Sustainability_report2013 Voda Fone

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Making a difference one step at a time

Footprints

Vodafone IndiaAnnual Sustainability Report 2011-12


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Introduction

CEO speakAbout the reportVodafone India at a glanceMission statementAwardsPursuits that are making a difference Fast Forward Green building initiative

The ReSolve campaign Green networks

Data centre Switching centres Video conferencing

People that are making a difference Streamlining Human Resource function Focusing on diversity and inclusion Talent management Towards a safer workplace Health, Safety and Wellbeing Employee recognition

Products that are making a difference Enabling a smart future Machine to Machine (M2M) solutions m-Education Our solution

m-Health e-Mamta

Partnerships that are making a difference Partnering with the suppliers Partnering with the communities World of Difference Partnering with the customers

Processes that are making a difference Zero tolerance towards fraud Making Information secure Risk management

Legal and regulatory compliance Towards an efficient supply chain e-Sourcing initiative Managing inventory Reducing e-Waste footprint EMF safety Shared services centre International Safety rating system Network safety Building a future fit organisation

Sustainability matrixGlossary

TABLEOF CONTENTS

3

45

7

9

10

11

21

29

33

39

48

49


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Our Mission, Vision and Values

clearly reflect our commitment, not

only to our direct stakeholders but

also to the society we function in.

We are committed to act

responsibly and to maintain the

trust of our customers, our

employees and other stakeholders.

We are committed to devise

innovative business solutions to

reduce environmental impact. We

are committed to deliver products

and services that help build a

sustainable future.

Our journey towards sustainability

is a part of our responsibilitytowards our stakeholders, who trust

us to follow the highest standards

of corporate governance. Reporting

on sustainability helps us analyse

where we stand today in our

journey and ask ourselves what

more can we do tomorrow.

At Vodafone India, we understand that the need to engage in sustainable practices is no longer a choice.

We want and need to contribute positively to the three pillars of sustainability social, economic andenvironmental. These three pillars are integral to the way we run our business and design our policies.

We believe that for a

sustainable tomorrow,we need to investin our today!


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4

CEO SPEAK

Our first sustainability report, released last year, was very crucial for us. It made us realise where we

stood in our journey to contribute to and practice internal and external sustainability. Today, we have

taken a few more steps in that direction. I am happy to present our second sustainability report

Footprints, and to share the progress that we have made so far with all our stakeholders.

We have been chosen as one of the best companies to work for in India, and our initiatives in the field of

rural innovation, CSR and like-wise have made us the most admired telecom operator in India.

During last year, we made significant progress in our energy saving initiatives and laid key emphasis to

foster a culture of health, safety and wellbeing, within the organisation and in our supply chain. In fact,

sustainability was made a part of our business policy, in our India specific mission statement, released

at our Management Conference in April 2012.

As a result driven company, I am keen to set targets in areas wherever possible be it the use of energy,

paper, water, and so on and measure our improvement vs. them. We would like to be seen as leaders in

the telecom industry, in terms of transparent and ethical practices and as a company that contributes

to the society it functions in.

Our reporting still remains work in progress, as there is so much to do and to learn.

Being a responsible business is not only about what we do for our employees, our customers and forthe society, but also about what we do in partnership with them. Let me close by simply saying thank

you to all who have contributed to those efforts so far.

Marten Pieters

MD & CEO

Vodafone Sustainability Report 2011-12

Steps taken today, should inspire tomorrowAt Vodafone India, we understand that what is good for society is also

good for business. Thanks to the nature of our business, we are

intrinsically sustainable our technology improves the daily life of people

everywhere. But thats not enough. In true sense, a responsible business is

one that is good for people, good for the environment and good for our

shareholders. And we aspire to be no less.


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We first published our sustainability report in

2011, but our sustainability journey started

much earlier. Initiated in 2007, our journey

towards sustainability began from the sense of

responsibility we feel towards our stakeholders

and the society that we function in. During these

five years, we have gradually grown across

various dimensions of sustainability, creating

programmes and policies that build value for our

stakeholders by addressing our social,

environmental and economic impact.

In 2010, we conducted a formal Corporate

Responsibility dialogue with our key internal and

external stakeholders including customers,

government/regulators, employees,

suppliers/contractors, local communities,

media, investors and NGOs to establish thepriorities and identify the domains that matter

to our business and are of key concern to our

stakeholders. What followed was the mapping of

the stakeholders expectations with our business

priorities to devise a sustainability strategy

specific to our Indian operations.

The key topics that emerged as a result of the

dialogues were health and safety of our

workforce, workforce diversity, our support tocharitable initiatives and health issues related to

the base stations.

PURSUITS

PEOPLEPRODUCTSPROCESSESPARTNERSHIPS

ABOUTTHE REPORT

This years report, titled Footprints, presents our

sustainability journey since 2011 by

encapsulating the key programmes and policies

under five categories:

Our vision is to be recognised as the leading

Indian telecommunication company, for our

responsible and ethical behaviour, contributing

positively to the world around us.

Last year, our goals centred on being a

responsible and an eco-efficient company;

engaging with and contributing to our local

communities and delivering sustainable

solutions that benefit Indian society

This year, our strategic sustainability focus

areas may be grouped into 2 broad buckets:

Delivering transformational solutionsOperating responsibly and ethically

This report has been prepared in accordance with the Sustainability Reporting

Guidelines G3.1 of the Global Reporting Initiative (GRI). It also meets the

requirements of B Reporting Application Level. The scope of the report is limited to

all operations under the entity Vodafone India Limited, unless otherwise mentioned.

The report showcases our sustainability philosophy, which focuses on making a

difference to our people, to our partnerships, our processes and pursuits, and to the

products that make a difference to our stakeholders.

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Outline of 5Ps:

Productsthat make a difference

Processesthat make a difference

Peoplethat make a difference

Pursuitsthat make a difference

Partnershipsthat make a difference

How you canmake a difference

From inclusion to education, from

grass-root entrepreneurship toprotecting the environment, andfrom promoting renewable energyto energizing local economies, ourproducts have been developed tousher economic, environmentaland societal well-being.

From in-depth research on EMF tonetwork optimisation throughtimely interventions, fromconserving energy through

technology to managing wastethrough a strong resolve, ourpursuits are the manifestation ofour passion for sustainability.

From joining hands with thegovernment bodies andcollaborating with NGOs, fromempowering rural women to

accelerating environment friendlytransport, our partnershipsdemonstrate that what one can dowell, two can do better.

Each one of us can play a part inmaking this earth a better place.

From strengthening governance to

periodic performance disclosures,from encouraging a green supplychain to empowering the talent pool,our processes are geared toinstitutionalise sustainable practicesand make them second nature.

From simple acts like donating

blood to more difficult ones likedonating time, and fromvolunteering to teach children topicking up the broom to clean cities,our people are the change we wishto see in the world around us.

6Vodafone Sustainability Report 2011-12


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Vodafone India Limited and its telecom

subsidiaries (Vodafone India Group or VI Group),

headquartered in Mumbai, is the second largest

mobile network operator serving over 150

million customers in India with a presence in all

23 telecommunications circles. We are a

subsidiary of the Vodafone Group Plc, world's

leading international mobile communications

group with over 404.6 million customers as of

31 March, 2012.

We bring together voice and data, wireless and

wireline services to help businesses harness the

power of total communications solutions. We

focus on providing value through our

high-quality, innovative solutions, and let our

customers do the talking. Our commitment to

our customers has made us the Most TrustedService Brand in India. During this year, we have

seen an 11.8 % increase in subscriber base and

20% increase in voice usage volume.

In line with the governments objective to

improve rural penetration of telephony services,

we have worked continuously in the last few

years to establish a strong rural presence. We

marked a growth of over 21% in our rural

subscriber base in the FY 2011-12 to becomethe second largest rural wireless operator in the

country. Owing to easier access and lower cost

of mobile phones, it is expected that the next

billion internet users in the world will access the

internet via mobile phones. With this there is,

undoubtedly, a huge opportunity for us to

further serve the unconnected such as, the rural

sector and bridge the digital divide.

Also within the Vodafone Group, we have firmly

established a strong position by securing the

highest subscriber base globally. This journey is

a strong testimony of our success in a highly

competitive and price sensitive market of India.

In a nationwide survey, we were ranked Indias

Best Marketing Company for the year 2011-12where we beat competition from within the

industry as well as other players, including

multinational companies, in India. We have been

awarded the Most Admired Telecom Operator

and Best 3G Operator at the recent Telecom

Operator Awards 2012. The work done by us in

addressing social and environmental concerns

while maintaining profitability and generating

economic value has earned us the reputedGolden Peacock Award for Corporate Social

Responsibility. We have also received the

globally recognised Product of the Year 2012

consumer award for Vodafone Applications

Store in the Mobile Services Category.

In another survey conducted

by Nielsen, we were the only

telecom player to feature

in the Top 10 Most ExcitingYouth Brands in India.

VODAFONE INDIAAT A GLANCE

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We also feature in the Top 10 Most Trusted Brands in India for 2011, in a survey conducted by a leading

financial daily.

Serving the needs of an enterprise, Vodafone Business Solutions is a total communications offering that

caters to all their voice and data, wireless and fixed-line requirements. With the advantage of global

expertise and experience and the knowledge of local markets, this business is run through the followingverticals Vodafone Global Enterprise, SME, National Corporate and Key Accounts. Since its inception,

Vodafone Business Solutions has garnered over 3 million corporate customers in India and currently

provides services to over 6000 global and national accounts, equipped with a robust and superior

network infrastructure and a 24x7 Network Operations Centre (NOC). Vodafone India has been awarded

the 'Enterprise Mobile Service Provider of the Year' at the 2012 Frost & Sullivan India ICT Awards.

We continue to actively support Mobile Number Portability (MNP) and consider it beneficial for service

providers as well as customers. It provides flexibility and choice to the customers to select their service

provider, while retaining their mobile number. It is a good test for customer loyalty. From the time that

MNP was introduced till the end of March 2012, we registered a net gain of around 1.7 million customers.

We will continue to provide our stakeholders excellent services, innovative products and enriched

experiences. We aim to make a difference with everything we do.

Vodafone India Revenue1

Total voice usage (Minutes)

Total SMS messages handled

Number of Subscribers

Prepaid subscribers

Postpaid subscribers

Data users

Total base station sites

Prepaid percentage

Number of stores

`321,844 mn

680,661 mn

81,099 mn

150.46 mn

143.0mn

7.5mn

30.2mn

110,004

95%

463

8

Key stats and figures As of 31 March 2012

1 Vodafone India+ 42% Indus Vodafone Sustainability Report 2011-12


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Our shareholders respect us because

We follow ethical business practices

We communicate in a fair and transparent way

We enhance companys reputation and brand value

We do everything to protect our shareholders interest

MISSION STATEMENTWe will enhance value for our stakeholders and contribute to society by providing customers with

innovative, affordable and customer friendly communication services.

Through excellence in our services we aspire to be the most respected and successful

telecommunications company in India.

We see our customers, employees, shareholders and the community we operate in as our most

important stakeholders.

We enhance value through deliveringaffordable, reliable and customisedcommunication services which are simple touse, enjoyable, seamless and secure.

We define success as delighted customers whorecommend us to others

Our customers respect us because

We understand their needs We create innovative services We consistently deliver on what we promise We are transparent and trustworthy in our interactions We provide a secure and reliable network We offer affordable products and services

Customers

We enhance value through growing the companysrevenue and profitability while creating sustainablefree cash flow through efficient resource utilisation

and effective risk management.

We define success as creating sustainable value bydelivering great shareholder return

Shareholders

We enhance value through providing enrichingcareers and long term growth opportunities in afair and collaborative work environment.

We define success as happy employees withgreat careers

Our employees respect us because

We provide a healthy and safe work place

We encourage mutual respect, trust and appreciation

We promote diversity and treat them inclusively

We conduct ourselves with transparency and integrity

We pursue speed and simplicity in all that we do

We recognise and admire accomplishments

Employees

We contribute to the society by supporting authorities inmobilizing social change and achieving their economicgoals, creating value for our business partners andcontributing to the social & economic development oflocal Communities.

We define success as being the most respected telecomcompany in India

Our community respects us because

We act responsible towards our environment

We create community connect

We stimulate business and economic growth

We have high standards of corporate governance

We conduct our business with transparencyintegrity and fairness

Our Community(Business partners, Authorities, Influencers and Local Communities)

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11/51Vodafone Sustainability Report 2011-12

One of the Best Companies to Work for in

India - Study by The Economic Times & Great

Place to Work 2012

Corporate Social Responsibility award -

Golden Peacock Award 2012

Value Services in rural innovation category

for Low Balance Services ET Telecom

Awards 2012

Top Green IT Enterprise Award 2012 - CIO

Leadership Summit supported by

APC-Schneider

Bronze in the Direct Lions category for best

low budget campaign for the iFold initiative

(Green initiative - to save paper) Lions (2012)

CEO of the Year Marten Pieters - TelecomOperator Awards 2012 by tele.net

Enterprise Mobile Service Provider of the Year

- Frost & Sullivan India ICT award (2012)

Most Admired Telecom Operator - Telecom

Operator Awards 2012 by tele.net

Vodafone App Store V Store recognised as

the Product of the Year 2012 in the Mobile

Services category - Nielsen survey

Best 3G Service Operator - Telecom Operator

Awards 2012 by tele.net

7th Most Exciting Youth brand - Survey by AC

Neilson and Brand Equity (Feb 2012)

Ranked No 1 in overall customer satisfaction

- Hindustan Times customer satisfaction

National Survey 2011

Top 10 Most Trusted Brands in India 2011 -

ET Brand Equity annual survey 2011

Best Marketing Company for 2011 -

Survey done by ET Brand Equity

Excellence in marketing and Most innovative

Retail - Global ET Telecom awards 2011

CIO100 award for Enterprise IT - CIO Magazine

AWARDS

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Our pursuits reflect the extent to which sustainable development

practices have been embedded in the way we do things.

From waste management, to green buildings, from efficient data

centres to green networks, we are taking sustainability to the next

level through our initiatives.

Pursuits that are

making a difference



At Vodafone India, sustainability is a journey, not an objective. We constantly strive to make sustainable

practices an intrinsic part of our business strategy, touching every project, process and person.

Advocating a comprehensive approach, most of our initiatives are designed to make our stakeholders an

equal partner in the process; sensitising them to the socially responsible practices and encouraging them

to make this world a better place.

Our employees, across India, attempt to conduct business responsibly and to give back to those who

have supported us in all our endeavors. We hope to have left our footprints in their life.

Fast ForwardRealising the need to employ greater energy

efficient methods, our Corporate Property &

Facilities Management team initiated the Fast

Forward - Energy Optimisation project in

February 2011.

As a part of this project, we examined the areas

in facilities management, within Vodafone India,

to identify and implement energy optimisation

initiatives across all circles. The team came up

with 27 energy optimisation solutions.

Implementation of these solutions was

periodically monitored and reviewed by

the Corporate Property & Facilities

Management team.

We have achieved more than 80%implementation (national average) of these

solutions across circles, which would reduce

energy consumption in offices by 5%.

PURSUITS

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The well-integrated facets of sustainability and corporate

responsibility, in our approach and policies, are among our

highest priorities. We strive to achieve sustainable growth that

benefits our stakeholders, partners, customers and employees,

along with the communities we operate in. We understand the

need for a coherent CR policy, not because it is expected from

us, but because we know it is the right thing to do. It is

something we feel very passionately about.

- Manu Kapoor, Director, External Affairs


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At Vodafone India, our sustainability strategy is to lead by example. We were the first telecommunicationsservice provider to start operations in UP East (UPE) circle, which has a population of 130 million people.

Our UPE operations directly employ about 470 people and over 4000 people are associated with us in

various capacities. While the Circle head office is in Lucknow, we also have six zonal offices and four

branch offices in the state. Given our size, we are conscious of our energy usage.

We understand that the energy situation in UP (East) is poor power is a scarce resource. However, we

are committed to improve energy efficiency in our operations and our offices, despite the costs.

- Ravi Santhanam, Business Head, UP (East) Circle.

When we had to relocate our office to a new building, our Administration and Facilities Management

team, headed by Major Sharad Saxena decided to seek out Leadership in Energy and Environmental

Design (LEED) certification for the new premises based on the international United States Green Building

Councils (USGBC) rating system. He was strongly supported by the Circle Business Head, Ravi

Santhanam and General Manager of Human Resources, Syed Rizwan Ashraf.

No building in UP, barring Noida, had sought/received LEED certification. As we were going to be tenants

in the new building, with no example to draw on, we had to convince the builder on the benefits of

adopting elements of LEED.

With our strong determination and effective cross-functional collaboration between our administration,

supply chain and human resources functions, we managed to get the buy-in of the builders.

Case studyTaking a cue from Vodafone Indias strong commitment towards environmental protection and

sustainability, the Punjab-HP (Himachal Pradesh) team set itself the goal of energy conservation and waste

management. The Circle formed a core team that identified implementable projects, which were thenincluded in the Fast Forward programme.

Instead of settling for small measures, the circle team looked for radical solutions to reduce energy

consumption. Their pioneering project was to replace conventional lights with LEDs across offices within

the Circle. This project alone registered 30% savings in the power consumption costs. The core team was

recognised with the Think-Tank award for its successful implementation. The Circle also installed mist

spray for air conditioners resulting in 15% savings (approximately).

The Punjab-HP Circle has initiated work on rainwater harvesting and is also taking key steps in the area of

waste management.

This positive outcome has encouraged the Circle team to undertake more ambitious projects.

The Circle implemented all the 27 energy optimisation solutions enlisted in the

Fast Forward programme.

Case study

Green building initiative

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What does this mean for us?Our electricity cost remained same, despite moving from a 27,000 sq.ft. office to a 70,000 sq.ft.

sprawl of office space.

We managed around 52% reduction in baseline water consumption on account of installation of

efficient water fixtures.

During construction, we demonstrated exemplary performance in construction waste

management by diverting 100 % of waste going to landfill.

With optimal space utilisation and ergonomically compiled seating and workstations, we provided

comfortable space to our employees.

Reducing office wasteand promoting recycling

The ReSolve campaignAs a responsible telecom company, we started

the ReSolve campaign to manage

non-hazardous solid waste, increase awareness

amongst employees and communities and to

enhance livelihoods. By means of this initiative,

we identify and collaborate with diverse

stakeholders to bring about a change and to

make a lasting difference.

We initially piloted the campaign in six Circle

offices Mumbai, Kolkata, Delhi, Chennai,

Mohali and Ranchi. To accomplish the project

Putting forth a conscious effort to preserve our

ecosystem, we focus on the three Rs reduce, reuse

and recycle when we think about our waste.

objective, we have partnered with credible

not-for-profit organisations at each Circle cities.

The campaign has witnessed tremendous growth

and positive response in all these Circles over the

year. For example, in Kochi, we partnered with the

NGO - Plan @ Earth to segregate and recycle

waste paper. This partnership driven by the

Supply Chain Management function (SCM),

resulted in the recycling of more than 4000

kilograms of waste paper.

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Our team has been successful in fostering the Green Building Movement in Uttar Pradesh (East). We

received a Leadership in Energy and Environmental Design (LEED) platinum certification, the top-most

certification in this category, for our Lucknow office. While this initiative is another manifestation of our

commitment to the environment, as part of the Fast Forward philosophy, it also enabled us to improve

our employees health and productivity.


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PURSUITS

Total waste collected as on

31st March 2012:

Overall waste recycled:

Waste composted:

317 Tonnes

(Includes paper, plastic, tetra pack, food waste)

84.21%

(Reflects % reduction in landfill load by recycling waste)

3.5 tonne

(Another 15 tonne is in process)

Chennai CircleWe strongly believe in self-sustainability and the

role that Project ReSolve can play in

contributing positively to our community.

On identifying an opportunity to integrate the

youth in the ReSolve campaign and to raise

awareness amongst them, the Chennai circle

demonstrated the waste management process

at the Annual Science Expo of Chettinad

Vidyashram School, Chennai. The event

witnessed an overwhelming response from both

students and teachers, who were curious to

learn and adapt. The students eagerly

participated in all the activities and inundated

our Green Ambassadors with questions

and concerns.

In addition, the Circle also adopted MRC Nagar

as the community to implement this project.

Various initiatives were taken to engage thecommunity in this project.

Waste collected from the office premises and

community was sent to a waste composting

facility. We hired 900 sq.ft of suitable place in

Chintadripet, Chennai for secondary segregation

of waste. Kitchen waste was dried and used to

produce manure, which was distributed free of

cost towards plantation of trees in the

community. Other wastes such as paper and

plastic were sent to appropriate recyclers.

This activity also provided livelihood to seven

people. This project helped in the collection of

nearly 41,410 kilograms of food waste and

generation of about 350 kilograms of compost.

Going forward, we intend to make this exercise self-sustainable by creating wealth from waste, and

generating revenue with the sale of recycled waste and compost to wholesale and retail buyers.

On receiving an overwhelming response from employees and partners alike, this programme has

expanded to six other circles and we look forward to its roll-out in all 23 circles by 2013-14.

The campaign is based on the simple ideology of reduce, reuse and recycle. It includes:

Introduction of appropriate waste management practices in Vodafone offices

Generation and enhancement of livelihood opportunities among associated workers

Sensitisation of stakeholders on waste management practices, like recycling

Employee engagement activities for community awareness and behavioral change

Adoption of a pre-defined community-area near Vodafone offices for project intervention

We are committed to effectively contribute

towards environmental sustainability. Besides

serving this larger cause, we are glad that through

our campaign ReSolve, in partnership with an

NGO, we were able to provide job opportunities to

seven people belonging to the economically

weaker section. Such outcomes motivate usfurther to partner in similar initiatives.

- Suresh Kumar, Business Head, TN and Chennai

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Kolkata CircleCommitted to integrating the basic guidelines of the ReSolve Campaign into its operations, several

programmes were designed to educate the employees and empower the community. In partnership

with the NGO - South Asian Federation for Environment (SAFE), we conducted a waste management

awareness drive, in the eateries and other corporate offices, in the Kolkata Circle office premises.

Thus, allowing the representatives of the establishments to study our plan. We also conducted capacity

building workshops. On receiving an overwhelming response from over 39 offices and restaurants,

we sponsored coloured bins in the premises to aid segregation of waste.

Identifying an opportunity to leverage the campaign and to create employment opportunities, we then

developed a detailed plan for effective segregation of waste and manufacturing of products made from

the recycled materials. While wet food waste collected from this project was used to make good quality

compost through the process of vermicomposting; paper waste collected was sent to the paper mache

processing unit to make pulp that acts as the base for making various eco-friendly products like

lampshades, trays, pen-stand, pen-case, shopping bags, etc.

Participation of the community is integral to this initiative. With the objective of creating a sustainable

income generating model, 12 youth members, under the supervision of SAFE, undertook the entire

scope of activities that ranged from collection of waste to the manufacturing of products. Furthermore,

to enable them to effectively execute their responsibilities and develop entrepreneurial skills, we

conducted training sessions at regular intervals. Our employees organised and managed exhibitions,

providing a platform to exhibit the talent and products of the youth members. To sustain this initiative

further, we will dedicate an annual sum for the purchase of these products and give them as gifts on

various occasions. Moreover, through street plays and web auctions, we will raise awareness amidst the

community and other stakeholders.

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Fast Forward in the Networks Function:

The Fast Forward initiative with an objective to reduce wastage and enhance efficiency was started

in the first quarter of 2011. In the networks domain, a 14 member dedicated team representing

various Circles worked for 3 months to identify problem areas, workable and implementable

projects. The team identified 20 projects and 50 solutions which included:

Reduction in diesel consumption

Prevention of diesel theft

Surrendering lease lines

The solutions identified are under various stages of implementation across Circles, with nearly

80% of recommendations already deployed.


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PURSUITS

Green networksAs a leading operator in India, we have a network

footprint of over 1,10,000 base stations, as of

March 2012. More than 90% of our base stations

are located in regions where electricity from the

grid is unavailable, partially available or

unreliable. These base stations are therefore

heavily reliant on diesel generating sets to

ensure round-the-clock availability of

communication services.

Majority of our base stations (~87%) are

co-located along with other operators base

stations, at third party tower company sites,resulting in reduction of electricity and diesel

consumption. We are a major contributor in this

industry initiative for reducing consumption and

emission by sharing resources, especially when

The total waste handled under this project was 51,492 kilograms, which resulted in the creation of

eco-friendly products valued at INR 35,000 (approximately).

Steps undertaken We deployed hybrid solutions (i.e., diesel

generators and batteries working in alternate

modes, with intelligent controllers), takingthe total site numbers to 2435

Our initiative to deploy variable speed diesel

generators yielded fuel efficiency by

optimising the generator operation, based on

the actual load. 234 sites are now powered

by variable speed diesel generators. This

move has demonstrated the potential to

decrease diesel usage by 35 %

RESOLVE is a pioneering model of partnership between corporate, community and the civil society

that can be an exemplary initiative in reducing landfill emission from solid waste dumping

- John Durham, Chief Environment Officer, US Consulate New Delhi

when he visited ReSOLVE site on 28th October, 2011

spectrum shortage drives up the need for

additional sites. Of the 13% sites where we

have operational control, we continue to take

definitive steps in managing energy (electricity

and diesel) consumption.

During the reporting period, we deployed

358 inverters at indoor sites. The inverters

help in using back-up battery to run the airconditioner during power failure, which

reduces the generator run time

Deployed fuel catalysts at 1,182 sites.

Installed in the fuel in-let pipe, these fuel

catalysts are passive devices, which increase

the combustion capability of fuel and

thereby reduce 8-10% carbon emission

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Data centresOn an average a computer is said to be running

at a third of its computing power, at any given

time. If three computers are used for three

separate applications at a third of their

computing power each, there is a redundancy of

two computers in terms of computing power.

Virtualization is pooling together the computing

power of the servers and assigning it as and

when required, to reduce these redundancies.

Last year, we focused on virtualization of serversand adopted blade servers wherever possible.

This year, our key focus has been in the area of

improving energy efficiency in our data centres.


We continued to complete the virtualization of

all servers (wherever possible). This exercise

alone helped us bring down the number of

servers by 430. In terms of reducing energy

requirements for running and cooling the

servers, this translates to achieving carbon

emissions reduction by as much as 1700 tons of

CO2e a year.

As we progress from consolidation of data

centre resources to virtualization and then ontooptimisation, our ambition is to move towards

cloud computing. Cloud computing offers

scalable infrastructure and saves space,

hardware and power.

In our journey towards cloud computing, we are moving from providing on-demand computers to

on-demand computing.

- Ranganathan Ramani, Vice President, IT Infrastructure

Benefits of Cloud computing: Scalable infrastructure on demand

Agility to business in launching new services on time

Reduces physical space occupied by servers

Save capital and operational expenses

Reduces energy consumption

18

We have also identified base stations that can

work in a non-air conditioned environment

and have started removing air conditioners

from these sites. These sites are being

equipped with fan filters for air circulation,

thereby reducing energy consumption

We have successfully deployed solar solution

at 70 off grid sites resulting in 75% reduction

of diesel generator run time


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PUR

SUITSStorage

We identified an improvement area in terms of consolidation and optimisation of application data

for consumers. We realised that by optimising active data storage, which is hosted online, less storage

equipment needs to be online which implies that lesser energy is required to power and coolthe equipment.

End user computing resourcesIn the past, we achieved significant reduction in energy consumption by moving from CRT monitors to

TFT (LCD) displays. During FY 2011-12, by moving to more energy efficient operating systems (Win 7)

on desktops and laptops and by deploying power management policies on desktops and laptops we

achieved potential reduction of 1300 tons of CO2e per annum. Now we intend to replace all desktopsat the workplace with laptops, when they come to the end of their life.

We are targeting 3000 desktops to be replaced with laptops, leading to a potential

reduction of 750 tons of CO2e per annum.

Switching centresSwitching centres host the exchanges that switch telecommunications traffic between different mobile

phone and fixed line networks and between customers. These centres typically house a variety of

equipments that require cooling and need to be powered at all times, thus consuming considerable

amount of energy.

Our switching centres account for as much as 30% of our energy consumption. We undertook energy

efficiency audits to identify potential areas for improvement. As a result of the audit exercise, we

implemented the following initiatives (amongst others) to reduce the energy consumption:

Renovation of existing switching centres and infrastructure to enhance efficiency

Consolidation of switching centres, where improvements and capacity enhancements were notfeasible

Optimisation and standardisation of network and utility room temperatures

Introduction and leverage of fuel catalyst in diesel generators across all switching centres to increase

the fuel combustibility

Introduction of 140 units of next generation digital scroll precision air conditioner machines which

are efficient at part loads

Energy saving due to replacement of legacy network nodes with the latest energy efficientnetwork nodes

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PURSUITS

Video conferencingWe continue to employ and encourage the use

of video-conference facility for meetings as a

substitute for travel. The networks are

strengthened to ensure good quality, seamless

video-conference across all our offices in India.

In addition to saving considerable costs, use of

these systems is a safer option as opposed totravel, which carries a significant amount of risk.

During the year we saw increased adaption of VC

services across our enterprise. Number of VC

sessions increased by 2.5 times and led to

reduction in the amount of travel the

employees had to undertake. On a conservative

estimate, we have saved 4500 tons of CO2e

during the year on account of travel.


As a result of these initiatives, we have managed to reduce our energy consumption at Switching Centres

by nearly 14.76%, while enabling incremental capacities to the tune of 50% with reduced Switching

Center resources.

We are proud to be a significant contributor to Footprints in the areas of

energy efficiency, carbon footprint reduction, optimal usage of infrastructure,

selection of environmental friendly technology and safety of our employees,

partners, vendors, etc. The benefits that we see today are a reflection of our

continued focus on these areas for the past many years.

- Vishant Vora, Director, Technology

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People are at the center of Vodafones sustainability strategy. We invest in

their training and development and strive to build a safe and conducive

work environment for them. We see our people as ambassadors of our

values, and empower them to make a difference.

People that are

making a difference



While empowering our employees, we focus on optimising the roles of their key touch point the Human

Resources function. We have implemented the HR Business Partner for each function at corporate, to

focus on the business strategy and launch of the HR Shared Services for all employee queries and our

Centre of Expertise (COEs) that brings in a specialist experience in the HR functional domain, in areas ofRewards, OE (organisation effectiveness) and Talent.

We have an employee portal -AskHR as a one-stop-shop for all employee communication needs like HR

Updates, Policies, Processes, Employee Self Service and Manager Self Service. On an average, we have

15,000 hits per month, thus bringing in complete transparency on all HR processes. Since the launch of

the AskHR portal in April 2011 till March 2012, we have recorded 157,724 hits on the website and

registered 45,320 queries (calls and emails) to the service centre. Also our HR Systems enable employee

self service in travel, medical claims, performance dialogue, leaves etc. Our employee CSAT on HR

services is at 85%+ on speed, quality and overall services that our team provides to all the stakeholders.

Streamlining HumanResources function

PEOPLE

22

We recorded the employee

engagement index of 81

and aggregated manager

engagement index of 78,

which is above the

Vodafone group score of 77

and 74 respectively.

Employee Statistics

Male

Female

1485

8822

Seniormanagement

2691469

8569

Middlemanagement

Others

Headcount

AskHR


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Focusing on diversity and inclusionDiversity and inclusion continue to remain a top priority

for us at Vodafone. While we recognise the value

proposition of having a diverse workforce, we are alsoaware that it requires continued efforts and

reinforcement over time.

With 14.4% of our workforce being women, changing

the existing mindset and forming a culture that drives

inclusion of women in the organisation is an area of

focus. We continue to provide the right eco-system in

terms of structured interventions to reiterate the

importance of a diverse workforce. This year, taking our

efforts a notch higher, we worked towards breaking theunconscious biases against women in a workplace and

support women in tackling the barriers to career

progression at a cultural level. Some of the highlights

from the year are:

Sustainability means different things to different people. Its all about

developing a mindset that pushes us to meet the current needs of people

without compromising the ability of future generations to meet theirs. People

are the organisation's most valuable asset, their willingness to drive practices

and to adapt to change, coupled with structured thinking and long-term vision

helps us achieve our targets and make progress as a responsible business.

- Ashok Ramchandran, Director, Human Resources

95% of all our people managers have undergone the Inclusive Leadership workshops

We have structured interventions to work with existing women employees to plan and advance

their careers. The programmes include self-empowerment career series Pathways to Success; 1 year

mentoring programme conducted by the Execo for high potential women employees; Leading Ladies for women employees interested in making career in general management

We prepared the Maternity Transition Note outlining activities like planning, communicating

maternity leave to the line manager, holding a discussion of promotion cycles, transferring the

responsibility and other activities for a smooth transition before and after the leave. Of the 68 women

who availed maternity leave in 2011-12, 93% of them returned to work following the leave

We launched the Vodafone Inclusivity Network this year. All employees can join this forum that

focuses on how to change the culture to drive inclusivity at our workplace

We also conducted activities like health workshops and health checkups for our women employees

We have strengthened the exit interview processes in order to understand the reason for people to

leave the organisation, and the factors leading to it

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Talent managementWe recognise that it is necessary to create a

sustainable environment for our people so that they

continue to be relevant to the business, as we grow.As a part of our talent management initiatives, we

primarily work on building sustainable environment

to manage succession plans for critical roles and

groom our people for these roles.

We provide customised training programmes and

plan career paths for our employees, based on their

potential, talent and performance. An employee

with high potential is groomed via development

journeys that enable us to fast-track his/her career

within the function. Some of the flagship talent

management programmes are:

Senior Leadership Acceleration Series

Building Leaders of Tomorrow

Young Leaders Program


We also host career conversations with our

talent pool through the Know Your Talentforums at the corporate level. Owned by the

functional heads, they enable them to know

their talent across corporate functions and circle

operations and plan succession for critical roles.

Each circle hosts a circle development board,

which catalyses talent management at circles

and funnels up talent to higher/better

opportunities. We also have early career

programme Discover, under which we recruitgraduates from management and technology

campuses. Management trainees, technology

trainees and finance trainees are given special

trainings, in order to feed young talent into the

commercial/human resources/finance

leadership pipelines.

Employees who have demonstrated high

potential are also given an option to take up

global roles. Last year, five of our employeestransitioned to global roles. Further, we sponsor

some of our employees for the two year

Columbus Graduate programme. Once they

graduate, they may also be nominated to workin other local operating companies of the

Vodafone Group. We also nominate our talent

into the Global Talent development programme

- INSPIRE.

Through our learning and development

initiatives for our employees, we seek to provide

a standard learning experience to all employees

across circles and provide a ready pool of

interventions that would save cost, time and

effort and ensure quality.

In building capacity, we focus on business

related knowledge building and functional

training to instill the Vodafone Way in

management and leadership styles and

personal development.

The various training programmes this year

added average training hours per employee to

20.43 hours for internal trainings and 9.30 hours

for external trainings.

INSPIRE


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P

EOPLE

Incident reporting/ learning:

Towards a safer workplaceSafety of our employees is at the core for us. We believe that senior management commitment is

essential to make our work environment injury free and safe for every individual associated with us.

Senior Management Tours are conducted on a regular basis to encourage safe working conditions and

practices. Moreover, we are in the process of establishing various standards and work practices for

sustained safe working. Also we believe in an open culture in incident reporting across all levels.

We emphasise on incident reporting. All the major incidents are reported to the Global HSW team within

24 hours of their occurrence. Local business heads supervise every incident and ensure adequate

investigation. It is ensured that the learning from the incidents is captured and actions are taken across

the circles.

In acquiring, nurturing, integrating and retaining talent, our focus is not only around what of performance

but also around how of performance, bringing a more mature performance management system with a

visible linkage to the Vodafone Way of Speed, Simplicity and Trust. It is not just appraising our employees,but also about letting them set SMART goals, coaching them for superior performances and ensuring

continuous development, through regular feedback and review empowering them at every step.

Circle programs

National programs

Band F1 & above Band F2 & G Band H & below

814 709

3000.83275.5

22065.4

7121

Integral to the philosophy of our sustainability journey, is our commitment

to guard the health, safety and wellbeing (HSW) of our employees and

other partners and associates. We understand the importance of nurturing

a safety-first environment and adopt a no-compromise attitude. We aspire

to provide an incident-free work environment.

- Sunil Sood, Chief Operating Officer

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Health, Safety and WellbeingExpect the Unexpected

We conceptualised the Expect the Unexpected programme this year to translate our belief that injuriescan be prevented into actions and to foster a safe work environment. Under this programme, the

participants were given case studies on safety to promote a thought provoking approach in imbibing a

culture of safety. Over 250 employees underwent this programme, which garnered a positive response.

This programme would also be extended to all the people who work for Vodafone India, employees,

contractors, etc.

1@ Risk initiativeThe business we operate, involves thousands of people who work with us at cell sites, markets etc., and

are exposed to various risks like road travel, working with electricity and working at heights. 1@Risk

initiative focuses on identifying the person at risk, the nature of the risk associated and finally ensuring

that all the precautionary measures that could prevent injuries are taken. All the circles took up various

initiatives on this front throughout the year. To assess the effectiveness of these campaigns, a

competition was conducted PAN India and three circles were awarded.

Road safety our major focusAccidents occurring on the road, due to work-related travel are one of the

key risk areas. To mitigate its impact, multiple initiatives have been takenduring the year:

Two-wheeler defensive driving sessions: the sessions were attended

by over 22,000 employees and contractors

Responsible mobility campaign: it intended to promote

responsible use of mobiles, especially while driving

Education and enforcement of the Absolute Safety Rules

Prepared and cascaded the standard driving procedure

Integrated safety requirement into business formats(specifically for Sales and Marketing front line Sales Executives)


Some safety initiatives by circles:

Mission Reach - Tamil Nadu

We launched Mission Reach to sensitise people on the 7 Absolute Safety Rules (ASRs) and safe driving

standards. As a part of this programme, our on-roll employees are assigned partner employees (those

not on our payroll) to cascade awareness on safety. Our employees then communicate the safe driving

standards and principles to their assigned partner employees. Special emphasis is laid on those whofrequently use two-wheelers to carry out the business, as we believe that they are most vulnerable to the

safety risks. This programme has been piloted in TN and will now be extended to all circles.

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P

EOPLE

We believe that through melas, a popular concept with the people of UP, we imparted basic knowledge

on vehicle fitness, importance of appropriate documentation such as insurance and consciousness on

ones health across Indias most populous state. Similar initiatives were taken in other circles like Bihar,

Kerala and Rajasthan.

Supporting our plethora of safety programmes, campaigns and drives, is the Consequence Management

Matrix (CMM) a graded disciplinary process for violations which was cascaded this year. This will serve asa deterrent and is a sign of our resolve in taking safety seriously.

Safety is a business imperative for us. We believe management commitment and employee

engagement are vital for sustained safety performance.

- Uday Deshpande, Associate Vice President, Health, Safety and Wellbeing

This programme is helpful in connecting with the last-mile, communicating to him/her our care and

message for safety effectively. Along with our employees, the programme also helps these partner

employees to become our safety ambassadors, who are now proud to talk about safety at work, at home,

with friends and with the society! Through this programme we were able to reach out to over 500 partner

employees in TN, and by taking this initiative PAN India we aim to reach to thousands of people who are a

part of the Vodafone Indias eco-system.

Safety awareness drive - Haryana

We launched the Retail of Tomorrow initiative in Haryana circle last year. Under this innovative initiative,

the mini-stores in Haryana were used as platforms to spread awareness on serious social issues through

interactive and engaging methods like street plays, dhol performances, etc.

One such programme was Nukkad Natak, a street-play-based programme designed to emphasise the

importance of road safety to our customers and educate them on our 7 Absolute Safety Rules.

In Haryana, where road rage is persistent, this programme was especially relevant and reiteratedVodafone as a brand, which cares for the community. We saw participation from the Deputy

Superintendent of Police, Traffic, Panipat, educating the general public on various aspects of pedestrian

safety, traffic rules and safe driving, during the programme.

27

Safety Mela - UPE

In the Uttar Pradesh East (UPE) circle, we decided to reinforce the Absolute Safety Rules (ASRs) by

adopting the concept of melas to reach out to the larger public. We held the mela in 10 different towns

and cities across UPE.

We engaged with our employees, their families and other visitors through innovative and entertaining

means like:

- Free vehicle fitness checks

- Free health check-up (both conducted at the entry to the venue itself)

- Safety walk demonstrating safety equipment

- Safety games like riding arena for two-wheelers, puzzles on traffic signs and quizzes on safety


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P

EOPLE

We value our employees and we value their contributions. Our workforce is our strength and we want our

employees to feel valued and realise that their work does make a difference. At Vodafone, one of the best

companies to work for in India as per a study by The Economic Times, we acknowledge the priceless

contributions made by our employees under the following categories:

Target or performance driven recognition programmeCulture driven recognition programme

Some of the culture driven recognition programmes are:

Employee recognition

We also work towards enhancing the physical security of our office premises, data centres and switch

centres. We regularly conduct risk assessments of all our premises.

As a result of our consistent efforts in safety, across the country, we have been

able to save 17 lives!

Vodafone Global HeroesThe Vodafone Way is about a consistent way of working, with Speed, Simplicity and Trust. Vodafone Global

Heroes is a quarterly initiative that identifies and recognises employees (in band G and below) who

contribute to and embody The Vodafone Way.

Vodafone SStarsA SSTar is someone who operates with Speed, Simplicity and Trust. This programme recognises the

employees contribution at three different levels:


Level 1: SSTars

An on-going exercise, it celebrates the demonstration of Speed, Simplicity and Trust at work with a special

SSTars e-card. Any employee can recognise a colleague or team member across functions and circles

through an instant SSTars e-card, any number of times.

Level 2: SuperSSTars

A monthly exercise which celebrates the exemplary demonstration of Speed, Simplicity and Trust at work.

The chosen employee is awarded points from the functional kitty that can be redeemed against gifts. Any

functional or cross-functional colleague or Line Manager across circles can nominate an employee with a

proper justification, any number of times during the month.

Level 3: MegaSSTars

A quarterly exercise which celebrates the consistent and outstanding demonstration of Speed, Simplicity

and Trust at work. The MegaSSTar finalist is shortlisted by the Recognition Board comprising BusinessHead, HR Head and Functional Heads, every quarter in every circle. The winner is awarded a lapel pin, a

certificate and points that can be redeemed against a pre-decided gift voucher.


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We constantly endeavor to utilise our technology and

expertise to develop products that can contribute to the

businesses becoming more sustainable as well as to the

development of the society. Whether it is smart metering or

asset tracking for the enterprises or education, banking and

rural entrepreneurship or digital inclusion of individuals,

we strive to make our products a means of empowerment.

Products that are

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PRODUCTS


Machine to Machine (M2M) solutionsUsing M2M technology to develop solutions that enable machines to connect with each other, and to

integrate several functions and operations for one seamless system, we help organisations in

dramatically improving efficiency, significantly reduce operation and maintenance cost, better assetmanagement, increased service speed and create new revenue streams. Our location tracker solution,

which uses M2M technology, is helping one of the beverage leaders to track assets online and to

monitor the deliveries, resulting in enhanced business efficiency. Utilised by many Vodafone customers,

Smart Metering, is another innovative solution that allows energy and utilities companies to efficiently

collect meter data and provide two-way communication for their residential, commercial and industrial

customers. Smart Metering also provides a way to offer increasingly personalised services and reduce

pollution and carbon emissions.

Using M2M communication, one of the state municipal corporations is monitoring and controlling water

levels in reservoirs and tanks, which help in reducing water pilferage, wastage and leakages with timelypreventive actions. Another Vodafone customer is using M2M technology for remotely controlling street

lights which helps in energy consumption and reducing operation costs. At Vodafone, we are committed to

identifying and developing solutions that enable the companies to deliver better to its customers needs.

We strive to innovate and utilise technology to

develop products that better facilitate the

functioning of an organisation and improve the

lives of millions across the country. Through

customised technological solutions, we strive to

make our products as means of empowerment for the businesses and the community.

We constantly work towards ensuring that

our technology is a force for beneficial and

lasting change.

Enabling a smart futureSustainability for Vodafone is a long-standing

commitment. However, achieving sustainability

in emerging markets, like India, can be quite

challenging. We aim to not only provide

communication solutions, but to

provide customised solutions thathelp our customers increase

efficiency in their supply chains.

- Naveen Chopra, Director,Vodafone Business Services

Connecting an MNC giant with the farmersContributing towards a larger goal, we collaborated with one of the worlds largest confectionery

companies to establish direct communication with the producers of cocoa. Our solution enables

the farmers to indicate the quantity and date of the produce through a voice portal. While the

farmers can indicate the quantity and date of the produce through the portal, the companys

sourcing team is able to efficiently plan its collection routes using the information collated

from the portal. This seamless communication system enabled by the voice portal has

resulted in a win-win situation for both, the farmers and the company.

30


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Effective July 2011, the surrounding plastic packaging of all the SIM cards that we sell, has

been reduced by half. We worked with our suppliers to bring about this small yet fundamental

change in the packaging process. With our average SIM card sales figure of nearly 18 million

per month, this move is yielding a significant reduction in the amount of plastic consumed.

At Vodafone, we are committed to reduce the environmental impacts of our products and

services, and we undertake numerous initiatives towards the same. We constantly engage with

our suppliers and customers to raise awareness and deliver change.

Case study: Adult Learning programmeAccording to the Census of India (2011), the literacy rate recorded for Andhra Pradesh was 67.7 % as

opposed to 74.04 % for the country. Furthermore, the Andhra Pradesh State Literacy Mission Authority

(APSLMA), which runs adult learning programmes in the State, notes that only 62% of those enrolled in

adult education programmes across 40,000 villages complete literacy programme; the percentage of

female enrollees completing the programmes is even bleaker at a 59%, the remaining being dropouts.

When we got involved with APSLMA, we realised the high dropout rate could be contained with closer

monitoring of attendance. We came up with a simple solution for directly recording information on

attendance, including male-female attendance ratio from every village and collating the informationacross villages immediately for dissemination to the authorities.

m-EducationEducation is integral to the development of every

country. It plays a critical role in catalysing

positive change and in empowering the people

to achieve their dreams and aspirations.

Determined to spread literacy and give every

individual an access to education, we at Vodafone

India have developed solutions that enable

m-Learning and support Adult Learning a state

wide literacy programme, conducted by the

Education Department of the government.

Reducing the impact from SIM cards

From May 2011, we introduced the simple concept of delivering the bills to our customers in a

smaller sized envelope, by folding the original bill. With nearly 6 million bills printed every

month, this small step is helping us save millions of trees each year.

Saving trees, one fold at a time

31

Sharing of education content via mobile,

m-Learning serves as a classroom, enabling

people to study and accomplish their dreams.

It works as an effective tool for children, women

and elderly, providing them a convenient

platform to study within the confines of their

home. By delivering education at their

doorsteps, we hope to enlighten millions across

the country.


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PRO

DUCTS


m-HealthDue to its sheer magnitude, India faces numerous challenges while trying to meet the basic healthcare needs

of the people. However mobiles, with its wide reach, can and have been playing an important role in healthcare

sector at the regional, community and individual levels. m Health or mobile health is an effective tool to

make round-the-clock healthcare facility available for all. Taking cognizance of this very critical issue, Vodafone

India took a step in the healthcare sector with its project e-Mamta.

Our solution

The system enables tracking of following parameters:

In every village, the coordinator daily sends an SMS, using

a Vodafone SIM, recording the attendance information to

a central system attached to our network. The systemsummarises the information and disseminates it to all

concerned personnel within a couple of hours.

Status of learners (male, female, caste ratios)

Attendance of coordinators (village, district, state)

Progress of learner (course completion)

Expenditure of the centre (monthly)

Functioning of the centre (feedback)

Overview of age of learners, sex ratio, castebreakup and dropout behavior

Overall mission progress through dashboard

Since the introduction of the system, there has

been progress in reporting of attendance from all

40,000 villages daily in Andhra Pradesh. On an

average, around 21,000 centres conduct classes

The satisfaction in being able to write ournames, finally, makes up for the difficulty

we have to go through, like the lack ofelectricity, etc...

- Adult learner, Woman aged 48,village - Ghatkesar, district - Ranga Reddy

Case study e-MamtaThe high infant mortality rate recorded in many

Indian states has been a cause of concern for the

government and the community. To address this

issue Gujarats Rural Health Mission introduced

e-Mamta Mother and Child Tracking System

programme. Under this programme, the ASHAs

(Accredited Social Health Activist) collect health

related data of all the community members andfeed it into a centralised system. The system is

programmed to send timely updates to all the

ASHAs and the mothers on their mobule, thus,

enabling the ASHAs to monitor the health of themothers and their children on a regular basis.

Since e-Mamta is executed through alerts sent on

the mobile, Vodafone developed a voice CUG

solution and provided 40,000 SIM cards to the

ASHAs, doctors and health-workers. As a result, the

mothers can now establish contact with the ASHAs

and health-workers any time to avail the services

and avoid any adversity. During the year, in which

the e-Mamta programme was introduced, a fourpoint drop in the infant mortality rate was

witnessed. We plan to partner with the government

for many such initiatives, in future as well.

every day, covering around 1.7 lakh adult students.

We have noticed that after monitoring has started,

even early morning classes are being scheduled.

As the system requires only the use of mobilephones by village coordinators, it provides a

simple yet effective medium for the Directorate

and District Headquarters to track the progress on

adult education on a daily basis. We are happy to

work with the Department of Adult Education, in

line with our objective of making a positive

contribution to the society.


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Collaborating with our vendors and suppliers to

design feasible, cost effective solutions, to

associating with the non-governmental

associations, we always believe in fostering

sustainable partnerships. This stems from our

belief that what one can do well, two can do

better.

Partnerships that are

making a difference


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Partnering with the suppliersOur partnerships with the suppliers are intended

to create complete value-management and

generate new opportunities, leading to

enhanced cost efficiencies for the business.

We proactively conduct supplier management,

relationship management and sustainabilityprogrammes with our suppliers.

Our selection of suppliers is based on stringent

processes. We require the suppliers to sign the

Code of Ethical Purchasing (CEP2 ) and include

clauses on anti-bribery in their contracts. In

addition to the capability and reliability criteria,

we also consider safety and sustainability

performance of the vendors, before on-boarding

them. We encourage the vendors andcontractors to adopt effective health and safety

management systems, which have been

incorporated as a critical evaluation parameter

in the selection of vendors.

Towards the beginning of 2011, our supplier

base had a count of over 52,000 suppliers. As a

part of the supplier segmentation exercise, we

undertake periodic consolidation of this supplier

base. We focus on high-risk suppliers and

periodically evaluate and score them on health,

safety and wellbeing parameters. We also

conduct audits on the implementation of CEP

for the high-risk suppliers.

As of March 2012, we reduced our supplier base

by 56% in order to control work activities better

from safety standpoint as well as quality and

other parameters. We assess and evaluate theperformance of our suppliers through the

Suppliers Performance Evaluation process. This

PARTNERSHIPS

is conducted bi-annually and captures feedback

across the performance pillars. All the high-risk

suppliers are evaluated and are required to attain

minimum acceptable scores in the evaluation.

HSW forms an integral part of the vendor

evaluation, with 20 of our top vendors being

assessed in HSW under Supplier Performance

Management (SPM) this year.

Our engagement with the suppliers is through

multiple channels, one of them being our

Annual Supplier Conclave. This year, the two-day

conclave was themed Sustaining Partnerships.

Through presentations, interactions and stalls at

the conclave, we communicated our interest incultivating long-term partnerships with the

suppliers and reinforced our stance on health,

safety and wellbeing practices, environment and

waste-management.

Internally, we have trained all the employees of

the supply chain function on health, safety and

wellbeing aspects as well as CEP, in continuation

to the initiative started last year. The supply

chain function is now 100% compliant to therequirements of CEP.

We train our vendors on the use of personal

protective equipments and fire prevention

services at sites and warehouses.

We also recognise the commitment

shown by our vendors on HSW

and reward outstanding

performance by them at the

annual vendors meet, hosted

by respective circles.


2 Code of Ethical Purchasing(http://www.vodafone.com/content/dam/vodafone/about/sustainability/vodafone_code_of_ethical_purchasing_with_guidance.pdf


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At the heart of our foundation is the belief that our mobile communications technologies can address

some of the world's most pressing humanitarian challenges and our responsibility is to utilise our

innovative mobile technology to improve people's lives.

The Vodafone Foundation recognises that education and women empowerment are critical catalysts for

positive change. As part of our social investment programme, the Vodafone Foundation funds projects in

India which focus on both support and disaster relief. The Vodafone Foundation also supports the unique

World of Difference programme.

The Vodafone World of Difference programme is a flagship initiative run by the Vodafone Foundation.

This programme operates in 22 operating countries worldwide and enables people to take time out from

their regular jobs and work for a charity of their choice. This is a unique way of taking corporate giving

that goes beyond the traditional cheque book approach tapping into skills, expertise and passion of

individuals so that they can make a difference to their community.

Railway Helpline: Empowering railway passengers

in Tamil Nadu

World of Difference

Harnessing the power of technology for the

greater benefit of the society, we collaborated

with the Government Railway Police (GRP) in

Chennai to promote an emergency customer

support helpline (9962 500 500) for railway

passengers. Enabling the commuters to seek

assistance from police in emergency situations,

the central helpline desk routes the case to the

nearest railway police official for takingnecessary action.

In 2011, the helpline received 3,747 calls

reporting complaints about nuisance, missing

passengers or baggage and use of prohibited

substances. Through this initiative, we hope to

provide commuters access to a platform that

will provide immediate redressal of grievances.

To raise greater awareness about the availability

of this service, we have partnered with the GRP

to promote this service across railway stations in

Tamil Nadu. We have done promotional drives

across railway stations and on-board trains.

Moreover, dedicated helpline booths have been

created at the Chennai Central Railway Station

and Chennai Egmore Railway Station.

Through this service, we hope to give the caller

the power to act and deal with a potentially

harmful situation and harness the true power

of communication.

Partnering with the community

35



Sonal Gordon and Krishna Chaitanya Vakati, were among the 20 passionate employees, selected for the

World of Difference programme from over 150 eager applicants from all across India. Sonal was selected

to work with Aangan Trust in Mumbai, on their Shakti project which helps safeguard the vulnerable girl

childs right to safety, protection and development. Chaitanya dedicated his time to Rashtriya Life Saving

Society (RLSS), an organisation dedicated to reducing accident-related deaths through first-aid, aquatic

and life-saving courses. Both of them used their skills and expertise to make a world-of-difference to

their NGO partners.

Case studies

life-changing experience for the 20 employees

and for the NGO they worked with.

Many employees travelled to diverse locations

in India, leaving their family and friends behind,

to work on their assigned project with the NGO.The 19 NGOs benefited from the additional

resource, energy, enthusiasm and fresh

perspective that the Vodafone employees

brought to them, providing more than what

money alone can give, to make a lasting

difference in a short time period.

36

Sonal is extremely passionate about

empowering the girl child. Working with the

Aangan Trust enabled her to fulfill her

long-cherished dream of working for this cause.

During her time, Sonal developed a set of

innovative materials and activities to increase

the participation of young girls in Aangans

educational initiatives.

From teaching basic life skills to young girls

living in the slum communities of Dharavi and

Govandi, to creating a library of materials for

Aangans use on child rights issues, Sonal made

an invaluable contribution to the organisation.

The popular introduction of Sorry and Thank

you cards to young girls living in care to help

them express their emotions among peers

easily, is a highlight from Sonals placement.

Aangan Trust: Sonal Gordon

The World of Difference programme was

launched in India in November 2011 and offered

20 Vodafone India employees with a

once-in-a-life time opportunity to work on an

exciting project placement for six weeks with an

NGO of their choice. Whilst embarking on this

unique learning and development opportunity,

Vodafone employees underwent focused

training in the social sector and continued to

receive their salary. The programme in

partnership with DASRA, India's leading strategic

philanthropy foundation, proved to be a


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Chaitanya helped Rashtriya Life Saving Society (RLSS) develop a sustainable communication strategy to

showcase their 15-year-old expertise in the life-saving space. Chaitanya leveraged his experiences and

expertise to develop lasting partnerships for RLSS with various corporates.

After careful study of their working model, Chaitanya developed a detailed marketing plan to help

increase the visibility of RLSS with focus on utilising technology. Moreover, he also assisted RLSS in its

fund raising efforts.

Chaitanyas role in re-developing RLSS communications plan including audio-visuals, communication

templates, pitches and souvenirs was crucial in RLSS plans to scale new heights. He believes that with

RLSS, his aim is to make a small but significant difference in the world. Im confident that one person can

make a difference and Ill do just that.

Launching World of Difference in India for the first time has been such an exciting development for

everyone involved. The results of the endeavors of the 20 brave employees, who left their family and

friends to work with an assigned NGO, have been truly overwhelming for all to see. From juvenile

detention centres to rural villages, the journeys made have been phenomenal. Feedback from our NGO

partners show that these 20 people have created real impact on the ground within a short space of time.

Furthermore, it has been wonderful to see that the experience has brought great satisfaction, a different

perspective and many new friendships to all the participants,

- Laura Turkington, Country Director, Vodafone Foundation

PARTNERSHIPS

37

Rashtriya Life Saving Society (RLSS):Krishna Chaitanya Vakati

She also developed a complete training module on beginners English for teachers, besides bringing

creativity through painting and singing during the language lessons. This enhanced learning, and made

the lessons more fun for everyone.

Sonal looks forward to continuing to touch the lives of as many girls as possible and make them aware of

what power they have within themselves and what difference they can make to their world.


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PARTNERSHIPS


Partnering with the customersWe partnered with a leading beverage company

to provide inventory, supply chain management

and sales force automation solutions.The objective of the partnership was to enable

the companys sales force to take online orders

for multiple Stock Keeping Units (SKUs) from

more than 147000 points of sale throughout

the country.

We also collaborated with a renowned

smart-phone manufacturer, and developed a

mobile application. The phones used by the

sales representatives enabled them to connect

with the company network, and remotely

access the online ordering system and check

stock availability.

The solution offered seamless order fulfillment

and reduced response time and order related

errors. It also increased the convenience ofretailers and promoted better utilisation of

sales opportunities.

Customers are our most important stakeholders.

We always look forward to understand their

needs better and deliver innovative

services, consistently.


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Whether it is empowering our talent pool, collaborating to enhance our

supply chain, or protecting customers from breach of security, we firmly

believe that institutionalising effective processes and implementing them is

essential to sustain any positive measure. In this section, we talk about

processes that ensure smooth running of our operations, thereby making a

difference to the value generated for our internal and external stakeholders.

Processes that are

making a difference

SK

RI


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In this dynamic industry, beside other risks, new fraud threats and business continuity are fast emerging

as key focus areas. We, at Vodafone India, are committed to protect customers interest and ensure

continuity in service.

- Pramod Rao, Senior Vice President, Fraud, Risk & Security


The telecommunications industry in India has

experienced rapid growth in the recent years.

With this rapid expansion, the industry is

constantly facing newer risks and challenges.

The increase in fraudulent activities such as use

of our network by unauthorised subscribers,

subscriber identity thefts, use of

telecommunications services in organised

crime/terrorist activity pose a serious threat to

our subscribers, our reputation and the society.

The external climate notwithstanding, at

Vodafone, we are committed to provide our

employees, stakeholders and customers an

environment where security risks are minimal

and pose little threat to the business. We work

towards mitigating these risks by addressing

telecommunications fraud management issuesand strengthening internal controls for fraud

detection and investigation.

PROCESSESWe have invested in the safety of our customers.

We have dedicated teams that work towards

identifying and investigating call record patterns

that are unlikely or unnatural. We believe that

proactive vigilance is vital in limiting fraud risks

and exposure. In a situation where we suspect

a security threat, we bring it to the attention

of law enforcement agencies or other

concerned authorities.

We are also aware of an organisations

susceptibility to internally perpetuated fraud.

Our Fraud, Risk and Security function works

together, with other teams, to investigate

incidents, make recommendations and

implement initiatives such as the whistleblower

hotline, duty to report mandate for employees,

referral verifications and candidate verifications.

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Zero tolerancetowards fraud

Recognising the fact that the industry faces

similar instances of fraud and must come

together to combat fraud, in 2011, we worked

with GSMA to revive the Asia Pacific Fraud Forum

to encourage interaction and knowledge

sharing between various players in the industry.

The Forum, GSM operators from India, UAE,

Malaysia and Singapore came together to share

best practice in managing telecommunicationsfraud, techniques to identify and analyse fraud

against member networks, and effective

solutions in managing instances of fraud.

As a key member influencing the revival of the

Forum, we have been widely acknowledged

for our efforts by GSMA and other members of

the industry.

Makinginformation secure

Believing that proactive vigilance is vital in

limiting fraud, risks and exposure, call record

patterns identified as unlikely or unnatural

are immediately reported to the law

enforcement agencies or other concerned

authorities. Moreover, to ensure customer

information privacy and to maintain the

highest level of customer service, our systems

ar

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