Tml-Sustainability-Report-2014-2015

SustaiNe t Driving Sustainability Today and in Future

Amidst a changing and volatile world business environment, we at Tata Motors seek to drive innovation across policies, processes and products to ensure sustainable growth. Continuing with our HorizoNext strategy for the second consecutive year, we remained committed to our customer centric approach. We have laid greater emphasis on the HorizoNext pillars to enhance fuel economy and connectivity, continuously improve our performance, achieve next level in design, and create better driving experiences. This has resulted in providing best vehicle experience by adopting next generation approach in the products we offer, our manufacturing quality and sale & service touch points.

Sustainability continues to be at the core of our value system to conduct business in a manner that meets our ambitions and needs of stakeholders thereby creating a long-term value. We have further strengthened our focus to deliver our sustainability commitments through the ‘SustaiNext’ platform. As we move ahead, we commit to progress to the next level in our sustainability journey. SustaiNe t Driving Sustainability Today and in Future

Sustainability Performance Snapshot 2014-15: Workforce Management 57 Facts and Figures 01 Occupational Health and Safety 63 About the Report 03 Value Chain Sustainability 73 A Message from the Chairman 11 Community Development 79 Corporate Governance 15 Independent Assurance Statement 85 Stakeholder Engagement 21 Glossary 89 Materiality Analysis 25 GRI Content Index 91 Economic Performance 29 NVG Mapping 101 Customer Centricity 31 UNGC COP Mapping 102 Product Innovation 35 Awards and Accolades 105 Energy and Climate Change 41 Policies 107 Environmental Stewardship 49 Table of Contents

186.2 million spent on CSR initiatives 5.7% reduction in total energy consumption 4.8% of energy from renewable sources Sustainability 160,571 GJ of energy saved due Performance to ENCON initiatives Snapshot 2014-15: Facts and Figures 22,043 million invested in Research and Development

02 49% reduction in accident Lost Time Injury Frequency Rate 56% procurement from local sources

02 TATA Motors | Sustainability Report 2014-15

This is the eleventh1 Sustainability builds the vehicle body on chassis National Voluntary Guidelines on report of Tata Motors Limited rolled out by TML and TAL Pune is in Social, Environmental and Economic (hereafter Tata Motors). It details business of manufacturing (NVG-SEE) Responsibilities of our performance and achievements machines, material handling Businesses in India issued by the from 1st April 2014 to 31st March equipment and automation Ministry of Corporate Affairs, 2015 (FY 2014-15). solutions required for Government of India and is manufacturing automobiles. Key prepared in compliance with the This report includes performance facts and figures of the ‘Business Responsibility Report’ data, initiatives and information sustainability related data of these Clause 55 of the equity listing related to our India operations at three entities have been agreement with stock exchanges in Dharwad, Jamshedpur, Lucknow, represented in the relevant sections India. Pantnagar, Pune and Sanand. With of the report. an aim to be more inclusive in COMPANY OVERVIEW disclosure on our sustainability However, data on Economic performance of our India Performance, Product Responsibility We, at Tata Motors, continue to be 3 operations, we have extended our and Supply Chain have been India’s largest automobile company reporting boundary to include the excluded for subsidiaries. We with consolidated revenues of INR 4 performance of two subsidiary continually strive to engage with 2,627.96 billion in FY 2014-15 . Our companies and one Joint Venture our JVs, subsidiary companies2 and international market presence (JV) operating out of our premises. supply chain partners on spans across several countries in improvement of sustainability Europe, Africa, the Middle-East, THESE INCLUDE: related performance. As we advance Southeast Asia, South Asia, South in our sustainability journey, we America, Australia, CIS and Russia.  TAL Manufacturing Solutions would progressively expand our The subsidiaries and associate Limited, Pune (hereafter TAL Pune, reporting boundary to include JVs, companies have helped the 100 direct subsidiary) subsidiary companies, vendor parks Company to expand its operations and supply chain partners. to UK, South Korea, Thailand, South  TML Drivelines Ltd, Jamshedpur Africa and Indonesia. (hereafter TMLDL Jamshedpur, The information on economic 100 direct subsidiary) performance, permanent workforce We are regarded as a leader in and defined benefit plan is reported commercial vehicles in each  Tata Marcopolo Motors Ltd, for the entire company. The segment, and amongst the Lucknow (hereafter TMML reporting principles and prominent players in the passenger Lucknow, 51:49 Joint Venture) methodology are in accordance vehicles market in India. with the “Core” option of the Global We have selected 2 subsidiaries and We have an employee strength of 1 JV for inclusion in the report as Reporting Initiative’s (GRI) G4 Guidelines. In order to enhance 50,140 who are relentlessly working these operate out of our plant to provide best vehicles and premises and their aspects related reliability and traceability of the information presented in this experiences to our customers. Our to manufacturing are under Research and Development (R&D) operational control of Tata Motors report, the report has been externally assured by DNV-GL. team is making various customer- Limited (TML). TMLDL Jamshedpur is centric innovations at our R&D a key upstream partner as it This report is linked to the nine centres in India, South Korea, Italy, manufactures aggregates like axles principles defined under the Spain & UK. and transmission, TMML Lucknow About the Report 1) The report covering our performance for the year 2004-05 and 2005-06 were limited to internal circulation. 2006-07 onwards, we have reported our performance on the public domain and can be accessed at: http://www.tatamotors.com/investor/annual-reports/ 2) For list of our joint-ventures, subsidiaries and associate companies please refer Page 201 of Tata Motors Annual Report FY 2014-15 available at http://www.tatamotors.com/investor/annual-reports/ 04 TATA Motors | Sustainability Report 2014-15

COVERAGE OF DIRECT SUBSIDIARIES UNDER SCOPE OF SUSTAINABILITY PERFORMANCE REPORTING

Status in % of Status in TML % of Sr. Name of the Sr. Name of the TML SR Details shares SR Details shares No. company No. company FY 2014-15 held FY 2014-15 held

CMIL - a fully owned subsidiary of TATA Motors Ltd, is a sales and TMETC is a wholly-owned subsidiary of Tata Motors Ltd. located in UK service outlet for the complete range of Tata passenger Vehicles. CMIL and carries out automotive engineering research and development Tata Motors Concorde Motors has a geographical spread across major Indian metros. principally for Tata Motors and for selected partners in the automotive 1 Excluded 100.00 8 European Technical Excluded 100.00 (India) Ltd. (CMIL) industry. As a part of Tata Motors Value Chain, CMIL will be progressively Centre PLC (TMETC) brought within the reporting boundary based on identified material Subsidiary Companies located outside India are excluded from the aspects. Scope of the TML Sustainability Report.

TDCV is a wholly owned subsidiary of TATA Motors Ltd, and is engaged Tata Daewoo in the manufacture and distribution of trucks and is based in South TMIBASL - a wholly owned subsidiary of TATA Motors Ltd, provides Commercial Vehicle Korea. insurance broking services for life and non-life insurance products in 2 Excluded 100.00 Company Ltd. Tata Motors India both in retail and corporate solutions comprising general and life Insurance Broking insurance and advisory services and operates out of Mumbai. (TDCV) Subsidiary Companies located outside India are excluded from the 9 Excluded 100.00 Scope of the TML Sustainability Report. and Advisory Services Ltd. (TMIBASL) As a part of Tata Motors Value Chain, TMIBASL will be progressively brought within the reporting boundary based on identified material TMTL is a wholly owned subsidiary of TATA Motors Ltd, and is engaged aspects. Tata Motors in the manufacture of pickup truck and other small commercial vehicles and is based in Thailand. 3 (Thailand) Limited Excluded 100.00 (TMTL) Subsidiary Companies located outside India are excluded from the TMF - a wholly owned subsidiary of TATA Motors Ltd, is a vehicle Scope of the TML Sustainability Report. finance Company, and the largest financier of vehicles manufactured by Tata Motors Ltd. It operates out of Head Office in Mumbai and Tata Motors Finance extensive network of branches across India. 10 Excluded 100.00 TMSA is a joint venture with Tata Africa Holding (Pty) Ltd. engaged in Ltd. (TMF) As a part of Tata Motors Value Chain, Tata Motors Insurance Broking Tata Motors (SA) assembly of semi knocked down (SKD) kits, light, medium and heavy commercial vehicles (HCV) and is based in South Africa. and Advisory Services Ltd. will be progressively brought within the 4 (Proprietary) Ltd Excluded 100.00 reporting boundary based on identified material aspects. (TMSA) Subsidiary Companies located outside India are excluded from the Scope of the TML Sustainability Report.

TML Holdings Pte. Ltd. is a fully owned subsidiary of Tata Motors Ltd. located in Singapore and having global operations. TML Holdings Pte. PT Tata Motors Indonesia is a wholly owned subsidiary of TATA Motors Ltd. is a holding Company for its subsidiary, Jaguar Land Rover Ltd, and is engaged in the trade of vehicles and aggregates as well as Automotive Plc, which designs, develops, manufactures, and sells PT Tata Motors after-sales services. 5 Excluded 100.00 TML Holdings Pte. Jaguar premium sports saloons and sports cars, and Land Rover Indonesia 11 Excluded 100.00 Ltd. premium all-terrain vehicles, as well as related parts and accessories. Subsidiary Companies located outside India are excluded from the Scope of the TML Sustainability Report. Jaguar Landrover reports on its Sustainability performance through its own Sustainability Reports which can be viewed at http://www.jaguarlandrover.com/gl/en/responsible-business/ Sheba Properties Ltd. is a wholly owned subsidiary of TATA Motors Ltd, and operates as an investment arm of Tata Motors Ltd and operates Sheba Properties out of Mumbai. TDCL - a wholly owned subsidiary of TATA Motors Ltd, is engaged in 6 Excluded 100.00 Ltd. the distribution, logistics, and sale of commercial and passenger As a part of Tata Motors Value Chain, Sheba Properties Ltd. will be vehicles in India. TDCL sells its products through a network of various progressively brought within the reporting boundary based on TML Distribution regional sales offices and depots and operates out of Mumbai. 12 Excluded 100.00 identified material aspects. Company Ltd. (TDCL) As a part of Tata Motors Value Chain, TDCL will be progressively brought within the reporting boundary based on identified material aspects. TAL is a wholly owned subsidiary of TATA Motors Ltd, providing turnkey manufacturing solutions. TAL has 2 manufacturing units - one at Tata Motors campus in Chinchwad Pune and the other at Nagpur Tata Hispano Motors Carrocera S.A. a wholly owned subsidiary of TATA TAL Manufacturing (Aerospace Business Unit). 7 Included 100.00 Motors Ltd, is engaged in the design, development, manufacture, and Solutions Ltd. (TAL) TAL Pune unit is included in the scope of this year's Sustainability Tata Hispano Motors sale of buses and coaches. It is based in Spain with manufacturing 13 Excluded 100.00 Report. Subsidiaries with manufacturing plants in India will be Carrocera S.A. facilities in Spain and Morocco. progressively brought within the reporting boundary based on Subsidiary Companies located outside India are excluded from the identified material aspects. Scope of the TML Sustainability Report.

Tata Hispano Motors Subsidiary Companies located outside India are excluded from the 14 Carrocerries Maghreb Excluded 100.00 Scope of the TML Sustainability Report. SA

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COVERAGE OF DIRECT SUBSIDIARIES UNDER SCOPE OF SUSTAINABILITY PERFORMANCE REPORTING

Status in % of Status in TML % of Sr. Name of the Sr. Name of the TML SR Details shares SR Details shares No. company No. company FY 2014-15 held FY 2014-15 held

Tata Hispano Motors Subsidiary Companies located outside India are excluded from the 14 Carrocerries Maghreb Excluded 100.00 Scope of the TML Sustainability Report. SA

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OUR PERFORMANCE AT A GLANCE Status in TML % of Sr. Name of the SR Details shares No. company Category Industry Sales Company Sales Market Share FY 2014-15 held

FY 2015 FY 2014 Growth FY 2015 FY 2014 Growth FY 2015 FY 2014 TML Drivelines Limited - a wholly owned subsidiary of TATA Motors Ltd, is engaged in manufacturing Axles & Transmissions for Commercial Vehicles5 639,005 697,254 -8.4 317,780 377,909 -15.9 49.7 54.1 Commercial Vehicles and caters to more than 90 of TMLs 15 TML Drivelines Ltd. Included 100.00 6 requirements in the M&HCV Range and supplies to other TML Plants. Passenger Vehicles 2,576,861 2,443,434 5.5 136,653 141,186 -3.2 5.3 5.8 It is located within the TML Plant premises at Jamshedpur and is included in the scope of this year's Sustainability Report. Total 3,215,866 3,140,688 2.4 454,433 519,095 -12.5 14.1 16.5

Source: Society of Indian Automobile Manufacturers report and Company Analysis

Trilix Srl - a wholly owned subsidiary of TATA Motors Ltd, is engaged in providing design and engineering services in the automotive sector OUR PRODUCTS and based in Italy. 16 Trilix S.r.l. Excluded 80.00 We offer a wide range of products Subsidiary Companies located outside India are excluded from the Scope of the TML Sustainability Report. to meet the requirements and preferences of our customers. Our products are geared towards Tata Precision Industries Pte. Ltd. is a subsidiary of Tata Motors Ltd. enhancing the safety of our Tata Precision based in Singapore. 17 Excluded 78.39 customers and we continuously Industries Pte. Ltd. Subsidiary Companies located outside India are excluded from the strive to provide best services Scope of the TML Sustainability Report. through our innovative product launches. TTL - a subsidiary of TATA Motors Ltd, is an Engineering Services Outsourcing and Product Development IT services Company providing services to TML as well as to the global manufacturing industry. TTL is Tata Technologies headquartered in Singapore and has Regional Headquarters in the 18 Excluded 72.32 Ltd. (TTL) United States, India and the UK and offices across the world. As a part of Tata Motors Value Chain, TTL's India operations will be progressively brought within the reporting boundary based on identified material aspects.

TMML is a 51:49 joint venture company of Tata Motors Ltd. and Marcopolo S.A. Brazil for manufacturing of buses in India. TMML has 2 manufacturing units - one at Tata Motors campus in Lucknow and the Tata Marcopolo other at Dharwad. 19 Included 51.00 Motors Ltd. (TMML) TMML Lucknow unit is included in the scope of this year's Sustainability Report. TMML Dharwad will be progressively brought within the reporting boundary based on identified material aspects.

Cautionary Statement:

This report contains “forward-looking statements” describing the Company’s objective, projections, estimates and expectations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the Company’s operations include, among others, economic conditions affecting demand The first stylish and compact sedan, Tata Zest launched this year under HorizoNext product engineering philosophy /supply and price conditions in the domestic and overseas markets in which the Company operates, changes in the was awarded the Best Designed Car of the Year at Confederation of Indian Industries (CII) Design Excellence Awards Government regulations, laws and other statutes and incidental factors. 2014.

3) http://www.tatamotors.com/about-us/company-profile/ 4) Our standalone revenue of Indian operations for FY 2014-15 is INR 362.94 billion. 5) Commercial vehicles include V2 van sales 6) Passenger vehicles include Fiat and Jaguar Land Rover – branded cars To know more about our performance, please refer to pg. no 114 of our Annual Report http://www.tatamotors.com/investor/annual-reports/ 07 08 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

OUR PERFORMANCE AT A GLANCE Status in TML % of Sr. Name of the SR Details shares No. company Category Industry Sales Company Sales Market Share FY 2014-15 held

Source: Society of Indian Automobile Manufacturers report and Company Analysis

Cautionary Statement:

PRODUCT LAUNCHES IN FY 2014-15 PRODUCT LAUNCHES IN FY 2014-15

TATA Light Trucks New Tata Ultra BS3 - Safe School Bus

TATA Movus

Multidrive and sporty hatchback Bolt

TATA Zest

TATA Xenon LCV Super Ace Mint

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PRODUCT LAUNCHES IN FY 2014-15 PRODUCT LAUNCHES IN FY 2014-15

TATA Light Trucks New Tata Ultra BS3 - Safe School Bus

TATA Movus

Multidrive and sporty hatchback Bolt

TATA Zest

TATA Xenon LCV Super Ace Mint

09 10 TATA Motors | Sustainability Report 2014-15

Dear Stakeholders, recovery and growth while some fell continued in 2014-15. Commercial short of growth expectations. vehicle segment saw the launch of I am pleased to introduce to you the Despite this volatile context the one ‘ULTRA’ - new Intermediate and eleventh edition of our annual constant which remains is - the Light Commercial Vehicle (ILCV) Sustainability Report - ‘SustaiNext’ aspiration of individuals everywhere range of trucks, offering superior which describes Tata Motors’ in the world to continuously technology and design with lowest sustainability performance on upgrade their lives. The Tata group’s total cost of ownership, Multi-axle material issues for the year 2014- core purpose - Our mission truck variants – 2523.T & 3123.T 2015. This Sustainability Report addresses exactly that: “To improve which extended the PRIMA LX range summarizes the economic, the quality of life of the of trucks, Super Ace Mint with 1.4 L environmental and social initiatives communities we serve globally, DiCOR engine a new pickup to meet undertaken during the year, and through long-term stakeholder requirements of intra and intercity trends of various Key Performance value creation based on Leadership transport. Passenger vehicle Indicators as per the Global with Trust”. segment saw the launch of Zest - Reporting Initiative (GRI) G4 compact sedan, the Bolt premium Guidelines. The report is also Our ‘VISION 2025’ is to help hatchback, the Nano Twist with aligned to United Nations Global individuals everywhere achieve electronic power steering, and Compact’s Ten Principles and their aspirations – “Over the next GenX-Nano range, with latest National Voluntary Guidelines on 10 years 25 of the world’s technological advancements and Social, Environmental and Economic population will experience the Tata design engineering. The Responsibilities of Businesses. commitment to improving the revolutionary and eco-friendly quality of life of customers and petrol engine Revotron 1.2T was communities. As a result, Tata will awarded the ET ZigWheels Award: be amongst the 25 most admired Technology of the Year for being corporate and employer brands India's first ever 'turbo-charged globally, with a market petrol engine' with a multi-drive capitalization comparable to the 25 mode. The Tata Hexa SUV Concept most valuable companies in the was unveiled at the Geneva Motor The automotive industry is facing world.” key sustainability challenges - such Show. as declining markets, product safety Tata Motors is also crystallizing its The renewed focus on Customer and reliability, regulatory strategy around Customer experience is seen in the results of compliance, supply chain issues and Centricity to build a customer the JD Power Customer Service workforce management. These centric, innovative and proﬁtable Index (CSI) 2014 wherein we have challenges have come up against a organization. Our sustainability risen from 7th to 4th rank. In the backdrop of unpredictable geo- agenda - ‘SustaiNext’ aims to Small Commercial Vehicle a political environment, falling global deliver on our sustainability significant milestone was the roll- commodity markets, growing commitments by developing and out of the 100,000th Tata ACE ZIP. population, urbanization, resource delivering world-class vehicles with We also developed new Articulated scarcity, and changing weather best-in-class fuel efficiency and and Hybrid buses Bus models for patterns brought on by climate technology to delight our JnNURM and bagged over 3500 change. Equally, these trying times customers. A fresh materiality orders under JnNURM Phase II. come with opportunities for assessment exercise was conducted Continuing with value added innovation in our businesses, across during the Reporting Year in order offerings, we launched the ‘Tata spaces such as- development of low to identify and prioritize material SKOOLMAN’, a telematics based carbon processes, deploying issues. This exercise brought out - tracking solution as a standard renewable energy solutions, Product Safety and Quality, fitment on the Tata Ultra range of A Message creating smart city infrastructure, Customer Satisfaction, Fuel school buses, to address child and using smart materials. Recent Efficiency of Products, GHG safety. ‘Humare Bus Ki Baat Hain’ – policy measures and the strategic Emissions, Emissions to Air and a flagship program won several direction deﬁned by our Regulatory Compliance as key accolades this year and over 15,000 from the Chairman Government, especially the ‘Make in material sustainability issues for us school bus staff were trained on India’ campaign, hold the promise and our stakeholders. school bus safety under the of re-igniting growth in the years to program. come. Globally, major markets As a part of the HorizoNext strategy showed signs of both economic vehicle launches / refreshes 12 TATA Motors | Sustainability Report 2014-15

As part of our Safety Excellence Energy is a material issue for our and 5,556 employees participating Journey aimed at goal of zero manufacturing plants and in two editions of Tata Volunteering Injuries to our employees and all renewable energy is a key focus Week during the year. stakeholders associated with area. Apart from sourcing wind operations, we have worked to power we are also utilizing existing In closing, I would like to express create a Safety Culture across the rooftop areas for in-house solar our gratitude to all the stakeholders organization. During the year, we power generation. Energy who have been directly or indirectly achieved a 49% reduction in Lost conservation continues to be a key a part of our growth story and Time Injury Frequency Rate (LTIFR). focus area from cost reduction and success. Your views and suggestions However, we had one fatality during climate change perspective. All our on the report are important to us the year, which was investigated plants continue to be certified to and we welcome your feedback. and appropriate mitigation environmental and safety measures have been put in place. management systems. Tata Motors launched Tata Lead in 2014 as a part of an important Tata Motors community Group level exercise to strengthen development agenda is aligned our diversity and inclusiveness. with our competencies and business needs while working on Supply Chain partners are critical to areas that also matter to the our operations and supply chain communities in which we operate. sustainability issues can impact our Our community development operations. We engage with agenda is also aligned with the suppliers through various channels regulatory requirements on for operational issues and also focus Corporate Social Responsibility on emerging and futuristic (CSR). Health, Education, technologies through Technology Employability and Environment Day events. Project Sankalp - a continue to be core focus areas. Tata supplier transformation initiative is Motors participated in the TAAP underway in which cross functional (Tata Affirmative Action Program) team of domain experts work with Assessment in the past year, and suppliers at their plant location on was recognized with the TAAP Jury improving quality, productivity, SHE Award. Tata Motors employees also and profitability. made a mark in the Group level Volunteering Program with 5,808 Cyrus P. Mistry Chairman, Tata Motors Limited

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Responsible and lawful conduct is every employee conducts himself / Human Rights filed through formal an integral part of corporate culture herself in an ethically acceptable grievance mechanisms during the and fundamental to the success of way. It monitors aspects including reporting period. any organization. Our philosophy on anti-bribery, corruption, equal corporate governance is in line with opportunities and human rights. Tata Motors has an Ethics the Tata group philosophy. We TCoC serves as a guide to the Framework in place in line with Tata believe good corporate governance Company, its directors and Group values. This framework leads to effective decision making employees and is supplemented includes Board oversight of ethics and it supports formation of robust with an appropriate mechanism programs and activities. As a part of operations, financial, risk and ‘Whistle Blower Policy’ to report any reporting, the TML audit committee information management systems. concern pertaining to non- (Committee of the Board) agenda We have been practicing the adherence to the said Code. includes review of whistle-blower principles of good corporate mechanism as well as status of governance over the years and have We have grievance redressal TCoC concerns received & resolved. laid strong emphasis on mechanism in place to address independence, responsibility, Labour, Human Rights, With respect to subsidiaries & JVs, transparency, professionalism, Environment, Diversity & Equal the TCoC concerns are addressed accountability and code of ethics to Opportunity, Equal Remuneration through respective managements ensure adherence to the Tata ethos and concerns raised are suitably and audit committees. All majors and value system. closed and corrective actions are concerns are also reported to TML deployed. audit committee. We ensure that the Tata Code of Conduct (TCoC) is followed There have not been any grievances throughout the organization and pending on Labour Practices and

Total concerns received Total concerns resolved (Nos.) TCoC Concerns (Nos.) in FY 2014-15 in FY 2014-15

Employee Relations 16 16

Environment, Health & Safety 0 0

Diversity, Equal Opportunity & Respect in the workplace 4 4

Sexual Harassment 3 3

Financial Impropriety 12 12

Legal Compliance 2 1

Unfair Business Practices 25 24

Total 62 60

In our boardroom we ensure that sustainability is at core of all decisions we make, that creates value Corporate for our stakeholders and helps protecting the planet.

Governance Ravindra Pisharody Executive Director, Commercial Vehicle Business Unit

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Total concerns received Total concerns resolved (Nos.) TCoC Concerns (Nos.) in FY 2014-15 in FY 2014-15

Employee Relations 16 16

Environment, Health & Safety 0 0

Diversity, Equal Opportunity & Respect in the workplace 4 4

Sexual Harassment 3 3

Financial Impropriety 12 12

Legal Compliance 2 1

Unfair Business Practices 25 24

Total 62 60

In our boardroom we ensure that sustainability is at core of all decisions we make, that creates value Corporate for our stakeholders and helps protecting the planet.

Governance Ravindra Pisharody Executive Director, Commercial Vehicle Business Unit

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The Board of Directors at Tata terms of reference/scope to focus Committees also take decisions by Board Committees Functions Motors comprises of ten Directors effectively on the issues and ensure circular resolutions which are noted of which eight are non-executive, expedient resolution of diverse at the next meeting. An The objective of the Audit Committee is to review the quarterly/annual financial statements including one Woman independent matters. The Committees operate as Organization Chart depicting the before submission to the Board. The committee also reviews adequacy of internal control Audit Committee Director. The Board, under the able empowered agents of the Board as relationship between the Board of systems with the management, external auditor and internal auditor and recommends guidance of Mr. Cyrus Mistry, per their Charter/terms of Directors, the Committees and the improvements to the management. periodically reviews the reference. Targets set by them as Senior Management functions as organizational policies, procedures agreed with the management are on March 31, 2015 is illustrated The Committee oversees and reviews statutory compliance relating to all security holders. It and performance conducted by the reviewed periodically and mid- below: further considers and resolves the grievances of security holders of the company including Stakeholders' Relationship complaints related to transfer of securities, non-receipt of annual report / declared dividends / Board. The Board has constituted a course corrections are also carried Committee set of Committees with specific out. The Board of Directors and the notices / balance sheets. The Company has a designated email id: [email protected] for contacting the Compliance officer.

The Committee recommends to the Board the set up and composition of the Board and its Nomination and Remuneration SHAREHOLDERS Committees including the “formulation of the criteria for determining qualifications, positive Committee attributes and independence of a director”. BOARD OF DIRECTORS The committee was constituted with the objective of reviewing Safety, Health and The Safety, Health and Environment Environment practices. The Committee comprises of two Independent Directors and two Committee Executive Directors. BUSINESS COMMITTEES MANAGEMENT STRUCTURE BOARD COMMITTEES The committee was constituted to formulate policies relating to the implementation of the Corporate Steering Committee Chairman-Corporate Steering Audit Committee The Ethics and Compliance Tata Code of Conduct for Prevention of Insider Trading (the Code), take on record the monthly Committee Committee reports on dealings in securities by the “Specified Persons” and decide penal action in respect Commercial Vehicle Business Executive Committee of the of violations of the applicable regulations/the Code. Unit Steering Committee Head Commercial Vehicles Board

Passenger Vehicle Business Unit Head Quality Nomination & Remuneration The committee formulates and recommends to the Board, a CSR Policy which shall indicate Steering Committee Committee Corporate Social Responsibility the activities to be undertaken by the Company as specified in Schedule VII. The committee Head Passenger Vehicles Committee also recommends the amount of expenditure to be incurred on the activities referred to in Human Resource Management Stakeholder Relationship clause (a) of the CSR rules. It also monitors the CSR Policy of the Company from time to time. Committee Head Engineering and Product & Committee Supply Chain Diversity Council Ethics & Compliance Committee For details regarding the functioning of each of the above committees please refer to our Annual Report 2014-15. Chief Financial Officer Product Review Committee Safety. Health & Environment Visit our website: http://www.tatamotors.com/about-us/leadership/ Chief Human Resource Officer Committee Risk Oversight Committee Corporate Social Responsibility Committee STAFF Risk Management Committee Our company has a good understanding of the impacts of our products, operations and services on Chief Internal Auditor Special Need Based Committees the environment and the communities in which we operate. Thus, we are taking steps to reduce Company Secretary those impacts and evaluating measures to capitalize on opportunities to contribute to business growth while combating environmental challenges. Our “Sustainability-in-Action” initiatives are Head-Corporate Communications implemented across each business unit within the organization which in turn contributes to our overall Sustainability. Head - Govt. Affairs Satish Borwankar Head - Collaboration & Imports Executive Director, Quality

Head - Corporate Planning

Head - Business Excellence

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Head - Corporate Planning

Head - Business Excellence

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MANAGEMENT SYSTEMS automotive production and service (GoI) legislation with respect to PUBLIC POLICY ADVOCACY advance for any emerging Transport and Highways, Ministry parts, we have mandated that all forced and child labor and do not opportunities. We also participate of Heavy Industries, Ministry of Our corporate governance our suppliers adopt the ISO 9001/TS allow or encourage the same. Our With a view to embed sustainability in the following National Petroleum & Natural Gas (GoI). philosophy is further strengthened 16949 quality management system established systems and procedures issues with the public policy, we are Committees which are working on with adherence to the Tata Business frameworks. We also encourage our identify and comply with actively involved in advocating for a formulating policies and regulations  Working group on Quadricycle Excellence Model (TBEM) to better dealers to adopt quality, regulations pertaining to marketing better policy framework. We for improvement of environment Emission Norms for India. performance and improve levels of environmental and safety communications. We are a member partner with policy makers / including GHG reduction  efficiency in our businesses and management systems. of the Advertising Standards industry associations and regulators throughout the country; Ministry of New & Renewable sustainability initiatives. Council of India (ASCI) and follow its on these issues through our Energy, GoI, is promoting and REGULATORY COMPLIANCE Code for Self-Regulation in representations in several industry  Standing Committee on Emissions assisting technology development Our state-of-the-art enterprise Advertising and Marketing and trade associations. (SCOE) for GHG reduction by way of resource planning system, supplier We have devised appropriate Communications. None of our increased usage of Biodiesel. We relations management and systems to ensure compliance with LIST OF MEMBERSHIP AND  Sub-committee on CO emission are engaged in this initiative of advertisements and promotions 2 customer relations management the provisions of all applicable laws mislead in terms of claims and ASSOCIATIONS norms of Union Ministry of GoI and currently running number connect the company’s different and that such systems are operating representations. We abstain from Shipping, Road Transport and of engine and vehicle programs to We actively participate in the locations, dealers and vendors for effectively. We have implemented any kind of offensive alignment or Highways of India, along with commercialize usage of Biodiesel following National Committees reliable, consistent and accurate an online compliance management anti-social content in all our Automotive Research Association as soon as the same is made which are working on formulating data exchange. Our CRM-DMS tool “Legatrix” to help us track and marketing communications. There of India (ARAI). available to the general public by policies and regulations for (Customer Relationship manage compliance of various have not been any monetary or oil marketing companies. improvement of environment  Expert committee to define Management – Dealer regulatory and legal requirements. non-monetary sanctions for throughout the country. “Heavy Duty Vehicle Fuel  Working Group on Energy for Sub- Management System) is a unique We comply with new and existing violations of regulatory norms Economy Norms for India under Group on DST's XIIth plan on initiative, implemented through a laws, regulations and policies regarding aspects of health and We continually work with the Ministry of Shipping, Road Technology Development centralized online system and regarding increased fuel economy, safety impacts of products and steering committee of National Transport and Highways of Program (TDP). deployed at all the Company’s reduced greenhouse gas and other services; product and service Hydrogen Energy Board to find ways Government of India (GoI) & dealerships and offices across the emissions, vehicle safety, taxes and information and labelling; to harness hydrogen - potential Petroleum Conservation Research  National Electric Mobility Mission country. This helps us integrate our pricing policies. We comply with marketing communications energy of future. India is a signatory Association (PCRA). Plan - We have been actively systems across the value chain to regulatory requirements pertaining including advertising, promotion, deliver better service quality. to emissions, safety, product to the World Forum of United participating in forming hybrid and sponsorship; and provision and Nations of Economic Commission  Expert committee on Fuel performance criteria along with labeling and other clauses of the use of products and services. We Through the enterprise risk (UNECE) for Europe. Our experts are Economy Labelling of Passenger SIAM-FTG group and helped Central Motor Vehicle Rules on India also conduct voluntary ‘product management program, business actively participating in the same Cars under Bureau of Energy government to launch FAME and Bureau of Indian Standards. The upgrade’ drives to provide units and corporate functions for Harmonization of Vehicle Global Efficiency under Ministry of Power scheme. Now we are building two product and service information are customers with upgraded address opportunities and the Technical Regulations related to (GoI). type of hybrid and electric in compliance with all the standards components. attendant risks through an that govern us. The National Fair pollution control and safety. vehicles under Technical Advisor  Interministerial committee for institutionalized approach aligned Trade Regulator - Competition Group under R&D scheme. ANTI-CORRUPTION We, at Tata Motors actively upcoming emission norms (BSV, to the Company’s objectives. This is Commission of India (CCI) had participate in all WP29 UNECE BSVI) for Motor Vehicles of facilitated by internal audit. The initiated legal actions for anti- Prevention of corruption and group activities and prepare in Ministry of Shipping, Road business risk is managed through competitive behavior against 17 car commitment to fair competition is cross functional involvement and manufacturers including Tata one component of compliance communication across businesses. Motors. The matter is currently sub efforts. Tata Motors has an Ethics judice before the Delhi High Court Framework in place in line with Tata All our manufacturing divisions are which has stayed the penalty Group values. There have not been certified for ISO 14001:2004 – imposed by the CCI. any incidents of corruption in FY Environmental Management 2014-15. Appropriate disciplinary System Standard and OHSAS No monetary fines or non-monetary action proportionate to the gravity We, at Tata Motors, are closely engaged with our stakeholders in addressing the material issues that 18001:2007 - Safety and sanctions were levied on the of misconduct in line with the is leading to an overall sustainable development. Occupational Health Management Company by the Environment principles of natural justice is taken System Standard. All our CV Regulatory Authorities in FY 2014- against the employees. We conduct manufacturing plants are also 15. Every plant has a safety regular trainings to all our certified for ISO 50001:2011 Energy committee with equal employees on anti-corruption as per Mayank Pareek Management System. In order to representation from management the TCoC for Tata Motors. President, Passenger Vehicles Business Unit ensure we have reliable and and non – management employees. responsible suppliers for We follow Government of India

19 20 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

19 20 TATA Motors | Sustainability Report 2014-15

Stakeholders play an important role going forward. This process stakeholder groups such as our in our continued success, and we provides us with an insight into employees, communities, suppliers, strive towards taking their varied emerging issues important for our opinion leaders (road safety perspectives into account. We stakeholder groups and to our experts), media, customers, engage with a diverse set of business and ideas for solutions to investors and shareholders, stakeholders formally and address these issues. government authorities, dealers informally to discuss the Company’s and service stations. This process sustainability performance and With a view to understand concerns has helped us to identify the issues ensure business sustainability. and expectations of varied that are most material for these stakeholders, we have conducted a stakeholder groups and has further Stakeholder’s views, concerns and detailed process of stakeholder enabled us to focus on the topics key expectations have been engagement during this year. It that are most material for our elemental in shaping this report involved direct and detailed stakeholders. and in calibrating our strategy consultation with different

Employees

Government Communities Authorities

Investors Suppliers / and Service Shareholders Our Key Providers Stakeholders

Opinion Customers Leaders

Dealers and Media Stakeholder Service Stations Engagement

22 TATA Motors | Sustainability Report 2014-15

Employees

Government Communities Authorities

Investors Suppliers / and Service Shareholders Our Key Providers Stakeholders

Opinion Customers Leaders

Dealers and Media Stakeholder Service Stations Engagement

22 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

STAKEHOLDER ENGAGEMENT FRAMEWORK

Stakeholder Frequency of Feedback Engagement Mechanisms Key concerns Groups engagement assessment

Sunrise and Sunset meetings; Annual; Horizontal Communications; Understanding concerns; Employee satisfaction survey; Horizontal Deployment; Quarterly; communicating policy Employees Weekly/Monthly reviews decisions and seeking Appraisals; improvements Displays; HR Forum; Monthly; feedback; communicating Q12 Tool; Skip Level Meets; Town performance Internal Surveys Halls; Focused Group Discussions Weekly

Quarterly; Community development Minutes of meeting; Meetings with local community; Communities initiatives communication; action plans; public hearing Daily capturing societal concerns feedback letters

Technology Days, Supplier meets, Delivering quality products; Vendor rating; Suppliers / Joint programs, Kaizen events, Annual; time management; Board reviews; Service Participation in NPI, Competitor data compliance to Tata Motor's Vendor Satisfaction Providers and analysis; Vendor Council; Vendor Quarterly code of conduct and other Surveys mentoring policies;

Following the regulations, Opinion Minutes of meeting, One-to-one meetings Need based complying with the industry Leaders action plans standards

Communicating company's Minutes of meeting, Media Regular interactions Ongoing performance and seeking action plans feedback

Dealer meets, Joint programs, Kaizen Annual; Building capacity and events, Participation in QFD and NPI, Dealers and technical know-how; Dealer Satisfaction Competitor data and analysis, Special Quarterly; Service station improving and delivering Survey training Programs; Dealers Council; better response to customers; Dealer visits; Audits Daily

Understand product feedback; Customer meets; Key account Customer redress complaints; Customers process; Surveys; Feedback calls; Need based Satisfaction Index; suggestions on product Training Forums; Direct Visits JD Power Survey development; Institute of Directors, India has adjudged 'Tata Motors Limited' as the Winner of ‘Golden Peacock Award for Sustainability’ for the year 2015. Arvind Bodhankar, Head (SHE & Sustainability) and Abhay Pathak, Sustainability Lead received the Award on behalf of Tata Motors. Annual; Investor meets; Investor calls; Road Financial performance; broad Investors and Minutes of meeting; Shows, Shareholder / Investors Quarterly; future strategies; feedback Shareholders action plans Grievance Forum, Ethics Committee and addressal of concerns Need based

Relationship building; Government One-to-one meetings; Meetings in appraising the government on Minutes of meeting; Need based Authorities Industry Forums industry constraints; action plans discussions on way forward

23 24 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

STAKEHOLDER ENGAGEMENT FRAMEWORK

Stakeholder Frequency of Feedback Engagement Mechanisms Key concerns Groups engagement assessment

Following the regulations, Opinion Minutes of meeting, One-to-one meetings Need based complying with the industry Leaders action plans standards

Communicating company's Minutes of meeting, Media Regular interactions Ongoing performance and seeking action plans feedback

23 24 TATA Motors | Sustainability Report 2014-15

At Tata Motors, materiality is important areas wherein Tata stakeholders through focused defined as factors that have an Motors’ business interests overlap discussion and questionnaires. impact on stakeholders and issues with sustainability issues of the that are relevant to the company’s company. 4) Aspects relevant to Tata Motors were categorized based on business. We conducted an The materiality assessment process different criteria - impact on extensive materiality assessment is based on a structured approach: process to identify and prioritize key business, feedback received from material aspects based on the 1) Identification of aspects relevant stakeholders Reporting Principle and Guidance to the company through various 5) These criteria were then for Defining Content in the G4 channels. measured on a criticality scale Sustainability Reporting (as shown in the materiality Framework. This report reflects the 2) The assessment was against six matrix below) which help isolate material issues which have materiality filters of financial and prioritize the key material significant Economic, impacts and risks, legal drivers, aspects Environmental and Social impacts internal policy drivers peer based that can influence the decisions of performance, stakeholder 6) Following prioritization, the our stakeholders. concerns and opportunity for material aspects were reviewed innovation with inputs from the by Tata Motors senior IDENTIFYING KEY ASPECTS senior management. management and are considered A materiality assessment was 3) The assessment process while making strategic conducted in order to identify gathered inputs from the all the decisions.

Materiality Matrix MATERIALITY MATRIX

A Materiality Matrix, Critical as presented was Customer Satisfaction developed outlining Product safety the material topics Product Innovation and quality critical to stakeholders Emissions Product to Air Fuel Efficiency and to the business. Competitiveness of Products For each material Usage of toxic substances in auto components GHG Emissions topic, key material Product sales and aspects along with its service quality Regulatory Key Performance Compliance

eholders Environment, Indicators (KPI) have Labor and Human Rights been identified. High in Supply Chain Product Labeling

Further, for each KPI, Attrition management Business

tance to Stak Growth and approach, monitoring Occupational Profitability and measuring Health and Safety Impor mechanisms and performance have Foreign Exchange Reclaiming Fluctuations Systems for Reuse been delineated in the and Recycling and subsequent sections Recovery of Materials Materiality of the report. Gender Diversity Biodiversity ow Analysis L Low High Critical Importance to Tata Motors

26 TATA Motors | Sustainability Report 2014-15

Materiality Matrix MATERIALITY MATRIX

eholders Environment, Indicators (KPI) have Labor and Human Rights been identified. High in Supply Chain Product Labeling

Further, for each KPI, Attrition management Business

26 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

ASPECT MAPPING TABLE7

Sr. Material Sections in Stakeholders Sr. Material Sections in Stakeholders Material Issues Coverage Material Issues Coverage No. Aspect the report impacted No. Aspect the report impacted

I. Product safety and quality Tata Motors Customer Product 1 Health and II. Product competitiveness Tata Motors  External Tata Motors Subsidiaries- Innovation Occupational Occupational  Safety Internal III. Product innovation 7 Health and XV. Occupational Health and Safety TAL Pune Health and Safety Safety  External TMLDL Jamshedpur TMML Lucknow Tata Motors Tata Motors Subsidiaries-  Product Internal 2 Energy IV. Fuel efficiency of products TAL Pune Innovation  External  XVI. Environment, Labor and Human Rights Value Chain Internal TMLDL Jamshedpur 8 Supply Chain Tata Motors in Supply Chain Sustainability  External TMML Lucknow

V. Emissions to air Tata Motors

Tata Motors

Tata Motors Tata Motors Subsidiaries-  Internal Energy and  Workforce Tata Motors Subsidiaries- Internal XVII. Gender diversity TAL Pune 3 Emissions Climate Management  External  External TMLDL Jamshedpur VI. GHG Emissions TAL Pune Change 9 Employment TMLDL Jamshedpur TMML Lucknow TMML Lucknow  Workforce Internal XVIII. Attrition Tata Motors Management  External

VII. Customer satisfaction Tata Motors VIII.Reclaiming systems for reuse, recycling and recovery of materials Customer Tata Motors Subsidiaries- Product and Centricity Environmenta  10 Biodiversity XIX. Biodiversity TAL Pune  External 4 Service IX. Product sales and service quality Tata Motors External l Stewardship Labeling Product X. Usage of toxic substances in Innovation TMLDL Jamshedpur automobile components TMML Lucknow XI. Product Labeling

Tata Motors Tata Motors Subsidiaries-  Corporate Internal 5 Compliance XII. Regulatory compliance TAL Pune Governance  External TMLDL Jamshedpur TMML Lucknow

 Economic XIII. Business growth and profitability Economic Internal 6 Tata Motors Performance XIV. Foreign exchange fluctuations Performance  External

7) We have selected 2 subsidiaries and 1 JV for inclusion in the Report as these operate out of our Plant premises and their aspects related to manufacturing are under operational control of TML. TML Drivelines is a key upstream partner as it manufactures aggregates like axles and transmission, TMML builds the vehicle body on chassis rolled out by TML and TAL Pune is in business of manufacturing machines, material handling equipment and automation solutions required for manufacturing automobiles.

27 28 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

ASPECT MAPPING TABLE7

Sr. Material Sections in Stakeholders Sr. Material Sections in Stakeholders Material Issues Coverage Material Issues Coverage No. Aspect the report impacted No. Aspect the report impacted

V. Emissions to air Tata Motors

Tata Motors

Tata Motors Tata Motors Subsidiaries-  Corporate Internal 5 Compliance XII. Regulatory compliance TAL Pune Governance  External TMLDL Jamshedpur TMML Lucknow

 Economic XIII. Business growth and profitability Economic Internal 6 Tata Motors Performance XIV. Foreign exchange fluctuations Performance  External

27 28 TATA Motors | Sustainability Report 2014-15

Greater volatility and uncertainty growing by 5.2%. Growth in automotive industry has been led to weaker than expected global domestic passenger vehicles was 14.1% which shows a decrease as activity in the first half of FY 2014 stronger at 5.5% with improving compared to previous year’s 16.5% posing a higher risk for the global consumer sentiment due to lower market share. We have exported economy in 2014-15. Global trade fuel price and interest rates. 49,936 vehicles during the FY 2014- flows have been severely impacted However, commercial vehicles 15 which is higher by 0.02% as due to rapid decline in oil prices, contracted by 8.4%, mainly due to compared to FY 2013-14. fluctuations in exchange rates – significant decline in small inflation of the US dollar and commercial vehicles. Operating & other costs for FY debilitation of most other 2014-15 includes INR 0.18 billion currencies, particularly the euro. The basic parameters of the Indian spent towards various schemes of Some of the key concerns that have economy signaled movement in the CSR as prescribed under Section 135 significant impact on our industry right direction. The Indian economy of the Companies Act, 2013. No are the increased geopolitical experienced an encouraging amount has been spent on uncertainty coupled with some economic outlook as a result of the construction / acquisition of an signs of economic slowdown in following reasons; reasonably asset of the Company. The China. Despite these geopolitical better performance of the prescribed CSR expenditure uncertainties, the global manufacturing sector, reduction in required to be spent in FY 2014-15 automotive industry experienced a interest rates and declining as per the Companies Act, 2013 is period of stronger growth and inflation aided by favorable Nil, in view of average net profits of profitability, with annual sales commodity prices like oil. the Company being Nil (under recovering to pre-financial section 198 of the Act) for last three meltdown levels in some key OUR PERFORMANCE financial years. markets like NAFTA, UK etc. This year, we recorded a gross Despite the losses in revenue made INDIAN SCENARIO turnover of INR 395.24 billion, 4.7% in FY 2014-15 our expenditure on higher from the previous year. Our CSR spend has increased over FY India’s GDP grew at a better pace, EBITDA margins have gone down 2013-14. mainly towards the second half of from negative 1.4% to negative the fiscal, at 7.3% in FY 2014-15. 2.2% in FY 2014-15. We have made Owing to this, the Indian sales of 504,369 (CVBU and PCBU) automotive industry registered a which is 11.5% lesser as compared growth of over 2.5% over last year, to last year’s sales records. Our with overall automotive exports market share in the Indian

ECONOMIC PERFORMANCE TABLE

Economic Performance 2012-13 2013-14 2014-15

Economic Value Generated 514.08 415.91 414.06

Gross Revenue 514.08 415.91 414.06

Economic Value Distributed 514.32 427.85 449.61

Operating Costs8 418.54 342.77 367.60

Employee Benefits and Wages 28.37 28.78 30.91 Economic Payments to providers of capital8 20.46 20.05 16.12 Payments to government 46.95 36.26 34.98 Performance Economic Value Retained -0.24 -11.94 -35.55 Figures in billion Indian rupees

8) Previous year figures have been regrouped / reclassified wherever necessary to correspond with the current year classification / disclosure.

30 TATA Motors | Sustainability Report 2014-15

ECONOMIC PERFORMANCE TABLE

Economic Performance 2012-13 2013-14 2014-15

Economic Value Generated 514.08 415.91 414.06

Gross Revenue 514.08 415.91 414.06

Economic Value Distributed 514.32 427.85 449.61

Operating Costs8 418.54 342.77 367.60

8) Previous year figures have been regrouped / reclassified wherever necessary to correspond with the current year classification / disclosure.

30 TATA Motors | Sustainability Report 2014-15

Customer centricity is intrinsic to with a sample size of 164, Metric next day with customer and this our culture – develop, deliver, Global conducted Dealer number is also monitored daily. delight. We continuously strive to Satisfaction Survey across India and Daily tracking of complaints are provide best services to enhance the Net Satisfaction Index (NSI) for escalated to the Chairman, our customer engagement to our FY 2014-15 is 96. President and Managing Director esteemed customers. Customer offices till closure of the complaint. service quality is met through The data security of our customers If there are any complaints open for integration of our CRM - DMS. is ensured through a robust a long duration the same is consumer privacy policy which investigated by the CE team and It is important to understand tracks and measures key aspects of resolution intervention offered customers’ expectations and thus customer dissatisfaction. All the wherever required/possible. an ongoing dialogue with complaints are assessed for root Monitoring of key performance customers is maintained through cause analysis through the metrics (CPTV, TAT adherence and feedback surveys. It helps us to Complaint Management Process. Same Day Closure) is done by advance in the quality of products We have a daily dashboard shared customer experience. Details of we develop. In view of providing with the regional teams where Turn resolution, root cause analysis and consistent service, we have Around Time (TAT) adherence is service load based analysis and integrated feedback systems across measured along with closure performance is tracked by the the life cycle stages of customer percentage and ageing of open customer support team. We provide satisfaction. We have benchmarked complaints. There is a mechanism in feedback to the customers on the our performance with the industry place to internally escalate resolution of the complaint. peers by using J.D. Power Survey. We complaints to various members of have improved our J.D. Power the process chain if a complaint We have continued to promote the Survey score for passenger vehicles remains open beyond TAT. We drive customer centric approach through from 799 in 2013 to 834 in 2014. closure of complaints from dealers our various ‘Next’ initiatives. Based on an independent survey end on the same day or the very

Customer Centricity

32 TATA Motors | Sustainability Report 2014-15

Customer Centricity

32 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

DesigNext - The NEXT Level in Design

At Tata Motors, we are redefining the way we design. With an emphasis towards making our offerings more attractive and exciting, DesigNext9 has bought Tata Motors’ design and engineering teams together, and introducing fascinating products that not only look good but feel good too.

ConnectNext - The NEXT Level in Connectivity

The new ConnectNext10 facilitates smartphone integration, with an enhanced touch interface, internet connectivity, best-in-class acoustic experience, along with a host of autonomous driving aids. The Company’s emphasis on delivering new levels of vehicle connectivity has been showcased for safer journeys and more engaging drives, through launches of Zest and Bolt integrating advanced infotainment and connectivity features.

DriveNext - The NEXT Level in Driving Experiences

With a view to offering customers with the next level of driving experience from its passenger vehicles that is pleasurable, dynamic and engaging; DriveNext11, another HorizoNext approach from Tata Motors was launched.

FuelNext - The NEXT Level in Fuel Economy

With a focus towards contributing to a cleaner, greener and efficient transportation, coupled with driving comfort, our commercial vehicles business has developed diverse new solutions under FuelNext12 pillar of HorizoNext.

PerformanceNext – The NEXT Level of Vehicle Performance

PerformanceNext13 defines the third pillar of Tata Motors commercial vehicles, under HorizoNext. Through T1, we showcased winning attributes of Tata PRIMA, ‘World Smart’ Truck in terms of power, performance, fuel efficiency, superior technology and safety.

9) For further information, please refer Pg 20-21 of Tata Motors Annual Report FY 2014-15 available at http://www.tatamotors.com/investor/annual-reports/ 10) For further information, please refer Pg 24-25 of Tata Motors Annual Report FY 2014-15 available at http://www.tatamotors.com/investor/annual-reports/ 11) For further information, please refer Pg 26-27 of Tata Motors Annual Report FY 2014-15 available at http://www.tatamotors.com/investor/annual-reports/ 12) For further information, please refer Pg 22-23 of Tata Motors Annual Report FY 2014-15 available at http://www.tatamotors.com/investor/annual-reports/ 13) For further information, please refer Pg 26-27 of Tata Motors Annual Report FY 2014-15 available at http://www.tatamotors.com/investor/annual-reports/

33 34 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

DesigNext - The NEXT Level in Design

ConnectNext - The NEXT Level in Connectivity

DriveNext - The NEXT Level in Driving Experiences

FuelNext - The NEXT Level in Fuel Economy

PerformanceNext – The NEXT Level of Vehicle Performance

33 34 TATA Motors | Sustainability Report 2014-15

SUSTAINABLE TRANSPORT the process of developing a strong Resources Institute (TERI). We are pipeline of products keeping also pursuing alternate fuel options During the reporting year, customer preferences and such as ethanol blending. expenditure incurred on Research & regulations in mind. We Development (R&D) activities was continuously innovate to lead and / We design products to deliver INR 22,043 million. R&D activities or be at par with our peers through superior fuel efficiency thereby take into account current and likely focus on vehicle quality, reliability, reducing environmental impact future regulatory norms. Further safety and utility. during use phase. We undertook our R&D is aligned towards initiatives by interventions at developing and acquiring Until recent times, less Powertrain and vehicle level to technology, core competence and consideration was given for improve upon performance, skill sets required for timely delivery efficient use of fuels. The amount refinement, meeting and exceeding of envisaged future product of energy that various forms of the current prevalent norms of portfolio with leading product transport consume leading to emission, fuel economy and attributes across the range of greenhouse gas emissions is high. reduction in carbon foot print of Commercial and Passenger Vehicles. The consumption of fuels is the products launched recently as For Passenger Vehicle product range happening at a high rate leading to well as the future products and - focus is on stunning design, drive higher emissions. Fuel cost forms platforms. e.g. Development of Low experience and connected car substantial part of the total cost of Carbon Vehicle Technology technologies and for Commercial ownership in commercial vehicles. Program. We have worked on fuel Vehicle product range - the focus is Effective consumption of fuels efficient as well as various alternate to be the market leaders by helps in reduction of emissions. fuel technologies like electric enhancing fuel efficiency, Thus, there has been an increasing vehicles, hybrid vehicles and fuel minimizing total cost of ownership need to make use of energy sources cell technologies as below. and adaptive to different that are sustainable rather than  Zest launched in FY 2014-15 has a applications. We endeavor to meet fossil fuels that have finite life unique Multidrive mode – Sport and exceed prescribed and expectancy. We are working on Eco and City, blend of power, prevalent vehicle safety regulations, projects using environment friendly maximum fuel efficiency and a develop vehicles powered by technologies that harness perfect balance of both. alternate fuels like CNG, LPG, Bio- alternative energy.  In July 2014, we expanded our diesel, electric traction and footprint in the petrol market Hydrogen. We continue our R&D efforts in developing vehicles which are with the launch of our Globalization and competition in powered by alternate fuels like indigenously developed and the automotive sector has CNG, LPG, Bio-diesel, electric globally benchmarked Revotron increased the need to innovate the traction and Hydrogen. As part of 1.2T engine, India's First 1.2 Litre products that are more efficient, our efforts in this area, we MPFi Turbocharged Petrol Engine provide comfort to customers and sponsored the first International and the first from the new are economical. We give prime Conference on Sustainable Fuels in generation Revotron engine importance to innovation and are in partnership with The Energy series.

Compressed Natural Gas (CNG) Series Hybrid Bus

The internal combustion engine is a highly non-linear system which is efficient only in a small operating zone. CNG

offers lower CO2 emissions per kWh, and thus, a CNG series hybrid bus becomes the lowest CO2 emitting urban bus considering the energy mix in India. We have developed this technology and have now commercialized the technology with 10 buses sold to EMT Madrid, the public transportation authority of the city of Madrid, Spain, in Product 2013. The buses have been in operation for more than 2 years and have covered close to a million km cumulative in operation. The vehicles have been giving 24% - 27% savings in fuel consumption in general, and have reported up to 40% fuel savings. The customer is saving around 16,300 kg of CNG every year due to the Tata Motors’ hybrid bus fleet, which

Innovation translates to about 45 tonnes of CO2 emissions which could reach up to 200 tonnes

CO2 in the long term. CNG Series Hybrid buses further reduces CO2 emissions, and

are arguably the lowest CO2 emitting public transportation solution today for buses in India.

36 TATA Motors | Sustainability Report 2014-15

Compressed Natural Gas (CNG) Series Hybrid Bus

The internal combustion engine is a highly non-linear system which is efficient only in a small operating zone. CNG

Innovation translates to about 45 tonnes of CO2 emissions which could reach up to 200 tonnes

CO2 in the long term. CNG Series Hybrid buses further reduces CO2 emissions, and

are arguably the lowest CO2 emitting public transportation solution today for buses in India.

36 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

 This year we launched the new charging bus concept, which will significant role in bolstering the We use aluminium and other are safer to handle, process and use. committed to work on light- Intermediate and Light be more efficient as compared to city bus network. lightweight materials to reduce They also require less energy to weighting technologies under Commercial Vehicle (ILCV) range the battery operated buses  CNG Series Hybrid Bus has been vehicle weight and thus improve manufacture compared to weight reduction initiative, TML is of trucks named ULTRA. It offers  Electric Vehicles - Our two new giving 24%-27% savings in fuel fuel and CO2 efficiency. We plan to conventional glass fibres and are working on use of advanced SMC superior technology and design electric vehicles Tata Magic and consumption in general, and have continue to build on this expertise readily available in India, making it Nano material to reduce weight of that ensures lower total cost of Tata Iris were demonstrated at reported up to 40% fuel savings and extend the application of viable to replace glass fibres. cab panels by 25% & use of ownership through higher uptime the Auto Expo 2014. as per available monthly running aluminium construction as it Eliminating or reducing use of Aluminium for specific body panels because of increased driver  Fuel Cell bus - We are currently data from June 2014 to May develops new products. Recognizing hazardous substances in our in upcoming models is being comfort, superior aggregates and testing the hydrogen fuelled zero 2015. the need to use resources vehicles continues to remain one of studied for weight reduction up to customized requirements. emission fuel cell bus for urban During the reporting year, we filed responsibly, produce less waste and focus areas for product innovation 40%-50%.  PRIMA LX trucks range of trucks transportation. 86 Patent Applications and 203 reduce the its carbon footprint, we and development. Tata Motors is were extended with the launch of take conscious efforts and take  The Starbus line of passenger Design applications. In respect of Weight reduction of Prima at ERC – JSR (L*3128K) Multi-axle truck variants – 2523.T applications filed in earlier years, 21 measures to reduce emissions, vehicles from Tata Motors has Load Weight of the Weight of the Vehicle & 3123.T waste and the use of natural Vehicle Weight Reduction been a significant success within Patents were granted and 5 Designs Body Vehicle with HYVA with Moon Project  resources in all of our operations. Name (in kg) or (%) Emission Free Public Mobility - We the JNNURM initiative, playing a were registered. Size Load Body (in kg) Load body (in kg) are currently developing a fast We are also developing more 20 PRIMA LX 1305 (approx. efficient powertrains and other 14860 13555 C.M. 3128.K 8.7% on vehicle) Zero On road Emissions Vehicles technologies.

We are committed to maximizing customer satisfaction and strives to achieve the goal of excellence by continual Our research team is constantly improvement through on-going design and development of safe, cost effective, quality products by using working on alternate and environmentally sustainable technologies in line with the corporate quality and environmental policies. As the composite materials. Use of jute global demand for energy increases exponentially, the energy sources, mainly fossil fuels are being seriously and polypropylene (PP) based depleted. There is, therefore, critical need for finding means of conserving non-renewable energy sources as well as composite have been successfully to identify non-polluting renewable energy sources which will fuel our energy needs in our long-term future. With implemented for few applications Vehicle Snap with Existing Load Body Vehicle Snap with Light Weight Load Body this in mind, we have focused on development of fuel efficient vehicles and vehicles using alternate fuels. like headlining, parcel shelf on Tata This weight reduction has improved the fuel efficiency Super Ace EV, Magic EV and IRIS EV Nano standard version. Jute fibres per ton carriage capacity of vehicle Our team developed Pure Electric Ace for transporting goods in the city and Magic for transporting people as requirement last mile connectivity from nearest mass transport station to Life Cycle Thinking at Tata Motors the neighborhood. The Magic EV has a range of 50km and a With a view to design and develop sustainable automobile products, we have taken up Life Cycle Assessment (LCA) top speed of 40km/hr; Super Ace EV being a goods carrier initiative at Engineering Research Centre, Pune. We have adopted LCA approach in two ways: Fuel Life Cycle has a range of 100 km and a top speed of 80km/hr. Analysis and Product Life Cycle Analysis. Energy use and emissions are a function of fuel production and vehicle efficiencies and emissions. Fuel Life cycle assessment consists of Well-to-Tank (WTT) analysis and Tank-to-Wheel BREAKTHROUGH IN ALTERNATE The teams came up with the We have taken steps to address (TTW) analysis. The WTT analysis covers the energy use and emissions generated during the fuel production stage, MATERIAL USAGE / MAXIMIZING concept of “One Gram One Part EUREACH regulations which whereas the TTW stage concerns the energy use and emissions associated with vehicle operation over a typical MATERIAL USAGE Saving”, aimed at weight reduction currently applies to European Indian drive cycle. This is the first fuel life cycle assessment study conducted in Indian context, providing inputs on of input material and identification markets for reducing the use of future sustainable fuels for automotive products. With a view to embed of hidden costs. The initiative hazardous substances in the sustainability, we have taken brought vital improvements in the product. For this, we have We are the 1st Indian automobile company to conduct such LCA studies and completed LCA of a car - Nano. During initiatives for use of green and yield along with system developed an in-house IT system for the FY 2014-15, we conducted LCAs of four products viz. Nano-CNG, Safari Storme, ACE-Diesel and ACE-CNG. sustainable materials for change improvements in the FTI simulation Supplier Relationship Management Environmental impacts including carbon footprint of these products were assessed and compared. over from 50:50 to 40:60, coolant to software and Tool Track System. (SRM) that is used to compile water proportion, to reduce MEG vendor data on Substances of Very (Mono Ethylene Glycol) usage As a part of European export High Concern (SVHC) and Banned which is derived from petroleum regulation requirements, we Chemicals declaration. Vendor (Crude oil). We have also developed completed pre-assessment awareness was created through coolant which uses Molasses certification in November 2014 for vendor meets on REACH (Sugarcane by-product) based MEG RRR (Recycling, Recovery & Reuse & regulations. Vendor guidelines are which in turn will make Tata ELV (End of life vehicles) Regulation also released for data collection on Motors’ coolants further green. We for Europe Export models. Our SVHC and Banned Chemicals have also developed air-dry paint vehicles exported to Europe declaration. which will eliminate and conserve continued to be in compliance with baking heat energy for underbody the EU – ELV directive. Tata Motors has completed LCA of 4 vehicles which is more than 10% of TML CV & PV products. painted components.

37 38 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Prolife is a viable alternative for any been completed on single AC manage and control vehicles NOISE REDUCTION Improved ECU calibration (Vehicle prototypes required to be type of product made up of system on one of our Car and Dual digitally. Acceleration Management Filter), manufactured for testing and standard interchangeable parts for AC system on one of our system in Our safety development facilities Intake resonators, Exhaust system validation, thus conserving which replacement parts can be order to meet EU legislation for The Tata Magic Iris EV is the one incorporate equipments we believe with pre-silencers tuned. resources in design & development easily salvaged, manufactured or refrigerants with GWP<150. such vehicles spearheading our will help improve the safety and stages. obtained. We are working on Prolife efforts, and the recent TU design of our vehicles. This includes MINIMIZING ENVIRONMENTAL, ’(Prolong the life via reconditioning PRODUCT SAFETY Automotive Detroit – Telematics emission labs engine development SAFETY & HEALTH IMPACTS OF We have introduced a unique or remanufacturing), a process by Autonomy mobility award is facility, a testing facility for PRODUCT DEVELOPMENT PROCESS: initiative ‘Eight Poster’ at which product is returned at the Safety is of prime importance for us acknowledgement of our work. It’s developing vehicles with lower Jamshedpur for Product Testing end of its life to same as “new” and our R&D team strives to design a big win for Tata Motors’ IRIS noise and vibration levels. In We are making conscious efforts to (product development facility) for; condition in a manufacturing and develop products that are fuel electric, Android based vehicle at addition, we are installing a new improve our product performance structural durability testing, environment. It operates on a like- efficient and that can be disposed the TU Automotive Awards, 2015. engine noise test facility and by improving the safety features, evaluation of suspension, frame to-like exchange, in which end-of- of in an environmentally friendly transmission control unit which we reducing the consumption of fuel Dynamics behavior and vibration life products are returned for a manner. We are committed to Following Health and Safety expect will aid powertrain and increasing the level of resource test. It is a system to duplicate the ‘Prolife’ product – reducing waste develop products with latest features were incorporated in our development. We replaced bus roof efficiency of our products during measured service response of the and minimizing the need of raw technologies thereby ensuring products: AC system’s brushed motors with design stage. At the same time, our vehicle on the test bed. Testing can materials to produce a brand new passenger safety and comfort. We  Bolt and Zest launched with brushless motors controlled by Engineering Research Centre (ERC) be conducted without running the item. have a crash test facility passive frontal airbags and certified for Pulse Width Modulation (PWM) on team is carrying out constant engine for 24 hrs a day, saving fuel safety development in order to India market. Star Ultra Buses and reduced the in research to reduce the and resulting emissions from on- meet regulatory and consumer environmental impact of product MOBILE AIR CONDITIONING  Child safety - AIS 72 certification cab noise by 1dBA and increased field testing of products. Drivers are group test requirements and design and development activities, SYSTEMS AND LOW GWP for all PV and CV programs the conditioned airflow by 15%. We also not required to drive the REFRIGERANTS evaluate occupant safety, which have achieved reduction in pass by eliminating health and safety risks vehicle for testing, eliminating  Light weight FUPD certification includes a full vehicle level crash noise of all Tata Motors’ vehicles as during product testing stage. fatigue and associated safety & for M & HCV platform We have reduced the quantity of test facility, a sled test facility for per ECE-R 51 by implementing health hazards of on-field vehicle R134a refrigerant gas in our simulating the crash environment  Autonomous Emergency Braking various measures like - Provisions of Increasing use of ‘digital validation’ testing of products. passenger cars and commercial on subsystems, a pedestrian safety City and Urban test facility acoustic shields to Power train, techniques has enabled a reduction vehicles. The quantity of high GWP testing facility, a high strain rate installed as per ENCAP in the number of physical R134a refrigerant which is used in machine and a pendulum impact requirement. our products has been reduced in test facility for goods carrier  Optimization and robustness Implementation of Eco friendly water based paint technology for painting prototype vehicles some of our passenger cars and vehicles. process development and commercial vehicles. In Indica NA integration in structural CAE. Painting applications use solvent as paint carriers which contain high levels of VOCs. These solvents emanate string car and Xenon pick-up truck we The Tata Marcopolo buses running smell as well as generate hazardous sludge which causes detrimental effects to environment and human health.  Restraints system integration have implemented new types of on BRTS network are the only front Implementation of water base paints reduces VOC Emission by 97%, reduces harmful sludge generation by 50%, capability in CAE, design and test evaporators in the refrigerant engine automatic transmission increase in pot life & shelf life by 2 times. We are committed for reduction of harmful VOC emissions into the domains. Full system ownership circuit which has resulted in buses which incorporate automatic environment in-turn providing benefit to health of the employees within the plant and other negative from new generation platform reducing the quantity of high GWP transmission thus reducing driver environmental impacts on planet Earth. development. refrigerant by 220 grams and 50 fatigue and increasing safety. We grams respectively. Performance are developing and harnessing the Trials with R1234yf (GWP =4) has potential of telematics, to fully

Energy Efficient and light weight mobile air conditioning systems for buses

LCV buses (Star Ultra buses and 913 CNG buses) are deployed with energy efficient 3D scroll compressor in place of swash plate compressor and light weight roof AC system (with new generation heat exchangers) in place of heavy roof AC system. Scroll compressor and light weight roof AC system is better by 10%-13% as far as fuel economy is concerned with additional benefit in acceleration, gradability and drivability performance. Light weight roof AC system with advanced heat exchangers saves on refrigerant quantity by 25%-30 % by weight. Advanced thin heat exchangers calls for small fan size and resulting less power consumption by 13%-17%. This learning will be deployed on HCV buses in coming years.

39 40 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Energy Efficient and light weight mobile air conditioning systems for buses

39 40 TATA Motors | Sustainability Report 2014-15

Tata Motors’ Climate Change Policy diesel (HSD), light diesel oil (LDO), GJ of renewable energy has been articulates its commitment to furnace oil (FO), liquefied utilised during the year, resulting in

minimize GHG emissions from its petroleum gas (LPG), propane, avoidance of 32,121 tCO2e. The products, operations and services. compressed natural gas (CNG), and total renewable energy accounted The Policy focus is to optimize piped natural gas (NG). Diesel and for 4.8% of total energy energy consumption and maximize petrol are consumed as fuel for consumption. use of renewable energy in our engine testing and transport manufacturing operations, and vehicles. During the reporting year The majority of green power drive carbon footprint mitigation in there was a 5.7% reduction in total purchased through grid is at Pune the value chain. Our integrated energy consumption as compared location. During the FY 2013-14, the manufacturing plants include to FY 2013-14. bulk of renewable energy (60 energy intensive operations such as million kWh) was sourced from foundry, paint shop, press shop, Our energy management approach Third Party Wind Power developers weld shop and aggregate is extended to our Supply Chain by through Open Access in manufacturing and accordingly all creating awareness amongst Maharashtra. However, as per Plants are focussed on energy Suppliers on various environmental revised Open Access Regulation conservation. issues including energy efficiency 2014, the Maharashtra State and management. Best practices Electricity Distribution Company We manage our energy needs in a and case studies are regularly Limited (MSEDCL) did not permit responsible manner and continually shared with Suppliers through purchase of wind energy through seek opportunities to improve emails and during Vendor Meets. Open Access and hence captive energy efficiency and increase the wind energy was the only source of clean energy mix in our Our consumption of renewable renewable power in FY 2014-15. manufacturing process. The energy is mainly from captive wind This resulted in a 68% drop in total conventional fuels14 used to meet power plants and third party wind renewable energy consumption the energy needs are high speed power purchase. A total of 117,398 over the preceding year.

Total Energy Consumed Energy Consumed per vehicle produced

2,175,860

1,541,920 oduced 2.85 2.77 2.93 GJ

1,693,690 1,463,371 ehicle pr 2.22 1,029,835 1.85 1.93 961,203 GJ per v FY FY FY FY FY FY 2012-13 2013-14 2014-15 2012-13 2013-14 2014-15

Direct Energy (GJ) Indirect Energy (GJ) Direct Energy (GJ) Indirect Energy (GJ) *Intensity ratios are calculated on basis of total vehicles manufactured

Automobile manufacturing is energy intensive and energy consumption is a source of GHG emissions and a significant operational cost. While energy conservation in manufacturing operations has always been a key focus area for us, we have supplemented this approach by increasing the consumption of renewable energy from captive wind power plants, third party Energy and wind power purchase, and utilization of our large built-up area for setting up roof-top Solar PV projects. All Plant locations monitor fixed load consumption and work in cross-functional teams for sustained improvement of specific energy consumption. Our efforts have been recognized externally and our manufacturing Plants are Prasann K Chobe Climate Change considered as benchmark excellent energy efficient units Senior Vice President, Head - Manufacturing Operations, CVBU

14) IPCC default net calorific values were used to convert the fuel consumption into standard energy units of Giga joules.

42 TATA Motors | Sustainability Report 2014-15

Total Energy Consumed Energy Consumed per vehicle produced

2,175,860

1,541,920 oduced 2.85 2.77 2.93 GJ

1,693,690 1,463,371 ehicle pr 2.22 1,029,835 1.85 1.93 961,203 GJ per v FY FY FY FY FY FY 2012-13 2013-14 2014-15 2012-13 2013-14 2014-15

Direct Energy (GJ) Indirect Energy (GJ) Direct Energy (GJ) Indirect Energy (GJ) *Intensity ratios are calculated on basis of total vehicles manufactured

14) IPCC default net calorific values were used to convert the fuel consumption into standard energy units of Giga joules.

42 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

We have our own ‘captive wind million in electricity charges. Under wind energy of 5.45 million units Total GHG Emissions GHG Emissions per vehicle produced power’ project of 21.95 MW the REC scheme, this generated a (equivalent to 4,466 tCO2e avoided) capacity which is also registered cumulative 58,558 Renewable which was purchased through

under REC scheme. In FY 2014-15 Energy Certificates (RECs); out of TPTCL, resulting into net savings of oduced 0.62 407,792 Pimpri Works utilized wind energy which 28,829 RECs were sold INR 3.76 million in electricity 0.52 0.49 e of 26 million units (equivalent to through auction, resulting into charges. 2 336,494 O

271,835 ehicle pr 24,435 tCO2e avoided), resulting cumulative benefit of INR 31.4 tC into net savings of INR 163.5 million. Our Sanand Works utilized e per v 2 O

Sourcing Green Power within Manufacturing Plants 110,267 tC 0.14 0.15 81,277 61,704 0.12 Utilization of vacant roof-top space of buildings and Shops in our existing manufacturing locations have for long FY FY FY FY FY FY presented an opportunity to enhance on-site renewable power generation. Feasibility of roof-top Solar PV projects 2012-13 2013-14 2014-15 2012-13 2013-14 2014-15 had been evaluated but could not be implemented due to various limitations. Now, with the technology to Direct Emissions Indirect Emissions Direct Emissions Indirect Emissions switchover Plant electrical load to solar power during daytime and readiness of Solar Power Companies to invest *Intensity ratios are calculated on basis of total vehicles manufactured capital for erection of rooftop PV panels we have created a model which benefits Tata Motors, the Solar Power Company and the environment. TML has entered into long-term Power Purchase Agreements with Service Providers Our direct GHG emissions have emissions and business travel. flue gas of paint baking oven, in which we provide the idle roof space on available built-up area and the Solar Power Company supplies the decreased by 24% and indirect GHG reduction in thermal losses in generated solar power at a price lower than grid power. The 1st Solar PV Plant of 223 KWp was commissioned at emissions have increased by 23.8% Energy conservation is a major furnaces, optimized shift Pune which will eventually culminate into a total capacity of 1500 KWp capacity at Pune. We are in the process of in FY 2014-15 as compared to FY process improvement driver across operation of ovens at Foundry, replicating this Pune model across other manufacturing locations which will have a combined capacity of 5000 Kwp. 2013-14 and our total GHG our manufacturing plants. We have use of low temperature emissions have increased by about a structured process to identify and degreasing chemical at Paint 13% implement ENCON (Energy Shop, installation of star rated AC Conservation Initiatives) at our systems and conversion of Scope 3 emissions as a result of plants. The annualised energy Electrical Heating into Natural employee commute of our savings during the year were to the Gas Heating system for washing employees accounted for 12,926 tune of 160,571 (fuel and electricity machines. energy savings) GJ15, leading to an tCO2e of GHG emissions. This includes employees of our estimated avoidance of 72,576 • In area of illumination, 16 subsidiary Companies included in tCO2e emissions . installation of energy efficient our reporting boundary this year - LED batten fittings for task TAL Pune, TMLDL Jamshedpur and During the reporting year energy lighting and LED high bay for TMML Lucknow, as these operate conservation projects have been general lighting, use of 54Wx4 T5 out of our manufacturing plants. implemented at all Plants & offices lamps for shop lights, installation Going forward we are working on and special efforts were made to of energy savers in lighting strengthening our systems for increase the use of renewable circuits, installation of LED street including data on other Scope 3 energy. Some of the significant lights, and installation of LED low emissions which are material to projects include- bay fittings, were significant TML such as upstream & achievements. • Waste Heat Recovery System to downstream value chain, fleet recover waste heat from exhaust

Performance Data on Subsidiaries

Aspect Indicator Units TAL Pune TMLD Jamshedpur TMML Lucknow

Direct GJ **Insignificant 237,152 1,222 Energy Consumption Indirect GJ 4,936 264,654 11,538

Scope 1 tCO2e - 16,147 77 Emissions Scope 2 tCO2e 1,138 61,017 2,660

15) Energy savings reported are on annualized basis estimating the energy savings of ENCON initiatives for one complete year 16) The direct emissions are calculated based on the fuel quantity consumed using IPCC default emission factors. The indirect emissions are calculated based on electricity sourced from grid using the latest grid emission factors published by Central Electricity Authority, India. The emission reductions are calculated based on the grid emission factors published by Central Electricity Authority, India in Jan 2014 Ver.9.0 for electricity saved and IPCC default emission factors for fuel saved.

43 44 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

271,835 ehicle pr 24,435 tCO2e avoided), resulting cumulative benefit of INR 31.4 tC into net savings of INR 163.5 million. Our Sanand Works utilized e per v 2 O

Performance Data on Subsidiaries

Aspect Indicator Units TAL Pune TMLD Jamshedpur TMML Lucknow

Direct GJ **Insignificant 237,152 1,222 Energy Consumption Indirect GJ 4,936 264,654 11,538

Scope 1 tCO2e - 16,147 77 Emissions Scope 2 tCO2e 1,138 61,017 2,660

43 44 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

• Replacing existing KPC make • Reduced pressure of compressed • Use of motion sensors & timers Waste Heat Recovery System at Tata Motors, Pune compressor at Pune with energy air supply to Shops, use of for ON-OFF control of lighting GHG Emissions reduction due to ENCON initiatives efficient Ingersoll Rand make portable small compressors for system and fresh air blower A ‘Waste Heat Recovery’ system was installed at Pune compressor (3000 CFM and low compressed air requirement operation, modification in paint shop to recover waste heat from exhaust of paint specific energy consumption of on holidays, isolation valves for electrical logic for automatic 40,455 baking oven and use for hot water generation required 15 kWh/100CFM) for generation individual bays in compressed air switching ON-OFF operation of in Paint Shop (35% reduction in Natural Gas of compressed air which has network, downsizing of motors, hydraulic motors, coolant pumps, consumption) % elimination of motors and delta blowers etc., optimization of AC resulted in 7 energy saving. 20,656 to star conversion of motors, plant operations, optimized 15,878 • Use of energy efficient pumps, fresh air blower replaced by air operation of panel AC systems, energy efficient compressed air circulation fans. use of wind ventilators, etc. nozzles, new technology of Auto FY FY FY Pouring System for metal at • Installation of Variable Frequency • These efforts have resulted in 2012-13 2013-14 2014-15 Foundry, installation of runner / Drives for various applications like electrical energy saving of 17.4 riser breaking machine to reduce blowers, pumps & air supply million kWh resulted in cost the size of runners / risers which plants’ motors as a flow control savings of around INR 167.9 are charged back into Foundry strategy for energy conservation, million. furnaces. OTHER AIR EMISSIONS Total Particulate matter (TPM), emissions from foundries are

oxides of nitrogen (NOx) and effectively controlled using Refrigerants possess ozone sulphur dioxide (SO2) constitute the appropriate emission control depletion potential (ODP) and other major air emissions arising equipment. Absolute emissions global warming potential (GWP). from our manufacturing activities trends are lower than preceding We use R134a gas for most of the mainly from the combustion of years due to lowered consumption air conditioning, chiller and panel fossil fuel. Majority of process heat of fossil fuels in the process. cooler applications at our Plants. 65 requirements at Paint Shops are kg of CFC-11 equivalent of ODS was met using clean gas fuels – natural consumed during the reporting gas or propane. Particulate period.

Refrigerant Consumption in Air Emissions Manufacturing

91.85 545.81

64.69 58.35 Total Energy Savings per 276.82 Annualized Energy Savings C-11 eq F

due to ENCON Initiatives vehicle produced onnes T

g C 144.01

K 161.52 0.32 85.93 160,571 136.60 144.27 138.97 75.59

oduced FY FY FY FY FY FY 2012-13 2013-14 2014-15 2012-13 2013-14 2014-15 93,384

GJ 86,239 SO2 NOx TPM

ehicle pr 0.17 0.11 GJ per v

FY FY FY FY FY FY 2012-13 2013-14 2014-15 2012-13 2013-14 2014-15

*Intensity ratios are calculated on basis of total vehicles manufactured

45 46 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Refrigerant Consumption in Air Emissions Manufacturing

91.85 545.81

64.69 58.35 Total Energy Savings per 276.82 Annualized Energy Savings C-11 eq F due to ENCON Initiatives vehicle produced onnes T

g C 144.01

K 161.52 0.32 85.93 160,571 136.60 144.27 138.97 75.59 oduced FY FY FY FY FY FY 2012-13 2013-14 2014-15 2012-13 2013-14 2014-15 93,384

GJ 86,239 SO2 NOx TPM ehicle pr 0.17 0.11 GJ per v

FY FY FY FY FY FY 2012-13 2013-14 2014-15 2012-13 2013-14 2014-15

*Intensity ratios are calculated on basis of total vehicles manufactured

45 46 TATA Motors | Sustainability Report 2014-15

INTRODUCTION lifetime energy and environmental oils, flushing thinner and paints for footprint of our manufacturing suitable applications, waste Tata Motors’ Environmental Policy operations is optimised. segregation at source to increase and Climate Change Policy Breakthrough achievements in recovery of useful scrap materials establishes a precautionary environmental protection are and minimize hazardous waste approach to environmental shared internally across Plants to destined for landfill or incineration. management. Our Board level scale up the environmental Safety, Health & Environment (SHE) benefits. This internal ABOUT GREENCO Committee comprising of benchmarking at the process level Independent as well as Executive helps to continually improve our During the reporting period our Directors, guides and reviews environmental performance. Jamshedpur and Pantnagar Plants environmental performance were assessed under CII GreenCo periodically. The Safety, Health & All Plants have a well-established and were rated ‘GOLD’. The CII- Environment (SHE) Council and the Construction, Plant Engineering GreenCo - Green Company Rating Safety, Health & Environment (SHE) and Environment Management System is a holistic framework to Apex Committee, guides and function which drives evaluate the environmental reviews the environmental environmental stewardship performance of an organization performance at Business and Plant activities, ensures compliance of all which assesses the environmental levels respectively. environmental legal provisions, and attributes of – products, processes continual improvement under the and value chain. Environmental Stewardship has established Environmental been the cornerstone of all our Management Systems (ISO-14001). The rating system scorecard rates manufacturing operations right Operationally, this function drives applicants on a scale ranging from- from inception of the Plant. Our Plant specific initiatives such as re- Certified, Bronze, Silver, Gold to Plants incorporate environmental cycling of treated effluents, bio- Platinum. The ‘GOLD’ recognition planning in all aspects and the methanation and composting of represents the next stage in our infrastructure for pollution control bio-degradable waste, energy and journey to adopt the GreenCo and natural resource conservation material recovery from hazardous rating as a common organizational are continually and proactively up- wastes, oil reclamation, and measure in our journey towards graded in response to changing rainwater harvesting. This in-house environmental excellence. internal requirements and function is also responsible for Our CV and PV manufacturing units regulatory requirements. identifying opportunities for at Pune completed the assessment material and resource consumption in the previous reporting period and A defining feature of all our and driving projects for realization were also rated ‘GOLD’. Our manufacturing plants are large and of the same. This functions also remaining three manufacturing well-developed ‘green’ areas and work in tandem with plants are also in the process of artificial water bodies created with Manufacturing and Technical preparing for the GreenCo storm-water runoff. The Services in operational areas. assessment in the current year. Manufacturing Planning / Technical Examples of such projects include- Going forward adopting GreenCo Services function endeavours to introduction of localised water re- will lead to process level minimize environmental impacts of circulation, supply of re-cycled benchmarking and commonization manufacturing in their choice of effluent, increasing useful life of of action plans for improving our manufacturing technology, water based coolants and washing score on the assessment production processes and media, re-use of re-claimed neat equipment which ensures that the parameters. Environmental “The best part of GreenCo rating is it not only evaluates the Company on its environmental performance but also suggests the way forward for the organization to gain the much needed Stewardship competitive advantage. Nothing can be more holistic than a GreenCo rating. Green means profit.”

Anil Sinha Vice President - Manufacturing Operations, PVBU

48 TATA Motors | Sustainability Report 2014-15

Anil Sinha Vice President - Manufacturing Operations, PVBU

48 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

MATERIALS MANAGEMENT with OEMs and Suppliers to create ensured from design to dispatch so Our requirement of critical-to- metal scrap and forgings at our Remanufacturing restores used awareness about emerging as to consume fewer resources quality castings (both iron and Pune and Jamshedpur plant. engines and other aggregates to Vehicle models which are in technologies on specific through product innovation and aluminium) are met in-house ‘like-new’ condition that are production are the focus of Material components. process optimization. For example – through captive foundries at Pune With on-road use and age, vehicle functionally equivalent to a new Conservation efforts by Value increased use of aluminium and and Jamshedpur. Sand – is a key performance deteriorates as key aggregate at much lower Engineering route which results Automobile manufacturing requires other lightweight materials to natural resource used in Iron aggregates like engine, gearbox and environmental and economic cost into weight reduction and cost primary raw material such as steel reduce vehicle weight and improve Foundries for creating mould box trans-axles reach the end of their than manufacture of a new engine optimization of vehicles. These sheets and plates, castings, fuel efficiency. Trends in direct and cores. At our Iron Foundries, useful life. Our ‘Prolife’ business (its or aggregate, which contributes to initiatives are fundamental to Gross forgings, lubricants, paints and material consumption such as steel almost 85% to 90% of the ‘burnt’ name derives from – ‘Prolong life’ resource conservation and provides Vehicle Weight reduction which is thinners, welding consumables, sheets and plates, castings, mould sand and cores generated is through reconditioning or extended value to our customers. linked to fuel efficiency and lower etc.. While a majority of aggregates forgings, etc. are largely determined re-cycled back into process using remanufacturing) is aimed at Prolife business with a turnover of on-road emissions. We foster a such as axles, engines, gear boxes by volumes and the number of Sand Reconditioning Plants. extending the useful life of engines 1,380 million now also exports re- collaborative approach to Value and cabs are manufactured in- material conversion operations and other vehicle aggregates at the conditioned long blocks to Engineering in which house, they are also procured from carried out in-house. We focus on Sheet metal scrap generated from end of their life to “same as new” international markets. 19,000 representatives of Suppliers and our subsidiaries, affiliates or conservation of indirect materials- in-house Pressing and Stamping condition in a manufacturing engines and approximately 41,000 various functions work in Cross- strategic suppliers. Proprietary namely consumables such as operations are also re-cycled within environment and to make it components were reconditioned Functional teams to generate, equipment such as tyres, fuel lubricants, fuels, through focused Plant in Iron Foundries at Pune and available to customers at the during the reporting period. validate and implement ideas. injection equipment, batteries, efforts on material substitution, Jamshedpur. During the reporting exchange point. Subject specific Conclaves are also electrical items, rubber and plastic process optimization and waste period we recycled 22,303 tonnes of held such as - castings and plastic parts, are procured from OEMs. reduction. parts. Technology Days are held Material conservation focus is Recycled Metal Scrap & Forgings

Material consumed Units FY 2012-13 FY 2013-14 FY 2014-15 44,452 41,150 Steel Tonnes 135,873 114,185 96,882

Steel Tubes Tonnes 19 3 12

Non-Ferrous Alloys Tonnes 3,577 3,838 3,548 22,303 onnes T Ferrous Alloys Tonnes 733 2,740 3,408

Steel Melting Scrap Tonnes 68,422 50,456 59,185

Tonnes 10,840 2,680 2,078 FY 2012-13 FY 2013-14 FY 2014-15 Paints, Oils & Lubricants Metal spraying- one of the reconditioning approaches at Prolife Kilolitres 12,455 9,140 9,131

Tyres, tubes & flaps Numbers 5,282,763 3,102,908 3,249,683 Material Consumption in Subsidiaries (2014-15) Engines Numbers 100,737 81,644 105,182 TMLDL, Jamshedpur17 TAL, Pune TMML, Lucknow Sand Tonnes 52,634 20,161 51,468 Material Units Quantity Material Units Quantity Material Units Quantity

Steel MT 67.5 Steel including Galvanized Steel MT 850 Iron Foundry - Sand re-cycling within process MT 772.6 Forgings Paints KL 15.0 FRP (Fiber MT 150 Liquid Metal Casting MT 588.5 Reinforced Plastic) Oil KL 421.1 Paints & Thinner KL 20.4 Plywood MT 350 Lubricants MT 42.8 Oil & Lubricants KL 25.0 Glass MT 260 Casting for Steel Shot MT 160.7 Mould box with Core assembly Core automotive Metal Casting Core Assembly (to Moulding line) Manufacturing Sand Plastic MT 70 applications Solidifies Aluminum MT 90 Return sand from broken mould and cores

Sand Green Sand reconditioning for Mould box

17) Direct materials consumed by TML Drivelines Ltd. is reported under TML consumption. Indirect materials consumed separately by TML Drivelines Ltd. are reported here.

49 50 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Material consumed Units FY 2012-13 FY 2013-14 FY 2014-15 44,452 41,150 Steel Tonnes 135,873 114,185 96,882

Steel Tubes Tonnes 19 3 12

Non-Ferrous Alloys Tonnes 3,577 3,838 3,548 22,303 onnes T Ferrous Alloys Tonnes 733 2,740 3,408

Steel Melting Scrap Tonnes 68,422 50,456 59,185

Tonnes 10,840 2,680 2,078 FY 2012-13 FY 2013-14 FY 2014-15 Paints, Oils & Lubricants Metal spraying- one of the reconditioning approaches at Prolife Kilolitres 12,455 9,140 9,131

Sand Green Sand reconditioning for Mould box

17) Direct materials consumed by TML Drivelines Ltd. is reported under TML consumption. Indirect materials consumed separately by TML Drivelines Ltd. are reported here.

49 50 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

WASTE MANAGEMENT landfill or incineration. In line with 16% of the total bio-degradable Hazardous Waste by Type (2014-15) similar regulations which govern waste generated from canteens was Our manufacturing Plants are hazardous scrap material, we have disposed through in-house bio- Waste 18 Waste Description Unit Quantity vertically integrated and a number disposed 795 MT of such scrap (lead methanation and composting while Category Hazardous Waste Generation by Type in Subsidiaries (2014-15) of manufacturing operations from acid batteries, e-waste, used oil, the rest was disposed through 5.1 Used/Spent oil MT 179 pressing / stamping, fabrication, non-ferrous scrap etc.) to authorized landfills. Waste Waste Description Unit TAL Pune painting, machining, assembly and Government authorized re-cyclers. 5.2 Oily wastes & Residues MT 438 Category testing of aggregates to final With a strong strategic drive to Non-hazardous scrap arises from 12.5 Phosphating sludge MT 220 assembly of vehicles are carried out divert hazardous wastes away from packaging material and process 5.1 Used oil MT 1 in-house. The operations generate such destructive disposal which scrap such as swarf, sheet metal off- 15.1, 15.2 Asbestos containing scrap MT 2.51 5.2 Grinding sludge MT 0.1 solid and liquid wastes for which adds to environmental burden, a cuts, scrap and rejected Contaminated/Spent 21.1 Paint sludge MT 6.48 waste management practices are in number of re-cycling options have castings/forgings, auto parts, etc. 20.1, 20.2 MT 204 thinners & solvents place which emphasize waste been explored and implemented. which are sold as Scrap to Scrap 34.3 ETP sludge MT NIL minimization and reduction at Dealers which are ultimately re- Paint sludge & Residues, source, waste reusing/recycling and Going forward we are committed to cycled through the scrap industry. 21.1, 23.1 Sealant residues, Pattern MT 1844 Waste TMLDL Waste Description Unit waste disposal in an increase this quantum and aim for 48,882 MT of waste sand from waste from R&D activity Category Jamshedpur environmentally sound manner. In “Zero waste to Common Waste Foundries was also disposed in 34.1 Chimney soot MT 0.89 5.1 Used oil MT NIL order to align with waste disposal Disposal Facilities”. Some initiatives landfills during the reporting year. regulations and specific conditions include – energy recovery from high Efforts to re-cycle such waste sand 34.2 Spent DM plant resins MT 1.50 5.2 Grinding sludge MT 122.96 of operating permits / calorific value wastes through co- are in progress but these 34.3 ETP sludge MT 905 21.1 Paint sludge MT 250.12 authorizations in the States where processing route with cement developments depend on access to % industries, solidification / appropriate technology and Spent catalyst from heat 34.3 ETP sludge MT NIL we operate, 37 of hazardous 35.2 MT 0.68 wastes are disposed to Government stabilization of ETP sludge as pavers funding. treatment shop approved Common Hazardous and conversion of paint sludge into Waste 36.2 Incineration ash MT 362 Waste Description Unit TAL Lucknow Waste Facilities for end disposal by industrial primer. Category As per Shot-blasting dust MT 16 5.1 Used oil MT NIL Schedule II Total Waste Disposed by end-disposal Method 5.2 Grinding sludge MT NIL As per Non-ferrous metal scrap MT 174 Schedule IV 21.1 Paint sludge MT 25.9 14% 22% CHWTSDF CHWTSDF In-house As per 34.3 ETP sludge MT 9.6 Used oil for recycling MT 181 - Landfill - Incineration Incineration Schedule IV

23% Recycle for Co-processing Co-processing - Scrap lead acid batteries19 MT 164 material recovery (energy recovery) (material recovery) - E-waste20 MT 102 Sale to Authorised Composting Biomethanation 13% Re-cycler Non-Hazardous Waste by Type (2014-15)

3% Municipal Sr. No. Waste Description Unit Quantity 5% Landfill/Piggery 9% 1 Canteen waste MT 2,223 2% 2% 7% 2 Sold to scrap dealers21 MT 318,669

22 Co-Processing of Hazardous Waste in Cement Industry 3 Foundry waste sand MT 48,882

Co-processing is the use of high calorific value hazardous waste in cement industry as an alternative fuel or material substitute. Co-processing is being promoted by regulatory authorities as a sustainable alternative to destruction through incineration and / or landfilling. Our manufacturing Plants at Sanand, Dharwad & Ash from in-house incineration at Jamshedpur is subjected Jamshedpur which have cement manufacturing plants in proximity explored the possibility and have commenced to stabilization / solidification process by mixing with cement, disposal of suitable hazardous waste types for co-processing after obtaining the necessary regulatory permissions. sand and aggregate to make paver bricks which The benefits of co-processing are - energy recovery from hazardous waste, avoidance of corresponding quantity of are used within premises. 18) As per The Hazardous Wastes (Management, Handling & Transboundary Movement) Rules, 2008 as amended. coal required as fuel for cement manufacturing and GHG emissions thereof, and the safe disposal of hazardous 19) As per The Batteries (Management and Handling) Amendment Rules, 2010 as amended. waste as the high kiln temperatures ensure complete destruction of hazardous components. 20) As per The E-waste (Management and Handling) Rules, 2011 as amended. 21) Canteen waste and scrap is inclusive of subsidiaries covered in our reporting boundary this year - TAL Pune, TML Drivelines, TMML Lucknow as these are operating out of our manufacturing plants 22) Foundry waste sand data is only for TML Foundries at Pune & Jamshedpur 51 52 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

3% Municipal Sr. No. Waste Description Unit Quantity 5% Landfill/Piggery 9% 1 Canteen waste MT 2,223 2% 2% 7% 2 Sold to scrap dealers21 MT 318,669

22 Co-Processing of Hazardous Waste in Cement Industry 3 Foundry waste sand MT 48,882

WATER MANAGEMENT exercise to selected Suppliers Manufacturing plants of Tata Rainwater Harvesting at Tata Motors, Lucknow during the reporting period. Motors source water from a mix of Our workforce in excess of 25000+ river, ground and harvested Our Lucknow Plant is dependent on ground water for employees and in-house water Water conservation activities is rainwater. While our facility at Pune its water requirements. To ensure the sustainability of intensive manufacturing operations driven through dedicated cross- and Dharwad have access to water this water source, all storm water runoff from building such as Paint Shop, BIW Shop, functional teams (CFT) which supplied by public utilities, our and Shop rooftops are diverted to rainwater re-charge Machine Shops etc. makes water a includes Team Members from plants at Sanand, Jamshedpur structures. These dug-cum-borewells, percolation pits, key operational efficiency Utilities, Manufacturing, Support source their water from surface recharge wells, dolomite structures with recharge wells parameter. Our water sustainability Services, Human Resource, water / rivers. Our plants at have been constructed across the Plant premises and framework is guided by an internal Technical Services etc. Water Uttaranchal and Lucknow source has a design capacity to harvest and recharge Water Policy which includes Top conservation projects with positive their entire requirement from 14,00,000 Litres/annum. Management commitment to drive cost-benefit calculations are ground water while supplementing water conservation in a planned provided with necessary financial the same with rainwater Rainwater Harvesting at Tata Motors, Car Plant - Pune manner and to drive awareness and management support. Water harvesting. We carried out a Water through all levels of the management system includes a Footprint assessment across The terminal storm water outlets at our Car Plant are organization. Water intensity of complaint redress system, with locations to assess the future located at the northern boundary as per contours at manufacturing processes is one of dedicated manpower to attend to sustainability of these water location. Every monsoon season, rain water is the evaluation criteria for water leakage complaints. sources on the background of harvested dynamically as it flows outside the premises technology and equipment Promotional activities such as projected water demands by and stored in underground tanks which are available at selection at planning stage itself. celebration of World Water Day, competing users and have the same point. The harvested rain water is then We have identified Supply Chain as Unique Suggestion Schemes, etc. concluded that there is a low level provided polishing treatment using available water a focus area for water sustainability are used to involve all levels of of risk of water shortage for treatment infrastructure and blended with piped raw and extended the Water Footprint employees in this effort. manufacturing operations. water supplied by utility (MIDC) and re-used in manufacturing process. During monsoon 2014 a total Layout of Lucknow Plant showing the 3 Rainwater harvesting scheme Total Water Withdrawal Total Water Withdrawal by Source of 20,300 m of rainwater was harvested and used in process. ) 3 9% 9,539,404 3 al (m All our manufacturing plants are gardening during the reporting Pune and Pantnagar, 332,642 m w a Municipal Water aligned with the legal requirements period. This number includes data was recycled back to manufacturing 7,046,701 18% 45% ithdr River Water specified in Consents / Operating of TAL Pune which shares the process after tertiary treatment W 5,421,855 permits regarding the disposal of effluent treatment facility of our while at Jamshedpur, 309,930 m3

ter Ground Water a treated effluent and accordingly Chinchwad Works where it is was recycled as top up for cooling W Rainwater maximize the use of treated located. The other two subsidiaries purposes. Overall in FY 2014-15, Harvesting effluents for maintenance of Green namely TMLDL, Jamshedpur and Tata Motors recycled and reused Belt within the premises. 3,238,680 TMML, Lucknow used 541,138 m3 of about 12% of the total water FY 2012-13 FY 2013-14 FY 2014-15 m3 of treated effluent was used for treated effluent for gardening. At withdrawn. 28%

Water Consumption in Subsidiaries (2014-15)

Subsidiaries TAL Pune TMLDL Jamshedpur TMML Lucknow

Water Source Municipal water River water Ground water

Water Consumed (m3) 44,631 634,193 52,838

Our manufacturing Plants are 2014-15, a total of 476,624 m3 was artificial water bodies which located in diverse geographies. harvested across our receives storm water from the plant Every effort is made to harvest rain manufacturing sites. At our Pimpri, premises. At Jamshedpur, rainwater water in our premises to reduce our Pantnagar, Sanand and Dharwad harvesting structure have been dependence on public utilities. In FY plants, rain water is harvested in created as per local terrain. Pune: Landscaped Areas and Green Belt sustained exclusively with treated effluent

53 54 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Water Consumption in Subsidiaries (2014-15)

Subsidiaries TAL Pune TMLDL Jamshedpur TMML Lucknow

Water Source Municipal water River water Ground water

Water Consumed (m3) 44,631 634,193 52,838

53 54 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Car Plant, Pune - Effluent re-cycling through innovative BIODIVERSITY MANAGEMENT time these water bodies have management plan” in conjunction finance model attracted a variety of resident and with experts so that the existing Our manufacturing locations in migratory avian fauna. At Pune, the wetland habitats across all The rising cost of industrial raw water, legal conditions India are not located within the wetland habitat created adjacent to locations can be conserved and regarding ‘zero discharge’ and the need to conserve vicinity of any identified or notified Plant has over the years become enriched. We also intend to water – a precious natural resource; provides bio-diversity hotspots or protected host to a resident colony of Painted leverage our presence in local compelling reasons to recycle industrial effluent and water bodies. All our Stork (Mycteria leucocephala) communities where we are already sewage back for re-use in manufacturing process. manufacturing locations in India whose population in India is engaged in Social Responsibility Various technologies are available for tertiary have consciously created water declining owing primarily to initiatives to identify and help treatment of effluent of which Reverse Osmosis is bodies / wetlands within the Plants drainage and destruction of its conserve local and indigenous widely used. High energy cost, variability in feed using the available storm water natural wetland habitats in the varieties of cereals and food grain. (treated effluent) characteristics, high cost of runoff as a landscaping feature and wild. Going forward we intend to membranes, skilled manpower for operation are some water conservation measure. Over develop a “biodiversity challenges faced in adoption of this technology. Quality of recycled effluent which is blended with raw water for reuse in process At Car Plant Pune we adopted a unique financial model to overcome these challenges by opting for a Build Own, Operate & Transfer (BOOT) model with a well- known OEM, in which the Service Provider set up a containerized RO Plant which uses their patented plate and tube type of membrane instead of conventional spiral wound membrane. Cost of energy and utilities are factored into the financial agreement as per which the Service Provider charges TML per m3 of permeate generated. Permeate is blended with raw water from utility (MIDC) and re-used in manufacturing process. In FY 2014-15 a total of 2,22,414 m3 of treated effluent was re-cycled back into the process saving approximately INR 4.83 million. Containerised Reverse Osmosis Plant for re-cycling of treated effluent at Car Plant, Pune

Wastewater from Subsidiaries monitoring, environmental CTC of employees working in operating within our improvement projects, statutory Environment Management manufacturing locations are also fees for- renewal of function, and promotional activities treated and disposed in-line with Consents/Authorizations, payment to engage with employees and local operating Consents/Authorizations. of water cess/vigilance sampling, communities, etc. While effluent from TAL Pune is combined with that of TML for Environmental Expenditure, common treatment and disposal, INR million 2014-15 TMLDL Jamshedpur and TMML Lucknow treated and disposed 410.46 539,064 m3 and 2,074 m3 362.17 respectively in the reporting period.

232.16 Environmental expenditure figures are for Plant related expenses such as – operation and maintenance of pollution control infrastructure, cost of waste disposal to Common FY 2012-13 FY 2013-14 FY 2014-15 Facilities, environmental

Wetland habitat created at Pune Plant attracts a variety of aquatic birds both resident and migratory.

55 56 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Wetland habitat created at Pune Plant attracts a variety of aquatic birds both resident and migratory.

55 56 TATA Motors | Sustainability Report 2014-15

Dedication and technical expertise our locations with qualified need based on our corporate and of our employees is the root of our specialists. locational strategies and we align success. We put our best efforts to our young talent and further keep and attract the best people. In We work together to explore how training programs as well as our order to achieve this, we offer our people’s career and personal needs hiring plans accordingly. people attractive and secure jobs, change as they move through comprehensive development and different stages in their lives and Our permanent workforce training opportunities, and good how these changes can be headcount at the end of FY 2014-15 long-term prospects. Our managed. We strive towards was at 27,998 compared to 29,566 systematic career management for strengthening diversity and during the last fiscal year. We are high-potential and managerial staff providing development steadily hiring an increasing fosters and enhances the opportunities. As part of our number of local staff and credit professional development, enabling human resources (HR) planning, we goes to our production network us to fill key positions throughout annually determine the skill sets we spread across India.

Permanent workforce profile by gender Permanent workforce profile by cadre

29376 28625 27127 958 941 871 Non Management 15532 15660 11093 Workers

Junior Management 9629 9049 8427

Middle Management 4094 3793 3466

FY 2012-13 FY 2013-14 FY 2014-15 Senior Management 1079 1064 1032

FY 2012-13 FY 2013-14 FY 2014-15

Temporary workforce profile Permanent workforce turnover by age

Temporary >50 years Workers / FTCs 16,174 11,110 13,367 23 46 1408

Apprentice/ 11,538 7,816 8,781 30-50 years Trainees 439 505 882

Average Contractual 16,459 15,008 11,094 <30 years 548 658 731 Labour FY 2012-13 FY 2013-14 FY 2014-15 FY 2012-13 FY 2013-14 FY 2014-15

During the year, we hired 1051 We respect the dignity of every We communicate major changes in male and 82 female permanent individual and our code of conduct our management to the labour employees, of which 34 male and 3 and human rights workplace policy union as agreed to in the collective female employees left the company embody our company's policy to agreement or relevant legislation. Workforce in the same year. As our industry is deal fairly and honestly with our The union and management experiencing a downturn we right- associates. We fully recognize the discuss key issues through a sized manpower across locations, freedom of association, the right to management-labor council meeting functions & employee grades by organize, and the right for collective to find solutions. We also hold Management implementing employee separation bargaining. 50% of total management briefings on a regular scheme during reporting period. permanent workforce in Tata basis to keep the labor union up to Motors are unionized employees. date on the market situation and business practices.

58 TATA Motors | Sustainability Report 2014-15

Permanent workforce profile by gender Permanent workforce profile by cadre

29376 28625 27127 958 941 871 Non Management 15532 15660 11093 Workers

Junior Management 9629 9049 8427

Middle Management 4094 3793 3466

FY 2012-13 FY 2013-14 FY 2014-15 Senior Management 1079 1064 1032

FY 2012-13 FY 2013-14 FY 2014-15

Temporary workforce profile Permanent workforce turnover by age

Temporary >50 years Workers / FTCs 16,174 11,110 13,367 23 46 1408

Apprentice/ 11,538 7,816 8,781 30-50 years Trainees 439 505 882

Average Contractual 16,459 15,008 11,094 <30 years 548 658 731 Labour FY 2012-13 FY 2013-14 FY 2014-15 FY 2012-13 FY 2013-14 FY 2014-15

58 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

LABOUR GRIEVANCE MECHANISM Developing targeted recruitment business and leadership issues. and training campaigns, building LACs play a threefold role namely – Workforce Management for Subsidiaries (Nos) We strictly adhere to our policy of capacity and understanding in designing, implementing and having no child labor and forced recruitment companies, and reviewing the learning agenda. TAL Pune TMLDL Jamshedpur TMML Lucknow labor. All the security personnel ensuring active engagement of line have been trained to ensure no managers early in the recruitment Tata Motors Academy launched e- underage workers enter the plant process to ensure their buy-in are learning offerings for our Senior Management premises and even our contractors some of the activities that we have managerial population and dealer are giving strict instructions which undertaken. We provide a broad personnel to drive a culture of self- prohibit them to employ underage range of internal and external, learning and make the learning 22 28 2 workers. For any operation the only formal, and other learning process more inclusive and exceptions to the 18 years age bar opportunities, including efficient. Our workforce undergoes are those who are part of knowledge-sharing systems, formal performance management government approved coaching, and mentoring. and development reviews on an apprenticeship schemes and annual basis. The remaining Middle Management internships. As a means of ensuring business number of employees have access 139 220 29 relevance and value of learning to a range of opportunities aimed All our employees at the time of offered, efforts are taken to closely at developing a workforce with the induction receive training on our align learning & development with right skills, experience and training. Company’s policies and procedures business needs and priorities Performance management among which include references to human through a learning governance this segment is largely team-based. Junior Management rights. All our security personnel are body called as Learning Advisory 360 389 48 trained on TCoC including human Council (LAC). We have a multi- There are crèche facilities as well as rights aspects before they begin tiered LAC structure which has superannuation allowance that their duties as part of their extensive and high quality formal help cater to the needs of a diverse induction procedure, a process training and development workforce. In FY 2014-15, 52 female managed by the Employee programs, at the corporate unit and employees took maternity leave Relations (ER) department. locational levels, covering specific while 35 were on our rolls at the Non-Management functional skills, and broader end of FY 2014-15. 128 1566

569 Temporary Workmen 0 1332

At Tata Motors, performance is not about mere profits, but creating value for all stakeholders, with Employees at the centre of all we do. Trainee / Apprentice 18 405

Gajendra Chandel Chief Human Resources Officer Fixed Term Contractors 85

0 0

Contractual Labor (Average)

21 1034 541

59 60 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

569 Temporary Workmen 0 1332

At Tata Motors, performance is not about mere profits, but creating value for all stakeholders, with Employees at the centre of all we do. Trainee / Apprentice 18 405

Gajendra Chandel Chief Human Resources Officer Fixed Term Contractors 85

0 0

Contractual Labor (Average)

21 1034 541

59 60 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Workforce Training for Subsidiaries (Manhours) Total man-hours of training

TAL Pune TMLDL Jamshedpur TMML Lucknow

Senior Management 20702 242640 63312 171808 356650 69743 Senior Middle Junior Workers Fixed Term Contractual Management Management Management Contractors Labours 174 78 40

Average man-hours of training 2014-15 Middle Management

449 694 600 Man hours 20.06 28.79 18.28 15.49 26.68 5.22 Senior Middle Junior Workers Fixed Term Contractual Management Management Management (Non-Management) Contractors Labours Junior Management 972 4866 797

Junior Management (TM Grade A/B/C) 1466 4866 159

Workmen (Direct Employees) 2570 3396 68

Temporary Workmen

Trainee / Apprentice

198 6090 932 Contractual Labor

61 62 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Workforce Training for Subsidiaries (Manhours) Total man-hours of training

TAL Pune TMLDL Jamshedpur TMML Lucknow

Senior Management 20702 242640 63312 171808 356650 69743 Senior Middle Junior Workers Fixed Term Contractual Management Management Management Contractors Labours 174 78 40

Average man-hours of training 2014-15 Middle Management

Junior Management (TM Grade A/B/C) 1466 4866 159

Workmen (Direct Employees) 2570 3396 68

Temporary Workmen

Trainee / Apprentice

198 6090 932 Contractual Labor

61 62 TATA Motors | Sustainability Report 2014-15

We are committed to provide a safe Directors is formed which meets on procedures at sites inculcate safety and healthy working environment a quarterly basis and reviews the rules and procedures ensuring for its employees and associates. A SHE performance. It reviews the awareness and compliance at all company-wide occupational health SHE performance. A dedicated team levels. Every task undertaken at the and safety policy exists in order to for safety and health is site has its own set of safety ensure increased vigilance and instrumental in developing safer hazards and hence specific safety awareness on health and safety. A work procedures across all the plant procedures for these have been SHE committee of the Board of locations. The standard operating developed.

Safety Review at different levels

Board of Director's Meeting, SHE Committee of BoDs, Senior Management Level ExCom, StaffCom, SHE Council, Steering Committee

Plant Level Apex Committees, Plant Sub-Committees

Factory Level Factory Implementation Committees

Emphasis is laid on creating a Safety committees have been Safety is a primary focus area in participatory governance model. formed for warehouses and offices daily management and parameters SHE Councils are formed for the and focused audits are being are part of the scorecard for senior business units headed by Executive conducted as per the plan and leaders. Administrative officers, Director for CV business and the reviewed in senior management customer service heads, national President for PV business. At the committees. Employee dealer heads and warehouse heads plant level, Apex committees are communications happen through get personally involved in taking formed which are chaired by the Chairman’s address, town hall safety initiatives in their respective Plant Heads. A total of 88 safety meetings, mailers, reviews, videos areas. We are trying to inculcate a committees (Factory etc. The communication also sense of ownership among all Implementation Committees) have happens at vendor and dealer individuals and instill safe behavior. been institutionalized across all the meets. We continually strive to perform CV plants that meet on a monthly beyond compliance whilst basis to review and improve the Our culture of putting employee positively influencing our value safety management system. welfare at the heart of our chain members to improve their Similarly for PV there are 21 manufacturing operations helps to safety standards. There is an committees running to take on ensure a high degree of safety increased focus on areas like safety culture transformation norms. We place equal emphasis on training and awareness, safety agenda. process safety and behavioral safety observations, audits etc. to drive a and we strive to create a positive positive safety culture. safety culture towards achieving the ultimate goal of ‘zero-injury’. Occupational Our business model surrounds sustainable development keeping people and planet at the heart. We have been successful in mainstreaming sustainability in to our processes that aims at better life Health and Safety for our Employees, Customers, Suppliers and Community as a whole.

Arvind Bodhankar Head - SHE & Sustainability

64 TATA Motors | Sustainability Report 2014-15

Safety Review at different levels

Board of Director's Meeting, SHE Committee of BoDs, Senior Management Level ExCom, StaffCom, SHE Council, Steering Committee

Plant Level Apex Committees, Plant Sub-Committees

Factory Level Factory Implementation Committees

Arvind Bodhankar Head - SHE & Sustainability

64 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

DEFENSIVE DRIVING TRAINING 5) Electrical Safety Management to report incidents that occurs and  Enhance the safety standards at Tata Motors and develop a positive safety culture across the (DDT) Standard an in-depth incident investigation SAFETY Aim organization with an endeavour to be the best in safety and health in automobile industry in is conducted, learning of which is India 6) Working at Height Project Defensive Driving is one of shared with all employees. The 7) Safe Driving, Vehicle & Traffic the biggest training projects in the continuous efforts towards creating Safety Indian automobile sector with a a positive safety culture have  Engagement at all levels focus to improve safe driving 8) Personal Protective Equipment contributed towards reducing the - Senior leadership commitment behaviour of employees and 9) Lifting and Supporting of Loads overall lost time injuries. contractors. Tata Motors aims to - Safety ownership 10) Permit to Work build a safe driving culture among However, we had two fatalities - Training and awareness 11) Hot Work - Sharing & Learning its employees and contractors. during the year, one of which took Since the inception of the campaign 12) Job Safety Analysis & Take2 place at a dealers’ workshop. The  Governance in 2011, thousands of employees fatalities were investigated and Drivers - Audits and assessments 13) Management of Change and associates have been trained appropriate mitigation measures  Robust processes 14) Fire Safety Management on defensive driving through have been put in place to avoid - Consistent safety standards number of sessions across the 15) Confined Space recurrence of such incidents and - Timely incident reporting and investigations organization. A 'Train the Trainer' 16) Machine Guarding horizontal deployment of - Continual improvement program was conducted to train recommendations is ensured  Safe Behaviour Culture employees so as to build internal SAFETY REVIEW AND MONITORING through proper processes and - Focussed Safety Observations capacity to carry this training review mechanism. The safety and health aspects are forward. Tata Motors was awarded governed within the organization at by "Occupational Safety & Health, During the reporting year there was different levels - from the senior a major fire incident at our PV spare  Zero fatality India Safety Innovation Award" as leadership level to shop-floor level. parts warehouse. An in-depth  Stringent target of 10% reduction in Lost Time Injury Frequency Rate (LTIFR). part of the OSH India annual Key Targets international conference. incident investigation followed and  Achieved a Lost Time Injury Frequency Rate (LTIFR) of 0.20 against a target of 0.31. There is an online reporting system the corrective actions identified  % in place for safety observation Our Target for FY 15-16 is 0.18, a 10 reduction. SAFETY EXCELLENCE JOURNEY including infrastructure process and incident investigation requirements have been due to which there is an enhanced  Safety Roadmap for dealership workshop firmed up and being executed We have developed sixteen implemented at all PV Warehouses standards addressing the data integrity, speed and  Sustenance of Safety Excellence Journey across Tata Motors and plan is in place for CV spare Key Initiatives governance. Safety standards and  managerial, cultural, behavioral and part warehouses. Actions include Continue journey on Safety beyond plants- warehouses, offices procedures are available on the technical aspects of safety. These periodic check on emergency  Enhanced communication & awareness on lifestyle/ wellness, health promotional activities centralised portal for easy standards include: preparedness, third party audits by accessibility. Major incident 1) Safety Observations Standard expert agencies, internal capacity announcements and High Potential INSTILLING A SAFETY MINDSET  Developing and implementing a contribution to safe work building for emergency 2) Incident Investigation incident (HIPO) announcements are standardized company-wide environment. We have rolled out management, and robust safety 3) Contractor Safety Management sent to the ‘Serious Incident Info’ We endeavor to encourage safe induction process for contractors. ‘Guidelines on Consequence diligence process at the time of group that comprises of senior behaviour among all employees 4) Lockout Tagout hiring new warehouses.  Auditing contractors against our Management for ‘Safety Non- and contractors which is as leaders. Employees are encouraged safety requirements, and Compliance’. This guideline aims to important as having the right agreeing improvement plans establish a framework for systems, technology and processes where there are gaps progressive disciplinary decision Senior Management SHE Committee of Board of Directors, Corporate Steering Committee (CSC) in place. Our relationship with making, thereby ensuring a fair and contractors is another key element INSTILLING SAFE BEHAVIOUR transparent process for initiating Business Level SHE Council, Steering Committee, Corporate Sub-Committees of our safety strategy. We are such actions, which are intended collaborating with them to improve We are moving to the next stage of towards changing behavior. The Plant/Site Level Plant SHE Apex Committee, Plant Sub-Committees our ways of working, based on implementation where the kind of actions taken include respect, trust and consistency, employees’ behavior is being training, coaching and counselling Factory / Department Level Factory Implemenatation Committees which delivers greater mutual targeted. Seniors are involved in for different scenarios. A structured value. These measures include: safety observation process, incident process of training has been  Ensuring minimum safety criteria investigations, etc. which sets a implemented for all levels of by including safety metrics within good example to the employees of employees and associates. our scorecard, and tracking the commitment from the leaders. performance Employees are recognized for their

65 66 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Safety Performance of Tata Motors Limited HEALTH CHECK-UPS We have medical centers across all conducted under this brand name. (Manufacturing Locations) plant locations and external tie-ups The Health and Wellness manual is Under preventive Occupational FY FY FY with hospitals. It complies with a comprehensive manual not only Safety Performance FY Health (OH) interventions, specific statutory requirements such as bi- to create awareness on matters 2012-13 2013-14 2014-15 Safety Performance Subsidiary 2014-15 check-ups are conducted and annual health check-ups for related to health issues and services Lost time injuries (Nos.) 122 59 31 complimented by awareness employees at plants. Workplace but also to provide a framework for Lost time injuries (Nos.) TAL Pune 0 sessions through lectures and assessments by external agencies dealing with these areas. Lost time injury frequency 0.68 0.39 0.2 exhibitions. Enabling result in proactive actions such as rate (per million manhours) TMLDL Jamshedpur 4 immunization, imparting first-aid preventive health check-ups and Several sessions and health talks by TMML Lucknow 1 training and creating general health awareness programs. experts and specialists are Total recordable cases (Nos.) 448 228 295 awareness amongst employees is organized on chronic and lifestyle Lost time injury frequency TAL Pune 0.00 an ongoing activity across the diseases, example Swine Flu, Ebola, rate (per million manhours) Total recordable cases plants. Employees exposed to Know your Heart, etc., for the frequency rate (per million 2.49 2.23 1.91 hazardous processes are subjected benefit of employees, especially manhours) TMLDL Jamshedpur 0.33 to six monthly check-ups on specific women employees and their Fatalities 1 1 1 TMML Lucknow 0.37 tests like audiometry and families. Health measures are spirometry. No workers were reviewed at the top most level i.e. Fatalities TAL Pune 0 identified to have occupational Board of Directors', CSC level as well Safety Performance Employees Contractors disease. as plant level and SHE apex level. (FY 2014-15) TMLDL Jamshedpur 0 Health index is implemented across ‘HealthPlus - Because you matter!' Lost time injuries (Nos.) 24 7 TMML Lucknow 0 the manufacturing sites and it is is launched to run its health initiatives. Series of initiatives like Lost time injury rate (per million effectively used for improving 0.21 0.16 Safety manhours) Subsidiary Employees Contractors awareness sessions, mailers (E.g.- Performance health of the employees by way of providing special attention and World Heart Day, World Health Day, Total recordable cases (Nos.) 236 59 TAL Pune 0 0 counselling. World Diabetes day) etc. have been Total recordable cases frequency 2.00 1.37 Lost time TMLDL rate (per million manhours) 3 1 injuries (Nos.) Jamshedpur Fatalities 0 1 TMML Lucknow 1 0 Mandays lost 702 6,220 Lost time TAL Pune 0.00 0.00 injury frequency TMLDL rate (per 0.29 0.56 Jamshedpur million manhours) TMML Lucknow 0.58 0.00

TAL Pune 0 0

TMLDL Fatalities 0 0 Jamshedpur

TMML Lucknow 0 0

TAL Pune 0 0

TMLDL Mandays lost 45 132 Jamshedpur

TMML Lucknow 16 0

Chairman Mr. Cyrus Mistry visited the exhibition on Know your Heart 67 68 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

TAL Pune 0 0

TMLDL Fatalities 0 0 Jamshedpur

TMML Lucknow 0 0

TAL Pune 0 0

TMLDL Mandays lost 45 132 Jamshedpur

TMML Lucknow 16 0

Chairman Mr. Cyrus Mistry visited the exhibition on Know your Heart 67 68 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Safety enhancement in Dealer Workshops: Fast-Tracked Blood donation camps were arranged across all location. Employees participated in large number

In 2013, we started helping the workshops to improve SHE practices in their workplace, with a special focus on safety. This project was to integrate Tata Motors safety expertise and knowledge into the workshops to make the value chain a safe place and a model for others to replicate. Minimum mandatory safety standards have been developed to be followed by all dealers’ workshops. Regular training and workshops are conducted for all the dealers across India. In last 2 years, 351 number of dealer workshops are covered under these. Also, there is a 7- point checklist which identifies 7 critical controls to be present mandatorily in all dealer workshops. For this particular initiative, Tata Motors was awarded in ‘Gold Category’ by “Occupational Safety & Health, India Safety Innovation Award” as part of the OSH India annual international conference

Post a serious incident that happened in recent times, senior management took a serious note on this and we took a fast track route for safety enhancement of dealer workshops encompassing the following are the highlights henceforth:

Safety roadmap formulated for dealer workshops

Safety Town Hall meetings across all four regions in Mumbai, Delhi, Bangalore & Kolkata. About 1,813 works manager participated representing roughly 1,400+ dealership and TASS.

Capacity building of safety champions by DuPont trainers

Governance mechanism set up to review and verify the progress at workshops

Monthly monitoring on the KPIs of this roadmap done by senior management

This is one of the largest project being taken in auto sector to improve safety standards of channel partners.

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Safety enhancement in Dealer Workshops: Fast-Tracked Blood donation camps were arranged across all location. Employees participated in large number

Safety roadmap formulated for dealer workshops

Safety Town Hall meetings across all four regions in Mumbai, Delhi, Bangalore & Kolkata. About 1,813 works manager participated representing roughly 1,400+ dealership and TASS.

Capacity building of safety champions by DuPont trainers

Governance mechanism set up to review and verify the progress at workshops

Monthly monitoring on the KPIs of this roadmap done by senior management

This is one of the largest project being taken in auto sector to improve safety standards of channel partners.

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Swine Flu awareness drive was carried out in February 2015 and following steps were taken:-  Informative posters displayed in shop floors, canteens and plant dispensaries’.  Health advisory sent to all users through “Health Plus”.  Awareness sessions in all shop floors carried by our doctors. More than 30 sessions were taken. Queries of employees were resolved during these interactive sessions.

Mr. Bodhankar Awarding Winners of Safety Week

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Mr. Bodhankar Awarding Winners of Safety Week

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Automobile manufacturers have manufacturing process and  Well established tier structure evolved from vertically integrated supporting processes. Automobile inherent to manufacturing sector business models in which major supply chains are characterized by – as it involves sequential material manufacturing activities are carried conversion steps. out in-house, to an assembly type  Technology driven suppliers of business model in which most proprietary components such as  Large number of Small & Medium components are sourced from the fuel pumps, tyres, batteries, Enterprises (SME’s) who supply to supply chain. Automobile supply radiators, HVAC systems, single / multiple automobile chains are multi-tiered and complex electronic controls etc., which manufacturers. and comprise of Direct Material supply to most automobile Suppliers – supplying auto manufacturers. This includes The other key component of the components fitted on vehicle and manufacturers of automotive Automobile value chain includes Indirect Material Suppliers paints, adhesives, sealants and Sales & Marketing and After Sales supplying consumables such as specialty chemicals used in Service to ensure a superior paint, pre-treatment chemicals manufacturing. customer experience through gases, etc used in the dealers and service touch points.

Tata Motors Value Chain

Product Parts & Aggregates Manufacturing Sales & Distribution After Sales Service Development and Raw Materials  Concept to  Source between 70-80  7 manufacturing  Customer touch  Service - Dealers and launch of parts fitted in plants in India which points across India Tata Authorized  In-house design vehicles manufacture both  Domestic Business - Workshops of Vehicles,  Supplier base includes Commercial and Dealers, Direct Sales  Non-vehicle business Passenger vehicles. Aggregates and Direct, Indirect Material  International includes - Spare Parts,  Integration Suppliers and Service Main operatons Business - Aggregates, Annual  Excludes design Providers. include - Press, Weld, Distributors Maintenance of proprietary  2 Dedicated Vendor Paint, Aggregate Contracts and parts Parks at Pantnagar and Manufacture and refurbished Sanand. Assembly. aggregates (Prolife)

Our large and diverse supplier base indigenous and absorbed and Procurement & Supply Chain is periodically rationalized on the technologies for which external (P&SC). P&SC communicates and basis of performance and market dependence in minimum. transacts business with suppliers requirements. through a dedicated internet portal Our supply chain engagement is called Supplier Relation Geographically, about 92% of our crucial to the successful launch of Management. supplier base is located in India new automobile models as while the rest are located outside suppliers need to work in tandem Tata Motors engages with dealers India. A significant part of the on component development to through an integrated CRM-DMS, supply chain are manufacturing deliver the final product on time. which enables us to monitor Value Chain companies that are technology finances and inventory at dealer driven and energy intensive. Most We engage with our supply chain level, and services, spares and of the suppliers work with on a range of issues through our complaints at the customer end. Sustainability R&D (ERC), Strategic Sourcing (SS)

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Tata Motors Value Chain

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VALUE CHAIN ENGAGEMENT quality, vendor ratings and on SHE. understand their business CONFLICT MINERALS PACKAGING & LOGISTICS Dharwad from Pune etc.), in which Tata Motors celebrates “Technology performance and future plans. MANAGEMENT MANAGEMENT transport vehicles collect Supplier Quality Process is further Days” with key Suppliers. A total of components from suppliers as per strengthened with the launch of seven such interactions were held LOCAL SOURCING Tata Motors is registered with the P&SC has initiated global actions requirement and transport to our the Tata Motors Integrated Supplier in 2013-14 and five events in 2014- U.S. Securities and Exchange centrally for optimizing logistics, manufacturing plant, which avoids Quality Manual. The manual 15, during which various functions Automobile manufacturing in India Commission (SEC), which entails packaging, cost, and reducing use of multiple vehicles and provides a common 16 step process such as ERC, SS and P&SC engage is clustered around auto-hubs in complying with the requirements of damages to auto components. material handling. To optimize to ensure that Tata Motors with suppliers on future the north, west and south of the Section 1502 of the Dodd-Frank Design and selection of packaging number of trucks entering the requirements are complied with by technological developments in the country. Our 7 manufacturing Wall Street Reform and Consumer and labeling is done after manufacturing plants, special all supplier partners to achieve the suppliers domain such as - plants across India source material Protection Act, 2010, which is considering labour, material flow, containerized vehicles (32’ & 52’) highest quality standards. Tata powertrain, interiors, chassis, from these hubs which promotes committed to supporting pull systems, layout, cost, safety have been introduced for optimum Motors has set up Vendor Councils suspension, HVAC etc. Our quality the local industry and community. responsible sourcing of conflict and ergonomics. Single-use type of payload utilization. in 4 Regions – North, South, East teams carry out supplier quality Tata Motors’ set up dedicated minerals, namely Tantalum, Tin, packaging for bought-out and West of India. These Vendor improvement initiatives and on-site vendor parks at Sanand and Tungsten and Gold (3TG minerals) components such as fender, rear Tata Motors was amongst the Council Meetings held once in a vendor audits linked to vendor Pantnagar to help establish the which may directly or indirectly wall, dashboard, fuel tanks, etc. is engineering organizations selected quarter provide a platform for top rating exercises, in which Safety, supply chain base at those green- finance conflict in the Democratic replaced with returnable type of by CII-Institute of Logistics to level management of Tata Motors Health and Environment issues are field locations. This development Republic of the Congo (DRC) and / packaging such as polypropylene receive the CII Supply Chain and and suppliers to interact. Our VP – a part of audit checklists. has led to the growth of the local or adjoining countries. Tata Motors boxes to achieve reduction of Logistics Excellence (SCALE) Award- Corporate SHE and Sustainability economy while reducing logistic has developed a Company-wide expendable packaging dunnage. For 2014 for implementing best addressed two Vendor Council Tata Motors engages with its complexities and minimizing Conflict Minerals Policy and a heavier components, returnable practices in supply chain solutions. Meetings held at Jamshedpur & dealers through periodic National packaging and transportation. Conflict Minerals Compliance and foldable steel bins, pallets, Chennai during the reporting year. Dealer Council, Regional Dealer During the reporting year, our Program, under which we are trollies, plastic bins are used. Tata Genuine Parts (TGP) an arm of Tata Motors also engages with Councils and Annual Dealer manufacturing plants sourced 56% complying with the due diligence Majority of components received in Tata Motors dedicated to support suppliers at plant level through Conference. Such interactions of materials and services by value and disclosure requirements, wood packing are converted to steel customers with quality spare parts periodic vendor meets which are provide inputs for strategic and from suppliers based within the amongst others since 2013. This is rack packaging design. won the prestigious 8th Express, held at every location. These vendor tactical plans for business growth. state where our plants are located. necessitated since auto Logistics and Supply Chain (ELSC) meets are used to communicate on Deep dive discussions are This has increased from 54.6% components / sub-systems sourced We have setup Consolidation Leadership Award – 2014. TGP also key issues like - supply schedules, conducted with dealers to reported during the previous year. by Tata Motors may have 3TG Centers at key geographical launched an industry-first on-line e- minerals. locations across the country to auction platform for dealers / Percentage of local procurement by value streamline material receipt in-line distributors / TASS to buy and sell with production plans. We have slow / non-moving inventory established ‘Milk Runs’ for local among themselves as per transportation (Kolhapur Region for requirement. Pune CV, Pune Belt for Pune PV, TML

68.82 Pantnagar

24.52 Lucknow

53.44 Sanand 53.11 Jamshedpur

71.98 Pune

49.97 Dharwad

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68.82 Pantnagar

24.52 Lucknow

53.44 Sanand 53.11 Jamshedpur

71.98 Pune

49.97 Dharwad

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In 2014, a “Green Supply Chain” practices in environment boundary to include our suppliers initiative was taken up as a part of management and the population of sustainability performance and CII GreenCo Assessment – which is EMS (ISO-14001) certified suppliers. evolve supplier selection criteria to a Green Company Rating System include sustainability parameters. framework created by CII to assess Going forward, we intend to have a We would encourage selected and evaluate the environmental more detailed engagement with suppliers to undergo CII-GreenCo performance of an organization. suppliers of strategic importance to assessment to enhance their Energy and environment related Tata Motors on safety, health, competitiveness through resource data were collated from selected environment, labour, and human conservation and improved suppliers and analyzed. This rights issues. In future we would profitability. provided an insight into best aim to increase our reporting

Supplier Capability building through Project Sankalp

Tata Motors supplier base is several decades old and includes suppliers of non-proprietary parts such as sheet metal components or sub-assemblies, rubber and plastic components, cast and machined parts, with or without surface treatment. Design changes, fluctuating business and lack of robust systems often lead to quality issues with material sourced from such Suppliers.

During the reporting year Tata Motors launched Project Sankalp - a supplier transformation initiative. Project Sankalp is intended to benefit those suppliers who have low rating in terms of quality, productivity and profitability. Cross functional teams which pools the expertise of several in-house functions such as Quality, Manufacturing, Technical Services, Production Engineering and Kaizen are nominated as a Supplier Improvement Team (SIT) to closely engage and work with identified suppliers through capability building, waste elimination (re- work, rejections, transit damages, etc.), resource conservation and improving work environment, hygiene and safety.

Project Sankalp has received a good response from the targeted suppliers who have eliminated cost of re-work, rejections, and penalties with improvement in quality of supplied parts. 25 suppliers were covered during the reporting period and the initiative is being scaled up to cover the remaining suppliers across locations identified for collaboration over the next two years.

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Supplier Capability building through Project Sankalp

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The values of corporate citizenship local communities, government and prevention. We extended our for Tata motors are derived from NGOs. To achieve this, we form curative and preventive services the parent Tata Group. The journey multi-stakeholder partnerships through medical camps and health of our community development which helps us in developing robust awareness programs. In FY 2014-15, programs began with the and high impact CSR programs. Our more than 125,000 members commencement of our first strong commitment to CSR is benefited from our health manufacturing operations at further visible from our Affirmative initiatives. Jamshedpur in 1950s. Going ahead Action program. It is primarily on the same path, we facilitate focused on facilitating AMRUTDHARA – SAFE DRINKING various developmental projects for direct/indirect employment for the WATER PROJECT AT VILLAGES the communities in which we SC/ST personnel thus encouraging operate. their positive discrimination. Also This initiative, implemented to further improve our CSR through SMDF is aimed at resolving Our four pillars of community performance, we undertook the the drinking water issues and development; Health (Arogya), SROI study for our programs. providing customized solution to Education (Vidhyadhanam), Through our strategic partnerships communities on priority basis. Employability (Kaushalya), and with NGOs, technical training The contribution from member Environment (Vasundhara) have institutes and the concerned employees and Tata Motors is used been strengthened in this year by government departments, we aim to fund the identification and increasing the scope and reach of to remove the social inequalities in deployment of high impact projects our CSR programs. These programs the communities thus enabling in local communities. The measure are aimed at building human their overall development. capital and bringing in an inclusive of our success is evident from 100% growth for the communities. The AROGYA (HEALTH) membership for SMDF for all our 6 focus of our programs has been to manufacturing locations. Under the increase the efficiency and Our Approach to improve health in National Rural Drinking Water effectiveness of the CSR programs communities are aimed at Scheme we are making through inclusive innovation. The providing preventive & curative concentrated efforts to bring water projects are designed and health services in the community, to the water scarce villages of the implemented to make the rural focusing on maternal & child health country. Till date SMDF has been areas self-reliant to meet their basic for malnutrition treatment and able to reach out to over 16,000 needs and lead a quality life. prevention and provision of sage villagers across 203 villages drinking water under Suman through 296 projects nationwide. Through regular consultation with Mulgaonkar Development This program has made available internal & external stakeholders Foundation (SMDF). Through our drinking water to drought prone and participatory approach, we previous experience of running villages and also eased the life of develop comprehensive sustainable Malnutrition treatment centre villagers affected by scarcity and solutions for the communities. Our (MTC), we developed accessibility of water. community intervention aims to comprehensive program for solicit active participation from malnutrition treatment and

Community Development

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Community Development

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Installation of handpump under Amrutdhara project Vidyadhanam (Education) benefitted more than 1,500  Scholarship assistance to aspiring engineers from meritorious and deserving Kanti Bala Debi 38 years of village Kokda, Potka Block, East Singhbhum led a perilous life for having to cross a long This initiative aims to improve the economically weaker sections of students. stretch of paddy land, almost 300 meters to fetch water from river Gurra. There were a few hand pump in her quality of education in schools by society. Vidyadhanam scholarships  Conducting special coaching village but either they were defunct or the quality of water was not fit for consumption owing to high turbidity supporting for infrastructure, skills are awarded to students belonging classes for students to develop and Iron content the water from which was mostly used for washing clothes, cleaning utensils and bathing development, training and to disadvantaged social and expertise in particular subjects purposes. On request by village gram sabha led to installation of a hand pump under SMDF’s “Amrutdhara” project. scholarships. The Adult literacy economic background.  Keeping in view the problem of the quality of ground water, this project was installed in the farm area and deep classes at Beyangbil, Jamshedpur Conducting co-curricular boring and fortunately after testing the water sample it was found that the quality of water was drinkable and has helped women to learn the Our approach to improve education activities for overall personality safe. Today Kanti Debi and other basic alphabets enabling them to includes: development. ladies of her village are saved from form self-help group. Tata Samarth  Providing necessary physical the misery of travelling all the way to Scholarship program run jointly infrastructure in schools. fetch the river water which was with Tata Communication has highly unsafe for drinking. The same was palpable with most villagers School Infrastructure Improvement for Agarkar Girls High School, Pune suffering from skin and stomach disorders before the installation of Focusing on adolescent girl’s sanitation, Agarkar Girls High School was identified as one of the needy schools and a the “Amrutdhara” project. Kanti Debi participatory consultation was initiated with students and teachers to design the toilet block.1,300 students from still recalls the hard times particularly class 5th to 10th are enrolled in this school. Majority of students come from nearby slum areas and are economically during rainy season, when she had to weaker sections of the society. We constructed toilet blocks and generated awareness amongst students about walk through the puddle, more so at personal health and hygiene. The students were also taught to prepare detergent and sanitizer which will be used late evening when it was highly for maintenance. unsafe and insecure to venture out of her home to the distant river. School Environment Campaigns in villages – Jamshedpur

Our CSR team through the education wing - Shiksha Prasar Kendra has started working with the nine govt. run schools in the seven villages namely; Beyangbil, Jaskandih - Tupudang, Kero, Khursi, Rajdoha, Lupungdih & Project “Amrutdhara” addressing the need of Drinking water Kanikola.

Ms. Chinta Majhi of village Rajdoha, Jamshedpur block, East Singhbhum was used to toiling hard every day for During the month of March, April & May 2014; meetings, rallies and door to door campaigns were organized in fetching drinking water from a lone hand pump at an adjoining hamlet of her village which was 250 meters away these seven villages in which the students, SMC members, SHG members, teachers & Mukhias/Pradhan from her home. Ever since she came to her village after marriage, it was her regular chore every morning and participated. This resulted in enrollment of 489 students (including 200 admissions in primary classes, 104 in evening along with co-village women anganwadi centres and 185 in Kero High school) leading to 100% enrollment in the model village schools in the and girls which she had never year FY 2014-15. Regular follow up will be done in subsequent months to ensure that the 100% students in these thought she will get relieved from. seven villages are enrolled to continue their education. During summer her drudgery increased in many folds when the lone hand pump would not supply enough water to meet every body’s ends and she had to traverse almost 100 meters extra for accessing water from a well belonging to a generous villager. With hand pump installed through the” Amrutdhara” project, she sighs with un describable relief as her discomfiture reduced immensely, as she has access to potable safe drinking water almost at her doorstep. She now spends quality time tending her 3 years old small girl child Kunti. Also now she and the co- villagers are assured of safe drinking water.

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KAUSHALYA (EMPLOYABILITY) trainer program, skill development Program which aims at capacity CONSTRUCTING RAINWATER constructing suitable water storage capacity of the village pond of communities in agriculture and building of the faculty in nearly 100 HARVESTING STRUCTURE conservation structures. We had decreased significantly. After Considering the fact that our allied activities and training of Tribal Industrial Training Institutes undertook the maintenance and desilting, the storage capacity country faces a considerable skill youth in automobile and other across Aurangabad, Nagpur and Severe parts of Gujarat face severe de-silting of the rainwater increased from 118,125 m3 to development challenge, we demanding vocational trades. Nasik regions. We also engaged in water crisis during summer season. harvesting structure in Vanaria 200,000m3. It has also benefitted 70 embarked our skill development conducting SROI study at The significant solution lied in village, near Sanand. Due to lack of farmers in cultivation of wheat journey in partnership with wide We signed a MoU with CII and kick Ramkrishna Mission Ashram, Thane conserving rain water efficiently by maintenance and siltation, water crop. range of stakeholders to enhance started an initiative to impart soft to assess the social value generated employability of youth mainly in skill training for youth studying in due to investment. The initiatives Other Initiatives automotive trades. Our approach ITIs across the country. Tata Motors has benefitted more than 27,000 SEVA (EMPLOYEE VOLUNTEERING Committee for long term relief and various skills, such as mechanics, focuses on developing partnerships Finishing School initiative helps people across in the year FY 2014- PROGRAM) rehabilitation work. driving, fitter, and beautician. with NGOs and it is to offer improve quality of education in 6 15.Vt. technical training assistance, Industrial Training Institutes of Tata Motors has continued its AFFIRMATIVE ACTION PROGRAM – ENTREPRENEURSHIP capacity building through train the Pune and faculty Development vibrant culture of volunteering by TOWARDS INCLUSIVE GROWTH employees and their families. Our We have successfully continued our Motor Mechanic Vehicle Training Program for Community Youth at Jamshedpur employees volunteered to visit Our Affirmative Action Program is partnership with DICCI (Dalit Indian tribal schools, old age homes, developed on the lines of Tata Chamber of Commerce & Industry) A nine month training program on Motor Mechanic Vehicle was conducted in Jamshedpur in collaboration with NGOs, conducted safety sessions in Group`s Affirmative Action Policy to identify goods and services that Government ITI, Burmamines. The program included three month training followed by on job training at our dealer schools, Under the Tata Engage which specially focuses in can be procured from SC ST outlets. On successful completion, the trainees are placed by the dealers. The first batch of this program has program, more than 5,800 mainstreaming marginalized vendors. We have initiated successfully trained 31 persons, out of which 24 are from SC/ST categories. employees of the company have communities-SCs and STs. benchmarking process to set long volunteered and more than 500 Education, Employability, term (3-5 years) for extending family members of our employees Entrepreneurship and Employment amount of business to SC/ST have participated in the community are the four focus areas of our entrepreneurs against overall development programs. We won Affirmative Action program. business extended to Tata Motors awards in the Tata Volunteering suppliers. During this year we Week for highest percentage of EDUCATION associated 3 new vendors, including employee participation, highest one core engineering company, in During the year we have extended number of employee’s family our supply chain and extended 824 scholarships to SC/ST students members’ participation and highest business of INR 499 lakhs to them. and 1 FAEA scholarship for higher percentage of fresh registrations. studies. 11,000 SC/ST students WAY FORWARD Promoting Sustainable Agriculture LEAP Program DISASTER RELIEF IN JAMMU & benefitted from school support KASHMIR program including coaching classes, Strategic Partnerships, inclusive The traditional farming practices led farmers to incur This program is aimed at enabling youth to overcome teacher’s training, co-curricular innovation will always be the key heavy losses due to outbreak of diseases. We organized obstacles. It is a yearlong training program to train In September 2014, state of Jammu activities and infrastructure features of our CSR programs. an awareness program on sustainable agriculture for youth as mechanics. During this program students not & Kashmir (J&K) witnessed development. Malnutrition treatment and such farmers. Taking inputs from this program, many only undergo classroom training but they also get disastrous floods across many of its prevention, customized educational farmers started sustainable cultivation practices on hands on experience of working in our authorized districts caused by torrential EMPLOYABILITY inputs to school students and skill their self-owned land parcels. The result was that the dealer workshops. They are also paid stipend during the rainfall. The floods eroded the basic building of youth have been some Poor academic performance and inputs cost reduced by 40% and the yield increased by training period. infrastructure and also caused of our major CSR programs for this lack of exposure leads to many around 45%. major damage to thriving tourism year. We have also engaged our eco- times SC/ST youth not selected for VASUNDHARA (ENVIRONMENT) PROMOTION OF RENEWABLE through MNRE, Tata Motors as CSR industry of the state. Tata Motors system to train and to create job our in-house apprenticeship ENERGY partner and the beneficiary played an important role in opportunities for unemployed training program. This year we Our Approach to improve community. The project was providing a quick help and response youth. We developed volunteering started coaching students environment included promotion of We distributed 8500 solar study deployed in partnership with IITB to the situation. The technicians program and have also planned to appearing in in-house renewable energy, tree plantation lamps to school going children in and NGO BAIF-MITTRA. The available at our dealer workshops implement CSR programs at apprenticeship training exam. Due to increase green cover, tribal blocks of Thane & Pune availability of light increased the volunteered their services in such international locations. Going to persistent efforts by training construction of water conservation districts. This projects was based on number of study hours for students tough times. Our employees also ahead we planned to develop in- division, presently 27% of structures and building awareness Public - Private - Community and it also reduced their contributed their half-day salary build mechanisms to understand apprentices recruited under various amongst the community members. partnership model wherein the cost dependence on fossil fuel and thus and the matching contribution was overall impact generated by our CSR schemes are from SC/ST More than 85000 trees have been of the solar study lamp is jointly also helped in reducing carbon made by the company. We donated programs. community. During the year we planted and our various programs contributed by three parties - Govt emissions. a sum of INR 22.59 million and also have trained 3,350 SC/ST youth in under this initiative have impacted of India`s Ministry of Finance partnered with the Tata Relief around 25000 beneficiaries. National Clean Energy fund For more details of our CSR initiatives please see our 2014-15 CSR Report http://www.tatamotors.com/about-us/sustainability-approach-reports/

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INDEPENDENT ASSURANCE STATEMENT During the Assurance Engagement, we adopted a risk based approach, i.e. we concentrated our verification efforts on the issues of high material relevance to TML business and its key stakeholders. As part of verification, we visited TML Introduction Corporate Office at Mumbai,operational sites in India i.e. (i) Pune Plant (both Commercial Vehicle & Passenger Vehicle Business Unit), including TAL Manufacturing Solutions Limited, Pune; (ii) Jamshedpur Plant (Commercial Vehicle Business DNV GL represented by DNV GL Business Assurance India Private Limited (‘DNV GL’) has been commissioned by the Unit ) including TML Drivelines Ltd, Jamshedpur and (iii) Dharwad Plant (Commercial Vehicle Business Unit). management of Tata Motors Limited (‘TML’ or ‘the Company’) to carry out an independent assurance engagement on the Company’s Sustainability Report 2014 -15 (‘the Report’) in its printed format. This assurance engagement (Moderate As part of the engagement, we have verified the statements and claims made in the Report. In doing so, we have: Level) has been conducted against the DNV Verification Protocol for Sustainability Reporting –VeriSustain (‘VeriSustain’ -  www.dnvgl.com ; available on request) and adherence to the principles of Global Reporting Initiative G4 Sustainability Reviewed the Company’s approach to stakeholder engagement and its materiality determination process; Reporting Guidelines (GRI G4). The verification was conducted during August- September’ 2015, for the year of activities  Verified the sustainability-related statements and claims made in the Report and assessed the robustness of the data covered in the Report i.e. 1st April 2014 to 31st March 2015. management system, data accuracy, information flow and controls;  Examined and reviewed documents, data and other information made available by the Company; The intended users of this Assurance Statement are the management of the Company and readers of the Report. The  Conducted in-person interviews with middle and senior management team and other representatives, including data management of the Company is responsible for all information provided in the Report as well as the processes for owners and decision-makers from different functions of the Company during corporate and site visits; collecting, analysing and reporting the information presented in the printed report. Our responsibility regarding this verification is to the Company only and in accordance with the agreed scope of work. The assurance engagement is  Performed sample-based reviews of the mechanisms for implementing the Company’s sustainability related policies, based on the assumption that the data and information provided to us is complete and true. We expressly disclaim any as described in the Report; liability or co-responsibility for any decision a person or entity would make based on this assurance statement.  Performed sample-based checks of the processes for generating, gathering and managing the quantitative data and qualitative information included in the Report. Scope, Boundary and Limitations of Assurance Conclusions The scope of work agreed upon with Company includes verification of the following:  The verification of the qualitative and quantitative sustainability performance reported in the Report prepared by the The Sustainability Report 2014-15 is prepared based on GRI G4 Reporting Principles and Standard Disclosures for “In Company based on the GRI G4 “In accordance –Core” option, covering economic, environmental and social accordance-Core” option covering the general and specific standard disclosures for the identified material aspects and performance for the activities undertaken by Company over the reporting period 1st April 2014 to 31st March 2015.; the reasons for omissions and partial disclosure were explained to us.  Review of the policies, initiatives, practices and performance described in the Report as well as references made in the In our opinion, based on the scope of this assurance engagement, the disclosures on sustainability performance reported Report to the annual report; in the Report along with the referenced information provides a fair representation of the key material aspects, related  Review of information relating to the Company’s sustainability issues, responses, performance data, case studies and strategies, disclosure on management approach and performance indicators and meets the general content and quality underlying systems for the management of such information and data; requirements of GRI G4 i.e.,  Review of information relating to the Company’s materiality assessment and stakeholder engagement processes;  General Standard Disclosures: The reported information under this section generally meets the disclosure  Evaluation of the disclosed General and Specific Standard Disclosures for “In accordance-Core” reporting requirements requirements for “In accordance – Core” option of reporting; however it is recommended to further expand disclosures covering the systems, and the processes which Company has in place for adherence to the Reporting Principles set out wrt Precautionary principles and supply chain. in GRI G4.  Specific Standard Disclosures: The reported information under this section generally meets the disclosure The reporting boundary covers TML Operations within India and aspect boundary related to TML and 2 direct subsidiaries requirements for “In accordance– Core” option of reporting based on GRI G4 guidelines covering generic Disclosures on and 1 Joint Venture. TML is working with its Supply Chain to improve disclosures related to sustainability performance Management Approach (DMAs) and Performance Indicators for identified material Aspects as below, and the reporting boundary in the current Report excludes supply chain partners. During the assurance process, we did not come across limitations to the scope of the agreed assurance engagement. The reported data on economic Economic performance is based on audited financial statements by the Company’s statutory auditors. No external stakeholders  Economic Performance – G4-EC1; were interviewed as part of this assurance engagement. Environmental  Verification Methodology Energy – G4-EN 3 ,5, 6;  Biodiversity – G4-EN 11; This assurance engagement was planned and carried out in accordance with VeriSustain. The Report has been evaluated  Emissions – G4-EN15,16,18 to 21; against the following criteria:  Compliance – G4-EN29;  Adherence to the principles of Stakeholder Inclusiveness, Materiality ,Completeness, Responsiveness ,Reliability and Social Neutrality as set out in VeriSustain, and  The principles and requirements of the GRI G4 – “In Accordance- Core”. Labour Practices and Decent Work  Employment – G4-LA1 to 3;  Occupational Health and Safety – G4-LA5,6 & 8;

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Human Rights Opportunities for Improvement  Non-discrimination – G4-HR3; The following are an excerpt from the observations and opportunities for improvement reported to the management of the  Freedom of Association and Collective Bargaining – G4-HR4; Company and are not considered for drawing our conclusions on the Report; however they are generally consistent with the  Child Labor – G4-HR5; management’s objectives:  Forced and Compulsory Labor – G4-HR6;  To further strengthen the disclosure of the sustainability impacts of material aspects and strategic responses to material  Security Practices – G4-HR7; issues and stakeholder expectations. Society  The disclosure on management approach could consider disclosure on specific aspects to further explain the management approach with respect to material aspects.  Anti-corruption – G4-SO4,SO5;  Future reports may expand aspect boundary to include all subsidiaries, joint ventures and supply chain partners and  Compliance – G4-SO8; disclose the sustainability performance. Product Responsibility  Customer Health & Safety – G4-PR1,PR2; DNV GL’s Competence and Independence  Product and Service Labelling – G4-PR3,PR4,PR5; DNV GL is a global provider of sustainability services, with qualified environmental and social assurance specialists working  Compliance – G4-PR9. in over 100 countries. DNV GL states its independence and impartiality with regard to this assurance engagement. We did not conduct other third party audits work with TML in 2014-15, hence in our judgement this does not compromise the TML is in the process of establishing systems to capture the information/data for some performance indicators which are independence or impartiality of our assurance engagement or associated findings, conclusions and recommendations. We partially reported in the Report. We have evaluated the Report’s adherence to the following principles on a scale of ‘Good’, were not involved in the preparation of any statements or data included in the Report, with the exception of this Assurance ‘Acceptable’ and ‘Needs Improvement’ Statement. We maintain complete impartiality toward any people interviewed. Stakeholder Inclusiveness: As a part of its stakeholder engagement process, the Company has engaged with nine key stakeholder (Internal and External) groups for assessing the emerging risks at its Indian operational sites based on the For DNV GL, selected reporting boundary. The material issues, emerging from the stakeholder engagement were collected and prioritized, and the results are fairly reflected in the Report, however the Company needs to bring out key risks and opportunities in the value chain. The Report may explicitly bring out outcomes of stakeholder engagement and TML response to identified material issues. In our opinion, the level at which the Report adheres to this principle is ‘Acceptable’.

Materiality: The materiality determination process was validated based on inputs from key stakeholders including Ramesh Rajamani Vadakepatth Nandkumar employees, Fleet customers, Suppliers, Institutional Investors, Road Safety Experts, Government Authorities, Media, Local Project Manager, Assurance Reviewer, Regional Sustainability Manager, communities and senior management of TML and this Report has not missed out any known material issues. In our opinion, DNVGL Business Assurance India Private Limited, India. DNVGL Business Assurance India Private Limited, India. the level at which the Report adheres to this principle is ‘Good’. 30th Sept’ 2015, New Delhi, India Responsiveness: The Report focusses its disclosures on key material aspects at the macro level. The Company has fairly responded to identified key sustainability aspect, topics and challenges in the local sustainability context, including aspects related to the automobile sector, within the reporting boundary. In our view, the level at which the Report adheres to this principle is ‘Acceptable’.

Reliability: The majority of data and information verified at the Corporate Office and five operational sites were found to be accurate. Some of the data inaccuracies identified during the verification process were found to be attributable to transcription, interpretation and aggregation errors and the errors have been communicated for correction. In our view, the level at which the Report adheres to this principle is ‘Good’.

Completeness: The Report has fairly reported the General and Specific Standard Disclosures including the management approach, monitoring systems and sustainability performances indicators against GRI G4 requirements corresponding to the “In accordance – Core” option for the reporting requirements. However the company needs to further disclose the sustainability strategies, management approach related to significant impact of its value chain. In our view, the level at which the Report adheres to this principle is ‘Acceptable’.

Neutrality: The disclosures related to sustainability issues and performances are reported in a neutral tone, in terms of content and presentation. In our view, the level at which the Report adheres to this principle is ‘Good’

87 88 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

87 88 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15 Glossary

AA - Affirmative Action HSD - High Speed Diesel OEM - Original Equipment Manufacturer TML - Tata Motors Limited ARAI - Automotive Research Association of India IITB - Indian Institute of Technology Bombay OH - Occupational Health TMLDC - Tata Motors Limited Distribution ASCI - Advertising Standards Council of India INR - Indian rupee OHSAS - Occupational Health and Safety Company CAE - Computer Aided Engineering IPCC - Intergovernmental Panel on Climate Assessment Series TMLDL - Tata Motors Limited Drivelines Limited CCI - Competition Commission of India Change PCBU - Passenger Car Business Unit TMML - Tata Marcopolo Motors Ltd CER - Certified Emission Reduction ISO - International Organization for PCRA - Petroleum Conservation Research TPTCL - Tata Power Trading Company Limited Standardization Association CFC - Chlorofluorocarbon TPM - Total Particulate Matter ITI - Industrial Training Institute PM - Particulate matter CFT - Cross Functional Team TTW - Tank-to-wheel J&K - Jammu & Kashmir PWM - Pulse Width Modulation CII - Confederation of Indian Industry TS - Technical Specification JV - Joint Venture QFD - Quality Function Deployment CNG - Compressed Natural Gas UK - United Kingdom KL - Kilo Litre R&D - Research and Development CRM - Customer Relationship Management UN - United Nations KPC - Kirloskar Pneumatic Company REACH - Registration, Evaluation, Authorisation CSR - Corporate Social Responsibility UNECE - United Nations of Economic Commission KPI - Key Performance Indicator and Restriction of Chemicals for Europe CVBU - Commercial Vehicles Business Unit Kwp - Kilowatts Peak REC - Renewable Energy Certificate VOC - Volatile Organic Compound DBOO - Design Build Own and Operate LAC - Learning Advisory Council RRR - Recovery, Recycling and Reuse WPI - Wholesale Price Index DRC - Democratic Republic of Congo LCA - Life Cycle Assessment SC - Scheduled Castes WTT - Well-to-tank DDT - Defensive Driving Training LCV - Light Commercial Vehicle SCALE - Supply Chain and Logistics Excellence DICCI - Dalit Indian Chamber of Commerce & SCOE - Standing Committee on Emissions Industry LDO - Light Diesel Oil SIT - Supplier Improvement Team DMS - Dealer Management System LED - Light Emitting Diode SHE - Safety, Health and Environment ELV - End of Life Vehicle LMV - Light Motor Vehicle SHGs - Self Help Groups ELSC - Express, Logistics and Supply Chain LPG - Liquefied Petroleum Gas SKD - Semi Knock Down Kits EMS - Energy Management Systems MCV - Medium Commercial Vehicle SMC - Sheet Moulding Compound ENCAP - European New Car Assessment Program MEG - Mono Ethylene Glycol M&HCV - Medium and Heavy Commercial Vehicle SMDF - Sumant Mulgaonkar Development ENCON - Energy Conservation Initiatives Foundation ER - Employee Relations MoU - Memorandum of Understanding SO2 - Sulphur Dioxide MT - Metric Tonne ERC - Engineering Research Centre SRM - Supplier Relationship Management MTC - Malnutrition Treatment Centre ETP - Effluent Treatment Plant SROI - Social Return on Investment MW - Mega Watt FAEA - Foundation for Academic Excellence and SS - Strategic Sourcing Access Mwp - Megawatts Peak ST - Scheduled Tribes FO - Furnace Oil MSEDCL - Maharashtra State Electricity Distribution SVHC - Substances of Very High Concern FUPD - Front Underride Protection Device Company Limited TAAP - Tata Affirmative Action Program FY - Financial Year NG - Natural Gas TAL - TAL Manufacturing Solutions Ltd GoI - Government of India NGO - Non Governmental Organization TASS - Tata Authorized Service Station GHG - Green House Gases NPI - New Product Introduction TAT - Turn Around Time GJ - Giga Joules NSI - Net Satisfaction Index TBEM - Tata Business Excellence Model GRI - Global Reporting Initiative NVG SEE - National Voluntary Guidelines on Social, Environmental and Economic TCoC - Tata Code of Conduct HCV - Heavy Commercial Vehicle NOX - Oxides of Nitrogen TERI - The Energy Resources Institute HIPO - High Potential Incident ODS - Ozone Depleting Substance TDP - Technology Development Program HR - Human Resources

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89 90 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15 GRI Content Index

GENERAL STANDARD DISCLOSURES GENERAL STANDARD DISCLOSURES

GENERAL GENERAL PAGE PAGE STANDARD DISCLOSURE ITEM LOCATION OF DISCLOSURE STANDARD DISCLOSURE ITEM LOCATION OF DISCLOSURE NO. NO. DISCLOSURES DISCLOSURES

STRATEGY AND ANALYSIS IDENTIFIED MATERIAL ASPECTS AND BOUNDARIES

Statement from the most senior decision maker of the Tata Motors' Annual Report 2014-15 G4-1 A message from the Chairman 12-13 Entities included in the organization's consolidated organization G4-17 - financial statements http://www.tatamotors.com/investor/an nual-reports/ Annual Report Provide a description of key impacts, risks and G4-2 http://www.tatamotors.com/investor/an - opportunities G4-18 Defining the report content and Aspect boundaries About the Report 04 nual-reports/

G4-19 Material aspects Materiality Assessment 26, 28 ORGANIZATIONAL PROFILE

G4-20 Aspect boundary within the organization Materiality Assessment 26, 28 G4-3 Name of the Organization About the Report 08

G4-21 Aspect boundary outside the organization Materiality Assessment 26, 28 G4-4 Primary brands, products and services About the Report 08-10

Effect of any restatements of information provided in Re-statements of information, if any, have G4-5 Location of the Organization's headquarters Last page of the Report 08 G4-22 - previous reports been reported in the relevant sections G4-6 Number of countries where organization operates About the Report 08

Scope and aspect boundary has changed Annual Report with the inclusion of three subsidiaries G4-7 Nature of ownership and legal form http://www.tatamotors.com/investor/an - namely TAL Manufacturing Solutions G4-23 Significant changes from previous reporting periods 04 nual-reports/ Limited, Pune, TML Drivelines Ltd, Jamshedpur and Tata Marcopolo Motors G4-8 Markets served About the Report 08 Ltd, Lucknow.

About the Report G4-9 Scale of the organization 08, 56 STAKEHOLDER ENGAGEMENT Workforce Management G4-24 Stakeholder groups engaged by the organization Stakeholder Engagement 22, 24 G4-10 Employee profile Workforce Management 58-61 G4-25 Basis for identification and selection of stakeholders Stakeholder Engagement 22, 24 Percentage of employees covered by collective bargaining G4-11 Workforce Management 58 agreements G4-26 Organization's approach to stakeholder engagement Stakeholder Engagement 22, 24

G4-12 Organization's supply chain Value Chain Sustainability 74-77 Key topics and concerns raised through stakeholder G4-27 Stakeholder Engagement 22, 24 engagement Three subsidiaries namely TAL Manufacturing Solutions Limited, Pune, REPORT PROFILE TML Drivelines Ltd, Jamshedpur and Tata G4-13 Significant changes during the year 04 Marcopolo Motors Ltd, Lucknow have G4-28 Reporting period About the Report 04 been included as part of the reporting scope and boundary. G4-29 Date of most recent previous report About the Report 04

Environmental Stewardship (ISO, OHSAS, Annual, same as the financial year cycle G4-14 Precautionary approach or principle 07, 48 G4-30 Reporting cycle 04 Climate change policies) FY 2013-14

Contact point for questions regarding the report or its Back Externally developed economic, environmental and social GRI G4, UNGC, NVG-SEE guidelines used G4-31 Last Page G4-15 charters, principles or other initiatives to which the for this sustainability report and our 04 contents Cover organization subscribes earlier sustainability disclosures G4-32 'In accordance' option the organization has chosen About the Report 04 G4-16 Memberships of associations Corporate Governance 20 G4-33 External assurance About the Report 04, 85

91 92 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15 GRI Content Index

GENERAL STANDARD DISCLOSURES GENERAL STANDARD DISCLOSURES

GENERAL GENERAL PAGE PAGE STANDARD DISCLOSURE ITEM LOCATION OF DISCLOSURE STANDARD DISCLOSURE ITEM LOCATION OF DISCLOSURE NO. NO. DISCLOSURES DISCLOSURES

STRATEGY AND ANALYSIS IDENTIFIED MATERIAL ASPECTS AND BOUNDARIES

G4-19 Material aspects Materiality Assessment 26, 28 ORGANIZATIONAL PROFILE

G4-20 Aspect boundary within the organization Materiality Assessment 26, 28 G4-3 Name of the Organization About the Report 08

G4-21 Aspect boundary outside the organization Materiality Assessment 26, 28 G4-4 Primary brands, products and services About the Report 08-10

Environmental Stewardship (ISO, OHSAS, Annual, same as the financial year cycle G4-14 Precautionary approach or principle 07, 48 G4-30 Reporting cycle 04 Climate change policies) FY 2013-14

91 92 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

SPECIFIC STANDARD DISCLOSURES GENERAL STANDARD DISCLOSURES

GRI G4 Page DMA and Indicators Omissions Location of Disclosure GENERAL Reference No. PAGE STANDARD DISCLOSURE ITEM LOCATION OF DISCLOSURE NO. DISCLOSURES Corporate Governance, Economic 16, 30, Economic Performance, Performance, Customer Centricity, 32, 36, GOVERNANCE Product Responsibility Product Innovation, Environmental General disclosure on Management 42, 48, DMA and Supply Chain have Stewardship, Workforce Approach 58, 74, G4-34 Governance structure of the organization Corporate Governance 16, 20 been excluded for Management, Value Chain 80 subsidiaries Sustainability, Community ETHICS AND INTEGRITY Development

Organization's values, principles, standards and norms of G4-56 Corporate Governance 16, 20 ECONOMIC behavior such as codes of conduct and codes of ethics MATERIAL ASPECT: ECONOMIC PERFORMANCE

Direct economic value generated and Subsidiaries have been G4- EC1 Economic Performance 30 distributed omitted

ENVIRONMENTAL

MATERIAL ASPECT: MATERIALS

G4- EN1 Materials used by weight or volume - Environmental Stewardship 49-50

Percentage of materials that are recycled Subsidiaries have been G4- EN2 Environmental Stewardship 51 input materials omitted

MATERIAL ASPECT: ENERGY

Energy consumption within the G4- EN3 - Energy and Climate change 42-43 organization

Subsidiaries have been G4- EN5 Energy Intensity Energy and Climate change 42 omitted

Subsidiaries have been G4- EN6 Reduction of energy consumption Energy and Climate change 46 omitted

Reductions in energy requirements of Subsidiaries have been G4 – EN7 Energy and Climate change 45 products and services omitted

MATERIAL ASPECT: WATER

G4-EN8 Total water withdrawal by source - Environmental Stewardship 53

Percentage and total volume of water G4-EN10 - Environmental Stewardship 54 recycled and reused

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SPECIFIC STANDARD DISCLOSURES GENERAL STANDARD DISCLOSURES

Organization's values, principles, standards and norms of G4-56 Corporate Governance 16, 20 ECONOMIC behavior such as codes of conduct and codes of ethics MATERIAL ASPECT: ECONOMIC PERFORMANCE

Direct economic value generated and Subsidiaries have been G4- EC1 Economic Performance 30 distributed omitted

ENVIRONMENTAL

MATERIAL ASPECT: MATERIALS

G4- EN1 Materials used by weight or volume - Environmental Stewardship 49-50

Percentage of materials that are recycled Subsidiaries have been G4- EN2 Environmental Stewardship 51 input materials omitted

MATERIAL ASPECT: ENERGY

Energy consumption within the G4- EN3 - Energy and Climate change 42-43 organization

Subsidiaries have been G4- EN5 Energy Intensity Energy and Climate change 42 omitted

Subsidiaries have been G4- EN6 Reduction of energy consumption Energy and Climate change 46 omitted

Reductions in energy requirements of Subsidiaries have been G4 – EN7 Energy and Climate change 45 products and services omitted

MATERIAL ASPECT: WATER

G4-EN8 Total water withdrawal by source - Environmental Stewardship 53

Percentage and total volume of water G4-EN10 - Environmental Stewardship 54 recycled and reused

93 94 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

SPECIFIC STANDARD DISCLOSURES SPECIFIC STANDARD DISCLOSURES

GRI G4 Page GRI G4 Page DMA and Indicators Omissions Location of Disclosure DMA and Indicators Omissions Location of Disclosure Reference No. Reference No.

MATERIAL ASPECT: BIODIVERSITY MATERIAL ASPECT: EFFLUENTS AND WASTE

Total water discharge by quality and Operational sites owned, leased, managed None of our operations G4-EN22 - Environmental Stewardship 54 in, or adjacent to, protected areas and are located close destination G4-EN11 Environmental Stewardship 56 areas of high biodiversity value outside protected or reserved protected areas areas. Total weight of waste by type and disposal G4-EN23 - Environmental Stewardship 51-52 method Description of significant impacts of None of our operations activities, products, and services on are located close There were no significant spills G4-EN12 biodiversity in protected areas and areas Environmental Stewardship 56 (spills greater than 159 liters - one protected or reserved Total number and volume of significant Subsidiaries have been of high biodiversity value outside G4-EN24 barrel in a single occurrence of an - areas. spills omitted protected areas incident) as a result of our operations in the reporting period.

None of our operations are located close G4-EN13 Habitats protected or restored Environmental Stewardship 56 Weight of transported, imported, Not applicable. protected or reserved exported, or treated waste deemed areas. hazardous under the terms of the Basel We do not import or export any G4-EN25 - - Convention2 Annex I, II, III, and VIII, and waste deemed hazardous under percentage of transported waste shipped the terms of the Basel Convention Total number of IUCN Red List species and None of our operations internationally Annex I, II, III, and VIII. national conservation list species with are located close G4-EN14 Environmental Stewardship 56 habitats in areas affected by operations, by protected or reserved level of extinction risk areas. Identity, size, protected status, and biodiversity value of water bodies and There are no habitats significantly MATERIAL ASPECT: EMISSIONS G4-EN26 related habitats significantly affected by - affected by our discharges of water 56 the organization's discharges of water and and runoff. runoff Direct greenhouse gas (GHG) emissions G4-EN15 - Energy and Climate change 44-45 (Scope 1) MATERIAL ASPECT: PRODUCTS AND SERVICES Energy indirect greenhouse gas (GHG) G4-EN16 - Energy and Climate change 44-45 emissions (Scope 2) We do not use any significant Extent of impact mitigation of packaging materials for any of our G4-EN27 environmental impacts of products and - - Other indirect greenhouse gas (GHG) vehicles. G4-EN17 - Energy and Climate change 44 services emissions (Scope 3) Product Innovation

Subsidiaries have been G4-EN18 Greenhouse gas (GHG) emissions intensity Energy and Climate change 44 MATERIAL ASPECT: COMPLIANCE omitted

Reduction of greenhouse gas (GHG) Subsidiaries have been G4-EN19 Energy and Climate change 46 There have been no emissions omitted significant fines or non- Monetary value of significant fines and monetary sanctions total number of non-monetary sanctions G4-EN29 imposed on us for non- Corporate Governance 19 Emissions of ozone-depleting substances Subsidiaries have been for non-compliance with environmental G4-EN20 Energy and Climate change 46 compliance with (ODS) omitted laws and regulations environmental laws and regulations. Nox, SOx, and other significant air Subsidiaries have been G4-EN21 Energy and Climate change 46 emissions omitted MATERIAL ASPECT: OVERALL

Total environmental protection Subsidiaries have been G4-EN31 Environmental Stewardship 55 expenditures and investments by type omitted

Number of grievances about environmental impacts filed, addressed, Subsidiaries have been G4-EN34 Corporate Governance 16 and resolved through formal grievance omitted mechanisms

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SPECIFIC STANDARD DISCLOSURES SPECIFIC STANDARD DISCLOSURES

GRI G4 Page GRI G4 Page DMA and Indicators Omissions Location of Disclosure DMA and Indicators Omissions Location of Disclosure Reference No. Reference No.

MATERIAL ASPECT: BIODIVERSITY MATERIAL ASPECT: EFFLUENTS AND WASTE

Subsidiaries have been G4-EN18 Greenhouse gas (GHG) emissions intensity Energy and Climate change 44 MATERIAL ASPECT: COMPLIANCE omitted

Total environmental protection Subsidiaries have been G4-EN31 Environmental Stewardship 55 expenditures and investments by type omitted

Number of grievances about environmental impacts filed, addressed, Subsidiaries have been G4-EN34 Corporate Governance 16 and resolved through formal grievance omitted mechanisms

95 96 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

SPECIFIC STANDARD DISCLOSURES SPECIFIC STANDARD DISCLOSURES

GRI G4 Page GRI G4 Page DMA and Indicators Omissions Location of Disclosure DMA and Indicators Omissions Location of Disclosure Reference No. Reference No.

SOCIAL MATERIAL ASPECT: TRAINING AND EDUCATION

LABOR PRACTICES AND DECENT WORK Average hours of training per year per G4-LA9 employee by gender, and by employee - Occupational Health & Safety 61 MATERIAL ASPECT: EMPLOYMENT category

Total number and rates of new employee Programs for skills management and G4-LA1 hires and employee turnover by age group, - Workforce Management 58-61 lifelong learning that support the Subsidiaries have been G4-LA10 Occupational Health & Safety 59 gender, and region continued employability of employees and omitted assist them in managing career endings Benefits provided to full-time employees that are not provided to temporary or part- Subsidiaries have been G4-LA2 Workforce Management 58-61 Percentage of employees receiving regular time employees, by significant locations of omitted performance and career development Subsidiaries have been G4-LA11 Occupational Health & Safety 58 operation reviews, by gender and by employee omitted category Return to work and retention rates after Subsidiaries have been G4-LA3 Workforce Management 59 parental leave, by gender omitted HUMAN RIGHTS

MATERIAL ASPECT: LABOR/ MANAGEMENT RELATIONS MATERIAL ASPECT: NON-DISCRIMINATION

Subsidiaries have been omitted. Total number of incidents of Minimum notice periods regarding Subsidiaries have been operational changes, including whether We abide by the Industrial G4-HR3 discrimination and corrective actions Corporate Governance 16 G4-LA4 Workforce Management 58-61 omitted these are specified in collective Disputes Act, 1947 taken agreements regarding notice period to be given before any operational change. MATERIAL ASPECT: FREEDOM OF ASSOCIATION AND COLLECTIVE BARGAINING MATERIAL ASPECT: OCCUPATIONAL HEALTH AND SAFETY Operations and suppliers identified in which the right to exercise freedom of Percentage of total workforce represented Subsidiaries have been in formal joint management–worker G4-HR4 association and collective bargaining may Workforce Management 58 Subsidiaries have been omitted G4-LA5 health and safety committees that help Occupational Health & Safety 64-72 be violated or at significant risk, and omitted. monitor and advise on occupational health measures taken to support these rights and safety programs MATERIAL ASPECT: CHILD LABOR Type of injury and rates of injury, occupational diseases, lost days, and G4-LA6 - Occupational Health & Safety 64-72 Operations and suppliers identified as absenteeism, and total number of work- having significant risk for incidents of child Subsidiaries have been G4-HR5 Workforce Management 59 related fatalities, by region and by gender labor, and measures taken to contribute to omitted the effective abolition of child labor Workers with high incidence or high risk of Subsidiaries have been G4-LA7 Occupational Health & Safety 64-72 diseases related to their occupation omitted. MATERIAL ASPECT: FORCED OR COMPULSORY LABOR

Subsidiaries have been Operations and suppliers identified as omitted. having significant risk for incidents of Subsidiaries have been Health and safety topics covered in formal Our formal agreements G4-HR6 forced or compulsory labor, and measures Workforce Management 59 G4-LA8 Occupational Health & Safety 64-72 omitted agreements with trade unions with trade unions cover to contribute to the elimination of all health and safety forms of forced or compulsory labor aspects.

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SPECIFIC STANDARD DISCLOSURES SPECIFIC STANDARD DISCLOSURES

GRI G4 Page GRI G4 Page DMA and Indicators Omissions Location of Disclosure DMA and Indicators Omissions Location of Disclosure Reference No. Reference No.

SOCIAL MATERIAL ASPECT: TRAINING AND EDUCATION

LABOR PRACTICES AND DECENT WORK Average hours of training per year per G4-LA9 employee by gender, and by employee - Occupational Health & Safety 61 MATERIAL ASPECT: EMPLOYMENT category

MATERIAL ASPECT: LABOR/ MANAGEMENT RELATIONS MATERIAL ASPECT: NON-DISCRIMINATION

97 98 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

SPECIFIC STANDARD DISCLOSURES SPECIFIC STANDARD DISCLOSURES

GRI G4 Page GRI G4 Page DMA and Indicators Omissions Location of Disclosure DMA and Indicators Omissions Location of Disclosure Reference No. Reference No.

MATERIAL ASPECT: SECURITY PRACTICES PRODUCT RESPONSIBILITY

Percentage of security personnel trained in MATERIAL ASPECT: CUSTOMER HEALTH AND SAFETY Subsidiaries have been G4-HR7 the organization's human rights policies or Workforce Management 59 omitted procedures that are relevant to operations Percentage of significant product and service categories for which health and Three subsidiaries have G4-PR1 Product Innovation 36-40 safety impacts are assessed for been omitted MATERIAL ASPECT: INDIGENOUS RIGHTS improvement

All our manufacturing locations Total number of incidents of non- except Jamshedpur are in No incidents of non-compliance Total number of incidents of violations compliance with regulations and voluntary Subsidiaries have been designated industrial areas. At Three subsidiaries have with regulations and voluntary G4-HR8 involving rights of indigenous peoples and - G4-PR2 codes concerning the health and safety - omitted Jamshedpur, there have been no been omitted codes concerning health and safety actions taken impacts of products and services during cases of violation of rights of impacts of products and services. their life cycle, by type of outcomes Indigenous people.

SOCIETY MATERIAL ASPECT: PRODUCT AND SERVICE LABELING

MATERIAL ASPECT : ANTI-CORRUPTION Total number of incidents of non- We provide requisite information compliance with regulations and voluntary Three subsidiaries have to our customers about the health G4-PR3 codes concerning the health and safety 36-40 been omitted and safety aspects of product as Communication and training on anti- Subsidiaries have been impacts of products and services during G4-SO4 Corporate Governance 19 per law of land. corruption policies and procedures omitted their life cycle, by type of outcomes

Total number of incidents of non- There were no incidents reported Confirmed incidents of corruption and Subsidiaries have been compliance with regulations and voluntary G4- SO5 Corporate Governance 19 Three subsidiaries have against Tata Motors for non- actions taken omitted G4-PR4 codes concerning product and service - been omitted compliance with regulations and information and labeling, by type of voluntary codes. outcomes MATERIAL ASPECT: PUBLIC POLICY

Results of surveys measuring customer Three subsidiaries have We have not made any financial G4-PR5 Customer Delight 32 Total value of political contributions by Subsidiaries have been satisfaction been omitted G4- SO6 contribution to any political party - country and recipient/beneficiary omitted or politician MATERIAL ASPECT: CUSTOMER PRIVACY

MATERIAL ASPECT: ANTI-COMPETITIVE BEHAVIOR Total number of substantiated complaints G4-PR8 regarding breaches of customer privacy - Not applicable - Total number of legal actions for anti- and losses of customer data Subsidiaries have been G4- SO7 competitive behavior, anti-trust, and Corporate Governance 19 omitted monopoly practices and their outcomes MATERIAL ASPECT: COMPLIANCE

MATERIAL ASPECT: COMPLIANCE Monetary value of significant fines for non-compliance with laws and regulations Three subsidiaries have Monetary value of significant fines and G4-PR9 Corporate Governance 19 total number of non-monetary sanctions Subsidiaries have been concerning the provision and use of been omitted G4- SO8 Corporate Governance 19 for non-compliance with laws and omitted products and services regulations

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SPECIFIC STANDARD DISCLOSURES SPECIFIC STANDARD DISCLOSURES

GRI G4 Page GRI G4 Page DMA and Indicators Omissions Location of Disclosure DMA and Indicators Omissions Location of Disclosure Reference No. Reference No.

MATERIAL ASPECT: SECURITY PRACTICES PRODUCT RESPONSIBILITY

SOCIETY MATERIAL ASPECT: PRODUCT AND SERVICE LABELING

99 100 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15 NVG Mapping UNGC COP Mapping

Principle Description Page No Area Advanced Criteria Page Reference

Principle 1 Businesses should conduct and govern themselves with Ethics, Transparency and Accountability. 16-20 Criterion 1: Details on our high-level sustainability strategy can The COP describes key aspects of the company's high-level Businesses should provide goods and services that are safe and contribute to sustainability found in Chairman’s Statement (Page 12-13) and Principle 2 36-40 sustainability strategy in line with Global Compact Material Issues (Page 26-28) sections of the report. throughout their life cycle. principles Strategy, Principle 3 Businesses should promote the wellbeing of all employees. 58-61 Governance and Engagement Criterion 2: Details on effective decision-making processes and systems of governance for corporate sustainability Businesses should respect the interests of, and be responsive towards all stakeholders, especially Principle 4 22-24 The COP describes effective decision-making processes can be found in Corporate Governance (Page 16-20) those who are disadvantaged, vulnerable and marginalized. and systems of governance for corporate sustainability of the report

Principle 5 Businesses should respect and promote human rights. 58-61 Criterion 3: Details on engagement with all important Principle 6 Business should respect, protect, and make efforts to restore the environment. 42-46, 48-56 The COP describes engagement with all important stakeholders can be found in Stakeholder stakeholders Engagement section (Page 22-24) of the report. Businesses, when engaged in influencing public and regulatory policy, should do so in a Principle 7 16-20 responsible manner. We have implemented Policy on Human Rights, Principle 8 Businesses should support inclusive growth and equitable development 80-83 Policy on Equal Opportunity and Non- Discrimination in Employment, Environmental Policy, Green Building Policy, Policy on Bribery and Businesses should engage with and provide value to their customers and consumers in a 32-33 Principle 9 Corruption in support of broader UN goals and responsible manner. 36-40 issues. UN Goals and Criterion 4: Issues Actions taken in support of broader UN goals and The COP describes actions taken in support of broader UN issues can be found in Corporate Governance (Page goals and issues 16-20), Economic Performance (Page 30) Product Innovation (Page 36-40), Energy and Climate Change (Page 42-46), Environmental Stewardship (Page 48-56), Workforce Management (Page 58- 61) and Community Development (Page 80-83) sections of the report.

Criterion 5: The COP describes robust commitments, strategies or policies in the area of human rights

Criterion 6: We have implemented Policy on Human Rights, Policy on Equal Opportunity and Non- The COP describes effective management systems to Discrimination in Employment, Environmental integrate the human rights principles Policy, Green Building Policy, Policy on Bribery and Human Rights Corruption in support of broader UN goals and Implementation issues. Details on Human Rights Implementation Criterion 7: can be found in Corporate Governance (Page 16-20) The COP describes effective monitoring and evaluation and Workforce Management (Page 58-61) sections mechanisms of human rights integration of the report.

Criterion 8: The COP describes key outcomes of human rights integration

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Principle Description Page No Area Advanced Criteria Page Reference

Criterion 5: The COP describes robust commitments, strategies or policies in the area of human rights

Criterion 8: The COP describes key outcomes of human rights integration

101 102 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Area Advanced Criteria Page Reference Area Advanced Criteria Page Reference

Criterion 9: Details on Value Chain Implementation can be The COP describes robust commitments, strategies or Criterion 21: found in Corporate Governance (Page 16-20), Value chain policies in the area of labour Stakeholder Engagement (Page 22-24) and Value implementation The COP describes implementation of the Global Compact principles in the value Chain Chain Sustainability (Page 74-77) sections of the report. Criterion 10: The COP describes effective management systems to Details on Labour Principles Implementation can be integrate the labour principles Criterion 22: Details on company's profile and context of Labour Principles found in Corporate Governance (Page 16-20) and operation can be found in Company Profile (Page Implementation Workforce Management (Page 58-61) sections of The COP provides information on the company's profile 08) and Corporate Governance (Page 16-20) Criterion 11: the report. and context of operation sections of the report. The COP describes effective monitoring and evaluation mechanisms of labour principles integration Transparency and Criterion 22: Verification The COP incorporates high standards of transparency and This report uses GRI G4 'Core' Reporting Guidelines. Criterion 12: disclosure The COP describes key outcomes of integration of the labour principles Criterion 23: This report is independently assured by M/s DNV GL Criterion 13: The COP is independently verified by a credible third party The COP describes robust commitments, strategies or policies in the area of environmental stewardship

Criterion 14: Details on Environmental Stewardship Implementation can be found in Corporate The COP describes effective management systems to Governance (Page 16-20), Product Innovation (Page integrate the environmental principles Environmental 36-40), Energy and Climate Change (Page 42-46) Stewardship and Environmental Stewardship (Page 48-56) Implementation Criterion 15: sections of the report. The COP describes effective monitoring and evaluation mechanisms for environmental stewardship

Criterion 16: The COP describes key outcomes of integration of the environmental principles

Criterion 17: The COP describes robust commitments, strategies or policies in the area of anti-corruption

Criterion 18:

The COP describes effective management systems to We have implemented Policy on Bribery and anti- integrate the anti-corruption principle Corruption in support of broader UN goals and Anti-corruption issues. Details on implementation can be found in implementation Criterion 19: Corporate Governance (Page 16-20) section of the report. The COP describes effective monitoring and evaluation mechanisms for the integration of anticorruption

Criterion 20: The COP describes key outcomes of integration of the anti- corruption principle

103 104 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15

Area Advanced Criteria Page Reference Area Advanced Criteria Page Reference

Criterion 16: The COP describes key outcomes of integration of the environmental principles

Criterion 17: The COP describes robust commitments, strategies or policies in the area of anti-corruption

Criterion 18:

Criterion 20: The COP describes key outcomes of integration of the anti- corruption principle

103 104 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15 Awards and Accolades

Corporate

 Tata Motors features in 'Best Companies To Work For' survey 2014

 Manufacturing Supply Chain Operational Excellence' for automobiles is awarded to Tata Genuine Parts by Asia Manufacturing Supply Chain Awards

 Tata Motors Press Unveil at Auto Expo 2014 wins a silver in the Best Use of Digital Marketing for an Event or Activations Best IP category

 Tata Motors received the “GreenCo Best Practices Awards 2015” for innovative work in the area of Life Cycle Assessment

 Tata Motors bagged Golden Peacock Award for Sustainability

 Tata Motors received Sustainable Plus Gold Label for FY 2014 from CII's Centre for Excellence for Sustainable Development

Plants

 CV Pune, PV Pune, Jamshedpur and Pantnagar Works have been rated GOLD under CII GreenCo Rating CII-GBC GreenCo has recognized Tata Motors Limited for the excellent efforts in process - a holistic framework to assess and evaluate the environmental performance of an organization Best Practices in Life Cycle Assessment by the “GreenCo Best Practices Award” which assesses the environmental attributes of – products, processes and the entire value chain

 Tata Motors CV Pune, Jamshedpur, and Dharwad Plant awarded “Excellent Energy Efficient Unit” and Lucknow Plant awarded “Energy Efficient Unit” at the 16th National Award for Excellence in Energy Management – 2015 organized by Confederation of Indian Industries (CII) on 3rd Sep-15 at Hyderabad in recognition of its continued commitment and efforts towards improvement in energy efficiency, reduction in carbon emission and implementation of various energy conservation projects

 Sanand – The Central Quality team from Ahmedabad plant bagged Best Kaizen Competition 2014, Vadodara

 Dharwad – Graced with Golden Peacock Environment Management Award

 Jamshedpur Works wins CII-Eastern Region ENCON Award 2015

 Jamshedpur Works wins Environmental Award - First Place in Manufacturing Category by Jharkhand State Pollution Control Board

 Pantnagar Works won the Golden Peacock Environment Management Award – 2015

 Car Plant-Pune was awarded VASUNDHARA AWARD-2015 by Maharashtra Pollution Control Board (MPCB) under “LARGE SCALE INDUSTRY” category (Runner Up) On ‘World Environment Day’ - 5th June 2015.

 Tata Motors CVBU wins CII Award for Supply chain and Logistics

105 106 TATA Motors | Sustainability Report 2014-15 TATA Motors | Sustainability Report 2014-15 Awards and Accolades

Corporate

 Tata Motors features in 'Best Companies To Work For' survey 2014

 Manufacturing Supply Chain Operational Excellence' for automobiles is awarded to Tata Genuine Parts by Asia Manufacturing Supply Chain Awards

 Tata Motors Press Unveil at Auto Expo 2014 wins a silver in the Best Use of Digital Marketing for an Event or Activations Best IP category

 Tata Motors received the “GreenCo Best Practices Awards 2015” for innovative work in the area of Life Cycle Assessment

 Tata Motors bagged Golden Peacock Award for Sustainability

 Tata Motors received Sustainable Plus Gold Label for FY 2014 from CII's Centre for Excellence for Sustainable Development

Plants

 Sanand – The Central Quality team from Ahmedabad plant bagged Best Kaizen Competition 2014, Vadodara

 Dharwad – Graced with Golden Peacock Environment Management Award

 Jamshedpur Works wins CII-Eastern Region ENCON Award 2015

 Jamshedpur Works wins Environmental Award - First Place in Manufacturing Category by Jharkhand State Pollution Control Board

 Pantnagar Works won the Golden Peacock Environment Management Award – 2015

 Tata Motors CVBU wins CII Award for Supply chain and Logistics

105 106 TATA Motors | Sustainability Report 2014-15 Policies

107 TATA Motors | Sustainability Report 2014-15 Policies

107 At Tata Motors, we value our stakeholders, and your views are important to us. Please send in your valuable feedback to: Mr. Arvind Bodhankar Head - Safety, Health, Environment and Sustainability Email: [email protected], [email protected] Our Registered Office: Bombay House, 24, Homi Mody Street, Mumbai 400 001, India.