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o f GOLDEN PEACOCK AWARDS he Institute of Directors (IOD), India, after concluding its last Ms. Rajashree Birla, Chairperson, Aditya Birla Centre for Community Annual Global Convention on 'Corporate Ethics & Risk Initiatives and Rural Development and Director on the Boards of Aditya TManagement' in Singapore (January, 2020), organized its 14th Birla Group of Companies was the 'Guest of Honour'. Ms. Shallu Jindal, Annual International Conference on 'Corporate Social Chairperson, JSPL Foundation, and Director on the Board, Jindal Steel & Responsibility' in Mumbai on March 4 - 5, 2020. The venue of the Power Limited was the Guest Speaker. Conference was Hotel Taj Lands End, Bandra (West), Mumbai The 'Welcome Address' was delivered by the President, Institute of (India). Directors, India, Lt. Gen. J. S. Ahluwalia, PVSM (retd.). The Inaugural The Theme of the Conference was 'Board's Strategies in Promoting Address was delivered by Mr. G. M. Rao, Founder and Group Chairman, Innovative & Sustainable CSR initiatives for Inclusive Growth'. The GMR Group. Hon'ble Mr. Justice Cyriac Joseph, Lok Ayukta, Kerala famed Golden Peacock Awards for 'Corporate Social Responsibility' State, former Chief Justice of Karnataka and Uttarakhand High Courts, (both Global & National) and 'HR Excellence' – 2019, were presented former Judge, Supreme Court of India & former Acting Chairperson and to the winners amongst business and industry, both from India & Member, National Human Rights Commission was the 'Chief Guest' and abroad, during the Golden Peacock Awards Ceremony during the delivered the 'Chief Guest Address'. Conference. Some of the other eminent business and industry leaders and foreign The Conference was attended by eminent experts, leading speakers who par ticipated in the Conference included industrialists, business leaders & well-known speakers from India Dr. Raman Ramachandran, Managing Director & CEO, PI Industries, Mr. and around the world. Delegates from 7 countries around the globe Vineet Nayar, Founder Chairman and CEO, Sampark Foundation, Author participated, including USA, UK, UAE, Thailand, Oman, Switzerland of Employees First, Customers Second, Ex. VC & CEO, HCL Technologies, and India. Prof. R. K. Mishra, Senior Professor and Director, Institute of Public Around 500 delegates deliberated on the Theme and participated in Enterprise, Hyderabad, Lt. Gen. Anil Kapoor, VSM, Director General - the conference over two days, i.e. March 4 - 5, 2020. EME, Indian Army, Mr. Shailesh V. Haribhakti, FCA, Chairman, Institute of Directors, Mumbai Region & Board Chairman, Audit Committee Chair Mr. Subhash Desai, Hon'ble Cabinet Minister for Industries & Mining, and Independent Director on multiple Boards in India, Mr. Prabhat Pani, Government of Maharashtra State was the 'Guest of Honour'. In his Senior Advisor - Partnership & Technology, Tata Trusts, Ms. H. K. Joshi, Special Address, he urged the Boards and the Directors to earn the Chairperson & Managing Director, The Shipping Corporation of India, Dr. trust and respect of all shareholders and stakeholders by discharging Arun Kumar, Head of South Asia, Bayer Environmental Science, Mr. Md. their obligations under CSR. He outlined the efforts of the State Sajid Khan, Head of International Development, Association of Government in practicing CSR and gave the example of the State 'mid- Chartered Certified Accountants (ACCA), UK, Dr. Emandi Sankara Rao, day meal' subsidy by providing nutritious food to all, at just Rs. 10 per MD & CEO, IFCI Limited, Mr. Mike Suffield, Director – Professional head. The balance thirty rupees are being subsidized by the State Insights, ACCA - Association of Chartered Certified Accountants, UK, Ms. Government. It covers several lac beneficiaries. He announced to the Smriti Rekha Vijay, Independent Director & Chairperson - CSR large gathering that Maharashtra State had been ranked the leader Committee, AkzoNobel India, Mr. Sanjay Tiwari, Chief Executive Officer, of the business and industry in India - the 'State of the Year' Award in 21CC Education LLC, Mr. Rakesh Mohan Agarwal, Chairman and 2019. His announcement was greeted with a standing applause by Managing Director, ITI Limited, Mr. Alok Kumar Choudhary, Deputy the international audience. 16 R E P O R T LIGHTING THE LAMP LIGHTING THE LAMP: Prof. R K Mishra, Senior Professor and Director, Institute of Public Enterprise, Shailesh V. Haribhakti, FCA, Chairman, Institute of Directors, Mumbai Region & Board Chairman, Audit Committee Chair and Independent Director on multiple Boards in India, Lt. Gen. J. S. Ahluwalia, PVSM (retd.), President, Institute of Directors, Lt. Gen. Anil Kapoor, VSM, Director General - EME, Indian Army Vineet Nayar, Founder Chairman and CEO Sampark Foundation, Author of Employees First, Customers Second, Ex. VC & CEO, HCL Technologies and Dr. Raman Ramachandran, Managing Director & CEO, PI Industries Ltd. 17 R E P O R T OPENING SESSION Mr. Shailesh V. Haribhakti, FCA Dr. Raman Ramachandran Lt. Gen. Anil Kapoor, VSM Mr. Vineet Nayar Chairman, Institute of Directors, Managing Director & CEO, PI Industries Director General - EME, Indian Army Founder Chairman and CEO Sampark Mumbai Region & Board Chairman, Ltd. delivering his Special Address delivering a Special Address during the Foundation, Author of 'Employees First, Audit Committee Chair and during the Opening Session Opening Session Customers Second', former Vice Independent Director on multiple Chairman & CEO, HCL Technologies Boards in India delivering the Welcome delivering the Theme Address during Address during the Opening Session the Opening Session Dr. Kavita Gupta IAS Managing Director, Society of Integrated Coastal Management (SICOM) delivering a Special Address during the Opening Session Release of IOD Publication - Winners' Digest on 'CSR' & “HR Excellence' by dignitaries (From L to R): Mr. Vineet Nayar, Mr. Shailesh V. Haribhakti, FCA, Dr. Kavita Gupta IAS, Lt. Gen. Anil Kapoor, VSM, Dr. Raman Ramachandran A view of the audience 18 R E P O R T Managing Director (HR) & Corporate Development Officer, State Bank leap towards utilizing latest technologies for development –say, ML & AI of India, Mr. Nitin Patil, IAS, Managing Director, Maharashtra State for plant tracking”. This will reduce water consumption three times. Tribal Development Corporation, et al. Dr. Ramachandran explained how his company is inspired by scientific A large number of prominent Central and State PSUs /Union innovation in agriculture on a pan India basis. He emphasized that the Departments & Ministries participated: Maharashtra Industrial philosophy of the late economist, Milton Friedman is no longer in vogue, Development Corporation (MIDC), Oil and Natural Gas Corporation that the only rationale for business should be the (single-minded) pursuit (ONGC), Rashtriya Chemicals & Fertilizers (RCF), Indian Telephone of profits alone. He was in favour of a policy of Banks giving loans for Industries (ITI), Petronet LNG, Industrial Finance Corporation of India Sustainability efforts on a differential rate of interest. Corporate boards (IFCI), Maharashtra State Electricity Distribution Company must guide CSR activities and companies must strive for innovative (MSEDCL), Maharashtra State Electricity Transmission Company boards to ensure efficient budget spending as well as to keep a check on (MSETCL), Maharashtra State Road Development Corporation CSR outlays. “CSR must be viewed in the context of how companies can (MSRDC), Jawaharlal Nehru Port Trust (JNPT), Maharashtra Pollution achieve true societal legitimacy”. He gave the example of how his Control Board (MPCB), Bharat Petroleum Corporation (BPCL), City company is promoting the cultivation of rice by direct seeding, which and Industrial Development Corporation (CIDCO), Maharashtra, utilizes only one percent of the water as compared to the traditional Tribal Development Department, Govt. of Maharashtra, Institute of method. “This effort alone could save the country trillions of gallons of Public Enterprise (IPE), Haffkine Bio Pharmaceutical Corporation, etc. water”. “The independent directors should lead the boards through best practices”. Day-1 (Wednesday, March 4): Lt. Gen. Kapoor stated that “Once a good activity gets a societal The Conference commenced with a video presentation of the last IOD platform, it has a snowballing effect”. He gave examples of 3 realities Global Convention-2020 at Singapore. It was very well-received by today: First, CSR is mandatory for profit making companies. Secondly, the large audience. India has a 'youth bulge'. CSR is no longer a choice but a compulsion. Plenary Session – I: Opening Session Thirdly, India is on the threshold of digital transformation. He listed 3 Mr. Shailesh V. Haribhakti, FCA Chairman, Institute of Directors, propositions in favour of CSR. First, it leads to security of the society. Mumbai Region & Board Chairman, Audit Committee Chair and Secondly, it develops corporate professional responsibility and thirdly, it Independent Director on multiple Boards in India delivered his is a strategic defense idea. “The gap between what we have done and ‘Welcome Address’ Lt. Gen. Anil Kapoor, VSM, Director General - what should do in future is huge”. He outlined 5 cardinal points of POISE EME, Indian Army, Dr. Raman Ramachandran Managing Director & CSR marketing strategy: P- Purpose & Passion, O- Ownership and CEO, PI Industries and Dr. Kavita Gupta, IAS Managing Director, Optimism, I- Innovation and Initiative, S-Skills and E-Effective, Efficient & Society of Integrated Coastal Management (SICOM) delivered the Energetic. “CSR should be done in partnership with the Government of ‘ S p e c i a l A d d r e s s ’ India to bring about large-scale change”. Scan for innovative ideas. “We Mr. Vineet Nayar Founder Chairman and CEO, Sampark Foundation, should focus on what we have and not on, what we do not have”. CSR is Author of Employees First, Customers Second, Ex. VC & CEO, HCL an exercise in creativity, he added. Technologies delivered the 'Theme Address' during the Session. Mr. Nayar talked about his experience in the private industry and Mr. Haribhakti outlined the philosophy of CSR. He explained three business and how we could now contribute, through CSR, the way which major outcomes of CSR: First, the laws governing CSR have been they haven't done in the last six decades. “There comes a time in life incorporated in the Indian Companies Act, 2013. It is stipulated that when making money is enough. If one has enough profits and enough 2% of the net profit of a company is actually spent on programmes for capital for one's own needs, one needs to do something more than that societal development. The priorities have been listed in Schedule –VII for a meaningful life”. “If you are in India and you want to bring about of the Act. Secondly, co-operation amongst organizations doing CSR social and economic change, it should be done on a big scale. If one has increased immensely. This trend is gathering momentum. Thirdly, doesn't do this, one is not using one's intellectual capability”. Spread of life-altering programmes have been launched. He gave the examples education through CSR is the best preventive against social unrest. “For of 'Akshay Patra', which is distributing mid-day meals amongst CSR to succeed fully, one must partner with the Govt”. “Education should thousands of school children, Ambuja Cement raising water table in make us not just employed but eligible for meaningful employment”. the whole of Gujarat, and Madurai town in Tamil Nadu which is now Dr. Gupta said “How to change one's disadvantage to advantage is the described as 'Heaven of Earth'. The famed Disha programme, the key to CSR”. CSR can act as a crucial and critical point for social empowerment of women being digitally educated by L&T Finance is transformation. One needs to – (i) Lessen carbon foot print, and (ii) also noteworthy. He gave out the figures that out of 2.5 lac crore that Focus on environment programmes (for both corporates and is being spent on development programmes in the country, the share individuals). She gave the example of global warming to inform how the of CSR money being spent is 50K crores. “It is a new factor in the Arctic Circle is getting smaller and ice is melting. At this rate, the human development of India”. He continued that it is more money than species may become extinct in the next 50 years. The sea-levels may rise money allotted for infrastructure development by the government of by 3 feet and this may submerge large parts of the world. She quoted the India. He gave the examples of vertical farming and saving water great social teenage activist, Greta Thunberg to say that she expects through oxygen generating plants. “Now is the time to take the big “people not to hope but to panic”. She cited the wisdom of the ancient 19 R E P O R T INAUGURAL SESSION Hon'ble Mr. Justice Cyriac Joseph Mr. G. M. Rao Lok Ayukta Kerala, Former Chief Justice Founder & Group Chairman, GMR of Karnataka and Uttarakhand High Group delivering the Inaugural Address Courts; Former Judge, Supreme Court of during the Inaugural Session India; Former Acting Chairperson and Member, National Human Rights Commission, delivering the Chief Guest Release of Convention Souvenir by Hon'ble Mr. Justice Cyriac Joseph along with Lt. Gen. J. Address during the Inaugural Session S. Ahluwalia, PVSM (retd.), President, Institute of Directors PLENARY SESSION 3 Ms. Shallu Jindal Mr. Prabhat Pani Mr. Sanjay Tiwari Chairperson, JSPL Foundation, and Director on the Senior Advisor - Partnership & Technology, Tata Chief Executive Officer, 21CC Education LLC Board, Jindal Steel & Power Ltd. Trusts The esteemed Panel of Speakers during audience interactions (From L to R): Mr. Prabhat Pani, Mr. Shailesh V. Haribhakti, FCA, Ms. Shallu Jindal, Mr. Sanjay Tiwari 20 R E P O R T Indian texts to say that Indian traditions have always favoured Justice Joseph said that he was constrained to say that he is a little planting of trees which are environment friendly and native to India - apprehensive of corporate leaders who acquire wealth by any means. He Peepal Tree, Tamarind, Wood Apple, etc. As a part of environment has, therefore, been consciously keeping a respectable distance from protection, each of us needs to plant five trees and cultivate them. Sometimes, slogans provoked him to think whether it is a sin to be nurseries. She explained the concept of 'stakeholder capitalism'. She rich or to acquire wealth. It is per se not so, but “it will be hard for a rich added that the world must appreciate the wisdom of Oscar Wilde to man to enter the Kingdom of Heaven”, he quoted from the Bible. He realise that one needs to know not the price of everything but the real addressed the issue that how one acquires and uses one's wealth is of value thereof. utmost importance. He complimented the IOD in its endeavours towards its CSR mission and makes it as a passion for the common people, with At the end of the Opening Session, the assembled dignitaries on the perception and conviction. “To encourage CSR is a commitment to dais released the Conference Souvenir along with the IOD Constitutional values to bring justice to all our citizens”. He stated that publications of 'Winners Digest', both on CSR and HR Excellence the traditional motto of 'live and let live' is not enough. The motto that and Handbook on Independent Directors. should drive the inspiration towards CSR is by expressing concern for The latest book on CSR by Prof. R. K. Mishra, Director, Institute of your neighbor - it should translate into 'live and help live'. He quoted Public Enterprise, Hyderabad was also released. Mahatma Gandhi to say that in the ultimate analysis, all wealth acquired Plenary Session – II: Inaugural Session through business is trusteeship. He explained the difference between 'efficiency and excellence'- the former is merely right knowledge but The eminent speakers in this Session were excellence has a moral dimension. • Lt. Gen. J. S. Ahluwalia Thereafter, the famed Golden Peacock Awards for 'HR Excellence' • Mr. G. M. Rao, and were presented to winners amongst business and industry. All the recipients of the Golden Peacock Awards and Commendation • Hon'ble Mr. Justice Cyriac Joseph. Certificates received the same in person. Lt. Gen. Ahluwalia in his Welcome Address stated that the IOD was Plenary Session – III: Board Leadership for strategizing CSR set up to prepare future-ready board directors and boards. It aims to provide training for aspiring directors and bring them together to This session was Chaired by share their experience and to network for global communications. He • Mr. Shailesh V. Haribhakti, FCA believed that networking is the key to global progress. There was Chairman, Institute Of Directors, Mumbai Region & Board urgent need for raising the level of standards and activities in Chairman, Audit Committee Chair and Independent corporates. “IOD is the strategic 'knowledge partner' for placement Director on multiple Boards in India. and recruitment of directors”. IOD is fully involved with the CSR, for Other eminent speakers were promoting inclusive growth. “It is the impact which is important, the impact of the CSR on companies”. He talked about key to motivation • Ms. Shallu Jindal and outlined reasons that drive them towards finding the IOD Chairperson, JSPL Foundation and Director on the Board, important and relevant in this context. He talked about setting up of Jindal Steel & Power Limited, India 'IOD Foundation' by the Institute of Directors, for assisting corporates • Mr. Prabhat Pani in managing their CSR projects. Senior Advisor - Partnership & Technology, Tata Trusts and Mr. Rao expressed his gratitude to IOD and acknowledged their • Mr. Sanjay Tiwari efforts to encourage CSR activities all over India. He stated that his Chief Executive Officer, 21CC Education LLC. Group's main aim is to impact under-privileged children. He described Mr. Haribhakti emphasized that the boards engaged in CSR have to look his own life-changing realization during one of his visits when he saw at (i) How cooperation is taking place within corporates doing CSR, (ii) To his neighbours in the village lacking even basic necessities. He scale up and (iii) To think big. “Think ambitiously. Don't just think immediately decided to dedicate his life toward making a difference, according to the parameters of your company”. Agriculture has to be and set up the GMR Foundation. “The element of making a difference transformed using exponential technology as it is 60% of the GDP. in the society says it all.” Education programmes, where even access “Women empowerment is an unleashed force which has immense to education is a big challenge, became his key target. Accordingly, potential”. Three things that the boards will need in order to synergize his Group now provides guidance and job opportunities in rural areas and strategize: (i) Cooperation, (ii) Innovation and scaling and (iii) with coaching classes. It promotes social entrepreneurship and Women empowerment. supports organizations and NGOs for rehabilitation and taking up social projects. He believed it is his duty to give back to society what Ms. Jindal stated that “the challenge is to make growth faster and more he has got from it, and his aim now is to reduce the gap between the inclusive”. Three aspects of the strategy to be opted by boards to rich and the poor. “CSR cannot be a government responsibility alone. strategize and innovate: (i) Monthly shareholder partnership (360 It is important to pool ideas. CSR is a Fundamental Duty of all citizens. degree approach), (ii) Prioritize key CSR investments in companies, and There is no greater joy than serving the society”. (iii) Deliberately aligning CSR investments by companies with the 17 SDGs (as listed by UNO) always in mind. This can be achieved through the 21 R E P O R T PLENARY SESSION 4 Ms. Deborah Leipziger Dr. Prashant Narnaware, IAS Prof. R. K. Mishra Mr. S. Sittarasu Author, Consultant on Social Joint Managing Director, The City and Senior Professor and Director, Director & Head - Port, Airport & Global Innovation, Sustainability, and Human Industrial Development Corporation Institute of Public Enterprise Infrastructure Industrial Services Rights, Lecturer, Founding Judge, (CIDCO), Maharashtra (PAGI), Jones Lang LaSalle (JLL), India Meaningful Business 100, Award- winning Poet, Lewis Institute, Babson College, USA and Chair of the Session The esteemed Panel of Speakers during audience interactions (From L to R): Prof. R. K. Mishra, Ms. Deborah Leipziger, Mr. S. Sittarasu, Dr. Prashant Narnaware, IAS PLENARY SESSION 5 Mr. Dinesh Waghmare IAS Ms. Meenakshi Batra Dr. (Ms.) Sara Varughese Ms. Ruby Ahluwalia, IRAS CMD, Maharashtra State Electricity Chief Executive Officer, Charities Aid Country Director & Managing Trustee, Financial Advisory & Chief Accounts Transmission Co. Ltd. (MSETCL) and Foundation India CBM India Officer (Const.), Indian Railways Chair of the Session 21 R E P O R T 3 P's (People, Planet, & Profits). “This IOD platform for CSR is an • Mr. S. Sittarasu, Director & Head-Port, Airport & Global encouragement for me to go back and give more”. JSPL's main areas Infrastructure (PAGI) Industrial Services, Jones Lang LaSalle of focus are: (i) Health and Nutrition, (ii) Water and Sanitation, (iii) (JLL) India and. Education, (iv) Sports, (v) Skill building, (vi) Women Empowerment Ms. Leipziger said that she believed in achieving a sustainable equality (such as Projects 'Saksham' and 'Shilpi'), (vii) Environment and and entities which work with society. She envisioned the next two Agriculture, (viii) Community infrastructure, (ix) Social inclusion and decades as something to look forward to. She mentioned some of her (x) Art and Culture. She also gave a very educative video presentation thoughts upon social design which address social needs. Look into about the CSR activities of the JSPL Foundation. companies and the projects they have been working on. For instance, Mr. Pani stated that “philanthropy and CSR have a very close Dell Company set their 'moonshot goals' with equal gender relationship”. He informed that Tata Trusts is doing philanthropy work representation. They focus on being natural resource-positive so that for more than a century and a quarter. Organisations doing CSR have energy generating companies encourage carbon neutral atmosphere. to partner with the Government of India for large-scale impact. He She emphasized on Excellence and wanted to build upon concepts cited examples of activities that make large-scale impact – Teacher about how she wishes to create the future of companies. She believed in training, urban poverty alleviation, safe drinking water and healthy the potential of Indian companies and advocated gender equality. food. The scope of CSR is very wide, which is quite evident with 1200 Dr. Narnaware expressed his dissatisfaction with the rich becoming ongoing projects across India by the Tata Trusts. “There is a need to richer and the poor becoming poorer, and the persisting inequality and partner with the Government of India and make an impact which no discrimination in our society. He said that faith brings people together in single entity can do alone”. Examples of such programmes are: (i) organizations from different sectors of life and society. “CSR should not Programme for cancer care in India, such as distributed model of be limited to some charitable activities but it is a step forward towards Cancer Care in Assam (2500 Cr + project), (ii) Integrated approach to the building of social capital. One should wish to introduce a voice for all technology in education, by linking technology education with current kinds of minorities and wanted all people to have an open mind and curriculum, (iii) Adopting best global practices in nutrition and thoughts on the issue. He described the power that humans can wield (iv)Staple food fortification. He outlined steps to strategize CSR: (i) A when they come together. “Strength and unity are important”, and he 10 minute slot in every board meeting for CSR and innovation related appreciated how the NGOs have taught us more than what we expected discussion, and (ii) CSR work done by the corporates should be put on of them. He was confident that good intensions towards life with social media so that people can see and be inspired. “In rural India, gratitude and appreciation will make the nation a super power. the focus of Tata Trusts is on tribal children, so as to check their micro- nutrient deficiencies”. Prof. Mishra advocated an attitude of happiness to attain success and creating a society which promotes emotions of happiness and joy. India Mr. Tiwari said that “skill development is not philanthropy but an can portray what we can do, and we should do so. He believed in close opportunity. A skilled employee delivers from day 1”. Skill relationship between trade, business and society, where trade must be development is good for the bottom line and hence it is good for mindful of the resources available. He stressed the need of raising GDP business. Unemployed youth do not stand still (such as recent Delhi as an example, which should encourage motivation among business protests showed). Skill development is a societal need. “We have to and industry. “CSR is a very big intervention”. He advocated the idea of a think ambitiously, think on a large-scale”. One can reach a large new law to make CSR mandatory. He wished education for everyone in audience through phones and 'gamification'. “Skills take a person India, to make the country march forward in the world. He stressed on from job A to job B and to job C”. “The right skills lead to the right jobs”. the need to maximize resources with higher investments in R&D, and Plenary Session – IV: Corporate Citizenship - Bridge between hoped that thereby “India becomes the 'knowledge capital' of the world”. Business and Society He wanted the Govt to encourage experimentation. This Session was Chaired by Mr. Sittarasu mentioned how harmony at home promotes global • Ms. Deborah Leipziger success. He regretted how CSR is being neglected among various Author, Consultant on Social Innovation, Sustainability, and organizations. He thought that start-ups have really brought to light Human Rights, Lecturer, Founding Judge, Meaningful many earlier shortcomings because of this new approach. He lauded the Business 100, Award-winning Poet, Lewis Institute, Babson various initiatives that the government has taken to connect Ports in College, USA. India and thereby open opportunities to employ millions of people. He believed that social and skill development is the key to support the entire Other eminent speakers were society and take it forward. He hoped towards a better and brighter • Dr. Prashant Narnaware, IAS future with CSR, and how present initiatives of government will help all Joint Managing Director, The City and Industrial Development the people eventually. Corporation (CIDCO), Maharashtra Plenary Session – V: The Business of Giving and Social Outreach • Prof. R. K. Mishra Programmes Senior Professor and Director, Institute of Public Enterprise, Hyderabad and The session was Chaired by • Mr. Dinesh Waghmare, IAS 23 R E P O R T The esteemed Panel of Speakers during audience interactions (From L to R): Ms. Meenakshi Batra, Ms. Ruby Ahluwalia, IRAS, Mr. Dinesh Waghmare IAS and Dr. (Ms.) Sara Varughese Country Director & Managing Trustee, CBM India PLENARY SESSION 6 Ms. Manisha Verma, IAS Ms. Smriti Rekha Vijay Dr. Arun Kumar Mr. Dilip Sawhney Principal Secretary, Tribal Development Independent Director & Chairperson - Head of South Asia, Bayer Managing Director, Rockwell Department, Govt. of Maharashtra CSR Committee, AkzoNobel India Ltd. Environmental Science Automation India Private Ltd. The esteemed Panel of Speakers being presented with a token memento by the Guest of Honour Mr. Subhash Desai Hon'ble Cabinet Minister for Industries & Mining, Govt. of Maharashtra State, India Mr. Subhash Desai Hon'ble Cabinet Minister for Industries & Mining, Govt. of Maharashtra State, India delivering the Guest of Honour Address 24 R E P O R T PLENARY SESSION 7 Ms. H. K. Joshi Mr. Mike Suffield Dr. Emandi Sankara Rao Mr. Malay Patel Chairperson & Managing Director, The Director – Professional Insights, ACCA - MD & CEO, IFCI Limited Independent Director, HDFC Bank Ltd. Shipping Corporation of India Ltd. Association of Chartered Certified Accountants, UK The esteemed Panel of Speakers during audience interactions (From L to R): Mr. Malay Patel, Ms. H. K. Joshi, Dr. Emandi Sankara Rao, Mr. Mike Suffield A view of the audience 25 R E P O R T Chairman & Managing Director, Maharashtra State Dr. Varughese said that philanthropic business can be turned to actual Electricity Transmission Company (MSETCL). business. She gave the example of her own disability to launch inclusive organic farming programme. “Disabled people are the most Other eminent speakers were marginalised strata of the society. They are the poorest. We not only give • Ms. Meenakshi Batra them jobs but their livelihood”. “Poverty cannot be eradicated by charity Chief Executive Officer, Charities Aid Foundation India (alone) as it is not sustainable”. Shared values and sustainability • Dr. (Ms.) Sara Varughese thinking should permeate all philanthropic work. CSR should focus on Country Director & Managing Trustee, CBM India and long-term goals. The priority should be to invest in agricultural enterprises, as much philanthropic work is needed in this sector. She • Ms. Ruby Ahluwalia, IRAS also advocated investing in FPOs. It will bring effective change in the lives Financial Advisor & Chief Accounts Officer (Const.), Indian of the poor and the disabled. “Let us invest in enterprises but without Railways. losing the social goal”. “CSR is an investment”. Mr. Waghmare stated that the prosperity of democracy should reach Ms. Ahluwalia related her own experience when she battled an to the bottom of the pyramid. Only then can it be said that the country advanced stage of cancer in 2009, and won the battle. Upon asking her as a whole is developed in the true sense. It is not only the doctor if she would get cancer again, her doctor said that here was a 'high responsibility of the State to look after welfare of the society but also chance of recurrence '. This incident gave birth to her book-'Fragrance of its individuals. The institutions' responsibility is to also to contribute a Wild Soul' - where she explained the causes of her cancer and formed to the achievements of the nation. Who are these individuals / her Foundation 'Sanjeevani', where cancer survivors become cancer institutions? They are nothing but we as citizens of this country and care givers. She reasoned to herself – “If not her, then who would do it? also corporates like us. Therefore, the concept of Individual Social There is life beyond cancer also”. Responsibility and Corporate Social Responsibility come into play. However, our efforts as compared to other developed states are much Plenary Session – VI: lesser. Therefore, we need to ponder upon the reasons why we are not CSR - Stakeholders Perspective on Responsibility, Ethics & Trust coming forward in big steps towards development of mankind. He The session was Chaired by was of the view that our structure, processes and systems are not • Ms. Manisha Verma, IAS favourable towards promoting and projecting CSR activities. “The Principal Secretary, Tribal Development Department, Govt. very essence of empowerment is the 'Art of Giving'. Somewhere, we of Maharashtra. are not into the concept of art of giving”. He congratulated the policy Other eminent speakers were makers for the legislation of making CSR mandatory, and thereby • Ms. Smriti Rekha Vijay, Independent Director & there are positive steps by various organizations towards CSR Chairperson - CSR Committee, AkzoNobel India activities. We at MSETCL are committed to bringing policies and programmes for reaching to the unreached through various • Dr. Arun Kumar innovative schemes. There is a Committee which takes decisions for Head of South Asia, Bayer Environmental Science and any spending less than 25 lacs and our Board is empowered to take • Mr. Dilip Sawhney decisions for spending above Rs.25 lacs. “We take a review of our Managing Director, Rockwell Automation India Private spending through DPR (Detailed Project Reports) and also physical Limited. visits to various locations where money has been spent”. Ms. Verma outlined the mission of her Department as 'Social Ms. Batra stated that CAF, India is promoting a culture of giving one Transformation through Partnership'. She also gave out her vision: partnership many opportunities. The business of giving is more of a “Empowering tribal communities and ensuring a development model cultural issue. She informed that CAF, India is a dynamic platform for that sustains while celebrating their unique culture and values”. The raising philanthropic capital from multiple sources for pressing social tribal students that they have provided with scholarships are turning out causes. Their work revolves around multiple thematic areas similar to at par with students from IITs. “Initiate creative partnership to encourage those found in CSR objectives. She listed their achievement of raising education”. They provide training to compete with India's leading 600 crores from 2,00,000 donors and 300 corporates. Their Mission schools, bagging several awards at various competitions. Her is to promote and support strategic giving for a more equitable and Department has initiated the 'Comprehensive Control Programme' sustainable society. “Good work done by corporates serves as a which also imparts life skills. Her Department had also initiated major desirable motivation for its employees”. She named the country that steps taken for lactating and pregnant women, keeping in mind their gives the most is Myanmar. CAF, India also aims to increase India's individual nutritional requirements and needs. They had managed to position on the Giving Index (which stands currently at 89). The payroll incorporate the use of GPS into their daily routine, thereby introducing giving programme, 'GAYE'- (Give as you earn) has also been launched them to modern technology to improve their lot. Her department had by them, through employee engagement programme. This can prove always stressed on the potential and talent of tribal children which could to be a 'game changer', when people get involved and are inspired to (hopefully) transform their lives into a better tomorrow by investing in effect change. “It is a humanitarian response – ready, responsible, quality education. relevant and resourceful”. 26 R E P O R T GOLDEN PEACOCK AWARDS PLENARY SESSION 8 The Guest of Honour, Ms. Rajashree Birla, Chairperson, Aditya Birla Centre for Ms. Rajashree Birla, Chairperson, Aditya Birla Centre for Community Initiatives and Rural Community Initiatives and Rural Development, Director on the Boards of Aditya Birla Group Development, Director on the Boards of Aditya Birla Group of Companies delivering the of Companies being welcomed by IOD President, Lt. Gen. J. S. Ahluwalia PVSM (retd.) Guest of Honour Address Hon'ble Mr. Justice Cyriac Joseph, Lok Ayukta Kerala; Former Chief Justice of Karnataka and Uttarakhand High Courts; Former Judge, Supreme Court of India; Former Acting Chairperson and Member, National Human Rights Commission also delivering his Guest of Honour Address ORKING W NET 27 R E P O R T Ms. Vijay explained that corporates are under limited liability. She thing that comes to mind is ethics and values. When we say the words was of the view that the corporates should be required to be corporate governance – the first thing that comes to mind is systems and accountable for all the consequences of their business activities and processes that are required to keep a check on the company”. not just the harmful effects. She believed in universal 'Karma' effect Governance has various angles such as – ethical, legislative, in life and stood for unity and trust. “The 'Code of Conduct' decides the economical, legal etc. “CSR is naturally embedded in the corporate ethical values of the organizations”. One must work to ensure that the governance of a company”. India is the first country in the world to make standards of corporate behaviour and conduct are good enough. CSR mandatory. If a company doesn't use the CSR budget for one year, it “Communication is essential to build trust”, and interaction gets you can be carried forward to the next fiscal year. “It is not enough for the to places along with social media and technologies. boards to allocate funds and then sit back”. Dr. Kumar stated that one should work towards one's purpose for Mr. Suffield talked of major CSR core challenge: The Climate change “Science for a better life”. It is a striving towards fundamentals of life challenge - the consequences of Climate Change are better understood values and innovations. Their company's aim is to eradicate malaria now. It is now a part of board meetings. Steps that can be taken are: (i) in the near future, wherein a big combined effort is expected to be Governance. The organization must disclose its governance strategy taken forward towards a safe planet and achieve safety and healthy around climate-related risks and opportunities, (ii) Strategy -it must goals for India. They earlier worked towards unique and innovative disclose the actual and potential impacts of climate related risks on the solutions after the great Mumbai flooding (in 2005), always keeping organisation's business, (iii) Risk Management, (iv) Metrics and target in mind the bigger picture. “Drought is a serious recurring problem in and (v) Set targets and goals. “Misinformation is dangerous for the India”, where they have developed the 'Drought Action Network'. “One (open) market”. must always push to make a positive impact on the environment with Dr. Rao outlined the IFCI's vision which was to be India's premier CSR sustainable methods”. organization. CSR is dealt with at various levels in IFCI: (i) Board of Mr. Sawhney explained how responsibility is the core and heart of Directors, (ii) CSR Committee of directors/Screening committee (iii) IFCI their company. Their core purpose is to make the industrial workers Social Foundation and (iv) CSR Department. The prominent theme areas and people healthy, to increase productivity. He posed the questions where CSR funds are spent are: (i) Skill Development, (ii) Healthcare, (iii) “What makes them responsible?” “What practices have they Welfare of the elderly people, (iv) Sports (v) Women Empowerment, (vi) developed”? He elaborated that for people to be successful, they Girl Child, (vii) Water conservation and sanitation, (viii) Development of need to follow a common code of conduct. He advocated more efforts rural areas and (ix) Sustainable Development activities. IFCI aims to by the people towards: (i) Efficient use of energy, (ii) Safety and (iii) make social impact by creating assets to deliver societal benefits to all Regular/frequent client interaction. “Safety is at the core of the geographical areas of India. He also cited the example of his own organization and promotes a commitment to be responsible in 'individual social responsibility'. He donates 50% of his earnings to 3 business”. One must realise how important it was to be a Responsible villages he has adopted back home. Impact created: He has touched Company and equally important to be mature at the early stages. almost all major theme areas prescribed under the Companies Act, Plenary Session – VII: 2013. Corporate Governance Processes - Embedding Legislative and Mr. Patel stated that there are many models of diversity. Diversity comes Financial Needs of CSR back to all the NGOs. HDFC Bank has been awarded one of the best CSR The session was Chaired by Awards in this fiscal year by Finance Ministry. This year, HDFC Bank's CSR • Ms. H. K. Joshi Budget is 550 crore. They were at no. 3 in CSR expenditure, after Chairperson & Managing Director, Shipping Corporation of Reliance & Tata. “We are doing CSR from the passion of the heart. We are India. promoting education, skill training, livelihood enhancement, rural development initiatives, healthcare and financial literacy through CSR”. Other eminent speakers were They are reaching out to the marginalised communities through • Mr. Mike Suffield sustainable livelihood training initiatives, make them earn first and then Director – Professional Insights, ACCA - Association of give back to the society. They have an umbrella scheme called Chartered Certified Accountants, UK 'Parivartan' wherein all projects are being taken care of. They have • Dr. Emandi Sankara Rao opened 950 schools through all the geographical areas on a pan India MD & CEO, IFCI Limited and basis, with direct or indirect expenses in computer labs, books and stationery, library & food facilities. He added that “holistic rural • Mr. Malay Patel development impacts people on a large-scale. It also empowers rural Independent Director, HDFC Bank Limited. women. The best is yet to come”. Ms. Joshi advocated that corporate governance should aim at All the Technical Sessions were followed by a detailed interaction with creating shared values. “When we say the word governance, the first the large audience. 28 R E P O R T CASE STUDY SESSIONS - PLENARY SESSION 8 Mr. Md. Sajid Khan Mr. R. G Rajan Mr. Nitin Patil, IAS Head of International Development, Association of Honorary Director, Institute of Directors, former Managing Director, Maharashtra State Tribal Chartered Certified Accountants (ACCA), UK chairing Chairman & MD, RCF Ltd. and former Chairman, Development Corporation chairing the ‘CSR’ Case the ‘HR Excellence’ Case Study Session - ‘Effective SCOPE & FAI chairing the ‘CSR’ Case Study Session - Study Session - ‘Successful Implementation of HR Practices for Organizational Excellence’ ‘Successful Implementation of CSR Practices - Part 2’ CSR Practices - Part 1’ INTERACTION WITH AUDIENCE A view of the audience 29 5(3257 3/(1$5<6(66,21 0U5DNHVK0RKDQ$JDUZDO 0U$ORN.XPDU&KRXGKDU\ 3URIHVVRU6KDOLQL%KDUDW 0U6DPLW$LFK &KDLUPDQDQG0DQDJLQJ'LUHFWRU,7, 'HSXW\0DQDJLQJ'LUHFWRU +5 'LUHFWRU7DWD,QVWLWXWHRI6RFLDO &KLHI([HFXWLYH2IÀFHU6PDOO6FDOH /LPLWHG &RUSRUDWH'HYHORSPHQW2IÀFHU6WDWH 6FLHQFHV 7,66 6XVWDLQDEOH,QIUDVWUXFWXUH %DQNRI,QGLD 'HYHORSPHQW)XQG 6,') 7KHHVWHHPHG3DQHORI6SHDNHUVGXULQJDXGLHQFHLQWHUDFWLRQV )URP/WR5 0U5DNHVK0RKDQ$JDUZDO3URIHVVRU6KDOLQL%KDUDW0U6DPLW$LFK 0U9LNHVK:DOLD $YLHZRIWKHDXGLHQFH 5HJLRQDO'LUHFWRU:HVWHUQ5HJLRQ,2',QGLD R E P O R T This was followed by a Drinks Reception for all the speakers, guests 4. Larsen & Toubro Limited, Water & Effluent Treatment IC: and delegates. Construction Plenary Session – VIII: 5. Rockwell Automation India Private Limited: Engineering GOLDEN PEACOCK AWARDS NITE Equipment Ms. Rajashree Birla, Chairperson, Aditya Birla Centre for Community 6. Adani Gas Limited: Gas Initiatives and Rural Development, Director on the Boards of Aditya 7. Ammunition Factory Khadki: Government (Defence) Birla Group of Companies was the 'Guest of Honour'. In her 'Special 8. ITC Limited, Hotels Division: Hospitality Address', she congratulated the IOD for taking this initiative on such a large-scale. It augurs well that the theme of the Conference is vital for 9. Aurobindo Pharma Limited, Formulation Division :Pharmaceutical integrating CSR into Corporate Strategy. “We live in an era of 10. JSW Energy Limited: Power economic dysfunction, high inequality, concern about Sustainable Second Concurrent Session – IX B: Successful Implementation of Future, and the impact of technology on mankind”. Today rampant CSR Practices - Part I individualism was overwhelming, and it is coming down to us from (Case Studies of Excellence) ages. George Eliot, an eminent author of Victorian era remarked that “individualism undermines economic and social foundation of the The Session was Chaired by Mr. R. G. Rajan, Honorary Director, Institute society, taking the world towards disorderly growth. Predatory of Directors, former Chairman & MD, RCF Ltd. and former Chairman, Capitalism has become the order of the day”. Having said that, at the SCOPE & FAI. Aditya Birla Group, Mr. Kumar Mangalam Birla has mandated The following organisations (Global & National) made their Compassionate Capitalism for the whole Group. He has said that presentations on 'Successful Implementation of CSR Practices - Part I': leadership in every organization has to be about Compassion. “Even Global: in business, we can't adopt a system of unguided capitalism. We have to work towards a system of compassionate capitalism with 1. WNS (Holdings) Limited, USA: BPO employees managing organizations, in a manner that they also work 2. Aster DM Healthcare, UAE: Healthcare for all employees, shareholders, stakeholders, the community and 3. Tata Consultancy Services Limited: IT the eco-system. “Growth for growth's sake can never be an end in 4. Tristar Group, UAE: Liquid Logistics itself”. When we pursue this path of compassionate capitalism, there is increased employee commitment and customer loyalty. “Business 5. PTT Exploration and Production Public Company Limited, has increasingly realised that they have to earn the respect and the Thailand: Oil Production goodwill of the society in which it operates”. “Business goals and CSR 6. Evalueserve AG, Switzerland: Research & Analytics goals (finally) converge”. National: Thereafter, the famed 'Golden Peacock Awards' (Global & National) 7. Greenko Solar Energy Private Limited: for 'Corporate Social Responsibility' were conferred by Hon'ble Mr. Energy (Renewable) Justice Cyriac Joseph and Ms. Rajashree Birla to winners amongst 8. Bharat Forge Limited: Engineering business and industry. Special Commendation Certificates for 'Corporate Social Responsibility' were also awarded. 9. Philips India Limited: Healthcare 10. Reliance Industries Limited: Petrochemical The first day's Conference concluded with formal Banquet for all the delegates, from India and overseas. 11. PI Industries Limited: Chemical & Fertilizer Day-2 (Thursday, March 5): Plenary Session – X: Promoting Socially and Ethically Motivated Community First Concurrent Session – IX A: Development Projects Effective HR Practices for Organisational Excellence (Case Studies of HR Excellence) This Session was Chaired by • Mr. Rakesh Mohan Agarwal The Session was Chaired by Mr. Md. Sajid Khan, Head of Chairman and Managing Director, ITI Limited. International Development, Association of Chartered Certified Other eminent speakers were Accountants (ACCA), UK. • Mr. Alok Kumar Chaudhary Ten organisations made their presentations on 'Effective HR Deputy Managing Director (HR) & Corporate Development Practices for Organisational Excellence'. A list of such organisations Officer, State Bank of India is as follows: • Prof. (Ms.) Shalini Bharat 1. Concentrix Daksh Services India Private Limited: BPO Director, Tata Institute of Social Sciences (TISS) and 2. Shree Cement Limited: Cement • Mr. Samit Aich 3. Godrej Industries Limited, Chemicals Division: Chemical & Chief Executive Officer, Small Scale Sustainable Fertilizer Infrastructure Development Fund (S3IDF). 31 R E P O R T Mr. Agarwal informed that ITI was in losses for 2 decades but for the Twelve organisations made their presentations on 'Successful last 3 years, it has become profitable. While the company was in Implementation of CSR Practices - Part II'. A list of such organisations is losses, they couldn't do CSR activities but now they are doing it as follows: effectively. “Efficiency is highly needed in CSR”. The past record plus National: frequent changes in official policy had brought inefficiency in the system. During 2017-18, ITI made many infrastructure changes, and 1. Ultra Tech Cement Limited - Unit: Birla White: Cement policies were fine tuned to make the organization viable. How did they 2. JK Lakshmi Cement Limited: Cement make the company revive? He himself replied that it was done through: (i) Self-manufacturing, (ii) In-house monitoring and project 3. L&T Finance Holdings Limited: Financial Services checking, (iii) Implementing 'IoT' (Internet of Things) and (iv) Focusing 4. IFCI Social Foundation: Financial Services on data centres for diversification of products. While implementing technology changes, one should make sure it is future proof. “ITI 5. Amway India Enterprises Private Limited: FMCG definitely has to spend more on CSR”. Modern technologies have the 6. The Indian Hotels Company Limited: Hospitality solution to almost everything. “Corporates should invest in technologies, in-house monitoring and bringing in experts in this 7. Chennai Petroleum Corporation Limited: Oil Refining field”. 8. Cipla Limited: Pharmaceutical Mr. Chaudhary stated that when communities evolve, they start by 9. Bharat Heavy Electricals Limited : Power Equipment having a deeper sense of cooperation, of compassion, innovation etc. 10. Jindal Steel & Power Limited: Steel which leads to affirmative human motivation to control resources, community etc. Community development projects are a remediation 11. Grasim Industries Limited: Textile & Apparel process for the ills that are generated when the community evolves. 12. Goa Shipyard Limited: Transportation (Shipping) 'Carrom motivation' is practised in corporates. For companies to do community intervention (non – disruptive) they should ask Plenary Session – XII: Valedictory Session themselves the following social and ethical questions: (i) Do we The Concluding Session of the Conference was the Valedictory Session. respect the community? (ii) Are we aiming for a self-sustainable A brief Presentation on 'Conference Proceedings & Recommendations' community? He also explained the principle behind SBI Foundation – was made by Mr. Ashok Kapur, IAS (retd.), Director General, IOD, India, 'Service Beyond Banking'. Projects taken up by the SBI Foundation and is reproduced elsewhere in this Issue. are: (i) SBI Gram Seva, & (ii) SBI 'Youth for India' fellowship. “There is a lag between Quality and Quantity which is huge”. We should do our bit At the conclusion of the two-day event, Closing Remarks and Thanks because we all have a common purpose in promoting CSR objectives. were proposed by Mr. Vikesh Walia, Regional Director - Western Region, IOD, India before all the delegates present, especially foreign experts Prof. Bharat explained the philosophy and the rationale behind the and delegates, awardees, partners, speakers and corporate and concept of CSR. It has matured in the past years. CSR is now business leaders from India and abroad. everywhere we can see. Corporates have realised that they are an integral part of the community and they should also contribute to it. Special thanks were conveyed to the Golden Peacock Awardees for One should also consider social aspects while considering having come personally to Mumbai to receive the Awards in person, technology solutions. “Social development projects should be along with their respective team members. socially inclusive, financially viable and environment friendly”. Work Special thanks were proposed to Maharashtra Industrial Development on CSR is still in a nascent stage in India. CSR activities are very Corporation (MIDC) and Association of Chartered Certified Accountants scarce in the North East. There is vast inequality on CSR funds as (ACCA), UK for being Principal Partners, and the support extended by the distributed across India. “CSR should be viewed as a long-term IOD Foundation. investment in goodwill”. A balanced approach to CSR is important. Special Thanks were proposed & conveyed to various generous Silver Mr. Aich talked about a new concept called CSV (Creating Shared sponsors for the Conference - Tribal Development Department, Govt. of Value). CSV is CSR with a business approach. “Efficacy of the policies Maharashtra, Nettur Technical Training Foundation (NTTF), Indian and their implementation still needs an inclusive refinement”. There is a 'triple bottom line' concept in CSV also. The evolving approach in Telephone Industries (ITI), Raymond Group & Ravin Group. human social development means: (i) Philanthropy (donation), (ii) Thanks were also proposed for Bronze Partners: HDFC Life, Petronet CSR & (iii) CSV. In CSV, corporates are contributing to inclusive growth LNG, Oil & Natural Gas Corporation (ONGC), Rashtriya Chemicals & while at the same time strengthening their companies. CSV is already Fertilizers (RCF), Bharat Petroleum Corporation (BPCL), Industrial embedded in some well-known companies such as – Body Shop, ITC, Finance Corporation of India (IFCI), Maharashtra State Electricity Wipro, HUL, Amul, Kissan, etc. CSV should become a part of corporate Distribution Company (MSEDCL), Maharashtra State Electricity strategy planning. Transmission Company (MSETCL), Maharashtra State Road The Technical Session was followed by interaction with the audience. Development Corporation (MSRDC), Jawaharlal Nehru Port Trust (JNPT), Plenary Session – XI: Successful Implementation of CSR Practices Maharashtra Pollution Control Board (MPCB), Institute of Public - Part II (Case Studies of Excellence) Enterprise (IPE), Haffkine Bio Pharmaceutical Corporation, etc. The Case Study Session was Chaired by Mr. Nitin Patil, IAS, Thanks were conveyed to the Hotel Taj Lands End, Mumbai authorities Managing Director, Maharashtra State Tribal Development for making excellent arrangements for the Conference. Corporation. 32 R E P O R T Mr. Ashok Kapur, IAS (Retd.) Director General, Institute of Directors, India REPUBLIC TV Channel were conveyed the gratitude of the IOD for Compiled by: covering the event so comprehensively as the Media Partner. The entire Mr. Ashok Kapur, IAS (Retd.) two-day Conference was covered by the REPUBLIC TV Channel. It was Director General telecast twice, for 30 minutes each, all over India during the subsequent Institute of Directors, India weekend. Sponsors & Partners Principal Partner Principal (Strategic) Partner Supported By Silver Partners Bronze Partners Maharashtra Pollution Control Board Media Partner 33 Golden Peacock Awards® WINNERS & HIGHLIGHTS OF A Strategic tool to Lead the Competition ACHIEVEMENTS 2019 The Award is being jointly presented by Ms. Rajashree Birla, Chairperson, Aditya Birla Centre for Community Initiatives and Rural Development and Director on the Boards of Aditya Birla Group of Companies and Hon'ble Mr. Justice Cyriac Joseph, Lok Ayukta Kerala, Former Chief Justice of Karnataka and Uttarakhand High Courts, Former Judge, Supreme Court of India and Former Acting Chairperson and Member, National Human Rights Commission. Also seen (Left), Lt. Gen. J. S. Ahluwalia, PVSM (retd.), President, Institute of Directors. GOLDEN PEACOCK GLOBAL AWARD FOR CORPORATE SOCIAL RESPONSIBILITY (GPGACSR) WNS (Holdings) Limited BPO USA WNS (Holdings) Limited, USA is listed in New York Stock Exchange and is delivering business services management solutions. The vision of WNS is to enrich children/youth with real-life skills for under-privileged and poor. Attached to each beneficiary school is a Learning Centre that designs programmes and activates course customized to the needs of that school. Some customized programmes are: self-defence course for female students in Mumbai; English course in Poland; and providing Mr. Gopal Agrawal, Chief Internal Business Officer & computers in Sri Lankan Village. Head – CSR receiving the Award Aster DM Healthcare Healthcare UAE Aster DM Healthcare, UAE provides quality healthcare at affordable costs to its patients. Its CSR programme is based on the strategy to involve stakeholders in CSR activities through one-on-one meetings, website, social media and print and media channels and newsletters. Key positive impact of CSR programmes include remote villages in India covered through mobile clinics undertaking early detection of cancer, free dialysis and other medical facilities. Over four lakh people Mr. T. J. Wilson, Executive Director & Group Head benefited through mobile medical services. Governance & Corporate Affairs receiving the Award Tata Consultancy Services Limited IT India Tata Consultancy Services Limited, India is a unit of Tata Group engaged in IT enabled services and IT consultancy. The company focuses in its CSR programme, on “impact through empowerment”. CSR activities are tailored to specific needs. Employee volunteering programme is spread over all continents. STEM (Science, Technology, Engineering, Maths) educational programme in North America Project “goIT” is completely free of cost. It offers in-person, industry-led mentorship to middle and Mr. Joseph Sunil Nallapalli, India Head - Corporate Social high school students from under represented communities. The Responsibility receiving the Award programme impacted directly more than 25,000 students, expanded into 77 cities across the US and Canada. Tristar Group Liquid Logistics UAE Tristar Group, UAE provides services to shipping, owning and chartering, aviation fuel supply, specialized warehousing, and port agency facilities. The Tristar steering committee is led by Chief Executive Officer and board members. The focus areas of activities are: Employment for the disabled/poor; social infrastructure; education; healthcare; and water supply. Its CSR activities are widely spread in African countries like Sudan and Congo. School education and healthcare through Mr. Balaji Nagabhushan, Group Chief annual blood donation and screening camps have made their impact. Administrative Officer receiving the Award 35 W I N N E R S PTT Exploration and Oil Production Production Public Company Limited Thailand PTT Exploration and Production Public Company Limited, Thailand is a national petroleum exploration and production company. Its Board approves CSR roadmap, strategy, budget and work plan for projects and activities. Strategic planning process for CSR projects comprises of four steps: Stakeholder analysis; development of strategic projects; implementation and monitoring; and evaluation on the basis of social Mr. Siriphong Fuenglikhit, Vice President - Social return-on-investment. The company has introduced a “Love your Responsibility Department receiving the Award Neighbours” Project which is based on volunteering by the company’s staff. A crab hatchery learning centre project has been launched. Evalueserve AG Research and Analytics Switzerland Evalueserve AG, Switzerland is a leading company specialized in consulting, knowledge services, analytics and digital platforms. The strategies to execute development activities are: setting clear priorities, implementing CSR activities and evaluating the strategy. It has undertaken CSR projects in following categories: skill development, primary education, better living and support for persons with disabilities, women empowerment and healthcare. Employee Ms. Vanita Jain, Senior Manager receiving the Award participation through volunteering in community development works is a special approach. The company is supporting CSR activities in a number of countries including, China, India, Chile and Romania. Emirates National Oil Company (L.L.C.) Oil Production UAE Emirates National Oil Company (L.L.C), UAE is a wholly owned entity of the Government of Dubai. The company owns and operates in the field of exploration and production, supply and operations of aviation fuel and petroleum products for commercial and industrial use. CSR focused areas, based on stakeholder consultations are: environment, health and safety and education benefiting youth, economically/socially disadvantaged groups, and children. The Carbon Ambassador Programme aims to involve university students and professionals with UAE's activities in line with the green economy and sustainable development initiative. Al Noor Training Centre for children with special needs has been specially developed. GOLDEN PEACOCK AWARD FOR COPORATE SOCIAL RESPONSIBILITY (GPACSR) UltraTech Cement Limited, Unit: Birla White Cement Jodhpur UltraTech Cement Limited, a part of the Aditya Birla Group, is manufacturing white cement, wall care putti and glass reimposed concrete. Social programme for monitoring is through process of measurement against pre-defined objectives. CSR projects are focused on education, health, sustainable livelihood, infrastructure development and social welfare. 33 Self-Help Groups have been established in various villages for training in financial management and Dr. Pragnya Ram, Group Executive President - Corporate Communications & CSR, Aditya Birla Management skill development and subsequently undertaking income generation Corporation Private Limited receiving the Award activities. 37 :DQWWREHFRPHD%RDUG'LUHFWRU" ,QVWLWXWHRI'LUHFWRUV %HFRPHDQ,2'&HUWLÀHG&RUSRUDWH'LUHFWRU ,1752'8&,1*21/,1( 'R\RXQHHGDZHOO WUDLQHGDQGDFHUWLÀHG 9,578$/9,578$/ &25325$7(',5(&725" &/$66&/$66 UHJLVWHU QRZ ZZZLRGJOREDOFRP 0DVWHUFODVVIRU'LUHFWRUV OHDGLQJWR¶&HUWLÀHG&RUSRUDWH'LUHFWRUVKLS· 12:-2,1)25%$7&+12 $FRQGHQVHG 7UDLQLQJSURJUDPPHIRU 6$785'$< 6$785'$< -XQH -XQH &RPSDQ\'LUHFWRUV 681'$< 681'$< 6HQLRU([HFXWLYHV -XQH -XQH 217:2:((.(1'6 &29(560RGXOHV &RUSRUDWH*RYHUQDQFH &RPSDQLHV$FW6(%, /2'5 5HJXODWLRQV 5ROHV 5HVSRQVLELOLWLHVRI,QGHSHQGHQW 'LUHFWRUV'XWLHVDQG)XQFWLRQVRI &RUSRUDWH%RDUGV %RDUG&RPPLWWHHV 6HQLRU([HFXWLYHV7UDLQHG &655LVN0DQDJHPHQW)LQDQFH 29(5%DWFKHVFRPSOHWHGDFURVV,QGLD %RDUG6LPXODWLRQHWF $OVR-RLQWKHSRRORI,QGHSHQGHQW'LUHFWRUV &UHDWHDSURÀOH XSORDG\RXU&9RQ ZZZFHUWLÀHGFRUSRUDWHGLUHFWRUVFRP ,167,787(2)',5(&7256 0$*UHDWHU.DLODVK3DUW,, 0DUNHW 1HZ'HOKL%RDUG1RV (PDLO LQIR#LRGJOREDOFRP:HE ZZZLRGJOREDOFRP W I N N E R S JK Lakshmi Cement Limited Cement New Delhi JK Lakshmi Cement Limited is a public limited company involved in cement manufacturing and marketing. Its CSR committee consists of four members, including one Independent Director. The company has a dedicated team focusing on CSR initiatives. Its CSR programmes cover health, education and vocational training with a focus on vulnerable groups and empowering women through holistic development. Over 7,000 women have been made functionally literate. Mr. Sanjeeva Kumar Jha, Deputy General Manager – CSR receiving the Award PI Industries Limited Chemical & Fertilizer Gurugram PI Industries Limited is a public listed company manufacturing and distributing agro-chemicals. Its CSR policy is directed towards inclusive development that benefits especially the deprived society. The CSR committee has four directors, out of whom 2 are independent and the Mr. Vijay Kumar Singh, Head – CSR receiving the committee is headed by an independent director. CSR activities include Award sustainable agricultural practices, women empowerment, healthcare, skill development and employment. Sustainable rice production through conservation of natural resources by promoting direct seeding of rice is a unique achievement, saving costs and water. Ircon International Limited Construction New Delhi Ircon International Limited is a public sector enterprise under the Ministry of Railways involved in construction and infrastructure activities. Transparency, integrity and accountability are applied to CSR projects. Post-completion of CSR projects, social, and ethical evaluation are conducted by an independent external agency. Special project ‘Ankur’ is in place with the objective to strengthen the Anganwadis Mr. Sunil Kumar Chaudhary. Chairman and Managing through capacity building of its teachers and supervisors and early Director receiving the Award childhood education. It also supports employment generation programmes. Accenture Solutions Private Limited Consultancy Bangalore Accenture Solutions Private Limited is a leading global professional services company providing a range of solutions in strategy, consulting, digital technology and operation. Its CSR committee has 3 directors and 3 permanent invitees. CSR activities focus on skilling youth for IT and IT enabled jobs and helping them in getting employment. A special project for ITI students, making them suitable for market, has made its impact Ms. Kinkini Roychoudhary, Director - Accenture and is reported to have reached 350 ITIs and enabled 65,000 young Strategy receiving the Award people. 39 W I N N E R S Greenko Solar Energy Private Limited Energy Hyderabad (Renewable) Greenko Solar Energy Private Limited is a leading renewable energy company in India with assets across different forms of renewable energy. CSR policy has identified four focused areas as education, healthcare, rural development and environment. Proactive consultation is conducted with the potential local level beneficiary agency before launching any activity. It has a special project “Diagnostic screening and treatment of eyes for the people living in remote areas in Mr. Diwakar CVS, Vice President – CSR receiving the Award Himachal Pradesh” to eliminate avoidable blindness. Over 2,000 people were screened in the initial phase. Bharat Forge Limited Engineering Pune Bharat Forge Limited is a public limited company involved in manufacturing of general engineering equipment for various industrial segments. Its CSR committee has three board members out of whom one is an independent director. The company provides formal and informal education for underprivileged children of the society. “Village Development Project” for developing 100 villages is in place with the objective to provide sufficient water to whole village throughout the Ms. Leena Deshpande, Associate Vice President - HR & Head - Corporate Social Responsibility receiving the year. Skills development and women empowerment have been the Award specific focus areas. L&T Finance Holdings Limited Financial Services Mumbai L&T Finance Holding Limited is a diversified NBFC promoted by L&T and is offering rural finance, housing finance, infrastructure finance, and investment management. Its CSR committee is chaired by an Independent Director and consists of five directors out of whom two are independent. CSR efforts are woven around sustainable livelihood for rural communities. The largest beneficiaries are farming communities, especially marginalized farmers and women entrepreneurs in agri and Ms. Richa Pant, Head - Group CSR and Sustainability receiving the Award agri-allied trade. Its special project “Digital Sakhi” which has focus on gender equality has become an effective change in the community. 85% women entrepreneurs used digital mode of payment. IFCI Social Foundation Financial Services New Delhi IFCI Social Foundation is the CSR arm of IFCI Limited, which was the first development financial institution in the country, set up to cater to long term finance needs for the industrial sector. Thrust areas of CSR are employment generation and increase in productivity, education, healthcare, social infrastructure and sustainable development. The foundation has supported 500 landless and poor farmers belonging to Dr. Emandi Sankara Rao, Chairman receiving the the SC and ST and other backward classes. It has benefited 500 direct Award and 2000 indirect beneficiaries. 41 W I N N E R S Amway India Enterprises Private Limited FMCG Gurgaon Amway India Enterprises Private Limited is a private company dealing in products across nutrition and wellness, homecare, personal care, beauty etc. The CSR committee includes two whole time directors and the Company Secretary. CSR focus areas have been education, land, livelihood, health and nutrition programmes, skills development, especially for visually impaired persons. The company has defined specific key performance indicators to monitor and evaluate the Mr. Raj Narain, Manager - Corporate Social progress of CSR projects. Its project “Sunrise” provided support for Responsibility receiving the Award health and education to 35,000 underprivileged children in 60 cities. GAIL (India) Limited Gas New Delhi GAIL (India) Limited is a public sector undertaking with main product as natural gas marketing and transmission, petrochemicals, city gas distribution etc. CSR projects are focused on socio-economic empowerment of people from disadvantaged groups. Skill development institutions are promoted to cater to the need of skilled manpower in hydrocarbon sector. Project “GAIL Utkarsh” has the objective to Mr. Shanu Kumar Rajak, Senior Officer – CSR receiving the Award transform the lives of students by strengthening their academic excellence to residential coaching and preparing them for engineering examination. 791 students have taken admission in various engineering colleges. Philips India Limited Healthcare Gurgaon Philips India Limited is in the business of manufacturing, selling and distribution of healthcare, and personal care products. CSR Committee, having four board directors as its members, decides on the policy and programmes. CSR activities include healthcare and medical facilities, mobile medical vans, education and disaster relief. ‘Smile on Wheels’ is Ms. Sakina Baker, Head - Corporate Social the preventive and basic curative healthcare mobile programme at the Responsibility receiving the Award national level to cater to underprivileged children. Project “Har Sans Mein Jindgi” has the objective to promote awareness and improved care behaviors for childhood pneumonia. The project has reached to more than 30 million people through multiple channels. The Indian Hotels Company Limited Financial Services Mumbai The Indian Hotels Company Limited belongs to Tata Group of Companies. The CSR programmes are in focused areas of vocational development, partnerships to preserve and promote indigenous heritage, culture, art and handicrafts, disaster relief and rehabilitation and income generation. This includes employment for the disabled/poor through training at 14 Taj-TATA Skill Training Centers and job placement; educational expenses provided till graduation level and few specialized courses to the children victimized by attack on Mumbai in November 2008. Strategies include corporate community Mr. Alok Vijayvergiya, AVP - Sustainability and CSR funding/socially responsible investments and public private receiving the Award partnership. 43 +RZWRTXDOLI\LQ ,QVWLWXWHRI'LUHFWRUV 2QOLQH3URÀFLHQF\6HOIDVVHVVPHQW7HVW" $UH\RX5($'<WRVHUYHRQD 12: %RDUGRI'LUHFWRUV" 5(*,67(5)25 21/,1( 352*5$00( -RLQWKH2ULHQWDWLRQ3URJUDPPH 2QOLQH IRU ,QGHSHQGHQW'LUHFWRU V 3URÀFLHQF\7HVW 1(;76&+('8/( 0D\-XQH :((.(1'6 %DWFKHVUXQQLQJSDUDOOHOKDYLQJPD[LPXPSDUWLFLSDQWVLQHDFKEDWFK %(1(),762%-(&7,9(6 (QKDQFH\RXUUHSXWDWLRQRQ%RDUGV2QH\HDUFRPSOLPHQWDU\PHPEHUVKLSRI,QVWLWXWHRI'LUHFWRUV WRQRQPHPEHUV6WUHQJWKHQ\RXUDELOLW\WRVHFXUHGLUHFWRUVKLSRSSRUWXQLWLHVă6\QFKURQRXVDQG V\VWHPDWLFOHDUQLQJE\UHQRZQHGVSHDNHUV2QHWRRQHFRPPXQLFDWLRQWKURXJKRQOLQHTXHU\UHGUHVVDO $VSHUWKH&RPSDQLHV5XOHV HIIHFWLYHIURPVW'HFHPEHU WKHH[LVWLQJ,QGHSHQGHQW 'LUHFWRUVZKRKDYHVHUYHGOHVVWKDQ\HDUVDVD'LUHFWRUDQGWKHSURIHVVLRQDOVDVSLULQJWR EHFRPH,QGHSHQGHQW'LUHFWRUVDUHUHTXLUHGWRSDVVWKH2QOLQH3URÀFLHQF\6HOI$VVHVVPHQW7HVW /,0,7('6($76 VXEMHFWWRDYDLODELOLW\DWWKHWLPHRIUHJLVWUDWLRQ 5HJLVWUDWLRQ)HH )HH 5V*67 6$& 'LVFRXQWRQ5HJLVWUDWLRQ)HH IRU,2'0HPEHUV IRU$OXPQLRI0DVWHUFODVVIRU'LUHFWRUVRI,2' IRU:RPDQSDUWLFLSDQWV ,QDQ\FDVHWRWDOGLVFRXQWVKDOOQRWH[FHHG IRUODWHVWVFKHGXOH WRUHJLVWHURQOLQHYLVLW ZZZ,2'*OREDOFRP W I N N E R S SAP India Private Limited IT New Delhi SAP India Private Limited is engaged in software and technology services in India. CSR activities are focused on imparting digital and computer literacy, digital education, skill development, and child development. In 2019, 6,790 employees volunteered for CSR initiative and contributed over 70,000 employee volunteering hours. It shares the support for the vision of ‘Digital India’ and ‘Skill India’. Project Mr. Shriram Bhave, Regional Head - Strategic “Building Intelligent Community” has the objective to empower rural Industries receiving the Award community, citizen, youth and women through educational and digital literacy initiation. The programme has an outreach to 230 villages and over 1 lakh students were trained under digital literacy. Hindustan Media Ventures Limited Media Noida Hindustan Media Ventures Limited is engaged in printing and publication of newspapers and periodicals. The board committee on CSR directs on the CSR policy and activities. The project “Atulya Gram” – developing the best model village in India’ has the onus to bring transformational change in two impoverished villages - Lohvan and Mr. Rajat Manchanda, Deputy General Manager – Gosna - in Mathura District. The objective is to inspire other villages to Marketing receiving the Award join the journey, motivate villagers in the chosen villages to own responsibility for their upliftment and enable villagers to become economically self-sufficient and competent to take on the new challenges. Bharat Aluminium Company Limited Mining & Metallurgy Korba Bharat Aluminium Company Limited is a public limited company and one of the largest producers of aluminium in India. Major projects of CSR were in the thrust areas of: agricultural development, skill development, women empowerment, education, health and healthcare. Employment for the disabled/poor was provided through project “Skilling Schools”; land and water management benefited 750 farmers, clean drinking water supply maintained in mines areas; and Mr. Vivek Singh, Community Development Manager women empowerment was facilitated through SHG mobilization and receiving the Award linkage with income generation activities. Chennai Petroleum Corporation Limited Oil Refining Chennai Chennai Petroleum Corporation Limited is a joint venture, with Indian Oil Corporation Limited being the major shareholder, and is producing LPG, motor spirit, kerosene, aviation turbine fuel and high speed diesel. CSR projects are focused on benefits to weaker sections, deprived and underprivileged and tribal communities. CSR activities included healthcare, education, skills development, Swatch Bharat Abhiyan and livelihood mainly for weaker sections. Its environment related projects Mr. S. N. Pandey, Managing Director receiving the include recycling plastic waste and creating awareness of recycling Award plastic waste. 45 M E M B E R S H I P Institute of Directors 31,000 MEMBERS & CONNECTIONS ACROSS THE GLOBE NETWORKING & PROFESSIONAL DEVELOPMENT Singapore An opportunity to connect with Benefits Business Leaders & Board Experts by becoming a Essential Network of Directors, Senior Executives & Business Leaders: • A powerful network to meet and interact with top international experts, parliamentarians, Member of IOD, India policy makers, etc. at Discussion Forums, Seminars and Special Member Events. • Provides platform to focus and find solutions to some of the most burning issues related to Boardroom Practices, Quality, Environment, Good Governance, CSR, Sustainability, Climate Change and social development agenda, through various programmes and activities. • Keeps Members updated with the latest trends on boardroom issues, global surveys and related government, legal & SEBI regulatory rules etc. Conference and workshops on a Additional Benefits for diverse range of subjects organized in India and few selected countries (as decided from time to time). 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(maximum 100 words), for each director in any one • Member's name gets listed on IOD website and printed in the periodic issue of 'Director issue, within 6 months of Membership. Today'. • Any Existing Member converting to Life Member would • Special 20% Discount on Board & Director’s Performance Evaluation and Corporate be entitled to 10% discount on Life Membership fee. Governance Compliance services rendered by IOD's Board Research and Advisory. • Complimentary Inclusion in the panel of Independent • Free Subscription for 'Director Today' - a professional monthly journal of IOD (e-copy for Directors for help in placement, maintained by the IOD's Global Members). 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INSTITUTE OF DIRECTORS www.iodglobal.com M-56 A, Greater Kailash Part - II (Market), New Delhi-110048, India For more info: [email protected] Board Nos.: +91-11- 41636294, 41636717, 41008704 Fax: +91-11- 41008705 • Email: [email protected] W I N N E R S Reliance Industries Limited Petrochemical Mumbai Reliance Industries Limited is one of the largest exploration and hydrocarbon production players in India. CSR policy is aimed at improving lives, living and livelihood for a stronger and inclusive India. The focus of CSR activities is on rural transformation, health, environment, education, disaster response, sports, heritage and culture and urban development. A special project “The Reliance Information Services Programme Improving Rural Livelihood” is in place Mr. Jagannatha Kumar, Chief Executive Officer, Reliance Foundation receiving the Award with the objective to provide and run a knowledge grid to connect stakeholders with beneficiaries. The programme has reached out to 7.2 million beneficiaries from 18 states of India through digital platform. Cipla Limited Pharmaceutical Mumbai Cipla Limited is a global pharmaceutical company being a pioneer in Active Pharmaceutical Ingredients (API) manufacturing in India. The CSR committee consists of five members, out of whom two are independent directors. CSR activities are focused in sectors of healthcare, education, skill development and disaster management. Their Foundation supported students from financially challenged background to undertake B.Sc course; and one third of them are Ms. Rumana Hamied, Managing Trustee, Cipla Foundation receiving the Award employed with the company. Over 75 villages are connected under door-step healthcare scheme. “Cipla Palliative Care and Training Center” is in place with the objective to increase access to quality Palliative Care Services for patients with serious illness. It has reached out to more than 15,000 patients. CESC Limited Power Kolkata CESC Limited is the flagship company of RP-Sanjiv Goenka Group and is involved in electricity generation, transmission and distribution. CSR activities are focused on education, healthcare, environment, school building, community development, sanitation, skills development and childcare. A special project “Roshni” is under implementation with the objective to ensure early childhood care and education, access to retention in primary, elementary and secondary school system, enhance scholastic skills of children, improved access to health and Dr. Neepa Saha Sharmaa, Head – CSR receiving the Award nutrition services for deprived children. Another project “Nirmal Kolkatta” is a community sanitation project where bio-toilets have been installed benefitting 2,500 resident population. Bharat Heavy Electricals Limited Power Equipment New Delhi Bharat Heavy Electricals Limited is a Maharatna public sector unit involved in manufacturing equipment and industrial products and systems. Key positive inputs provided by the company to the neighbouring communities include: income generation, education, healthcare, water supply, sanitation and environment protection. Under the initiative “Clean India”, clean drinking water plants and water wells have been installed in villages. 25 clusters of bio-digester toilets have been installed. CSR initiative under “Educated India” provides Mr. Anil Kapoor, Director – HR receiving the Award continued financial support to schools located in townships of the company for making quality education accessible to students of weaker sections of society. 47 W I N N E R S Bridgestone India Private Limited Rubber Pune Bridgestone India Private Limited is one of the leading manufacturers of automotive tyres and tubes. CSR activities were taken up in the areas of education, healthcare, women empowerment, road safety, environment, sustainability and skill development. Under project “Drishti” truckers are screened with visual activity test, and patients with major eye related disease referred to hospitals. Over 5,000 truckers were screened of whom 2,000 were given spectacles. Under Mr. Apurv Choubey, Chief Human Resources Officer project “Sarthi”, 336 youth were trained in 45 day residential course receiving the Award and 254 participants were placed in different organizations and a few others opted for self-employment. Jindal Steel & Power Limited Steel Gurugram Jindal Steel and Power Limited is involved in steel and steel products and power plants. The company’s CSR focus areas are: health, education, livelihood, sports, arts and culture, skill development, water supply and social infrastructure. The company has a social project “Kishori Express” for improving the health of pregnant women through regular haemoglobin check-up, awareness creation and nutrition supplementation. The programme has been implemented across 520 Ms. Shallu Jindal, Chairperson, JSPL Foundation and Director, Jindal Steel & Power Limited receiving the Award villages and covered over 62,000 girls. Sterlite Technologies Limited Telecom Equipment Pune Sterlite Technologies Limited is a part of the Vedanta Group and is a public limited company involved in manufacture of optic fiber network cables, software and telecommunication services. CSR activities focus on areas of education, women empowerment, health, community development and environment 480 municipal corporation schools in Ms. Akanksha Sharma, Head - CSR & Sustainability Greater Mumbai are connected to a centralized broadcasting center in receiving the Award Dader from where lectures are delivered. A project titled “Equipping women with the power to control their destiny” is in place with the objective to enable women holistically. 1381 women are covered under its tailoring, special designing, MS Office and computer data entry course from over 100 villages. Ericsson India Global Telecommunication Services Private Limited Noida Ericsson India Global Services Private Limited is one of the leading providers of information and communication technology to service providers through its network. Its CSR committee has ten members including directors and senior executives. CSR activities include e- learning, entrepreneurship, and sustainable community development programmes. The company takes a full value chain perspective to conducting responsible business. A project “Use of ICT for Food Ms. Sakshi Mehta, Head - Sustainability & Corporate Responsibility receiving the Award Security” in Odisha is undertaken under UN World Food Programme in collaboration with Government of Odisha in a sustainable manner. 49 Institute of Directors I N S T I T U T E O F D I R E C T O R S BOARD PERFORMANCE RESEARCH EVALUATION BR&A & ADVISORY FOSTERING STRONGER BOARDS FOR EFFECTIVE GOVERNANCE Board and Directors' Performance Evaluation Support Services Why opt for a Board Improving the effectiveness of the Board is a priority for leading organizations everywhere. Evaluation? IOD has developed tools to assess the effectiveness of boards which combine survey as well as one-on-one interview results, to produce a fact-base of improvement + opportunities. + We help you identify and surmount the barriers impeding your Board's effectiveness. Our well recognized and industry leading evaluation services can be tailored to suit Enhance+ the performance, Leverage independent your objectives and are known to impact performance positively. You can also count functioning and effectiveness insights and actions on us to streamline your existing evaluation procedures by facilitating the use of of your board industry benchmarked assessment tools. The IOD Edge Independent & Impartial Evaluation: A 360 degree approach in ensuring utmost ü objectivity in the evaluation process. Customizable Assessment Tools: A standardized evaluation criteria that can be Offer assurances Meet regular implemented immediately as is, or easily customized to best suit your specific needs. to stakeholders governance requirements Complete Confidentiality: We ensure full privacy of responses received, allowing members to express opinions freely. Seasoned Experts as Evaluators: Top-Notch Board Experts with years of experiential learning . Post Evaluation Support & Training: A portfolio of customized professional IdentifyL strengths and Invest in your development services readily available at IOD. pinpoint weakness organisation’s future Integrated & Swift Process: Project completion within committed timelines. Key Areas Evaluated Methodology · Board Structure, Diversity and Skill matrix · Board's compliance with its legal, regulatory and fiduciary Web - Based Customised responsibilities Board Cultural Analysis Questionnaires · Board Dynamics & Functioning · Board Committees - Structure, Functioning & Effectiveness Qualitative Discussions with Promoters · Corporate Governance Compliance Status and Disclosures Directors, Sr. Management, NEDs and IDs · Stakeholders Relationship Management · Risk Management and Internal Controls Evaluation Report with Actionable Workshop/Training results and Company specific Programmes recommendations by the Board experts Technology Platform supported by www.iodglobal.com INSTITUTE OF DIRECTORS M-56 A, Greater Kailash Part - II (Market), New Delhi-110048, India • Board Nos.: +91-11- 41636294, 41636717, 41008704 Fax: +91-11- 41008705 • Email: [email protected] @ W I N N E R S Grasim Industries Limited, Textile & Apparel Staple Fibre Division Ujjain Grasim Industries Limited, Staple Fibre Division specializes in producing bio-degradable fiber with characteristics similar to cotton. The organization has CSR activity focused areas as: education, healthcare, sustainable livelihood, infrastructure development and social development. Collaborative partnerships are formed with government, village panchayats and NGOs for their effective Dr. Pragnya Ram, Group Executive President - Corporate Communications & CSR, Aditya Birla Management engagement. “Integrated Live Stock Development Project” has been Corporation Private Limited receiving the Award launched with the objective to capacity building of dairy farmers and artificial insemination services for 24 villages. CSR activities are spread over 339 villages having about 4.5 lakh beneficiaries. Goa Shipyard Limited Transportation Vasco-Da-Gama (Shipping) Goa Shipyard Limited is a Mini Ratna central public sector undertaking under administrative control of Ministry of Defence with the project range of warships and patrol vessels. CSR activities are focused on employment for the poor, skill development, education, health care, water supply and social infrastructure. Employment for the poor include agricultural cooperative project, imparting training in vegetable cultivation and production of vermi-compost. Skill development Mr. Vishal D. Yagyik, Deputy General Manager – HR receiving the Award initiatives include welding training to local youth and school dropouts. SPECIAL COMMENDATION GOLDEN PEACOCK AWARD FOR CORPORATE SOCIAL RESPONSIBILITY (GPACSR) Amazon Development Centre (India) Private Limited Bengaluru Amazon Development Centre (India) Private Limited is the operator of the largest e-commerce platform in the country. “Amazon Cares – Amazon Community Re-engagement Programme” is in place with the objective of community development to implement solutions for the holistic development and growth of communities living in and around Amazon’s 11 Fulfillment centres spread across 52 villages in India. Mr. Salim Menon, Director - Operation FC, Fulfilment Centre receiving the Award Sasken Technologies Limited Bengaluru Sasken Technologies Limited is providing product engineering and digital services to customers around the globe. The social community initiative included supporting women-centric micro banking initiative for rural women. The company also provides internship programmes for meritorious students for enhancing their employability. Ms. Amita Pande, Manager – CSR Facilities Hospitality Travel receiving the Award 51 W I N N E R S The Award is being presented by Hon'ble Mr. Justice Cyriac Joseph, Lok Ayukta Kerala, Former Chief Justice of Karnataka and Uttarakhand High Courts, Former Judge, Supreme Court of India and Former Acting Chairperson and Member, National Human Rights Commission. Also seen, (From L-R), Lt. Gen. J. S. Ahluwalia, PVSM (retd.), President, Institute of Directors and Mr. G. M. Rao, Founder & Group Chairman, GMR Group. GOLDEN PEACOCK HR EXCELLENCE AWARD (GPHREA) Concentrix Daksh Services India Private Limited BPO New Delhi Concentrix Daksh Services India Private Limited is business service company providing outsource process services in finance, human resource, and customer management. The short term objectives of HR are: increased retention, network creation for women, employee care and CSR; and long term objectives are HR digitization, building effectiveness in HR capability and e-learning. Its diversity focused recruitment achieved 40% against its target of 33%. Performance Ms. Madhulika Singh, Director - People Solutions review is based on goal setting, self-evaluation and function-wise receiving the Award calibration. Succession planning is in place and home grown talent is promoted, accelerated for high potential employees. Shree Cement Limited Cement Beawar Shree Cement Limited is a public limited company involved in products such as cement production and power generation. HR effectiveness is measured by business results, both in quantitative and qualitative terms, with a focus on employee happiness. External bench-marking projects are undertaken with shortlisted companies regarding internal studies for organizational goals. Employee feedback is taken from multiple sources; and employee engagement surveys are conducted in Mr. S. C. Maheshwari, Vice President receiving the alternate years. Succession planning and trainings are provided and Award assessment undertaken for fitness for internal movement of employees. Godrej Industries Limited, Chemical & Fertilizer Chemical Division Mumbai Godrej Industries Limited, Chemical Division is a public limited company and is pioneer in manufacture of oleo-chemicals. HR operational excellence is improved through supporting tools, processes; assessing efficiency of HR related services and activities through analysis. HR leadership is part of talent management and succession planning and high potential employee programme. Short and long term plans are drawn as annual operating plans. Integrated Ms. Apeksha Jain, General Manager – HR receiving the Award total talent management helps to identify people with skills, aspirations and engagement critical to organization. Attrition has dropped from 20% to 16%. Larsen & Toubro Limited, Water & Construction Effluent Treatment IC Chennai Larsen & Toubro Limited, Water & Effluent Treatment IC, is engaged in water and allied infrastructure projects. Innovations in delivering HR strategies and services include frontline supervisors’ training programmes, any-time-learning training programme and micro-learning platform. Diversity and inclusion strategy include key aspects of gender, generational, cultural and socio-economic factors and relevant diversity ratio indicators that are constantly reviewed. Innovative Mr. S. Ramkishore, Vice President & Head-Human Resources receiving the Award learning and development strategies include initiatives such as “Build and Deploy” model for talent requirement. Performance reviews for course corrections are facilitated by any-time performance conversations through continuous dialogues. 52 W I N N E R S GOLDEN PEACOCK HR EXCELLENCE AWARD (GPHREA) Kirloskar Oil Engines Limited Engineering Pune Kirloskar Oil Engines Limited is a public limited company involved in manufacturing engines for agriculture, power generation, and off- highway equipment. Long term goal is high engagement score; and short term plan is retention and engagement of key talent. Diversity and inclusion is embraced right from top - the board has 3 women directors. Training needs of all employees are carefully identified. A focused Mr. Satish Kumar Singh, Head – HR & IR receiving the learning approach is aligned with organizational business goal and Award corresponding employee skill requirement. The attrition rate was 12.2%. Rockwell Automation India Private Limited Engineering Gurugram Equipment Rockwell Automation India Private Limited is a 100% subsidiary of Rockwell Inc. with its product range of advance process control, condition-monitoring, design and operation software, industrial control products. HR diversity model transformation is a new way of working. HR’s strategic priorities for 2020 have three critical areas: manage organizational demand, acquire and develop critical talent segments and manage HR strategy and technology. Performance is incentivized Mr. Dilip Sawhney, Managing Director receiving the through variable pay plan depending on target achievements. Award Adani Gas Limited Gas Ahmedabad Adani Gas Limited is involved in city gas distribution. Future talent need analysis is conducted and talent pipeline is created. HR initiatives are aligned with employee needs and expectations. Employee need identification is conducted for right person for the right role. Expanding horizon is key to HR practice. It has developed a business process transformation model for change management. Digital and integrated policy has included human rights, anti-sexual harassment and code of ethics. Attrition rate was 5.38%. High performance training courses are Mr. Satyendra Gaur, Sr. Vice President (Human also given as opportunity for self-advancement of employees. Resources) receiving the Award Ammunition Factory Khadki Government Pune (Defence) Ammunition Factory, Khadki is under the administrative control of the Ordnance Factory Board of Ministry of Defence and is producing small arms and artillery ammunition of various types and sizes. The performance goals of HR team are inextricably linked to the motivation as well as the productivity of human resources. Perspective Plan of manpower requirement vis-a-vis product range in the next five years is Mr. Manoj Kumar Mohapatra, Senior General Manager developed and actions taken accordingly. Identification of talented and receiving the Award skilled employees with high potential is carried out throughout the year and at all levels. 53 W I N N E R S Kaya Limited Healthcare Mumbai Kaya Limited is a chain of clinics for healthcare specializing in body care cosmetics. Employee needs identification is conducted every year to finalize goals. Basic and individual role analysis and competency mapping assessments are effectively deployed. HR emphasis has been shifted from collection to consumption as that finally impacts net revenue. Attrition/retention rate is observed to be affected by absenteeism and decline in quality of performance and constant discontent at work and strange relationship. HR has developed an Mr. Rajiv Nair, Group Chief Executive Officer receiving the Award action plan to counter such situations. ITC Limited, Hotels Division Hospitality Gurugram ITC Limited, Hotels Division has more than 100 hotels in over 70 destinations and has classified its properties into four distinct brands from economy to luxury. HR approach lays emphasis on productivity. Following measures are more critical: service sentiments of the guest, revenue generated per employee and cost incurred per employee. The training and learning development interventions at the units are now designed as a result of guest service sentiments obtained from online tools. Balanced scorecard appraisal system is used as a strategic Mr. Sanjay Bose, EVP - HR and L&D receiving the planning and management tool. It aligns the function and business Award process system and outcome with the organisation’s vision and strategy. Tech Mahindra Limited IT Pune Tech Mahindra Limited is a public limited company with main product as computer programme, consultancy, and related services. Employee value proposition offers: freedom to explore; opportunities to explore; connect, co-create and celebrate. Balanced scorecard is used for short term strategy, linking future ready talent and skill transformation and cost optimization. New technologies are main initiatives for change. The company’s programme “FUTURise” is a combination of Future and Rise Mr. Riaz Ahmed Nizam Mulla, Global Head - Leadership which has four pillars: disrupt, experience, rise and imagine. HR has to Learning and Talent Development receiving the Award ensure matching the future manpower with this ideology. Aurobindo Pharma Limited, Pharmaceutical Formulation Division Hyderabad Aurobindo Pharma Limited is India’s largest vertically integrated pharmaceutical company engaged in development of active pharma ingredients. Innovative measures for delivery of HR strategy and service has been initiated via automation and refinement of processes. HR initiatives for change management process and tools include HR business integration, talent engagement and organization transformation, structured learning interventions. HR initiatives have Dr. Suresh Kumar, Senior Vice President - HR resulted in demonstrable outcomes, in terms of no loss of man days and receiving the Award improvement in per capita income productivity. 54 W I N N E R S JSW Energy Limited Power Mumbai JSW Energy Limited is a public limited company having electric power generation plants at different sites. Multilevel communication structure created redressal mechanism and attempted to convert organizational learning into business solution. Team building initiatives have created bonding and team spirit among employees, diversity and inclusion courses for women. Role-based skill and competency development has made employees more focused on their task alignment to the business Mr. Prashant Jain, Joint Managing Director & Chief objectives. “Future fit leaders” programme assesses employees once in Executive Officer receiving the Award three years. “We care” is a tool that provides online scheduling for counseling with qualified counsels which has helped both the company and the employees. SPECIAL COMMENDATION GOLDEN PEACOCK HR EXCELLENCE AWARD (GPHREA) Hikal Limited Navi Mumbai Hikal Limited, Navi Mumbai is a chemicals manufacturing company producing pharmaceuticals, and crop protection specialty chemicals. Talent Management Board reviews quality of critical talent food. Job rotation is planned for charting out challenging career path in the company. Two categories of diversity are: ‘inherent’ (demographic, race, sex, age) and ‘acquired diversion’ (education, values, skill, knowledge). Employees’ satisfaction survey is done to establish engagement level of Mr. Ranan Bhattacharjee, Deputy General Manager - employees. Corporate Human Resources receiving the Award DBS Bank India Limited Mumbai DBS Bank India Limited, Mumbai is a part of the Singapore based multinational banking and financial services corporation. The Employee Value Proposition (EVP) is derived from the business value proposition. EVP is the first line of communication the HR Department has with the total employees. Employee retention model analytics is an analytical tool for assessing each employee and is based on 200 variables that determine the chances of retaining an individual in the organization. ADP Private Limited Hyderabad ADP Private Limited, Hyderabad has main product as human capital management products and services. HR Communication to employees is through multiple touch points which are formal and informal. HR team handles talent acquisition, change management, CSR and HR automation. The company’s leadership relies on listening platform such as round table, road shows and town halls. 55 A R T I C L E Proactive Steps Directors and Boards can Take in Tough Times *Prof. Colin Coulson-Thomas An unexpected shock induced recession provides an opportunity to relevant advice may be in short supply. Following the initial Covid-19 take stock of corporate activities and their impacts, reconnect with wave, the market environment may remain changed for some time to stakeholders, and review corporate aims, purpose and strategies. come. Governments that have assumed unprecedented powers to cope Freed of the imperatives of a headlong scramble for growth, there with a crisis may vary in the roles they might wish to play going forward. may be more time to consider alternative operating and business Life for many directors may yet get more difficult. Timescales, whether of models. Stakeholder aspirations and views on what is important may various stages of exit from lockdown arrangements or when a Covid-19 have changed as a result of collective experience of dealing with vaccination might be available to protect the public, are difficult to judge. Covid-19. Nothing should be taken for granted and directors should The legal, financial and practical consequences of the global pandemic proactively question and challenge. There might be more responsible and Government responses to it have given rise to complex and various and inclusive ways forward that do not reduce bio-diversity, contribute conflicts of interest, defaults and disputes that will take some time to to global warming or damage to the environment. negotiate and resolve. Short-term decisions may need to be taken, but directors should also Some arrangements will need to be unwound and others extended. The think longer-term. They can use periods of disruption to reflect on prospects of companies will depend upon the judgements of their their own experiences, aspirations and priorities. Isolation at home directors. Boards must remain balanced, calm and considered in the could be an opportunity to review, reboot and reinvent. In a crisis such face of immediate challenges and longer-term possibilities. as a pandemic, everyday experiences can be opportunities to learn about what really matters to people, how they respond, who Every Cloud Has a Silver Lining disappoints or delights, and who or what can be relied upon. Alert Recessions are not unknown events. Economic cycles can reassert directors consider insights, explore options, and investigate themselves. Crises and fundamental shifts can occur with little warning. possibilities for helping people, organisations, communities and Directors should always be prepared for the unexpected. A shock might societies to cope. There might be new services that could be encourage a board to revisit and review plans, priorities and possible provided, new relationships that could be built, or collective scenarios. It could lead to searches for increased flexibility and responses to support. resilience, and avoidance of commitments that might limit changes of Going Through the Valley of the Shadow direction and/or the ability to quickly scale up or down as situations change. A lower level of activity might also provide the space to imagine a There is an old saying that it is better not to be tested than to be tested better future or release the bandwidth to make system and/or process and found wanting. Many boards will need to review their own changes. contributions during the pandemic. Some directors have provided the leadership required during a crisis while others have gone missing. In Sustained growth can lead to shortages, tight labour markets, some cases there has been a wide gulf between board rhetoric about inflationary pressure and high levels of indebtedness. Some correction the need for speed and agility in rapidly changing times and uncertain may be required to avoid instability. By letting off steam, could an and sluggish corporate responses. Many boardroom virtual teams, economic and/or financial shock be beneficial? Economic slowdowns crisis response schemes, contingency provisions, plan Bs and can remind boards and public policy makers of certain business basics. disaster recovery arrangements have not risen to the challenge of Leading players can be quickly supplanted by competitors or new- Covid-19. entrants with better business models, or quicker adopters of an enabling technology. Some boards need to be reminded of the advantages of Many directors have difficult personal and professional decisions to modest or low overheads, flexible contracts and being able to match take at a time of insecurity and uncertainty. In varying degrees, these operations and activity with fluctuating demand. In good times such and subsequent decisions will affect their and all our futures and the considerations are sometimes forgotten. nature of the lives we may be able to live. With cash flow management experts and solvency and turnaround practitioners in great demand, 56 A R T I C L E Business leaders and boards should expect to deal with uncertainty. occur and there is virgin territory to explore, new stars may come to the An effective board should ensure that people for whom they are fore. Is a management team ready to make reliable judgements about responsible are ready for the unexpected. However, experience in who, what or which is most likely to succeed. Using external consultants sectors such as retailing in some markets show that many boards to import approaches that worked on past assignments undertaken have allowed companies to become locked into long-term contracts before rules of the game changed may not help a company to excel at that have given them little scope for quickly downsizing in adverse something new in a different world. The right advisers, guides, scouts and conditions or swiftly switching production and supply to meet priority support can be critical as a company embarks on a learning journey into requirements for coping with a pandemic. Far too many companies an unknown future. become bystanders and beggars rather than contributors of Manuals may not exist for new developments and proposed activities. solutions. They can quickly become out of date in rapidly evolving situations and Initiating First Principles Reviews often fail to reflect and share the experiences and lessons learned by those whose world is changing. Directors need to ensure that the people To transform resource utilisation and performance in any continuing of an organisation are equipped to implement a change of direction. activities and/or to introduce or transition to more sustainable ones, Learning and support tools that span value chains, communities of are there certain steps that a board and senior management should professionals and knowledge workers and networks of collaborators can consider? A crisis may change the requirements, preferences and be far faster and more flexible than traditional practices such as priorities of customers and other stakeholders. A board could begin by competitive intelligence or poaching staff from other companies. They considering what might change in the external business, economic, can allow issues to be discussed as they arise, and enable the global roll social and market environment as a result of the continuing and out of what at the time are considered to be the best solutions to longer-term impacts of developments such as a global pandemic. problems within hours of issues first being notified. What new challenges, opportunities and possibilities have emerged and might follow? Supporting Transition and Transformation Journeys In the light of what has happened and might still occur, the vision, Directors should also consider the practical and psychological support mission, goals and values of an organisation might need to be they could provide to the people of an organisation, and also to those who reviewed. Will these still be valid in a post-pandemic world with are associated with it and dependent upon it. Demonstrations of care greater public indebtedness and existential threats such as global and concern when people are anxious and insecure may increase their warming to face? In relation to any new direction, objectives and support during a recovery phase. Following experience of operating from priorities, how relevant, adequate and flexible will corporate home, there may be new patterns of work to consider from the capabilities such as people and know-how, the form of organisation perspectives of both people and organisations. There could be different and operating models, technology, infrastructure and/or financial models of organisation and virtual operation to assess. Pragmatic and resources be? Whether or not they are owned, can these capabilities practical directors are open to various ways in which they could support be accessed flexibly as and when required? initiatives to cope with a crisis, whether alone or in collaboration with Can corporate capabilities be engaged and applied to what a board is others. setting out to achieve in a post-recession market? The key activities During renewal and recovery, people may need to be helped to that will contribute most to achieving revised and new corporate understand new realities, approaches and offerings. They must remain priorities and associated economic and social objectives should be current during transition and transformation journeys. There may be identified. Significant effort and resources are sometimes devoted to complex issues to comprehend and new business models and their activities that are not critical for changing direction, reducing negative enabling technologies to adopt. More resilient supply chains and new externalities or increasing flexibility, resilience and sustainability. relationships and collaborations may need to be forged. Many Where possible, critical success factors for key activities should be companies adopt expensive, disruptive and time consuming approaches identified and an assessment made of how many of them are in place. to restructuring and reorganisation, rather than practical, more cost What about new and proposed activities or the requirements of effective and much quicker ways of helping people to excel at new, succeeding with a different business model? important and difficult activities and creating a more flexible organisation with an existing corporate culture. Assessing Potential and Performance Corporate supply chains and roles a company plays within them may Existing capabilities, including the approaches, attitudes, experience, need to be reviewed and revised or fundamentally changed in the light of knowledge and skills of current individuals and teams may or may not Covid-19 experience. Both customers and suppliers may need help in be ideal, or even appropriate, for a new direction and a different adapting and adjusting. High returns on investment can be achieved by business model, What is needed may also change during a transition both reducing costs and increasing workgroup performance, while also or transformation journey. Has what is required to excel going forward lowering levels of stress and risk and benefitting people, the organisation been assessed and/or scoped? Companies may know who their past and the environment. The environment can benefit when behaviours are high performers have been, but are they ready to identify who their changed by making customers more aware of the environmental high performers will be in future key areas? Are they prepared to consequences of different purchase options. As experience grows, identify, capture and share what those who are most successful do bespoke, personalised and up-to-date support can help users to adopt differently? Will such superior approaches be built into algorithms, superior approaches and what a community learns about CSFs in new methodologies, models, processes and tools? arenas and contexts. Many organisations do not spot high performers because they are Equipping and Enabling People to Cope and Transition given the same duties, suffer the same frustrations and are forced to operate the same processes as everyone else. When paradigm shifts Boards need to ensure that people are equipped and enabled to cope 57 A R T I C L E and transition. More directors might need to move away from the offices. Having the ability to capture and share the essence of how provision of top-down corporate direction in a business and market complex jobs are done, and making it easier for ordinary people to excel environment they felt they understood. Emphasis may need to be at them, can speed up and reduce the cost of re-locating work, virtual switched to inspiring, enthusing and encouraging pragmatic and operation and upscaling activities during an economic recovery. responsible responses to emergency measures and rapid transition Support tools can also be used directly by customers and citizens. They to the provision of new offerings and different ways of operating. Given can empower and include them and help them to cope with complexity the time that some restrictions on movement and interaction may and change. They can enable more responsible choices that are exist, greater use could be made of the easily updated performance consistent with progress towards more sustainable communities and support tools which some companies employ to roll out innovations lifestyles. Many decisions, difficult roles and important jobs are and enable people to do difficult jobs and stay current on inherently stressful when undertaken in a traditional manner. High levels transformational journeys as events unfold. of stress can reduce performance, increase staff churn and levels of Performance support tools can help people to: operate in ways that absence, slow progress towards a more sustainable future, and even meet social distancing and other Covid-19 related requirements; and lead to legal claims. By making it easier for people to do difficult jobs, to understand and adopt safer and less environmentally damaging directors can reduce stress at a time of insecurity and uncertainty. Better, options. Many organisations need to respond quickly to changing practical and affordable support can lead to greater personal fulfilment economic realities and any revision of purpose and priorities. for users as well as improved results for corporate employers. Companies could start with a support framework in areas related to new objectives. Beneficial financial and environmental results using a Confronting Challenges and Seizing Opportunities bespoke and evolving approach can be obtained in timescales of six The challenge for business and political leaders is to cope with Covid-19 weeks to six months, and support can be made available 24/7 as, while transitioning to less damaging patterns of business and consumer when and where required. The modest cost of performance and behaviour. There is a danger that desire for economic recovery will learning support tools can be affordable in tough times. reduce incentives for the shutting down, writing off and disposal of plant Transition support tools can operate independently of corporate that produces harmful emissions and limit compensation for leaving structure, culture and technology. They can be personalised, fossil fuels in the ground. Boards may be encouraged to increase output incorporate learning and enable people to become more competent rather than slow and/or close down activities that contribute to global and confident with each use and remain current as requirements, warming. Environmentally harmful operations should be stopped rather priorities and offerings change. Experience suggests small groups of than increased. Responsible recovery would involve disposal of old plant people can achieve more than larger ones that are less well and recycling items like end-of-life batteries and solar panels so that rare supported. Retaining high performers and those with potential during minerals can be reused. a recession can be critical. Training budgets are often cut when the Recession can be a time of great opportunity. During rapid economic going gets hard. They often fail to create intellectual capital outputs or growth, when shortages and bottlenecks appear, even indifferent embrace wider value chains. Too often, general courses are provided companies may find their services are in demand. When the going gets rather than the specific support work groups require to be more hard more able and focused directors can distinguish themselves. In effective and cope with fresh challenges. Support tools can suggest tough times, smart and responsible boards have an opportunity to build new approaches, bring others up to speed during recovery and ensure relationships, restore trust and secure first mover and/or lasting consistent changes across a supply chain. competitive advantage. The urgent need to tackle climate change as well Supporting Agility and Virtual Operation as Covid-19 means that boards must move quickly. Those that act to transition to sustainable and carbon neutral operations, activities and During a pandemic, companies need the agility to move quickly in and business models deserve the support of responsible stakeholders and out of particular restrictions. Support tools can explain why certain the gratitude of future generations. measures are needed, reactions occur and situations arise. Users Some fatalists may look the other way and accept whatever can also be alerted to both problems and opportunities. Integrating consequences of Covid-19 might emerge. Hopefully, most directors will working and learning enables people to cope and learn as and when a respond more positively with corporate and collective actions and tool is used, wherever they may be and at any time of the day or night. initiatives to reduce the extent of its negative impacts and help Users can also share their experiences and insights during transition customers and other stakeholders to cope with it and recover from it. and transformation journeys. Substantial savings in support and They should support responsible steps to deal with resulting corporate, compliance costs can also be achieved. Traditional ways of avoiding national and international indebtedness and reinvigorate the global risks can involve delays and higher costs. They can result in people economy. They should encourage and enable CEOs and management focusing upon compliance rather than customers. Building checks teams to reboot and reinvent the enterprises for which they are and reviews into the support provided can speed up responses, responsible, and they should chart a pragmatic and inspiring course address risks such as miss-selling, and enable people to deliver through the challenges and opportunities of a post-pandemic world. bespoke responses. Directors need to ensure those operating from home and/or virtually can access the support they need. Because large improvements in * Prof Colin Coulson-Thomas holds a portfolio of leadership roles and is performance can be achieved with better support, in some areas it IOD India's Director-General, UK and Europe. He has advised directors may be possible to secure welcome savings in a recession. and boards in over 40 countries Performance support can enable less qualified staff working from home to undertake the work of more qualified and expensive colleagues who are unwell, laid off or unable to access their costly 58 A R T I C L E Board’s Covid-19 Dilemma *Mr. Arun Balakrishnan The discussion in the Boardrooms that I have recently been attending company, there were about fifteen thousand contractor workmen at site, have been predominantly on the impact of Covid-19 and the now idling because of the shutdown. They were open to reimbursing the preventive measures by the government on business and life in wages to the Contractors to keep these workers from running away to general. The twenty-one-day lockdown and the extension by another their hometowns, a phenomenon seen so much in the media. Since then, two weeks has dealt a sledgehammer blow on already weak governments have relaxed the restrictions a fair bit and most of them are fundamentals of quite a few companies. back to work albeit ensuring social distancing and requisite protective gear. Banks are tight fisted in funding contractors and small The issues facing the Boards are many. The main is the safety of its businessmen, so companies have taken to funding the contractors to employees, both regular as well as outsourced. HR and IT keep the work moving. Delays in project commissioning are far too departments have sprung into action to enable Work from Home expensive compared to higher cost of borrowing. (WFH) for activities that can do without physical presence in the office. The digital push would surely entail higher levels of cyber Demand destruction is another much discussed matter. One is the security and other IT interventions. For the producing units, immediate loss of business due to the shutting down of the supply chain. exemptions to the continuous process industry was helpful but for More important is when consumers get used to alternates that they have others it was just shutting down operations as has happened for been forced to adopt. Like a good number of newspaper readers, who many companies. would have got used to reading e-Newspapers on their iPad, may not go back to the printed version. The absence of motor vehicles on the road After safety, the next most discussed topic is cash flow. Irrespective of have cleaned up the atmosphere so much that the government may whether you are operating or not, there are fixed costs that need to be continue with restrictions on the use of motor vehicles. It is a matter of paid for such as salaries, interest on borrowings, loan repayments. If setting off the loss of revenue from Motor Vehicle and fuel taxes with the the revenues dry up, these payments and the associated covenants government's expenditure on medical treatment (doctors, hospitals & become a problem. Indian Banks, despite governmental prods, have medicines). not been quite helpful in this regard after having burnt their fingers and increased their NPAs in dealing with NBFCs and some WFH has opened up questions on the need for large real estate expenses unscrupulous customers. Preserving cash is now the overwhelming for fancy offices in expensive localities. In one Board, the Management concern of Boards. Pressure is put on managements to ensure faster has resolved to reduce office space and have the employees come to collections of receivables and be fair in making payments especially office on rotation at intervals on need basis. If WFH gets institutionalised, to MSMSEs. Force Majeure clauses in contracts are liberally being the motor vehicles on the road will also reduce and in many cities, used to delay payments and such attempts need to be tackled legally commuting may become much faster than what it is now. as well. Agility of Boards and management becomes imperative at The oil companies I am associated with are staring at big changes. There this juncture. has been a reduction of over thirty five percent in oil demand since the Retrenchment is one way out, but the government is not going to look beginning of this year. Large new investments in refining as well as in at you kindly if you do so. Maybe across the board salary cuts seem to exploration and production are being reviewed by the Boards as there is be the compromise solution. Boards are recommending withholding no guarantee that the demand destruction seen is not permanent and increments for sure until such time revenue collection improves. This these new facilities are becoming redundant. New accounting standards again depends on the salary bill which varies with the type of industry would require such investments to be written off to reflect the real value of you are in. Managements are encouraged to communicate faster and the company to its shareholders. better to employees as well as to customers, stakeholders, and Scenario planning is what I recommend at the Boards I attend. Shell was shareholders as well. the first company which introduced this concept and made good use of it Most companies are amidst executing large projects. In one in the 1970's oil price crisis. They were thus well prepared to handle the 59 A R T I C L E consequences that followed. Managements are encouraged to Soon the season for Annual General Meetings (AGM's) would come. For create three or four scenarios of what the world would be like in the those companies with Accounting Year ending in December, the deadline near future and beyond based on the impact of this unprecedented for holding AGMs is not too far away. MCA may give approvals for pandemonium. And then come out with likely solutions to mitigate extension, but are investors open to attend in person as comfortably as the impact resurrect the fortunes of the organisations and the way before? And would it be fair for companies to withhold dividend business would be done. Some interesting scenarios are emerging distribution when most small shareholders are short of cash? I have been from such exercises. advocating that the Government be persuaded by industry bodies to permit virtual AGM's as there is technology available for doing so. As it is, Resilience is another factor. How much of it do the supply chain, with e-Voting, the importance of AGM's has receded and only a handful of distribution channels and even the Board processes be credited shareholders turn up. And some of them come more to fine tune their with? The more robust the Audit, Risk and Nomination and oratory than to seek an answer to the issues they have with the Remuneration committees have been functioning, the stronger the management. In any case, several of them go away after they had their company and its Board would be. Risk mitigation would necessarily say without waiting for management response. move the needle towards variable cost models that would save the company heavy capital expenditure and the risk of obsolescence. The way business is being done will change for the better and new paradigms will emerge with time. And Boards will have more Board meetings are now on VC. Board members are getting to like it. responsibilities to bear. Let us see how things will unfold. Government has relaxed provisions requiring physical presence of Directors for certain types of approvals. The pain of rushing from one city to another during the quarterly results season will be soon a thing *Mr. Arun Balakrishnan is the founder Chairman & Independent of the past. And none of us are going to get on to an aeroplane when Director, HPCL-Mittal Energy Ltd. (HMEL) & former CMD, HPCL. He is also we really would not know what virus the guy next to you is carrying. IOD's Chairman for the Bengaluru region. Most Directors clearly say no air travel at least till the end of this calendar year. AASSSSEESSSSOORRSS R II NN VV II TT EE DD GOLDEN PEACOCK AWARDS SECRETARIAT invites specialists & experts in the areas of Would you like to be an assessor of the most prestigious awards? ENVIRONMENT MANAGEMENT OCCUPATIONAL HEALTH & SAFETY ECO-INNOVATION We are constantly on the lookout for professional volunteers & to be assessors for Golden Peacock Awards ENERGY EFFICIENCY A most rewarding and enriching learning experience Please send your CV to [email protected] GOLDEN PEACOCK AWARDS SECRETARIAT M-56 A, Greater Kailash Part - II (Market), New Delhi-110048, India Board Nos.: +91-11- 41636294, 41636717, 41008704 Email: [email protected] www.goldenpeacockaward.com A R T I C L E The Key to the New CSR Landscape - Understanding Climate related Financial Risk *Mr. Mike Suffield The Covid-19 pandemic has pushed an important topic from our for ACCA and IOD India members are the recommendations set out by the global awareness – that of climate change and climate risk for Taskforce for Climate-related Financial Disclosures (TCFD). business and finance. The TCFD state in their recommendations, when “assessing As India and other countries begin tentative steps out of lockdown, organisations' financial and operating results, many investors want the governance of climate risk must be given a strong role across all insight into the governance and risk management context in which such forms of recovery plans. The additional shocks presented by climate results are achieved.” Hence, the role of the board is critical if this risk is change have the potential to not only hamper recovery efforts but to to be governed effectively. wipe them out completely, putting lives and livelihoods at risk for And we know from our ongoing work talking to regulators, businesses, decades to come. investors and working with our partners and networks around the world For organisations, creating sustainable long-term value is that there is a growing demand for consistent, comparable and decision- challenging during these Covid-19 times. They are facing myriad useful climate-related disclosures. We are also pleased to know that challenges – including economic shock and other geopolitical forces there is recognition by investors that the overall quality of climate- related such as the rise of populist policies. But reconfiguring their business disclosures is improving. models so that they are climate resilient and at the same time ready Environmental, social and governance (ESG) factors and risks to make the most of climate-oriented recovery packages will build a healthy and sustainable future. Board level understanding of climate The increased focus on ESG factors and climate related risks comes in risks is vital if recovery from Covid 19 is to be secured. response to demand from asset owners – such as pensions funds, insurance companies, sovereign wealth funds, foundations, and others – These challenges come at a time when climate change is raising sea for asset managers to take these factors into account when levels and temperatures. The recent research from the IPCC has implementing their investment mandates. This is not a trend but is here to shown us, if global action does not limit temperature rise to 1.5 stay. ESG funds have experienced tremendous growth in recent years; degrees, we will not only see a rising incidence of extreme weather, according to leading investment research firm Morningstar, assets under extreme, and killer, heat and regular flooding that will cause more management in ESG-related funds increased by 60% from $655bn in devastation to more and more livelihoods. But more broadly, there 2012 to $1.05 trillion in 2019. And during the pandemic this has been will be a generalised dislocation of all the processes that our born out. Businesses with strong ESG credentials have outperformed economies and markets take for granted today. Value at risk due to those that lack this better appreciation and systematisation of climate change is becoming better understood and will radically alter st multidimensional risk management fit for the 21 century. costs of doing business across the board. This demand for ESG investments reflects several factors. Firstly, with The role of the Board and how they view Climate Change greater societal attention to environmental factors such as climate We know that for this reason that the board and leadership team play change, there is greater interest among some investors in investing an important role in addressing and managing the climate-related beyond traditional risk and return considerations. This can be considered risks and opportunities. That's why there is a growing imperative and a paradigm shift in which investor utility is a function not only of risk and interest in understanding how a board is involved in assessing, return, but of non-financial considerations, such as the impact of a given managing and overseeing climate-related issues. company's activities on the local community, or toward achieving specific social or environmental outcomes. To face up to the climate challenges, business and finance have had to radically alter how they view climate change. This means not just The demand for ESG also reflects push-and pull-factors for investment looking to their own impacts on the climate, but on the impacts of managers. Push factors include regulation, largely stemming from climate change on their own operations. And the main areas of focus Europe and parts of Asia, where sustainability has become a specific 61 A R T I C L E policy objective in several jurisdictions. This policy-push is new markets that meet shifting customer preferences. More resource- manifested in corporate reporting standards, obligations for appropriate local agriculture might gain relevance or new ways of offering investment managers to take sustainability factors into account in mobility, for example, electric vehicles or ridesharing, may overtake the investment process, and to enhance the reporting and disclosure traditional models. of such practices to clients. These disclosures close the knowledge gap and aim to move investors The growing focus among central banks on the financial stability out of carbon intensive businesses and sectors that are exposed to implications of climate change risk, including balance sheet climate risk. exposure to stranded assets and associated capital adequacy There is a momentum behind TCFD. By June 2019, when the last status provisioning is driving investors to form a more holistic view of risk. report was published, over 800 private and public organisations had Pull factors include enablers such as more widely available and announced their support for the TCFD including financial firms better quality ESG data, metrics and analytics, as well as an emerging responsible for $118 trillion. and broadly-supportive body of academic literature on ESG issues in will enable action to flow down through a business and out through its investment management. supply and value chains. Covid recovery plans will inevitably be best Overcoming the obstacles structured if they are also climate focused. This requires leadership and commitment to help rebuild from the devastating impacts the world and However, there are several obstacles to more widespread adoption of India is facing right now. ESG investment approaches, including a lack of comparability of ESG data and disclosures across firms, which may reflect the multitude of We can take on this challenge, we must and I am convinced that we will. corporate reporting practices and standards around non-financial information, as well as incomplete, unreliable, or unspecific data prohibiting a consistent appraisal of ESG risks and opportunities. *Mr. Mike Suffield is the Director for Professional Insights at the Because of their links to financial risks, TCFD disclosures are a critical Association of Chartered Certified Accountants (ACCA), UK part of this new ESG information landscape. And they are important because they set out a new way to approach corporate reporting on climate risk that responds to the current crises and demands in a new way that dramatically improves existing non-financial reporting. There are a number of differences from reporting frameworks, the main three being as follows: 1. The focus is not on how a company contributes to climate change and the environment but rather on how climate change risks affect that company. 2. Reporting must be incorporated into existing financial reporting – as a minimum in the annual report, but more frequent reporting is recommended. 3. The recommendations are strongly forward-looking, involving scenarios, risk evaluations and stress tests. The purpose of this information is for the financial community to gain insights into how climate-related risks and opportunities will affect the company's future cash flow, assets and liabilities. The 2°C scenario And another key feature is that alongside reporting on a set of criteria that are closely aligned to other reporting frameworks, such as the 62 Connect with IOD’s New Members Business Leaders M E M B E R S H I P March 2020 & Senior Executives LIFEINSTITUTIONAL MEMBERS LIFE MEMBERSMEMBER Gleco International Pvt. Ltd., Mumbai Mr. Hersh Shah Chief Executive Officer LIFE MEMBERS Mr. Aditya Chaudhuri, F.IOD Mr. M. P. Vijay Kumar, F.IOD Managing Director Director Accenture, Gurgaon Thejo Engineering Limited, Chennai Mr. Mani Padmanabhan, F.IOD Mr. Vinod Krishnan N., F.IOD Director Deputy Chief Executive Officer - South East Asia, Korea Vanman Management Advisors Pvt. Ltd., Telangana Guy Carpenter & Co. Pvt. Ltd., Singapore Ms. Surekha Marandi, M.IOD Mr. Neel M. Patnaik, M.IOD Former Executive Director Senior President & Chief Financial Officer Reserve Bank of India, Panvel Grasim Industries Ltd., Mumbai Mr. Baburaj Nair, F. IOD Dr. Amarnath Ananthanarayanan, F. IOD Chief Mentor Managing Director - Corporate, The Sanmar Group P2B Consulting, Kochi Cabot Sanmar Ltd., Chennai INSTITUTIONAL MEMBER BNY Mellon International Operations (India) Pvt. Ltd., Pune Mr. Sudish Panicker Managing Director & Head MEMBERS Dr. Ravindranath P., F.IOD Mr. Saju Bhaskar S. P., F.IOD Principal Consultant Managing Director RK Swamy BBDO Pvt. Ltd., Kochi Sakshi Education Consulting & Training Pvt. Ltd., Coimbatore Mr. Chittibabu Sampathkumar, F.IOD Mr. Arunachal Shankaranarayan Hegde, M.IOD Vice President - Corporate Affairs Chief Executive Officer Par Formulations Pvt. Ltd., Mumbai Apex Luminaires Pvt. Ltd., Kolar Mr. Saravanan Ulaganathan, M.IOD Mr. Abdul Wajeed Mohammad, M.IOD Director - Technical Director Madras Fertilizers Limited, Chennai Wasabak Global LLP, Telangana 63 Connect with IOD’s New Members Business Leaders M E M B E R S H I P March 2020 & Senior Executives MEMBERS Mr. Sathyanarayanan R. V., M.IOD Mr. A. Balasubramanian, M.IOD Head Legal Compliances Lawyer, Chennai La Droiture Management Consultants, Pondicherry Mr. Gopal Subramanyam, M.IOD Mr. Premchand Pandurangan, M.IOD Executive Director Director Ajax Fiori Engineering India Pvt. Ltd., Bengaluru Carclo Technical Plastics Pvt. Ltd., Bengaluru Ms. E. Chithra Lakshmi, M.IOD Mr. Sridhar Rayasam, M.IOD Executive Vice President Chief Executive Officer Texila Educational & Management Services Pvt. Ltd., Coimbatore Mindchannel Educational Services LLP, Hyderabad Mr. Mohan Kancharla, M.IOD Ms. Ambiga Baekelmans, M.IOD Director - Consulting Methods Director Tata Consultancy Services, Chennai Assit Asia Consultancy Pvt. Ltd., Chennai Mr. T. C. Sajit, M.IOD Mr. Hemant Kumar Bansal, M.IOD Strategy Group Member & Chief Human Resources Officer Director Bengaluru International Airport Ltd., Bengaluru Moarcon India Pvt. Ltd., Mysore Ms. Roma Balwani, M.IOD Mr. Shanmugakumar Gomathinayagam, M.IOD Director – Communications & Brand Director - Human Resources Vedanta Limited, Mumbai TerraForm Global India Pvt. Ltd., Mumbai Mr. Badrinath Chellappa, M.IOD Mr. D. Sothi Selvam, M.IOD Chief Financial Officer Executive Director KONE Elevator India Private Limited, Chennai Indian Oil Corporation Ltd., Chennai Mr. Chinnsamy Ganesan, M.IOD Mr. L. Ravi Sankar, M.IOD Chartered Accountant Partner BSR & Co. LLP, Chennai Brahmayya & Co., Chennai Mr. Vishal Vithal Kulkarni, M.IOD Lt. Gen. Surinder Nath, PVSM, AVSM (Retd.), M.IOD Director Former Chairman Faber Infinite Creative Solutions Pvt. Ltd., Pune Union Public Service Commission, Delhi Mr. Somdev Singh, M.IOD Mr. Mansingh Gadhvi, M.IOD Innovation Consultant Managing Partner Mahindra and Mahindra Limited GrowthCulture Consulting LLP, Mumbai Ms. Leena Parwani, M.IOD Mr. Satyen Kumar Jadeja, M.IOD Managing Director Director - Banking & Financial Services LPH Insurance Brokers LLC, Dubai IBM India, Mumbai Mr. Mahabir Lal Agarwalla, M.IOD Mr. Arunkumar Madhabhavi, M.IOD Senior President & Chief Executive Officer Vice President Shubhalakshmi Polyesters Ltd., Mumbai Goldman Sachs Services Pvt. Ltd., Bengaluru Mr. Sanjay Chouthamal Sarda, M.IOD Mr. Raman Govind Rajan, M.IOD Managing Director Independent Consultant - Chemicals & Fertilizers Educe Education Pvt. Ltd., Akola Bengaluru Mr. D. Sai Venugopal, M.IOD Mr. Mohit Shukla, M.IOD Managing Director Head - Legal & Compliance Vibol Properties Private Limited, Chennai Barclays Bank PLC, Mumbai 64 Connect with IOD’s New Members Business Leaders M E M B E R S H I P March 2020 & Senior Executives MEMBERS Ms. Ivy Benjamin John, M.IOD Mr. Srinivasan Thiagarajan, M.IOD Partner and Director Vice President Emergent Gateway Consulting Pvt. Ltd., Chennai Cognizant Technologies Solutions India Pvt. Ltd., Chennai Mr. Mahesh Fogla, M.IOD Ms. Sandhya Rithe, M.IOD Chief Financial Officer Senior Vice President Patel Integrated Logistics Limited, Mumbai Citi Bank, Pune Dr. Chandra Shekhar Banerjee, M.IOD Mr. Tarun Samant, M.IOD Director - HR & International Operations Former Chief Executive Officer Insignia Learning Pvt. Ltd., Mumbai Tata Motors Insurance Broking & Advisory Services Limited, Mumbai Ms. Priya Sachdev, M.IOD Dr. Asit Baran Mohapatra, M.IOD Senior Vice President Professor - Human Resource management Korn Ferry, Mumbai Indian Institute of Management, Ranchi Mr. Lalitendu Mohanty, M.IOD Ms. Nidhi Bhatnagar, M.IOD General Manager - Container Freight Station Executive Director Allcargo Logistics Limited, Gujarat Nielsen (India) Private Limited, Mumbai Ms. Namita Ogale, M.IOD Mr. B. S. Yadav, M.IOD Chief Financial Officer Joint Director Essar Vizag Terminals Limited, Mumbai Defence Research and Development Organisation, Delhi Mr. Manoj Patni, M.IOD Mr. Krishnan Venkiteswaran, M.IOD General Manager - Accounts and Export Head - Human Resource and Administration Prism Johnson Limited, Mumbai Control Print Limited, Mumbai Mr. Rajendra Dinkar Adsul, M.IOD Mr. Nimish Kamleshbhai Rakholi, M.IOD Founder Programme Manager Inspiration The Curve, Mumbai CloudMoyo India Pvt. Ltd., Pune Mr. Ajay Suri, M.IOD Ms. Reena Bhatnagar, M.IOD Director - Sales General Manager Pfizer Limited, Mumbai General Insurance Corporation of India, Mumbai Ms. Ritika Agarwal, M.IOD Mr. Amit Sham Bendre, M.IOD Director Managing Director RSVA Solutions Pvt. Ltd., Mumbai Interport Global Logistics Pvt. Ltd., Mumbai Mr. Abhishek M. Sharma, M.IOD Mr. Shriram Keshav Deshpande, M.IOD Founder Independent Director RootKause, Mumbai South Eastern Coalfields Limited, Bilaspur Mr. Jayen J. Modi, AM.IOD Ms. Namrata Mishra, M.IOD Managing Director & Chief Executive Officer Advocate, Agra Baerlocher India Additives Pvt. Ltd., Mumbai 65 Connect with IOD’s New Members Business Leaders M E M B E R S H I P April 2020 & Senior Executives LIFE MEMBERS Mr. Mahesh Murthy, M.IOD Mr. Shivananda Baikady, M.IOD Staff Engineer, Process Safety Process Safety CoE General Manager – RT & W SABIC, Saudi Arabia Tristar, Dubai Mr. Tejas Vinod Sura, F. IOD Mr. Ravisankar Lakshmikanthan, F. IOD Managing Director Global Head - Stress Testing Operations Cubic Turnkey Pvt. Ltd., Mumbai HSBC, Bengaluru Mr. Prabhakar Nori, F. IOD Mr. Pankaj Kumar Sinha, F. IOD Chief General Manager - Brand & PR Manager - Commercials Bharat Petroleum Corporation Ltd., Mumbai Qatari Diar Real Estate Investment Company, Qatar Dr. V. K. Sharma, F. IOD Mr. Sandeep Babulal Agarwal, F. IOD Chief Executive Officer and Director Executive Vice President Dezin Consulting Pvt. Ltd., Mumbai Happiest Minds Technologies Pvt. Ltd., Bengaluru Mr. Shriram Parameswaran, M. IOD Founder and Chief Executive Officer LifeMaximum, Coimbatore MEMBERS Mr. Sasikumar R. Nair, F. IOD Mr. Martin Barnett, F. IOD Former Group Financial Controller Management Consultant Limitless World LLC, UAE Odisha Mr. Nagaraj Garla, F. IOD Mr. Seshadri Vangala, M. IOD Managing Director & Chief Executive Officer Chief Executive Officer IDBI Capital Markets & Securities Ltd., Mumbai Ifintalent Global Pvt. Ltd., Hyderabad Mr. Laxman Kanuga, M. IOD Mr. M. S. Sundara Rajan, M. IOD President – Corporate Affairs Former Chairman Botil Oil Tools India Pvt. Ltd., Gurgaon Indian Bank, Chennai Mr. Purvesh Kapadia, M. IOD Mr. Ajay Singh, M. IOD Managing Partner Chief Executive Officer Kapadia Consulting Solutions LLP, Mumbai DP World Nhava Sheva, Mumbai Ms. Jyotsana Belliappa, M. IOD Mr. Bhogavalli Mallikarjuna Gupta, M. IOD Head - CSR Inspections Founder BlueSky Sustainable Business LLP, Bengaluru India-gst.in, Hyderabad Ms. Arti Nigam, M. IOD Mr. Sridhar Chandrasekhar, M. IOD Advocate Former Director - Corporate & Infrastructure Ratings Allahabad High Court, Allahabad CRISIL Limited, Mumbai Mr. Sathishchandra Shikaripur Laxmana Rao, M. IOD Mr. Parameswaran Chandrasekar, M. IOD Chief Operating Officer Group General Manager HTL Co. (India) Pvt. Ltd., Bengaluru Jawad Sultan Group LLC, Muscat Mr. Anil Sharma, M. IOD Mr. M. Padmanabhan, M. IOD Ms. Priti Rege, M. IOD Managing Director Partner Director Leaders for Growth DWC LLC, UAE M Padmanabhan & Co., Chennai Liwa Advertising DMCC, UAE 66 WELCOME IOD INSTITUTIONAL” M E M B E R S H I P LIFE MEMBERS P R O F I L E INSTITUTIONAL LIFE MEMBER GLECO International Pvt. Ltd. Institutional Life Member ILM - 2088 GLECO International Private Limited is the exclusive India affiliate of The Institute of Risk Management, UK. The Institute of Risk Management (IRM) is committed to creating an ecosystem for enterprise risk professionals in India with its 5-Level global qualifications, thought leadership and industry training programs. IRM members work across sectors in the capacity of chief risk officers, risk consultants, business risk managers, project risk officers, digital risk professionals and others. Institute of Directors, India Institute of Directors BRINGING A SILENT REVOLUTION THROUGH BOARDROOM Membership Masterclass For Directors Golden Peacock Awards Events & Board Research and Publications Conferences Advisory S H A R E • L E A R N • N E T W O R K INSTITUTE OF DIRECTORS www.IODGlobal.com M-56 A, Greater Kailash Part - II (Market), New Delhi-110048, India Board Nos.: +91-11- 41636294, 41636717, 41008704 follow us on Fax: +91-11- 41008705 • Email: [email protected] @iodglobal WELCOME IOD LIFE MEMBERS P R O F I L E M E M B E R S H I P INDIVIDUAL Dr. Swaminathan Manikandan, F.IOD Managing Director Pentagon Rugged Systems (India) Pvt. Ltd., Fellow Life Dr. Swaminathan Manikandan, Managing Director with Pentagon Rugged Systems (India) Pvt. Ltd., has been a leader in the area of Defence Rugged System, customization, turnkey projects and total solutions for indigenous product. He has expertise in strategy, management, execution, project novelty, design and development of strategic electronic systems and setting up innovation lab. His realized, various Rugged Advanced Computers and systems, simulators, UGV, AUV, and VVD have already found place in the FL-1150 inventories of armed forces. He has been credited with design development of projects in a record time and had the distinction of developing, product ionising and inducting various state of art indigenous systems. Mr. Vinod Krishnan N., F.IOD Deputy Chief Executive Officer Guy Carpenter & Co. Ltd. Fellow Life Mr. Vinod has been in the Insurance and Reinsurance businesses for 28 years. He has experience in the areas of Risk Management, Insurance Underwriting, Claims Management, Analytics and Reinsurance Broking. He has had Senior Leadership roles at International Intermediaries Aon, JLT and Guy Carpenter, leading the Business across ASEAN and the Indian Sub-Continent. He is extremely passionate about addressing the Protection Gap and finding Risk Transfer Solutions for Uninsured Risks. He holds a degree in FL-1161 Mechanical Engineering and is a Fellow of the Insurance Institute of India Dr. Amarnath Ananthanarayanan, F.IOD Managing Director - Corporate The Sanmar Group Fellow Life Dr. Amarnath Ananthanarayanan is currently working as Managing Director- Corporate, The Sanmar Group. He was a Chief Executive Officer and Managing Director at Bharti AXA General Insurance and Group Senior Executive at AXA since April 2009 to December 2014 and created the Joint Venture and increased premiums from INR 320 Million to INR 1.50Billion. From November 1998 - March 2009:- GE Capital – had various roles in M&A, Analytics, and Back office operations culminating in Regional Insurance Leader - Asia. FL-1163 He witnessed for both Standing Committee and Parliamentary Committee on Insurance Reforms in India, Tariff Advisory Committee of IRDAI, CII committee on insurance and pensions, Indian National Ship owners’ Association - Legal and Insurance Committee, Member of Regional Executive Committee - AXA Asia, Member of Policy Review Group - The Sanmar Group. He did his PhD - Economics, Rutgers - The State University of New Jersey, 1998, MA - Economics - Delhi School of Economics, 1993 and BA - Economics - St Stephen's College, 1991. He has also been bestowed with awards ‘Padma Shri’, ‘Padma Bhushan’ and ET Awards - Economic Times - Top Young Talent in India. 68 WELCOME IOD LIFE MEMBERS M E M B E R S H I P P R O F I L E INDIVIDUAL Mr. Prabhakar Nori, F.IOD Chief General Manager (Brand & PR) Bharat Petroleum Corporation Ltd. Fellow Life Mr. Prabhakar Nori has recently superannuated as Chief General Manager (Brand&PR) from Bharat Petroleum Corporation Ltd. He is a multifaceted professional with nearly 4 decades of experience transcending across Marketing, Sales, Distribution, Operations and Strategy in the multi-billion dollar Oil & Gas industry of South Asia. He is on the Panel of Studies & Conference Advisory Board of well-known Business schools in the country. He is also a well-known leadership coach. With a master's in Physics from FL-1166 Osmania University, he completed Post Graduate in Executive Management Program from SPJIMR, Mumbai and various executive programs from reputed institutes like IIM Bangalore, IIM Kolkata, ISB Hyderabad, and Cornell University. Dr. V. K. Sharma, F.IOD Chief Executive Officer and Director Dezin Consulting Pvt. Ltd. Fellow Life Dr. V. K. Sharma is currently working as Chief Executive Officer and Director at Dezin Consulting Pvt. Ltd., and as Visiting Professor at Narsee Monjee Institute of Management Studies, Mumbai. He has overall 28 year of experience in Consultation, Coaching, Marketing, Sales, and Business Management and has worked in Pharma/ healthcare Sector as Assistant Vice President, Vice President & Sr. Vice President- India Business. He is Certified Team Coach by Marshall Goldsmith, USA and Erickson Coaching International, FL-1169 Canada. He is also certified Predictive index analyst by Parendox incorporation, USA and certified practitioner of Global Leadership assessment. His academic background includes master’s degree in Science, Psychology & Marketing Management. Post Graduate Diploma in Business Management (Specialization in Marketing Management) from IMT, Ghaziabad and Post Graduate Diploma in Psychological Counselling. He has done M.Phil, Ph.D and D.Litt in Management.. He has also done Certificate course in Digital Transformation from University of Virginia, USA and Program Certificate in Innovation Management from International Business Management Institute, Berlin, Germany. Dr. Mahesh Murthy, F.IOD Director DNV GL - Business Assurance Fellow Life Dr. Mahesh Murthy has an extensive experience in major capital/operating expense projects, contracts management, audit and internal controls management. He has international work experience in Australia, Malaysia, Singapore, UK, US, Saudi Arabia, Canada and Kazakhstan. In his capacity as risk manager, he has advised executive managements of various companies like Saudi Aramco, ConocoPhillips, Western Australian Government, MAERSK and SABIC. He is a highly trained and motivated professional with focus on clean governance, risk management, process safety, business continuity, legal compliance, engineering FL-1171 standards and internal controls leading to safe and sustainable operational outcomes. He is an alumnus of Harvard Business School with background in Chemical and Environmental engineering. 69 A R T I C L E Significance of Sustainable Business Practices for a Sustainable World * Mr. J. C. Laddha A sustainable business is one that is fit for times the legal limit of nitrogen oxide, as long as doing so allowed it to “ purpose in a rapidly changing world. become the world's leading car maker. (source: forbes.com) This means understanding that there are Social: factors that affect our survival that are Companies should maintain equal employment opportunities beyond our control and that by planning for irrespective of caste, creed, gender, race, religion or sexual orientation. them, we can prosper –today and in They should strive to promote employees well-being by promoting healthy work-life balance, preventing use of child labour, forced labour, future.” (source: Sustainable business ensure timely payment of wages and make provision of healthy facilities report of Aditya Birla Group)”. and amenities, promote harassment free workplace and make provision for upgrading the knowledge base of employees. Not just employees, corporates should also be responsive towards its all stakeholders by disclosing through labelling or other means, including highlighting of risks from usage of products to individual and to the With the changing global trends and increasing social expectations, it society, so that the customers can exercise their freedom to use the has now become very imperative for the Companies to look beyond its products in a responsible manner and also provide ways to responsibly financial performances to drive businesses and rather also be dispose the used products. Corporates should also make efforts to accountable to the society and environment in which they operate. rehabilitate the communities who have been displaced owing to their Hence adoption of responsible business practices in the interest of business operations. Innovation and investment in products, social set-up and the environment are as vital as the Company's technologies and processes to promote the wellbeing of society is operational and financial performance. equally important. Specifically this calls for Corporates to be thoroughly aware and conscious of their environment, social and governance (ESG) Governance: responsibilities and balance these different considerations with their Corporate should not engage in practices which are anti-competitive, financial goal in an ethical way. corrupt or abusive and also recognize and respect the rights of people who may be owners of traditional knowledge and other forms of Environment: intellectual property. They should adopt structures which ensure ethical It is expected that the Companies use the resources in an optimal conduct at all levels. manner and ensure sustainability by reducing, reusing, recycling and Corporates should adhere to laws applicable to them in letter and spirit managing waste. Also adopt ways and measures to keep a check on and truthfully discharge their responsibility on financial and other the pollution and environmental damage. They should continuously mandatory disclosures. Also provisions should be made for adequate seek to adopting cleaner production methods, promote usage of grievance handling mechanisms to address customer concerns and environment friendly technologies and usage of renewable energy. feedback. The Corporates should work towards ensuring that all the Not just this, the corporates should also encourage their value chain goods and services are procured, manufactured and delivered through a to adopt these practices. system embedding its policies in terms of labour practices, human The Volkswagen case represents an absolute failure in terms of its rights, ethics, occupational health, safety and environment. responsibility towards environment protection. Volkswagen decided Corporate Sustainability has become an integral part of a company's that it didn't matter if its cars poisoned the planet by emitting 40 functioning and today it has become indispensable that a firm 70 A R T I C L E demonstrates such responsibility. Although, earlier it was not a legal steps to combat climate change and adapt to its effects. India compulsion, but following it was considered as a good practice for ratified this agreement on 2 n d October, 2016 and its taking into account social and environmental issues. However, post commitments are called the National Determined Contributions enactment of the Companies Act, 2013, the newly introduced (NDC's). Section 135 mandated companies to establish a corporate social 4. Core Conventions 138 and 182 on Child Labour by International responsibility (CSR) committee of the board, develop CSR policies, Labour Organization (ILO): spend 2% of profits on these policies and report on these activities. Companies are suggested to focus their CSR activities on eradicating In June, 2017, India ratified ILO Core Conventions 138 (minimum poverty, hunger and malnutrition, improving education, promoting age of employment of children) and 182 (worst forms of child labor). gender equality and female empowerment, as well as environmental 5. Annual Business Responsibility Reports & Companies Act, 2013 sustainability. As dealt with previously in this article, SEBI's listing agreement In addition, the top 500 listed companies by market capitalisation mandates top 500 listed companies to submit annually the are required to produce Business Responsibility (BR) Reports, which Business Responsibility Reports. Further, Companies Act, 2013 are to be included in their annual reports. The regulations require the mandates companies to undertake CSR activities in areas and public companies to disclose a wide and diverse set of sustainability target groups in consistency with national socio-economic priorities. criteria – from greenhouse gas emissions and sexual harassment to stakeholder engagement. The decision by the Securities and The 9 Principles of the NGRBC are as follows: Exchange Board of India (SEBI) in 2017 to ask top 500 listed Principle 1: Businesses should conduct and govern themselves with companies to voluntarily adopt the integrated reporting framework is integrity and in a manner that is ethical, transparent and accountable: a positive recent development that should encourage the disclosure of non-financial information alongside financial information. This principle primarily focuses on following aspects: Publishing such ESG information and data in the mainstream report • development and implementation of corporate policies and brings it to the attention of investors and shareholders and allows a procedures which promote ethical and transparent business wider, more sustainable conception of value to foster. practices; The Ministry of Corporate Affairs (MCA), Government of India, had • ensure full disclosures of financial and non-financial performance of released a set of guidelines in 2011 called the National Voluntary the company to its stakeholders, Guidelines on the Social, Environmental and Economic Responsibilities of Business (NVGs) which was expected to provide • requires companies to follow the applicable laws in letter and spirit, guidance to businesses on what constitutes responsible business • promotes fair competition, conduct. However, in order to align the NVGs with the Sustainable • addresses conflict of interest, Development Goals (SDGs) and the 'Respect' pillar of the United Nations Guiding Principles (UNGP) the process of revision of NVGs • addresses illegal and abusive business practices, bribery and was started in 2015. After, revision and updation, the new principles corruption and are called the National Guidelines on Responsible Business Conduct • ensures companies make timely and complete payment of all (NGRBC). As with the NVGs, the NGRBC has been designed to assist applicable taxes in letter and spirit of laws. businesses to perform above and beyond the requirements of regulatory compliance. These guidelines are currently Principle 2: Businesses should provide goods and services in a manner recommendatory in nature. Some of the key drivers of NGBRC are as that is sustainable and safe: follows: This primarily requires the Companies that: 1. The UN Guiding Principles for Business and Human Rights • resource efficient and low carbon processes and technology are (UNGPs): deployed to minimize adverse environmental and social impact One of the UNGP's guiding principle is to enforce upon the • they ensure safe collection, reuse, recycling and disposal of their business enterprises, the need to respect human rights and products also to ensure easy access to effective remedy to those who are affected by the adverse business-related human rights impacts Principle 3: Businesses should respect and promote the well-being of all or abuse. The UN working group has also encourage all States to employees, including those in their value chain: develop National Action Plan as part of State's responsibility to The corporate should ensure: implement UNGPs. • equal employment opportunities at the time of recruitment, during 2. UN Sustainable Development Goals: employment and at the time of separation. In 2015, the UN general assembly adopted the 2030 Agenda for • No use of child labour, forced labour or any form of involuntary Sustainable Development which established 17 Sustainable labour Development Goals (SDGs) which recognises the role of businesses as key driver for economic growth whilst explicitly • Work-life balance for all its employees calling businesses to adhere with UNGP's. • Right to freedom of association and collective bargaining of all 3. Paris Agreement on Climate change employees This is the Agreement in which countries have committed to take • Fair and timely payment of statutory wages 71 A R T I C L E • Workplace environment is safe, hygienic and upholds the dignity chambers and associations of employees • Ensure that its policy advocacy promote fair competition and • Continuous upgradation of skill and competence of all respect for human rights employees Principle 8: Businesses should promote inclusive growth and equitable • Humane workplace free from violence and harassment and development: also provide secure and adequate redressal mechanism. Corporates should : Principle 4: Businesses should respect the interests of and be • Ensure that it takes appropriate actions to minimize any adverse responsive to all its stakeholders: impacts that it has on social, cultural and economic aspects of Corporates should :- society including arising from land acquisition or construction of facilities/operations • Develop systems and processes to identify its stakeholders, understand their expectations and concerns and commit to • Invest in technologies, products and processes that promote well resolve any difference and redressing grievances in a just and being of all segments of society fair manner • Respond to local and national development priorities and • Ensure that all stakeholders benefit fairly from the value understand concerns of local communities that are generated by the businesses. underdeveloped while implementing CSR policies Principle 5: Businesses should respect and promote human rights: • Make efforts to minimize negative impacts of displacement of people and disruption of livelihoods through their business Corporates should :- operations, operations should be conducted in humane, • Make the employees aware of their rights under constitution of participative and informed manner India, relevant national laws and should further ensure that the • Respect intellectual property and traditional knowledge responsibility for addressing any violation of such rights is assigned to an appropriate level Principle 9: Businesses should engage with and provide value to their customers in a responsible manner: • Ensure that its policies demonstrate respect of human rights of all its stakeholders impacted by its business Corporates should: • Ensure that if its business is creating adverse human rights • Manage consumer data in a way that doesn't infringe upon their impacts, corrective actions to address the same are in place right to privacy • Ensure adequate grievance redressal mechanism to address • Ensure freedom of choice and free competition human rights violations, if any. • Mitigate any adverse impact of its goods and services on Principle 6: Businesses should respect and make efforts to protect consumers, environment and society at large and restore the environment: • Disclose all information accurately about use of its products Corporates should: including risks, if any • Formulate policies and structures to assess and address all the • Guide on safe and responsible usage and disposal of their products adverse impacts on the environment at all its locations and • Provide adequate grievance redressal mechanism to address special care be taken in eco-sensitive areas customer concerns and feedback • Develop strategies for sustainable use of natural resources and • Corporates which provide essential services should enable manufactured materials universal and responsible access at all times • Define KPI's and targets to monitor its performance on Challenges in Sustainability Reporting: environmental aspects such as water, air, land-use, forest, energy, materials, waste, biodiversity and so on India has seen unprecedented economic development in recent past resulting in growing demand for natural resources and exploitation of the • Focus on addressing climate change through both mitigation environment as well. It has become impossible to have business success and adaptation measures and economic growth without environmental sustainability. This is a major • Focus on adopting innovative, resource-efficient and low challenge for fast-growing emerging economies such as India. carbon technologies and solutions resulting in lower resource British Telecommunications revealed that the overall performance of footprint and more positive impact on environment, economy Indian Corporate Reporting is not satisfactory when compared with and society. companies from European Union, China and Japan. According to their Principle 7: Businesses, when engaging in influencing public and findings, although Indian companies are proactive towards sustainable regulatory policy, should do so in manner that is responsible and issues, there are still many issues – inclusive employment, education, transparent: employment creation, health, corporate/government collaboration, land and displacement, natural resource management, climate change, Corporates should: corporate governance, solid waste and water – to be addressed by them. • Undertake policy advocacy through trade and industry In fact, Indian companies are failing to come out with innovative 72 A R T I C L E approaches for addressing sustainable issues. The progress of 42% of the total CSR spending was made on activities focusing sustainability reporting in India is slow, but a significant and sound education, support to differently abled and providing livelihood, followed start has been made. by 26% on activities focusing on health, eradication of poverty, hunger and malnutrition including contribution towards Swacch Bharat initiative One of the main hindrances that stand in the way of effective and 11% on activities focusing rural development. enforcement of social responsibilities by Indian corporates is finding credible projects that the corporates can support. According to A deeper dive into the types of CSR projects carried out by these KPMG Report, corporate prefer to fund the projects which are closer companies throws up some interesting insights about their perspective to where these firms are based which results in industrialised areas towards sustainable development as a key component of CSR. getting preference over the poorer areas which truly need financial aid or development. Reports have also proven time and again that Conclusion: the expenditure of the Company have mainly gone to the set priorities As rightly pointed out by Mr. Kumar Mangalam Birla, Chairman of Aditya than to the determined priorities which continue to remain a Birla Group:- challenge for the Country as a whole. “We have traditionally looked at sustainability from the perspective of Also, because of the absence of any proper authority, the needs of compliance and good governance. In this new environment, we need to the rural people often gets unnoticed and there remains no proper think strategically about how to create business value through authority to assess and identify the needs of the rural society. sustainable initiatives. Sustainability is, therefore, not just good As per data analysed by MCA, some of the major reasons reported for citizenship but also, good business.” not/under-spending CSR prescribed amount were as follows: In light of above, it would not be wrong to say that most of the top • Suitable Project Not Found performing companies have increased their focus on sustainability and also deepened current efforts around reduction of emissions, climate • Delay in Project Identification change, waste management, water and energy. This gradual shift towards • Suitable Implementing Agencies Not Found a more responsible form of growth taking a long term view of sustainability and social responsibility will not only help in creating long term • Multi Year Projects competitive advantages but also would positively impact the World 50 • Majority of the Projects were of Infrastructure Development in years from now. Rural Areas, which involve long implementation period • Adoption of Long Gestation CSR Programmes / Projects *Mr. J. C. Laddha is the Managing Director of Century Textiles and • Inability of Company to formulate a well-conceived CSR Policy Industries Ltd., Aditya Birla Group • Lack of Prior Expertise While some of the reasons may be reasonable but most others were Disclaimer: The views and opinions expressed in this article are those of the author untenable. alone and do not necessarily reflect the position of any other agency, organisation, employer or company. These views are subject to change, revision and rethinking The detailed study carried out by MCA in the year 2019 on CSR at any time. Please do not hold us to them in perpetuity. expenditure by Indian corporates showed that for the year 2017-18, 73 *,,6 9,578$/ &/$665220 6&+22/62)7+( )8785( +2:*,,6)28*+77+(&29,'&5,6,6 :,7+$6+$53:($321&$//(' 9,578$/&/$665220 ,WZRQ·WEHDQH[DJJHUDWLRQWRVD\WKDW&RYLG KLWWKHZRUOGOLNHDQ LQYLVLEOHHQHP\7KHZRUOGZDVJRLQJDERXWLWVZD\ZKHQVXGGHQO\D EODFNFORXGKRYHUHGRQWKHKRUL]RQDQGXQOHDVKHGLWVKRUURUZLWK VXFK IRUFH WKDW LW VHQW D KXJH ZDYH RI VKRFN DFURVV WKH JOREH 1HHGOHVVWRVD\HYHU\RQHVWUXJJOHGWRUHJDLQEDODQFHDQGÀQGD IRRWLQJEHIRUHWDNLQJDVWDQFHWRÀJKWWKHDIWHUPDWK 0U$WXO7HPXUQLNDU 7KH(GXFDWLRQVHFWRUZDVQRWVSDUHGDQG*OREDO6FKRROV)RXQGDWLRQ &R)RXQGHUDQG&KDLUPDQ ZDVFDXJKWLQWKHZKLUOZLQGMXVWOLNHRWKHULQVWLWXWLRQVLQWKHZRUOG *OREDO,QGLD,QWHUQDWLRQDO6FKRRO6LQJDSRUH %XWZKDWVWRRGLQRXUIDYRXUGXULQJWKHVHWU\LQJWLPHVZDVWKHIXWXUH UHDGLQHVVDQGIRUHVLJKWRXUOHDGHUVKLSKDGVKRZQORQJEHIRUHWKLV FULVLVWULHGWRSXOOXVGRZQ2XU9LUWXDO6FKRROLQJV\VWHPZDVÀ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teachers who only thought about benefits for the students. The foundation was strong, our heart was in the right place and our vision was firmly on the future. For two years, we used our Smart facilities to expand classroom learning far beyond the four walls of the classroom, adding digital pedagogy in everyday studies for our students at the click of a button,, imparting knowledge beyond books, and bringing access to experts from around the world. We did this after training our teachers in the methods of digital learning, equipping them with resources and knowledge to keep up with the times, and sometimes even ahead of the curve. So when Circa 2020 brought with it another kind of disruption in the form of Covid-19, we may have stepped back a little with surprise, but quickly brushed ourselves off and took stance to face the challenge head on. Our method was simple: All hands on board, all systems go and all machines running full throttle. The result: Virtual Schools running around 21 campuses in 7countries in 5 days flat. The foresight we showed to have wifi, smart boards and Apple TVs in our classrooms stood us in good stead. We initiated the process of buying licences for a safe and secure online platform to accommodate 15,000 students, gave a quick user- demonstration to our teachers and generated a fool-proof system to get all our students to attend classes from the comfort of their homes. This took care of the lock downs, circuit breakers and social distancing rules that were put in place by various governments. We paid millions from our pocket for licence to the safest platform to engage our students, in a way that no shady element could play truant when a class was in progress. even then, that the time was right to jump on the digital bandwagon. The idea of School of the Future took root and we started building the first SMART Campus in Singapore. We packed the facility with every new technical and technological idea that would benefit the education industry and enhance our students’ learning - Digital Classrooms, Smartboards, state-of-the-art Audio-Visual systems, Wifi enabled campuses, gadgets like iPad, MacBooks and Apple TVs for students, Innovation rooms, Facial Recognition machines, studios for skills, Maker Spaces, Design and Technology in the pedagogy. We knew that the internet was an integral part for millennials and their children, Generation Alpha, who will be digital natives who will speakno other language but that of virtual realities and artificial intelligences. When we launched the Smart Campus in 2018, it was a school like no other. It was built on the simple idea of providing NextGen Learning to make the new generation ready for the challenging future of the 21st century. Far ahead of its time, it was a technologically- savvy institution which was designed by international architects with inputs from 75 S P E C I A L F E A T U R E Teachers were given the full right to control who enters the online teachers for managing the classes well, even when students are classroom, who can share audio or video and who can interact one- scattered all over the place. on-one or with the entire class at any given point of time. Parents Our teachers have not just conducted regular lessons, but have made were given unique password seach day through their unique sure that each classroom session is more interactive and more engaging accounts on our intranet portal, to ensure that no one else has than usual. They understand the constraints of working parents - who may access to these important learning portals. Students, who were be working from home during virtual school hours - by keeping students’ already equipped with iPads and Macbooks, were given the right to spirits high through different activities, and events which will ensure join these Virtual Classrooms at the click of a button, and attend equal participation for all. school as though nothing had changed. Our academic and non-academic staff have held Educational Webinars, It would be false to say we did not face hiccups, and that the entire contests, panel discussions and talks on topics ranging from process was smooth. It wasn’t. We did face teething problems at the Scholarships for the deserving, Mental health in the time of Covid and onset with slow-moving Wifi, tech-novice parents and concerns of too Cooking contests for parents and children, to send a clear message that much screen time. But our Help desk professionals toiled day and we are one big family, and that we are always there for our parent and night to resolve each and every problem, sacrificing long hours student community. (sometimes sacrificing their weekends)to ensure that each and every query of each and every parent was successfully resolved. Our One parent, even went to the extent of confessing that although she was counsellors were on call with parents who were stuck in their home not sure how Virtual Classrooms would work at first, she is now all game country, unable to emigrate to new destinations with children unable for this initiative, and would support us even in future, for she knows that to attend school - giving them practical online solutions like Virtual GIIS has her child’s best interest foremost in their mind. One of our Classrooms. knowledge partners has also commended our Virtual Classrooms as the right step in the right direction. These students were allowed to join classes from wherever they were, logging in to a campus of their choice and continuing their This is evidence enough that we are on the right path. Satisfied parents, education until such time that things return to normal. Textbooks knowledg able students, proud teachers and staff is what GIIS family is were purchased online and delivered at the home, so that lock down made of - as we enter the third month of restrictions due to Covid-19. rules are not broken, payment facilities were moved online and a Our vision, our sheer determination and our meticulous planning and helping hand was extended to those who found it economically execution has borne fruit. They are sweet and healthy - a benefit that can difficult to carry on due to loss of income. not be downplayed or undermined. And I can assure you, that with such a We are two months into the Covid crisis, and I cannot be more proud system in place, there can be no crises - Covid-related or otherwise - that enough to say that our systems are now running smoothly. Parents, will keep us from doing what is best for our students. All we need is the initially skeptical of the fluency of running these classrooms, have support of our dedicated staff, a pulse on the changing dimensions of the gone out of the way to write to us, send us video logs and photographs world and an eye on the future. of their children enjoying Virtual Classrooms. They have written notes of thanks, praising the efforts of the school, and complimented our www.globalindianschool.org 76 PARTICIPANTS DIRECTOR'S PROFICIENCYfor TEST February - March 2020 4th One Day Directors' Orientation Programme for Independent Director's Proficiency Test on February 29, 2020, Pune Ms. Kailash Abhay Nevagi Mr. Sanjay Dayal Director Consultant ANA Cyber Forensic Pvt. Ltd., Pune Sharv Consultant, Thane Mr. Brahmanand Reddy Patil Mr. Shrikant Vasant Prabhudesai Vice President Plant Head UNO Minda, Pune Godrej & Boyce Manufacturing Company Limited, Pune Ms. Aparna Narendra Sharma Mr. Peruvemba Vaidyanath Balasubrammaniam Managing Partner Founder Director Surya Consulting, Mumbai Fractal Management Services, Pune Ms. Rashmi Hemant Ghude Mr. Shrikant Raghunath Marathe Chief Executive Officer Former Director Kushal CREDAI Pune Metro, Pune Automotive Research Association of India, Pune Mr. SrinivasanV enkataraman Mr. Paresh P. Madani Former Managing Director Independent Consultant, Pune Hoganas Pvt. Ltd., Pune Mr. Kailash Maisekar Founder Logitail Tech India Pvt. Ltd. 5th One Day Directors' Orientation Programme for Independent Director's Proficiency Test on March 5, 2020, Bengaluru Dr. Amit Gupta Mr. Aniruddha Ganguly Director Founder Callidus Social Enterprises Pvt. Ltd., Bengaluru Eu Matter Consulting, Bengaluru Mr. Sudarshan Mandyam Narasiwodeyar Mr. Raghu Nambiar Director Director CPG Assurance Services Pvt. Ltd., Mumbai Stradus India Services Pvt. Ltd., Bengaluru Mr. P. V. Rai Mr. Krishna Kumar Managing Director Chief Executive Officer Pixel Softek Pvt. Ltd., Bengaluru Business Growth Consultancy Services, Bengaluru Ms. Aparna Pavate Mr. P. K. Raghunathan Deputy Secretary Soft Skills Trainer, Chennai Rural Development and Panchayat Raj Department, Chennai 77 PARTICIPANTS DIRECTOR'S PROFICIENCYfor TEST February - March 2020 5th One Day Directors' Orientation Programme for Independent Director's Proficiency Test on March 5, 2020, Bengaluru Dr. Purushottam Bung Mr. Ananthanarayanan T. Professor and Director Founder R. V. Institute of Management, Bengaluru Agrata Consulting, Bengaluru Dr. P. P. Singh Ms. Nandini Sinha Batra Independent Director Independent Director ITC Essentra Limited, Bengaluru ITC Essentra Limited, Bengaluru Mr. Milind Digambar Kulabkar Mr. Shankar Venkatachalam Non-Executive Director Founder and Chief Executive Officer AVM Impact India Pvt. Ltd., Bengaluru Vishruth Consultancy Services, Bengaluru Mr. Arunachal Shankaranarayan Hegde Mr. Kumar Prasad Chief Executive Officer Consultant Apex Luminaries Pvt. Ltd., Bengaluru KPSL iTechPath Pvt. Ltd., Bengaluru Dr. Fredricks John Mr. Joseph Varghese Executive Vice President Managing Director AG Resources India Pvt. Ltd., Coimbatore E.C.S. India Pvt. Ltd., Bengaluru Mr. Shardul Kshirsagar Mr. Ramachandra Rao Ramineni Chief Executive Officer and Managing Director Managing Director Fowler Westrup (I) Pvt. Ltd., Karnataka Merlinhawk Aerospace Pvt. Ltd., Bengaluru Dr. Manjunath Shettigar Dr. C. R. Parthasarathy Professor Managing Director Christ University, Bengaluru Sarathy Geotech and Engineering Services Pvt. Ltd., Bengaluru Mr. Anand K. Kadali Mr. Mohankumar Srinivasa Founder and Trustee Business Controller Sri Sathya Sai Annapoorna Trust, Karnataka Esko Graphics India Pvt. Ltd., Bengaluru Mr. P. K. Ranganathan Mr. Rajesh Kumar Rai Chief Financial Officer Director CyQureX Systems Pvt. Ltd., Bengaluru Bangalore Paints Pvt. Ltd., Bengaluru 6th One Day Directors' Orientation Programme for Independent Director's Proficiency Test on March 14, 2020, Chennai Mr. A. Gopalakrishnan Mr. Athreya Tyagarajan Krishnakumar Director Director MM Forgings Limited, Chennai Prime Management Services, Chennai 78 PARTICIPANTS DIRECTOR'S PROFICIENCYfor TEST February - March 2020 6th One Day Directors' Orientation Programme for Independent Director's Proficiency Test on March 14, 2020, Chennai Dr. N. Ragavan Dr. Sakthivel Murugan M Professor Professor University Of Madras, Chennai Dhanraj Baid Jain College, Chennai Dr. V. R. Sridhar Ms. Hemamalini Subramaniam Manager - Finance Managing Director TVS Group, Chennai Live Connections Placements Pvt. Ltd., Chennai Mr. Ashok Kothaneth Mr. Chandrashekhar K Retd. Vice Chairman and Managing Director Managing Director J.Thomas & Company Pvt. Ltd., Kochi Schawk India Private Limited, Chennai Mr. Kirankumar Komaravolu Consultant, Chennai ...... Institute of Directors RIGHT TM Director Today BRANDING A Monthly Journal of the Corporate Directors connect with over WITH RIGHT 31000+ Professionals & Associates worldwide POSITIONING and provide your business endless IS THE BEST OPPORTUNITIES TO GROW. Promote with us MARKETING TOOL BRANDING POSITIONING VALUE CREATION + = [email protected] • [email protected] Ò w w w . i o d g l o b a l . c o m PARTICIPANTS forDIRECTOR'S March 2020 262nd Masterclass for Directors from March 13 - 15, 2020, Mumbai Ms. Sandhya Rithe Dr. Chandra Shekhar Banerjee Senior Vice President Director - HR & International Operations Citi Bank, Pune Insignia Learning Pvt. Ltd., Mumbai Mr. Tarun Samant Ms. Priya Sachdev Former Chief Executive Officer Senior Vice President Tata Motors Insurance Broking & Korn Ferry, Mumbai Advisory Services Limited, Mumbai Dr. Asit Baran Mohapatra Mr. Lalitendu Mohanty Professor - Human Resource management General Manager - Container Freight Station Indian Institute of Management, Ranchi Allcargo Logistics Limited, Gujarat Ms. Nidhi Bhatnagar Ms. Namita Ogale Executive Director Chief Financial Officer Nielsen (India) Private Limited, Mumbai Essar Vizag Terminals Limited, Mumbai Mr. B. S. Yadav Mr. Manoj Patni Joint Director General Manager - Accounts and Export Defence Research and Development Organisation, Delhi Prism Johnson Limited, Mumbai Mr. Viresh Chandravadan Shah Mr. Krishnan Venkiteswaran Vice President and General Manager Head - Human Resource and Administration iBASEt India Software Pvt. Ltd., Gujarat Control Print Limited, Mumbai Mr. Rajendra Dinkar Adsul Mr. Amit J. Shah Founder Senior Manager Inspiration The Curve, Mumbai Glaxo SmithKline Asia Private Limited, Mumbai Mr. Nimish Kamleshbhai Rakholi Mr. Ajay Suri Programme Manager Director - Sales CloudMoyo India Pvt. Ltd., Pune Pfizer Limited, Mumbai Ms. Reena Bhatnagar Ms. Ritika Agarwal General Manager Director General Insurance Corporation of India, Mumbai RSVA Solutions Pvt. Ltd., Mumbai Mr. Amit Sham Bendre Mr. Raghvendra Raj Mehta Managing Director Former Chief Executive Officer Interport Global Logistics Pvt. Ltd., Mumbai Reliance Infrastructure Limited, Mumbai Mr. Abhishek M. Sharma Mr. Shriram Keshav Deshpande Founder Independent Director RootKause, Mumbai South Eastern Coalfields Limited, Bilaspur 80 A Report on In-house Training for Novartis India Limited February 28, 2020, Mumbai Training Programme for the Directors and Senior Executives of Novartis India Limited (A Group Picture) Institute of Directors (IOD) had the privilege of conducting a special one- future boards will enhance performance - driven by Blockchain and day training program for the fourteen participants comprising of the top other technology tools. Mr. Shailesh Haribhakti was welcomed by Mr. management team of Novartis India Limited and its Group Companies Trivikram Guda, Company Secretary and Head Corporate Legal of including Sandoz Private Limited and Novartis Healthcare Private Novartis India Ltd. Limited. All Directors, CFO, KMPs, and Compliance Teams based at It was a power-packed Masterclass training program with four Mumbai attended the program with great enthusiasm and sessions, beginning with two sessions by IOD Faculty on 'Companies Act participation. 2013 and other Corporate Laws', and 'The Board Legal Environment' Mr. Vikesh Wallia, Regional Director - Western Region, IOD, Mumbai followed by two sessions on 'Strategic Leadership of Corporate Boards' introduced IOD and program content. and 'Corporate Governance: Enhancing Stakeholders Value' delivered by IOD Faculties. The sessions became very engaging and lively due to The program was inaugurated by Mr. Shailesh V. Haribhakti FCA, Board the wholehearted participation by the senior compliance team and Chairman, Audit Committee Chair and Independent Director on KMPs of the Novartis Group, and also with the case studies presented multiple Boards in India & Chairman, Shailesh Haribhakti & Associates, by the IOD Faculty. India. He delivered a session on Future Boards with insights on how 81 A Report on In-house Training for Vigilance Study Circle February 28 - 29, 2020, Bangalore Training Programme for the Senior Level of Vigilance Officers of Vigilance Study Circle (A Group Picture) IOD had the privilege of conducting a customized two days training fellow participants and the contributing faculty. The participants were program for the senior officials of the Vigilance Study Circle. The two-day curious to grasp the knowledge provided by IOD for the functioning of Masterclass for Directors Certification Program for the Chief Vigilance senior-level people at the company level or the board level. In-depth Officers of Vigilance Study Circle at Bangalore started with the welcome discussion was done for their continuous learning & implementation at of the dignitaries and with a brief introduction from all. Boardroom. The program was a great platform to share their professional experiences. In this note, the In-house program concluded The program started with twenty-five participants with a very senior and a vow was taken to make the best board room practices not only level of Vigilance Officers from the Vigilance Study Circle of Bangalore, inside their Board but also to other Corporate Board rooms. We were who made the sessions very enlightening and refreshing for both the humbled by their participation. 82 N E W S F L A S H Equity support to MSMEs: Rs 10,000 crore fund soon >> The government is considering a proposal to create a Rs 10,000 crore MSME fund to buy up to 15% equity in crisis-hit, but otherwise well-rated, MSMEs that will list on bourses. The MSME ministry has submitted this plan with the Finance Ministry. Separately, the Centre is also weighing another NEWS FLASH proposal to create a Rs 10,000 crore fund of funds for these small businesses, along the lines of the one meant for start-ups. This fund of funds may make downstream investments in venture capital and Government to Extend Interest alternative investment funds that will, in turn, invest in MSMEs with AAA or Subvention Scheme for MSMEs AA-rated ratings. The National Small Industries Corporation under the MSME Ministry or SIDBI may be tasked to control the funds. Already, the The government has decided to extend MSME ministry is contemplating a scheme for credit rating to these the interest subvention scheme for micro, businesses, based on their annual turnover, exports and GST payments. small and medium enterprises, union minister Nitin Gadkari said. The "Interest Subvention Scheme for Incremental credit to MSMEs 2018", which offers 2 COVID-19 Pandemic to Hit MSME Exporters More, Say Trade per cent interest subvention for all GST Experts r e g i s t e r e d M S M E s o n f r e s h o r Micro, Small and Medium enterprises (MSME) exporters will be impacted incremental loans, was in effect till March 31, 2020. The Union more by the current lockdown on account of Covid-19 pandemic as the Cabinet had in 2018 approved changes in the basis of classifying sector accounts for over 45 per cent in the country's total outbound micro, small and medium enterprises from 'investment in plant & shipments, according to trade experts. They said that the magnitude of machinery/equipment' to 'annual turnover'. Under the new definition, the impact on MSME exporters can be gauged from the statement of the a micro enterprise was defined as a unit where the annual turnover World Trade Organisation (WTO) which has projected that global trade in does not exceed Rs 5 crore; a small enterprise would have turnover of goods is set to decline steeply between 13 per cent and 32 per cent in more than Rs 5 crore but not exceeding Rs 75 crore; and a medium 2020 as countries across the world are battling with the Covid-19 enterprise was defined as a unit where the annual turnover is more pandemic. The sector also contributes about 25 per cent to the country's than Rs 75 crore but not exceeding Rs 250 crore. GDP (gross domestic product) from service activities and over 33 per cent to the manufacturing output of India. SIDBI launches special liquidity scheme for MSMEs MSMEs may now get their grievances resolved within 7 days through The Small Industries Development Bank of India launched a special this new govt. portal liquidity scheme for Micro, Small and Medium Enterprises (MSMEs) through banks including Small Finance Banks (SFBs), Non-Banking MSME Ministry announced a grievance registration and management Financial Companies including fintech NBFCs and Microfinance system for issues around finance, raw materials, labour, regulatory Institutions (MFIs). “The scheme would provide financial support to permissions etc. particularly due to the Covid impact faced by small banks, NBFCs and MFIs by way of term loans to ensure operational businesses. The portal – champions.gov.in – will allow MSME continuity and promote onward lending to MSMEs,” SIDBI said in a associations, units, employees, and aspiring entrepreneurs etc. to statement, adding that the tenor of these loans will be 90 days. This register their complaints, suggestions or seek information around the follows the special ₹15,000-crore liquidity window announced by the support provided to MSMEs. Grievances registered by MSMEs either on Reserve Bank of India to meet the credit needs of MSMEs. To be the government's Centralized Public Grievance Redress and Monitoring eligible under the scheme, a bank should have a sizeable System (CPGRAMS) or any other portal of the MSME Ministry will be outstanding loan portfolio to micro and small enterprises, micro automatically pulled into the Champions portal. The grievances will then credit and sound financials, SIDBI said, adding that they should have be diverted subject-wise to concerned branch/bureau/office heads been in operation for a minimum period of three years and should under the MSME Ministry to attend them within three days. The matter have earned profit for a at least two years out of the last three years. “should not remain inconclusive after seven days” AK Sharma, MSME Secretary said in a note announcing the trial launch of the Champions portal on May 9. For unresolved complaints, the “top leadership of the MSME Ministry” will “pro-actively take (them) up,” said Sharma. MSMEs with stressed Accounts to get a lifeline, too The special package for micro, small and medium enterprises (MSMEs) will also include accounts that are stressed or are on the verge of being declared non-performing, throwing a lifeline to these companies. Details of the scheme are still being worked out with the Small Industries Development Bank of India (SIDBI), which is likely to be the nodal agency for the implementation. But bankers said loans will be offered to all companies irrespective of their repayment history. "All SMA 0 to SMA 2 accounts, which are considered as standard in banking parlance, will qualify without any restriction. For MSMEs, which have already been declared as NPAs, the Rs 20,000 crore fund will be used from which they can borrow and infuse capital into their companies. The only qualification is that the units have to be in production and there should not be frauds or such things," said Indian Banks' Association (IBA) CEO Sunil Mehta. 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FRPPXQLFDWLRQV PDUNHW $ MRLQW YHQWXUH ZRXOG VHH 2·V PRELOH QHWZRUN DQG 9LUJLQ $ODPR'UDIWKRXVH&LQHPDKDVKLUHG0V6KHOOL7D\ORUIRUPHU6WDUEXFNVH[HFXWLYHDV 0HGLD·VFDEOHRSHUDWLRQVXQLWHGLQWRDVLQJOHXQLWWKDW &KLHI([HFXWLYH2IÀFHUHIIHFWLYH0D\7D\ORUVSHQWQHDUO\WZRGHFDGHVDWWKH ZRXOG LPPHGLDWHO\ EHFRPH RQH RI (XURSH·V ODUJHVW FRIIHHFKDLQDQGPRVWUHFHQWO\VHUYHGDVSUHVLGHQWRI8QLWHG3ODQHW)LWQHVV3DUWQHUV WHOFRV 2 FXUUHQWO\ KDV PLOOLRQ XVHUV RQ LWV RYHUVHHLQJRYHU IDFLOLWLHVDFURVVWKHFRXQWU\7KH$ODPR'UDIWKRXVH&LQHPDLVDQ QHWZRUNDÀJXUHZKLFKLQFOXGHVPRELOHYLUWXDOQHWZRUN $PHULFDQFLQHPDFKDLQIRXQGHGLQ LQ$XVWLQ7H[DVWKDWLVIDPRXVIRUVHUYLQJ RSHUDWRUV 0912V VXFKDV7HVFR0RELOHZKLOH9LUJLQ GLQQHUDQGGULQNVGXULQJWKHPRYLHDVZHOODVLWVVWULFWSROLF\RIUHTXLULQJLWVDXGLHQFHV 0HGLDKDVPRUHWKDQPLOOLRQVXEVFULEHUV WRPDLQWDLQSURSHUFLQHPDJRLQJHWLTXHWWH Postal Registration No.: DL (S)-17/3485/2018-2020 RNI: DELENG/2015/61886 RECOGNITIONS & FELICITATIONS ® Golden Peacock Awards, instituted by Institute of Golden Peacock Awards Directors, India in 1991, are now regarded as benchmark of A Strategic Tool to Lead the Competition Corporate Excellence worldwide. Golden Peacock Awards have been instituted to celebrate and honour the best, as recognition of their unique S achievements to build their Quality and Brand. No award • Golden Peacock Environment Management Award has achieved such respectability and admiration from the D industry as the 'Golden Peacock Awards', which today R • Golden Peacock Occupational Health & Safety Award receives around 1000 applications for various Awards each A • Golden Peacock Eco-Innovation Award year. The selection of Award winners is an elaborate process W • Golden Peacock Award for Energy Efficiency by a team of professional independent assessors. The Jury A comprises some of the eminent public figures of India & Global, known for their independence and impartiality. The Jury is Chaired by Justice M. N. Venkatachaliah, former for submission of The Guidelines-cum-Application Forms can be downloaded from LAST DATE completed application Chief Justice, Supreme Court of India and former Chairman, www.goldenpeacockaward.com National Human Rights Commission of India and National JUNE 30, 2020 Commission for Constitution of India Reforms. Mr. Piyush Goyal , (the-then) Hon'ble Union Minister of State (IC) Hon’ble Justice M. N. Venkatachaliah, former Chief Justice of India, Chairman, National Human for Power, Coal, New & Renewable Energy, Govt. of India, and currently the Rights Commission of India and National Commission for Constitution of India Reforms presenting Hon'ble Cabinet Minister of Railways presenting Golden Peacock Awards during 2016 the Golden Peacock Environment Management Award to Mr. JH Lee, Executive Director, Hyundai World Congress on Environment Management in New Delhi Motor India Limited in 2019 +91-11- 41636294, 41636717, 41008704 GOLDEN PEACOCK AWARDS SECRETARIAT INSTITUTE OF DIRECTORS: M-56 A, Greater Kailash Part - II (Market), New Delhi - 110048, India Published by Manoja Kishore Raut (Editor) on behalf of Institute of Directors (owner). M-56 A, Greater Kailash Part - II (Market), New Delhi-110048, INDIA