Sustainability – It’s a lifestyle

“ यथा ब्रह्माण्डे तथा पिण्डे ”

Cosmos in our Body…

• Natural resources and raw material are on a dangerous and unsustainable track.

• The earth’s ecosystems have started to show signs of serious stress, climate change biodiversity

• How Nature made us: Energy is provided by sun and life was created to be created again.

• Today’s manufacturing takes raw materials from the environment and turns them into new
products, which are then discarded into the environment. It’s a linear process with a beginning and
an end

• We are trying to impose the Linear system to a naturally circular world.

• Linear economy is not sustainable, we are using more
resources than we and the planet can regenerate.
• Change is needed to avoid permanent damage to the
planet and its limited resources
• In a circular economy, materials for new products come
from old products. As much as possible, everything is
reused, re-manufactured or, recycled back into a raw
material or used as a source of energy. This benefits
both the consumers and economy.
• The circular provides better services to consumers while
also tackling core sustainability challenges, resource
scarcity and environmental degradation
• Circular economy supports sustainable development by
aiming to secure the resources to sustain our current
and future generations
An Industrial economy that is restorative by
intention

Circular economy is a new production and

consumption model that ensures sustainable
growth over time. With the circular economy,
we can drive the optimization of resources,
reduce the consumption of raw materials,
and recover waste by recycling or giving it a
second life as a new product.
Circular Economy – a model of production
and consumption which involves the 7 R’s
• Rethink
• Reduce
• Repair
• Reuse
• Refurbish
• Recycle
• Recover
Of Existing materials for as long as possible
 ELIMINATE POLLUTION
Harness new material and
process technologies to ensure
waste & pollution are not
created in the first place
CIRCULATE PRODUCTS &
MATERIALS
Redesign products to be reused,
repaired or re-manufactured so
that they last longer and kept in
circulation
REGENERATE NATURE
Return nutrients to the forest,
replant trees, remove plastic
waste from the ocean, working
with nature for benefit for all
 45% CO2 Emissions due 2.2 B Tons of Biomass
to Production Annually 2/3 Materials Harvested Lost

Manufacturing and Amount of Biomass • In 2015, more than 67 billion

production of everyday harvested to feed global tons of harvested material are
material population annually irretrievably lost

• 1/3 of food rotted and disposed

87%% CO2 Emissions

from Fossil Fuel • Only 9.3 billion tons (9%) of
plastic wate is captured and
recycled
Burning of Coal, Natural
Gas and Oil
- National Geographic

Source: WEF, National Geographic, European Parliament

Overcome limitations of Linear Consumption:
Linear patters of “take-make-dispose” increases exposure to risk –most
notably price volatility and resource disruption

Eradicate Waste:
Systematically, throughout the life cycle and uses of products and their
components

Competitive advantage:
Companies adopting Circular Economy gain a great advantage from
efficiency, integration and effective use of resources.

Hope for Earth’s survival:

Circular Economy is the only way to retain the earth which is finite.
Becoming aligned to nature is the only way to survive.
Towards Zero New Job
Waste Opportunities

Reduce
Carbon
Emissions
Renewable
Resources
(instead of
Finite)
• The designing of the product has to be such that it can incorporate the
reuse, repair and recycle in all the cycles of the product.

• Companies should collect back the products that are out of use and
refurbish, repair or reuse it for making new products or energy

• Product as service: Selling the service of installing a product,

maintaining it and then taking it back when not in use. They can
charge a service fees for the entire cycle instead of selling the product.
Eg: Phillips. Tata motors assured

• Recycle : Southwest airlines: 85% of the aircrafts are repurposed, parts

are either reused or given to learning institutes. All the waste is
recycled – paper cups, plates and even carpets
The new way of conducting Business
• In traditional business – the Bottom line refers to profit.
• Over last 50 years, environment and social justice advocates have struggled to bring a broader
definition of bottom line.
• “Triple Bottle Line” : Adds Social and Environment to the bottom line of Profit
• The phrase "triple bottom line" was articulated more fully by John Elkington in his 1997 book Cannibals
with Forks: the Triple Bottom Line of 21st Century Business
• Triple line is also known as 3P’s – “People, Planet & Profit” that was introduced in the 90s
• The ESG (Environment, Social and Governance), - term derived out of the concept of “Triple bottom
line” or the 3Ps.
• ESG refers to 3 core factors in measuring the corporate sustainability. These factors that can affect a
company’s ability to create long term value. It also refers to intangible assets
o The Environmental pillar typically focuses on preserving the natural world. It looks at how a
company contributes to and performs on environmental challenges such as waste, pollution,
greenhouse, gases, deforestation and climate etc
o The Social pillar the focus is with regard to people and relationships. It looks at how the company
treats its people
o The Governance pillar focuses on moving beyond how organizations have been typically
governed in the past and enhance corporate governance. It looks at human capital
management, diversity and equal opportunity , health and safety

• Today it forms the foundation for doing business sustainably and responsibly.
For a sustainable growth of any company, they would need to work in all the 3 aspects equally and diligently and not just
any one factor.

Environment Social Governance

Pollution Human rights Accounting

Biodiversity loss Child labour Board composition

Climate change Product safety Bribery and corruption

Deforestation Product mis-selling Executive pay

Resource depletion Labour standards Tax avoidance

Waste management Employee relations Shareholder’s rights

• The ESG is based on the idea that company is likely to achieve
strong returns if they create value for all their stakeholders
• ESG analysis focus on the way in which companies serve society
and how this has an impact on their current and future
performance.
• Diligent implementation of ESG can lead to cost reduction as it
improves internal processes and helps retain employees and
customer better
• ESG factors are also likely to increase their potential to
outperform competitors. By identifying and measure ESG risks
and opportunities, it can deliver both environmental and social
benefits at the same time.
• The world is changing
Global challenges, such as climate risk, social and demographic shifts and privacy and data security concerns,
COVID-19, represent new or increasing risks for investors. Companies face rising complexities and greater scrutiny
if they are not adequately managing their ESG or climate risk.

• A new generation of investors

The interest from millennial investors around the world has already helped drive the rapid growth in ESG
investment.

• Better data and technology for more meaningful insights

Advanced technology, including artificial intelligence (AI) and alternative data extraction techniques help
minimize our reliance on voluntary disclosure from companies. It help us increase the timeliness and precision of
data collection, analysis and validation to deliver dynamic content and financially relevant ESG insights.
• Growing number of businesses are currently striving to implement ESG
factor to take advantage of business opportunities

• Investors also select sectors and companies by based on their positive ESG
performance. ESG criteria are an increasingly popular way for investors to
evaluate companies in which they might want to invest

• ESG criteria can also help investors avoid companies that might pose a
greater financial risk due to their environmental or other practices

• Investors have come to believe that ESG criteria have a practical purpose
beyond any ethical concern. By strictly implementing ESG criteria
companies may be able to avoid exposing themselves to risk to avoid
public scrutiny

• Banks are creating funds totally focusing on companies having good ESG
Ratings.
An ESG rating measures a company's exposure to long-term environmental, social, and governance risks.
These risks - involving issues such as energy efficiency, worker safety, and board independence, have financial
implications. But they are often not highlighted during traditional financial reviews.

A good ESG rating means a company is managing its environment, social, and governance risks well relative to its
peers. A poor ESG rating is the opposite -- the company has relatively higher unmanaged exposure to ESG risks.

ESG ratings help investors understand a company's priorities and the long-term risks it could face in the future.

Every company has various markers and indicators to evaluate the ESG ratings as per the industry and company.
 One of the most widely referenced ESG rating systems is the MSCI ESG score. The foundation of the MSCI ESG score is a key issues framework

that measures risk across 10 categories of environment, social, and governance areas.

• Climate Change • Human Capital Issues • Corporate Governance

Social
Environment

Governance
o Carbon emissions o Labour Management o Composition of the board
o Product carbon footprint o Health & Safety protocols in terms of diversity and
o Financing environmental impact o Worker training independence
o Climate change vulnerability o Supply Chain Labour Standards o Executive compensation
• Natural Capital • Product Liability Areas o Ownership
o Water Sourcing o Product Safety & Quality o Accounting practices
o Biodiversity & Land use o Chemical Safety
o Raw Material Sourcing o Consumer financial protection • Corporate Behavious
• Pollution and waste o Privacy and Data Protection o Business ethics
o Toxic Emissions & Waste o Responsible Investing o Tax transparency
• Environmental opportunities • Stakeholders opposition
o Clean Technology o Controversial sourcing
o Green Building o Community relations
o Renewable Energy • Social Opportunities
o Access to communication
o Access to finance
o Access to healthcare
o Opportunities in nutrition and
health
We are WAE are trying to do our bit by
helping organizations add on to their ESG
factors with least carbon footprints

And hence contributing our step towards

becoming a Circular economy

Now its your turn