing the water unit. Currently, there are 23 water purification units serving
population from 168 villages

Mobile Medical Units:

In the rural Ramanagara district, due to limited and distant health care facilities,
community members in need of medical attention had to wait for the health camps to
be conducted in their vicinity. To address this issue, TKM introduced a mobile
medical unit that travels to various communities for regular health check-ups and
treatment, leading to a more preventive approach to primary healthcare. Within the

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 first year of operations, the mobile medical unit has catered to 1800 people in 6
villages.

3. Road Safety

Toyota Safety Education Program

TKM takes responsibility to educate people around road safety who drive the cars.
TSEP program is framed to educate children on road safety and disciplined driving.
Class 5th-8th students undergo classroom training, whereas class 9th students get
hands-on experiential learning. The design of the module is focused on behavior
change where it starts with building a foundation of basic principles of road safety,
moving towards self-demonstration of learning.

4. Skills Development

A skill contest is conducted every year to identify employees with the best skills. It is
conducted at three levels viz. Company Level, Asia Pacific Level, and Global Level.

Toyota Technical Training Institute

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 To develop good corporate citizens equipped with Toyota specific methodologies,
create learning opportunities for the deserving individuals, and meet the future
indigenous and social expectations. Students are trained in Automobile Weld,
Automobile Assembly, Automobile Paint, and Mechatronics trades. Till now, TTTI
has trained 540 industry-ready technicians who have been placed in Toyota Group
Companies and suppliers partner companies.
The government of India and Japan Institute of manufacturing (JIM) have identified
TTTI as a benchmark training institute.

3. TATA CHEMICALS LIMITED:

4. HAVELLS INDIA LIMITED:

5. CONCLUSION:

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