VALUE CREATION FOR ALL Sustainability Report 2016-19 VALUE CREATION FOR ALL An Introduction - For a business to be truly but also create positive outcomes for the sustainable in the long run, it is imperative for it society, while attracting and engaging a to create value for all its stakeholders. motivated workforce of the new generation Previously value was mostly based on tangible which is more informed and sensitive to assets captured in financial statements, but today’s global challenges. Beyond its now there is now much more emphasis on the operations, sustainability initiatives undertaken importance of intangible value that businesses by G&B are helping build capabilities and create for a much broader set of stakeholders, driving change in its upstream and including society and the natural environment. downstream value chain as well as in the broader industry landscape. G&B’s actions At Godrej & Boyce (G&B), corporate have led to a measurable decrease in its responsibility and sustainable development environmental impact and a positive change in have been the core ethos, driving its thinking the lives of countless people. and operations throughout its long history. Internally, G&B views sustainability as a This commitment to create shared value for all business opportunity, which is helping it create the stakeholders will continue to guide G&B’s greener products and new ways of growth journey in the years to come. The manufacturing them in an environmentally theme of ‘Value Creation for All’ aptly responsible manner. This not only helps it in summarizes the sustainability approach and creating financial value in a sustainable manner, performance described in this report. Male Baya Weaver meticulously weaving its nest with coconut leaf blades in Godrej Mangrove Palm Garden 02 03 CONTENTS ABOUT 02 04 06 Value creation for all About the Report Chairman’s message THE An introduction REPORT This report has been developed in line with the reporting principles of the Global Reporting Initiative (GRI) 08 10 20 Standards in accordance with the Performance About Godrej & Boyce Reinforcing trust 'Core' option. Assessment of material Highlights topics and indicators has been determined by using internal and external conventions, including: UN Sustainable Development Goals (UNSDGs), Industry Associations and Godrej & Boyce’s (G&B's/Godrej) senior management. Through this report, the Company communicates its sustainability performance for 26 32 34 financial years 2016-19. The information presented in the report Building relationships G&B’s approach Adding and has been reviewed internally by the and aligning priorities to sustainability sharing value management, however, it has not the core of its existence been subject to external assurance. The report captures qualitative and quantitative data with respect to the Company's operations in India, covering its 14 business divisions depicted on Page No. 6 of the report. This report does not cover sales offices located outside Vikhroli, 36 58 78 Mumbai. Preparing Co-creating Value Responsible Your valuable feedback and for tomorrow Stewardship suggestions are solicited to sharpen G&B’s efforts and reports.Please share your insights, suggestions/views/opinions with: Ms. Ashwini Deodeshmukh Head - CSR & Sustainability Reporting at [email protected] 86 GRI Content Index Glossary Red Mangrove flower at creekside 04 05 CHAIRMAN’S MESSAGE Dear Stakeholder, It gives me immense pleasure to present Godrej & Boyce’s We have embedded the emerging sustainable development Sustainability Report for the period 2016-19. This report priorities in our design process as well. Life cycle emphasizes G&B’s economic, environmental and social assessment has been mainstreamed in our design process performance, while highlighting our strategic sustainability to identify opportunities to improve the green quotient of our initiatives. products. Today all our consumer facing divisions offer a good range of environment friendly products for the Since our inception, we have been aware of our discerning environment conscious customers steadily responsibility to demonstrate, propagate and accelerate growing in numbers. business responsibility. G&B has accelerated its approach to sustainability and actions in line with India’s sustainable Going forward, from a sustainable development development growth trajectory by greening its operations perspective, we will focus on integrating climate-related and addressing needs of local community through unique risks in operations; fully integrating sustainability in supply and scalable community initiatives. chain; wider offering of sustainable products and services and enhanced disclosures. Our UN SDGs aligned 'Good & Green Vision', an effort to integrate sustainability in regular business practices, aims On behalf of the entire leadership team, I reaffirm our to ensure 40 per cent reduction in energy consumption, commitment of sustainability and look forward to your achieve zero waste and carbon neutrality, and have support and feedback. one-third of our portfolio revenues from green products and services. Under Good & Green we also strive to enable sustainable development of the communities through Jamshyd Godrej skilling of 2 million youth. I am happy to inform that we are Chairman making good progress on all three 2020 goals. Godrej & Boyce Mfg. Co. Ltd. At G&B, we are constantly encouraging innovation and investing in technology. I am happy to report that our 10 manufacturing units are GREENCO certified and 5 units - 3 in Shirwal and one each in Mohali and Mumbai, have got the Platinum GreenCo certification for their efforts in green manufacturing. In our operations, we achieved the water positive status in 2015, are on track to achieve the target of diverting 100% of non- hazardous waste from landfills and have significantly reduced greenhouse gas emissions (GHG) emissions through improved efficiency and use of clean sources of energy. Matching our unwavering focus on the environment is our compassion for the community. Through ‘Project Disha’, our flagship program we contributed to training of around 1,31,000 underprivileged youth in vocational skills. We are also following an integrated approach towards sustainable community development around our operations, focussing on four key areas - Education, Environment, Health & Sanitation and Livelihood. 06 07 PERFORMANCE Zero waste to landfills Close to 99.8% HIGHLIGHTS of non-hazardous waste diverted from landfills as on 31st march 2019 Economic value retained INR 546.50 crores retained during Motivated workforce the 3-year reporting period 14,150 employees as on 31st March 2019 Renewable Energy Zero Fatalities 7.88 MW Zero work-related installed capacity for solar power. fatalities reported as on 31st march 2019 since 2017-18 Skill Development Water positive operations 1,31,000 youth Water positive since trained through ‘Project Disha’ 2015-16, 1.38 times as on 31st March 2019 positive as on 31st march 2019 1750 Acres of mangroves conserved at Vikhroli Mumbai 08 09 COMPANY PROFILE One of the largest privately-held diversied industrial industrial garden township (ISO 14001-certied) now called corporations in India, the Company celebrated its centenary Pirojshanagar at Vikhroli in Mumbai. in 1997. In 1897 a young man named Ardeshir Godrej gave up Godrej touches the lives of millions of Indians every day. To ABOUT GODREJ law and turned to lock Ardeshir went on to make safes and them, it is a symbol of enduring ideals in a changing world. security equipment of the highest order, and then stunned Today, the Company has 14 diverse business divisions oering the world by creating toilet soap from vegetable oil. His consumer, oce, and industrial products and services of the & BOYCE brother Pirojsha Godrej carried Ardeshir's dream forward, highest quality to every corner of India and across the globe. leading Godrej towards becoming a vibrant, multi-business enterprise. Pirojsha laid the foundation for the sprawling VISION, MISSION AND VALUES VISION Godrej in Every Home and Workplace MISSION Enriching Quality of Life Everyday Everywhere VALUES • Integrity • Trust • To Serve • Respect • Environment Its Arial view of Godrej & Boyce Campus at Vikhroli Mumbai 10 11 OVERVIEW OF G&B’S BUSINESS DIVISION BUSINESS BUSINESS The Godrej story began in 1897 with the manufacture of locks. Since then, Godrej Locking Solutions & Systems has set several benchmarks in the locks industry – from the rst In 1956 Godrej become the rst large business house to enter business of material storage. spring-less lock in 1907 to the iconic 'NavTal' in 1954 to the Ultra range in 1995 to the Since then have been visionaries and market leaders for over 5 decades in India in the eld 1897 revolutionary 3KS in 2007 Godrej Locking Solutions & Systems provides locking solutions 1956 of Storage & Material Handling with world-class design, manufacturing, project Locks that reach homes, oces, industries and the hearts of millions of people in India and around Storage management, distribution & after sales support to service. they oer cost-eective and the world for whom ‘locks’ means Godrej Solutions end-to-end solutions with products ranging from Slotted Angle Shelving, Selective Pallet Racking to integrated man-less intelligent Warehousing Solutions. The rst Godrej safe was manufactured in 1902. With a legacy of over 100 year, Godrej is trusted brand in the space of home and oce security solutions. Godrej Security Solutions Godrej Appliances began its journey in 1958