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Issue: #3 | June 2014

Translating

Vision Into Reality

In this issue: Fiinova on ‐ IOD at the 24th World Congress on Total Quality & Leadership

Incorpora ng Sustainability in Business Processes by Inves ng in Philanthropy

India's An ‐Tobacco Campaign : A take

Fiinobserva on of Interna onal Days

To subscribe visit : www.fiinovation.co.in


01 Fiinova on ‐ IOD at the 24th World Congress on Total Quality and Leadership The 24th Annual World Congress on Total Quality and Leadership & the Golden Peacock Awards were held on 23-24 May 2014 at Trivandrum, Kerala, India. The event, a joint initiative of Fiinovation & Institute of Directors (IOD), was attended by over 200 international and national delegates. Taj Vivanta, Trivandrum witnessed the participation of various senior dignitaries with the onset of its Opening Session that started with the welcome address by C. M. Radhakrishnan Nair, Chairman, IOD Kerala State Chapter who highlighted the significance of the theme of leadership given the changing political scenario of the country. The Guest of Honour, E K Bharat Bhushan, IAS, Chief Secretary, Govt. of Kerala spoke of the interdependence of quality and leadership 'which cannot be divorced'. Prof Colin Coulson Thomas, Professor University of Greenwich spoke of leadership being 'not about us but about those people without whom we would not be able to deliver'. Attributing leadership to traits of 'focus, reverence, decisiveness and courage', Prof Thomas focused on 'reinvention being the key to longevity. S. Chakraborty, CEO, Fiinovation spoke of the paradigm shift of what leadership is today, he recalled Mahatma Gandhi words where he spoke of it was 'the yesteryears when the leaders would be known by the muscles they use. Today they will be known for their capacity to bring their community along themselves.' He spoke of a new school of leadership which is waiting to be born that looks at re- conceiving. Mr Chakraborty spoke of how leadership is no longer about flexing your muscles but has moved from 'what' to 'who and how'. We need to look stakeholder engagement that may or may not be the shareholder of the company. Mrs. Sheila Dikshit, Hon'ble Governor of Kerala attended the Inaugural Session where she spoke of the relevance of working collectively, working hard and working inclusively. She advocated for work, which must continue ,while the government, judiciary and industry and other facets develop a holistic vision for development that understands the aspirations of the rich and the poor. She advocated for education and skill development as important agendas. The Role of Leadership in Driving Excellence & Sustainability chaired by S. Chakraborty who emphasized the relevance and role of sustainability in ensuring long term business success. The Golden Peacocks Nite Award was honored by Hon'ble Mr Oommen Chandy, Chief Minister of Kerala who quoted Peter Drucker through his thought provoking statement which spoke of how 'rank does not confer power, it imposes responsibility'. The two day event helped establish the link between quality, sustainability and leadership. The recommendation and the event provided an excellent platform for networking and establishing relationships.

- Aditi Tewari

 "Any company, which does not report non‐compliance towards the CSR rule is liable to be charges of penalty in the bracket of

Influencers speak…

Rs 50 thousand to Rs 50 lakhs. Also, the board of directors may be charged with imprisonment for 5 years and/or fine worth Rs 25,000,” ‐Milind Antani, Nishith Desai Associates  “While every ci zen of India has a role to play in social development, corporate leaders have to become front‐runners.”

‐N. R. Narayana Murthy, Infosys  “If those who are be er off do not act in a more socially responsible manner, our growth process may be at risk, our polity may

become anarchic and our society may get further divided.” ‐Dr Manmohan Singh, Former PM


02 Incorpora ng Sustainability in Business Processes by Inves ng in Philanthropy

Some of the achievements of L&T over the years are:

On 26th Nov, 2008 Larsen and Toubro (L&T) became India's first

 Avoided more than 27,000 Tons of CO2 emission

Engineering and Construction Company to launch a Corporate

 Energy conserva on increased by more than 12%

Sustainability Report. The company was awarded the highest GRI ranking of A+ which also raised the bar for other corporations. The company has been serving the community and the environment for

 U lizing Renewable Energy over 10 %  8.7 MW wind farm in South India

decades. It became the first Indian engineering and Construction Company to map its carbon foot print. The impact of their CSR

 407 KW Grid Connected Plant of Solar Energy

activities has been widely recognized. They have been the recipients

 6.3% Reduc on in water consump on overall

of the 'Caring Company Award' from the World CSR Congress and  191 million lts of water conserved through check dams

the CMO Asia's Best CSR Practices Award in 2012.

 22.9 million lts of rainwater harvested

According to GRI guidelines, the company in the economic, environmental and social indicators scored, 9, 30 and 40 respectively ensuring a total score of 79. The CSR activities of L&T are focused in

 16 campuses with a Zero wastewater discharge status  Over 5 lakh beneficiaries of L&T CSR ac vi es.

three major sectors, i.e. Health, Education and Livelihood. L&T hosts a lot of its initiatives keeping in line with the MDGs. Looking at the different aspects of sustainability and CSR, L&T with 13 bn annual turnover has been working towards incorporating sustainability in their business practices and investing in the social development sector. In 2012-13, the company earmarked Rs 73 crore, or 1.49% of its net profit, for CSR initiatives. This was before The Companies Act

Core Area of CSR for L&T

came into effect and the CEO Mr AM Naik spoke of increasing the spending keeping the mandate in mind but also said that L&T "wasn't waiting for the government to tell us how much philanthropy to do and we're certainly not going to hesitate to increase [our spend]."

Education

Under the domain of sustainability, L&T engages with stakeholders at three levels, social, governance and environment. The social front

Climate Change

includes increasing attrition rate, capacity building, employee health & safety and inclusive development. The good governance aspect involves L&T initiation of sustainability disclosures and increasing

Energy Conservation

transparency across all working process. Work under environment included reduction of

carbon footprint, resource conservation,

energy efficiency and enhanced usage of renewable energy and product b y t h e

Water Conservation

innovation. The drive is closely monitored CEO who is said to 'lead by example'.

Waste Management

- Rahul Choudhury

Skill Development

- Rahul Choudhury Mother & Child Healthcare


03 India's An ‐Tobacco Campaign‐ A Take Dhumapana (drinking smoke) in India dates back to almost 2000 BC when smoking cannabis was first mentioned in Atharvaveda. Smoke was used for various medical purposes in Ayurveda and was not limited to cannabis but various other plants that were recommended to promote general health. As of today dhumapana has been restricted to cigarette smoking, cannabis (rather discretely) and beedi smoking. However, fumigation and fire offerings are still practiced in Ayurveda. As per Fiinovation (IFA Pvt Ltd), tobacco was introduced to India in the 1600s that later merged with existing practices of smoking of mostly cannabis. As of today, about 4.2 million hectares of tobacco are under cultivation worldwide. 6.7 million tons of tobacco is produced throughout the world. The leading tobacco producers are China (39.6%), India (8.3%), Brazil (7.0%) and the United States (4.6%). The tobacco industry in India is valued to be more than Rs 22,000 crores out of which 12% is exported. ITC Limited (25.4% owned by British American Tobacco) is the major player in India. There are approximately 96,865 registered tobacco farmers in India apart from many who are not registered. Tobacco is produced on around 0.25% of India's cultivated land. Jammu and Kashmir has the highest number of tobacco consumers in India. The government has supported the growth of the tobacco industry since 1947. There are seven tobacco research centers located in Tamil Nadu, Andhra Pradesh (2), Punjab, Bihar, Karnataka (2) and West Bengal. The government has also setup Central Tobacco Promotion Council which works to increase exports of Indian tobacco The irony that exists, Smoking in public places was prohibited nationally from 2 October, 2008. However, the first legislation came in 1975 when the government mandated use of statutory warning in the cigarette packets. The Cable Television Network (Regulation) Amendment Bill, came into force since 8 September 2000, completely prohibits cigarette and alcohol advertisements. In 2003, COTPA was tabled in the parliament and it came into force in 2004. The law included prohibition of smoking in public places, ban on tobacco advertising and sponsorship, ban on sale to and by minors in an area within radius of 100 yards of any educational institutions, display of pictorial health-warning labels, and content regulation of tobacco products. Apart from this the law was not restricted to only cigarettes but other tobacco products marking improvement in efforts to control tobacco usage. India signed the WHO FCTC (World Health Organization Framework Convention on Tobacco Control) in 2004, subsequently adopting the rules, regulations and suggestions that came with the treaty. Smoking ban on films and television came into effect in 2005. In 2007, Chandigarh became the first city to become tobacco free which was soon followed by Shimla. Sikkim became smoke Free State in 2010 and Goa in 2012. Assam became the first state to ban smokeless tobacco in 2014. The government began screening two anti-tobacco advertisements, tagged "Sponge" and "Mukesh", in movie theatres and on television from 2012. As of today smoking is allowed on roads, and inside one's home or vehicle. The way forward would be to first stop promotion of tobacco production and encouraging tobacco farmers towards alternative livelihood. In addition to that, efforts need to prohibit import of tobacco and reduce sanctions on states that promote tobacco cultivation. Therefore we need to understand that if there is no supply there won't be any consumption even if there is a demand.

Food For Thought... - 348 women friendly e-toilets to come up in Chennai, India - The govt. intends to set up 10 AIIMS institutions but the six under construction have run out of funds. - Goa will be garbage free by 2015 - Plastic bags and other plastic garbage thrown into the ocean kill as many as 1,000,000 sea creatures every year - India alone accounts for 50 million people who are directly dependent on forests for their subsistence. - Scientists develop a sensor that can be embedded in the eye

- Rahul Choudhury


04

Fiinobservation of International Days World Press Freedom Day

World No‐Tobacco Day

3rd May May 3rd is celebrated as World Press Freedom Day which is aimed to remind the government of their duty to uphold the right of freedom of expression. The theme for this year is “Media Freedom for a Better Future: Shaping the post-2015 Development Agenda.” It focuses on the media's importance in the development foray; which is inclusive of safety of journalists and the sustainability and integrity of journalism.

31st May May 31st is World No-Tobacco Day (WNTD), and the aim for this year was abstinence from all forms of tobacco consumption across the world for an entire day. Tobacco consumption is one of the biggest threats to public health and takes the life of 6 million people annually. It kills 600000 nonsmokers who are affected by second hand smoke. This day spreads awareness about the adverse affects of tobacco use. It is being observed for 26 years despite the resistance that exists from governments, smokers, growers and the tobacco industry.

As per Innovative Financial Advisors Pvt. Ltd. the role of media in development and good governance are not mutually exclusive, infact they support each other while promoting a nations socio-economic development. Innovative Financial Advisors Pvt. Ltd (Fiinovation) believes that independent media provides a platform for discussion on various developmental issues like poverty, environment, science, gender, youth and world peace among others. Free press can be utilized to monitor, investigate and criticize policies of any nation which also enables good governance and transparency. A society that has access to public documents and processes can highlight the conflict of interests and empower its citizens to hold accountable the elected representatives. The World Press Freedom Day provides an opportunity to deepen our understanding about the role of media and post2015 development agenda.

WNTD was formulated by The World Health Organization in 1987. The theme for this year is “raising taxes on tobacco” thereby advocating for effective policies to reduce tobacco consumption. Innovative Financial Advisors Pvt. Ltd. understands that only 8% of the world's population lives in countries with sufficiently high tobacco taxes and therefore there is need to call for higher taxes in tobacco products. India is world's third largest producer of tobacco and world's second largest consumer of tobacco. The nation needs to take some drastic measures to curb tobacco usage. India has played a crucial role in WHO Framework Convention on Tobacco Control (FCTC) negotiations and has been implementing strict measures to control tobacco usage. The ministry believes that anti-tobacco campaigns should continue till we are able to reduce tobacco usage by 30 per cent.

- Media & Communications Team

- Media & Communications Team

About Fiinova on Fiinova on, a research based organiza on, is an integrated solu on enabler in the CSR and sustainability domain. It is focused towards enhancing quality across organiza onal value chain through meaningful innova on thereby ensuring sustainability. It is Asia's first proposal research laboratory wherein research is focused primarily on four sectors, which include Health, Educa on, Livelihood and Environment. Work is done through different prac ces namely: CSR‐CSO partnership, CSR Policy design, programme design & management, impact assessment, and sustainability assessment and sustainability repor ng. Fiinova on 24/30, Ground Floor, Okhla Industrial Estate, Phase III New Delhi ‐ 110020 Phone: 011‐42332200 | Fax : 011‐42332205 To know more please visit our website: www.fiinova on.co.in | Email: media@fiinova on.co.in


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