Havells SR 2014-2015Download
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Havells India Limited constantly strives towards achieving sustained improvement in the quality of people’s lives through innovative solutions in Fast Moving Electrical Goods (FMEG) space, while fulfilling its economic, environmental and social responsibilities. In this pursuit of ours, on one and installation of biogas hand, we are continuously generation unit, crèche working towards improving facility, use of natural the efficiency, quality and lighting in plant design and standards of our products installation of solar tubes, and services, while plant specific CSR initiatives simultaneously focussing on beside others are some of internalisation of sustainable the initiatives taken by our development agenda into plants, with the focus on our way of working by minimising our environmental upgrading our manufacturing impact and maximising value facilities, systems and for our various stakeholders. process. We power this Sharing the details of our change through our state- efforts in line with our beliefs, of-the-art manufacturing and following upon the facilities, incorporating trend of the previous two concepts and elements years of disclosure on our of green buildings, and sustainability performance, providing a safe and healthy we present to you our working environment for our third Sustainability Report workforce. titled “Powering Efficient Onsite ETP/STP, rainwater Manufacturing – Minimising harvesting, use of biofuels Impact, Maximising Value”. Havells India Limited I 1 I Sustainability Report 2014-15 Shri Qimat Rai Gupta 24.01.1937 to 07.11.2014 The measure of a man is not to be judged solely by the wealth he created, but also by the number of lives §Ś¦န Havells India Limited I 2 I Sustainability Report 2014-15 ¤¤££¦¡£ထ¡¤ ¦¤£¤£¤န ¤¤ª££§Ŋ¤¢¦¤¤¤Ŵ¡¤£¤®£¤¡¤န ££¤¡£¤£¤¦£¤ထª¤¡££¤¤§¤¤¨¤ ¤£¤¡¡£ထ¤£¡¤ª¤ª£¤¨ª¤ª ¡န ££¤£¤¤¤¤¤¤ª¤¤¡¤¡ª¡ထ¦¨ ¤န ª£¤¢§¡ª¨¤¤¤£¤¨ ¤¨ £¡¤¤£¡£န Š¤¨ ¤£¤¤£ªနနန£ ¦¨¡¡¡န¡¦¡©¤£¤®¨¤£¦န ၊¡ဖ¡¡£¤ထထ¤¤ထ£££ထª¤¦¤Ŵ¤ှ¡ဿထ ¡£ဖ¦¡Ŋ¤န။ ¡¦¤¤¦£¤¨¡®¤£¤¤¦¡¥န ££ª¡¦ထ¦¤£££¨£¤¢£¡¤¨¡®ª¤¤ ¤¤¢£ ¡န ¦¤¨¡£¤¢£ၹႁၿၹ ¤¢£¡¤¤¤¡£¤¤¢££¤ª¡ª¤£¨¡¡£န ª£ ထª£§££ထ¡¨¤¡¤ ဖ¦¡£¤®¤¡¢ªန ª£¡¡¤¤£¦¤®¤£¤¤¤¢ ¦£ဠ£¤¤ª¡ဖ££¤¡¡£န ª£ª¡£¡£¤¤®£Ś¡¤¦¡¥§¡ª¦££££¤¤§¡£¤¤§£န ¤¤£¤ထ ¨¤¤¦£££¤¡¨¤£¤®¨¡¤ထ ¤¤£¡©ª¤¢¡££¤¦¤®¨¡®ªဖ¤ဖ¡£န £ ¤¢¦¤£¤¤Ŵ¡¤¤££¡¥§¤ª¡¤£¡¤£¡¤®ထ¦¤¤¦ ££¤¤¡£¡¥¤¡¥£££¨¡¦£¦££££န £ထ£¨¤£ထ£¡££¨£¡¦¡¡¡£¤£ထ£¡¦£¤ £¡£¤¢§န While the person that was QRG is no longer with us, his ideals ¤¦¤§¦£¤ ¨£န ££¦¡£¤¤¡န Havells India Limited I 3 I Sustainability Report 2014-15 Report Overview Since our inception, our focus has always been on Quality and Eco-efficient Manufacturing, i.e., using lesser resources by focussing on reducing energy, wastage and material usage. This was the reason we started investing in manufacturing quality products much before the world started looking at India as a manufacturing destination. Our journey of manufacturing excellence spans nearly four decades, since we set up our first manufacturing plant for Rewirable Switches and Changeover Switches back in 1976. We have come a long way since, with eleven manufacturing units in India and eight international units underlining our manufacturing strength across a range of products. This is the story of our transformation - from a trader to a manufacturer, from a supplier to a producer. This is our story of manufacturing excellence, with which we are now powering the world, efficiently and innovatively: Each year, we Our switches and Our fire survival We were the first Our domestic manufacture switchgears are not cables continue to Company to offer appliances are a 11,50,000 kilometres just aesthetically remain in operation BEE 5-star energy refreshing discovery of domestic and pleasing, they match at high temperatures efficient ceiling fans in premium design, industrial cables, global standards. like 650o C, 750oC in the country. We unmatched which is almost 28 and 950o C in different introduced the first functionality and times the earth’s conditions. green CFL in India. lifestyle experience. circumference. It is the story of transformation of manufacturing - from a mere process to a symbol of self-reliance and a sign of world-class quality Havells India Limited I 4 I Sustainability Report 2014-15 Each year, we manufacture 11 lakh 50 thousand kilometres of domestic and industrial cables, which is almost 28 times the earth’s circumference. This is the third Sustainability transparency and the levels of Report of Havells India Limited disclosure to guarantee us meeting and is a transparent and voluntary the internationally recognised disclosure of the Company’s three standards of reporting. Thus, in pillars (economic, social, and order to make our reporting initiative environmental) performance for the robust and credible, we have FY 2014-15. Performance data and sought services of Ernst & Young information relating to all our seven LLP, to provide limited assurance Indian manufacturing plant sites at on the environment and social data Alwar, Baddi, Faridabad, Haridwar, in the report. The assurance is in Neemrana, Noida, Sahibabad, and our accordance with the principles of the corporate office in Noida are included International Standards on Assurance in the report. The environment Engagements ISAE 3000. The performance data disclosed caters to assurance approach, methodology, the manufacturing plant sites only. The and observations are presented in the performance disclosure for marketing issued assurance letter, from Ernst & offices, retail outlets, distribution Young LLP, attached at the end of this network, suppliers, joint-ventures, report. and international operations are not included in this year’s reporting. The report has been presented in sections covering aspects of This report has been prepared using corporate governance, stakeholder the Global Reporting Initiative’s (GRI) engagement and materiality version G3.1 Reporting Guidelines. analysis, economic performance, The vision of GRI is to have a environment performance, people sustainable global economy where performance, product stewardship, organisations manage their economic, social responsibility and marketing environmental, social and governance communication. performance and impacts responsibly, and report transparently. Following We hope you find this report these guidelines, we have self- informative, engaging, inspiring declared our Sustainability Report in and useful. Your comments and compliance with the Application Level suggestions are welcome and will A+ of GRI G3.1 guidelines. assist us in continuously improving our reporting process. To ensure credibility, the report contains third party assurance Please send your comments to providing expert opinion on the [email protected]. Havells India Limited I 5 I Sustainability Report 2014-15 Key performance highlights 2014-15 OUR PERFORMANCE ECONOMIC PERFORMANCE AT A GLANCE (INR Crores) 8888.53 8497.22 7529.27 Havells cables – powering every corner of India 691.55 779.04 765.29 581.43 385.42 446.33 Havells Manufactures More Than 2012-13 2013-14 2014-15 3,000 Km of Cables Every day, covering a distance more than that of Consolidated revenue EBITDA Kashmir to Kanyakumari. PAT TOTAL NUMBER OF ACTIVE NUMBER OF ACTIVE PATENTS MARKET CAPITAL INTELLECTUAL PROPERTY RIGHTS (IPRs)1 19059 117 11653 72 8033 48 12 9 8 13.12 26.12 49.47 2012-13 2013-14 2014-15 2012-13 2013-14 2014-15 2012-13 2013-14 2014-15 [1] IPRs include patents and designs. Market Cap (in ` Crores) PE Ratio Havells India Limited I 6 I Sustainability Report 2014-15 Patent filed for the most energy-efficient ceiling fan in India In April 2015, Havells filed a patent for ES 40 – the super-efficient ceiling fan that consumes only 40 Watts of electricity. In 2009, Havells was the first in India to launch ES 50 – India’s first 5-Star Rated Energy Efficient Ceiling fan for which, the Company was awarded the National Energy Conservation Award by the Ministry of Power three times in a row. CSR PROGRAMMES CSR EXPENDITURE NO. OF CLEAN ENERGY SOURCES 2.11% 2012-13 2012-13 Biomass Mid-Day meal 1.21% 0.52% 2013-14 2013-14 Biomass Mid-Day meal PNG 2014-15 2014-15 Mid-Day meal 9.79 Cr. Biomass Sanitation drive 4.5 Cr. Biogas 2.50 Cr. 2012-13 2013-14 2014-15 Sponsorship of school PNG children CSR Expenditure (` Crores) CSR Expenditure as % of PAT Scholarship for college Solar tubes NO. OF STUDENTS COVERED NO. OF ZERO WATER NO. OF PLANTS WITH EVERDAY, BY THE MID-DAY DISCHARGE UNITS RAINWATER HARVESTING MEAL PROGRAMME FACILITY 30,000 2 4 2012-13 2012-13 2012-13 35,000 4 5 2013-14 2013-14 2013-14 55,000 4 6 2014-15 2014-15 2014-15 Havells India Limited I 7 I Sustainability Report 2014-15 Chairman’s Message Havells India Limited I 8 I Sustainability Report 2014-15 With the support of our employees, we are determined to drive positive environmental, social and economic change in the communities, where we operate. Dear Stakeholders, Sustainability team drives our strategy and reporting efforts, bringing together At Havells, sustainability is about team members from across the creating shared value for our Company to share best practices, customers, dealers, suppliers, discuss challenges and determine how and the communities we serve, at best to track our progress. large. As one of the leading FMEG companies, we view sustainability not To truly be an innovation-driven only as a responsibility, but also as an organisation and, at the same time opportunity to serve our universe and an operational and cost leader, we, advance our market leadership. at Havells, know what we have to do. With the support of our employees, We embed sustainability initiatives to we are determined to drive positive optimise our production operations, environmental, social and economic engage employees, meet customer change in our environment. needs and drive growth. We have increased energy efficiency, minimised This report outlines our work and resource consumption, and wastage progress to date. While we are proud from our operations. of what we’ve accomplished, we are mindful that there is much to be done. In 2013, we presented our inaugural We will continue to mine opportunities Sustainability Report, laying out our and track our progress with precision sustainability vision and our baseline and a critical eye, to ensure our performance for FY 2012-13.