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What doesSustainabilitymean atBirla Carbon?
DR GILLES MONINOT
GLOBAL DIRECTOR OF SUSTAINABILITY
16TH MAY 2016
visit: www.sustainability.birlacarbon.com
One Birla Carbon
12 Countries
17 Manufacturing Sites
2 Technology Centers
The World’s Largest Manufacturer and Supplier
of Carbon Black
What is sustainable development?
Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”The Brundtland Report, 1987
Why is it important?
• Critical to the future of society, industry and the environment• Will help maintain Birla Carbon’s position
Sustainability
People
Key Focus areas
Sustainable Operations
Process
Product
ProcessWe strive to be a responsiblesteward of the environment byoptimizing the conversion of carbonto carbon black, minimizing ourcarbon dioxide (CO2) emissions andmaximizing the recovery of theenergy generated by ourmanufacturing process
ProductThrough robust business practices we work to fulfill our commitment to reduce the environmental and social impact of our product while ensuring world-class quality and supply continuity for our customers.
PeopleWe encourage a culture of responsibility which promotes the health, safety, and wellbeing of our employees and the communities in which we operate
Driving Sustainable Operational Excellence
Sustainable Operations
EngageTo take business decisions thatmake our operations moresustainable, we engage with ouremployees, customer and thecommunities that we impact. Welisten to our stakeholders whendefining strategy.
ActWe set ourselves business targets that require us to be agile in our operations. Through responsible stewardship, we adopt the best internationally recognized standards and try to improve on them.
EnableWe invest in creating the optimal governance structure and providing the necessary resources that enable our people to adopt and be a part of our sustainability vision.
Driving Sustainable Operational Excellence
ENABLERS
Driving Sustainable Operational Excellence
Sustainability | Enablers
Our organizational governance supports regional autonomy for efficient decision making, as well as communication with global functional leaders, to share and implement best practices across the company.
This structure also enables the integration of Sustainable Operational Excellencethroughout Birla Carbon
A strong, effective and responsive management structure
Sustainability | Enablers
Strong HS&E organisation
Audit and Grievance process
Adoption of various ISO/OHSAS/SA Standards
Business Continuity Management System
WCM & Best Practice Program
Clear definition of our systems boundaries
Series of relevant KPIs
Formal data collection process
Enablon as database
Robust and clear CAPEX system
Other Enablers
STAKEHOLDERS ENGAGEMENT
Driving Sustainable Operational Excellence
NGOs, civil society and academics
Regulators and government
Competitors
International Carbon Black Association (ICBA)
Banks and lenders
Sustainability | Stakeholder Engagement
Customers
Aditya Birla Group
Employees
CommunitiesSuppliers
Sustainability | Materiality Assessment
Sustainability | Reporting
visit: www.sustainability.birlacarbon.com
RESPONSIBLE STEWARDSHIP
Driving Sustainable Operational Excellence
Sustainability | Target & Progress
Sustainability | Life Cycle Assessment
UN Sustainable Development Goals - SDGs
CSR Performance Monitoring Network
“An audit for one is an audit for all”
Sustainability | Credibility & Perception
Supplier CSR Assessment
Sustainability | Credibility & Perception
Red dot: average of all suppliers.Blue diamond: Birla Carbon position.
(62% for GOLD)
Sustainability | Credibility & Perception
Red dot: average of all suppliers.Blue diamond: Birla Carbon position.
(62% for GOLD)
Score will greatly improve on the next assessment with the information presented in our third / fourth
Sustainability Report
http://www.sustainabiltiy.birlacarbon.com
FUTURE PROOFING
Driving Sustainable Operational Excellence
Sustainability | Future Proofing
Risk mapping and impact analysis
• Oil supply
• Resilience of supply chain
• Natural disasters
• Water risk
• Regulatory developments
• Political instability / Social unrest
• Compliance and Ethics
• …
Enterprise Risk Management
Sustainability | Future Proofing
Conventional Wisdom
• The global middle class will increase drastically in the years to come (especially in developing countries) and as such more people will aspire to comfort and mobility.
• Hence, more cars, more tires, more cables, more planes, more of everything ...
• The future of carbon black is bright ...
What about longer term?
Is that so?
Can we just extrapolate from today’s reality?
Aren’t we overlooking something? ...
Sustainability | Future Proofing
Potential problems
• Larger cities will not permit movement of people that easily, especially by cars.
• What about natural resources? Are we going to get enough raw material to satisfy the demand (carbon source, rubber, metal)?
• What about the future of mobility? Typically a car is used 8-10% of its time currently (90% of the time parked!). The social behaviour of the future middle class generations might change this ratio and might be forced to.
What about longer term?
Future Proofing through
• “horizon scanning”
and
• “scenario planning”
