“Disclosing your green side: Managerial perceptions and awareness about corporate sustainability initiatives in Indian companies”

Saroj Datar

JDBIMS, SNDT University, Mumbai

Chennai 4-5 Jan,2014

Corporate sustainability

It is defined as a company’s delivery of long-term value in financial, social, environmental and ethical terms.

It depends crucially on human resources both inside and outside corporations, especially on their capabilities to be future generators of sustainable values for business and society at large.

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ESG (environment, social and governance) dimensions of business

Organizations need to maintain a delicate balance between managing scares resources, reducing their operational impact on society and environment without compromising the economic viability as a business firm.

The main contributors to effective governance are the leaders, decision makers, and the implementers of the sustainability policies and initiatives related to these three dimensions.

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Requirements for implementing sustainability activities

Build the receptive culture towards adopting sustainability initiatives.

Sensitize employees about these initiatives

Create awareness about benefits of its implementation and impact on organizational outcomes.

Provide incentives to employees for undertaking such initiatives

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Focus of the study

The involvement and importance given to sustainability initiatives by the employees at various levels in the Indian companies.

The sustainability activities undertaken by companies to increase awareness of the managerial level employees towards sustainability initiatives

The various incentive a company provides for undertaking sustainability initiative

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Methodology

Exploratory study Primary research conducted through a

survey questionnaire Questions about sustainability initiatives,

awareness building activities, involvement at 3 levels & incentives given by companies.

Responses collected from 217 Indian companies (161 were BSE listed companies)

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Companies by Industry

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Turnover of companies

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Post of sustainability officer

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Sustainability officer reporting to

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Incentives provided by the companies

Credit points in appraisal (69)Special appreciations by top

authorities (69) Recognition through company

publication (67) Certificate of merit (68) Personal mail/letter by CEO (54) monetary benefit (62)

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Employee involvement at 3 levels

High Involvement at:Top Level - (97 Co.)Middle Level - (81 co.)Lower Level - (77 Co.)It does not indicate any clearer

inclination between the three levels of employees in the organization.

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Preferred awareness building activities Overall company preference

5 most important activities:

No. 1 Inclusion in vision, mission and objectives

No. 2 Providing training, workshops for employees

No. 3 Undertaking training sessions

No. 4 celebrating earth / environment day

No. 5 Inclusion in Induction program

While the 3 least important activities were

organizing film, video shows

organizing slogan completion, brainstorming sessions

Conducting carbon foot printing for employees

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Findings

There is no clear inclination about the employee involvement at various levels for sustainability initiatives

Credit points in appraisal ,Special appreciation by top authorities and Certificate of merit was most desirable incentives. Monetary benefits were not so important.

Inclusion of sustainability in vision, mission, Providing training were most preferred while carbon foot printing, film shows, case study were not.

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conclusion

This study shows that the Indian companies are implementing various sustainability initiatives and are ready to undertake positive actions to build employee awareness related to sustainability issues.

The intensity of involvement from top, middle and lower level does not give clear picture.

The incentives provided for such activities are in a nascent stage at present.

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Thank you.

Saroj Datar

Sarojdatar@gmail.com

JDBIMS, SNDT University Mumbai