Professional Documents
Culture Documents
Welspun Corp SR2016
Welspun Corp SR2016
Resilient
TO WITHSTAND CHALLENGES
CONTENTS
01 02 04
Chairman’s Message MD’s Statement About the Report
07 10 11
Our Business Corporate Governance Our Environment
14 19 24
Our People Our Communities Our Sustainability
Performance
26
GRI G4 Index
CHAIRMAN’S MESSAGE
freshwater. Though our operations
are not carbon intensive, we
consciously monitor our carbon
footprint and initiate projects to
reduce the same. During the year,
we have explored several energy
conservation measures through
periodic energy audits and proactive
maintenance of equipment.
MD’S STATEMENT
The report boundary includes calculations have been duly provided essential part of WCL’s sustainability
WCL’s domestic operations at Dahej in the relevant sections of the report. approach. Through regular formal and
(Gujarat), Anjar (Gujarat) and Mandya We are in the process of refining our informal engagements, we develop
(Karnataka), similar to the report sustainability goals and objectives mutually beneficial relationships
boundary of our first standalone and will be reporting on the same in with our stakeholders. As part of our
report published in FY 2014-15. The the next report. stakeholder engagement process,
entities within the report boundary we identified the following key
have been selected on the basis of The data and statements presented stakeholder groups:
our level of control and nature of in this report have not been externally Employees
operational activities. This report assured. The GRI G4 content index Customers
also includes the data from Welspun provided at the end of the report Business partners
Foundation for Health & Knowledge provides an easy reference to all (vendors, contractors including
for certain social performance the GRI performance indicators and contract labourers)
indicators, relevant to WCL. standard disclosures. For any further Regulatory authorities & industry
query/ clarification/ suggestion associations
Data presented in the report has been related to this report or WCL’s Local community
either sourced centrally from our sustainability initiatives, please reach Investors
Enterprise Resource Planning System out to us at [email protected].
or directly from the operations The scope of the engagement in
included within the report boundary. Stakeholder Engagement FY 2015-16 was limited, mostly on
The data measurement techniques Understanding the stakeholders’ account of the sluggish market
and underlying assumptions / concerns and expectations is an conditions that virtually impacted
Regulatory Authorities
Local Community Investors
& Industry Associations
Engaged through: Programmes Engaged through: Annual/ Engaged through: Engagement
with WFHK on health, sanitation, quarterly meets, investor on a need basis, participation in
water and education related relations cell industry level consultation groups
issues on relevant issues along with peer
Interest areas: Compliance, companies
Interest areas: Environment timely disclosures
impacts management Interest areas: Regular and timely
Our response: Collaborative submissions of compliance related
Our response: Technology approach with investors through documentation
upgradation like zero discharge various business forums
plant, STP project Our response: Active collaboration
with regulatory agencies
our entire business operations, the critical issues that impact the
alike any other organisation in the priority stakeholder groups.
world. However, we are committed
to expand our engagement Following are the high significance
methods and use the subsequent - high impact issues:
output in our future disclosures. Constructive Collaboration
WCL’s senior management is very Customer Centricity
much determined to continuously Health, Safety & Environment
improve upon sustainability Inclusive Growth
performance and devotes Innovation
pre-decided time for the same. Product Quality &
Technological Upgrade
Materiality Assessment
Majority of time during this year
was spent on getting our house in Reporting boundary for
order. More so, on account of the material aspects as per GRI
market pressure and performance. framework
Therefore, the contents of this Following is the mapping of WCL’s
report are defined more from sustainability issues identified in the
WCL management’s perspective report with the GRI G4 aspects and
and with limited inputs from the applicable aspect boundaries.
external stakeholders. Our senior The boundary of material aspects is
management identified the key restricted to our Indian operations
business functions that serve as and business partners comprising
touch points for the critical internal contractors, sub-contractors and
and external stakeholders. Then, suppliers.
along with the functional heads
and other employees, the senior
management ideated to bring forth
Health, Product
Constructive Customer Safety & Inclusive Innovation Quality &
Collaboration Centricity Environment Growth Technology
Upgradation
OUR BUSINESS
We believe in excelling in what we do by providing our customers,
products with unmatched quality and by increasing value for
shareholders.
WCL is a publicly held company
headquartered in Mumbai, India
and is listed on the Bombay Stock
Exchange (BSE: 532144) and the
National Stock Exchange
(NSE: WELCORP). We are one
of the world’s largest welded line
pipe manufacturing company and
our products are mainly used to
transport fuels - an indispensable
source of energy. This kind of
responsibility makes us deliver the
best, every time.
Facilities Location
Organisational Structure
emphasise upon providing skill approach in line with global development of new products with
development training to our standards, we apply stringent enhanced quality parameters. We
personnel to strengthen the quality parameters during vendor also share project requirements with
operations and career growth selection. We conduct periodic our vendors in a transparent way to
of our employees. This in turn reviews and audits of our vendor ensure timely delivery of products
creates significant opportunities operations to ensure and enable with the highest levels of quality
for employment in the organisation the right quality standards in the and compliance. We acknowledge
thus contributing to the economic materials purchased. Quality, health, and promote local procurement
development. We are in the process safety and environment are the for economic development of the
of refining our sustainability risks most significant aspects checked by region. However, the nature of the
and will be developing a roadmap us during vendor approval. We also products sourced by us to service
based on the same, which will be engage with the vendors through our International clientele leaves
reported in our next report. meetings, phone calls and emails to us with a minimal scope for local
resolve queries and seek feedback. procurement. During the year,
Working together with Vendors We collaborate with competent 13.77% of the total procurement was
Since our Quality Management vendors and provide them from within India.
System is a process-based complete technical assistance for
CORPORATE GOVERNANCE
Our business is built on the principles of transparency and sound
values that define the way we do business. This helps us maintain a
level of trust with our stakeholders and reduces the operational risks.
Empowerment Environmental
Women Management
Livelihood Water, Waste,
and Skill Board of Directors
Recycling and
Development Conservation
OUR ENVIRONMENT
Protecting and conserving our environment is integral to our business
philosophy. All our facilities have a robust environment management
systems in place that ensures environment friendly production and
we regularly engage with our local communities for developing
conservation initiatives.
Energy & Climate Change
The concern for climate change
at WCL is not just limited to being
a responsible corporate, but is
also considered as a business
imperative. We believe that there
are multiple strategic advantages
that can be realised by exploring
several energy conservation
measures through periodic energy
audits and proactive maintenance
of equipment. Across our facilities,
we have saved approximately
4,39,559 kWh of energy through
energy efficiency initiatives
like installing VFDs, digital
temperature controllers, LED
fixtures, etc. Our direct energy
consumption accounts to 5,40,880
GJ, whereas indirect energy GHG EMISSIONS (%)
consumption accounts to 2,86,484
GJ, in comparison to 4,07,304 GJ
and 2,13,467 GJ respectively in
FY 2014-15. Our GHG inventory
is mainly due of the use of fossil
fuels like furnace oil, HSD, natural
gas, etc. Our energy saving
initiatives accounted for 1,582
GJ savings, which approximately
translates in monetary terms to
savings of ` 29,68,962.
Installation of 30 W LED
fixture at “Crossroad
Display Board” in place of Annual direct GHG emissions (Million tCO2-e)
150 W metal halide lamps.
Energy saving of 7,735
units in FY 2015-16 that
approximately resulted in
cost savings to the tune of 0.02 0.03 0.04
` 54,145.
FY 13-14 FY 14-15 FY 15-16
7,93,671.64
include plates, coils, welding
PET bottles that are sent to Stree
consumables and granules. The
Mukti Sanghatana, a local women’s
major associated process materials
Semi-manufactured Self-Help Group for recycling.
that are a part of our production
goods/parts (MT) Additionally, we have been using
processes include oil, greases,
recycled notepads in training
inserts and films. There is virtually
centres which are made from
no or limited packaging used, given
paper waste generated from our
the nature of our products.
corporate office. These initiatives
Across all our facilities, we regularly are not only pro-environment but
1,027.13 monitor the waste generated from
our operations and identify areas
also have a social welfare approach
ingrained into it. We also encourage
Packaging for waste reduction, recycling and employees to reduce plastic
Materials (MT) reuse. Waste disposal is carried out consumption, water consumption
through appropriate methods and and energy consumption through
directed to authorised channels awareness.
of disposal as per the by-laws of
* The above table does not include the consumption data of grinding wheels (0.11 million), paint (753.54 KL), x-ray films (510 pieces) and oil (47.79 KL).
38%
We do not have processes that are patterns. The offices use municipal
water intensive, hence, our water supply water for daily consumption
withdrawal does not significantly purposes like drinking, cleaning,
impact any local water body. Our flushing etc. The major industrial
operations use water supplied usage of water is for coating
of recycled
from local municipalities and we applications on line pipes.
water used
Biodiversity and the requirements of installing within the plant premises. Moreover,
All our facilities have carried out environmental quality control there are no ecologically sensitive
the required Environmental Impact equipment to contain these impacts. areas in the vicinity of the operation.
Assessment (EIA) studies at the Regular monitoring reports are Several plantation drives were
time of establishment and have been submitted to relevant regulatory undertaken across our facilities and
reviewing the related environment authorities to communicate the in total 1,38,711 saplings were planted
management programmes during performance of the company over across our facilities and the average
the course of expansion as per set indicators. As per the EIA studies, survival rate was of 92%. These
the EIA notifications. It includes none of the rare/ endangered/ drives were conducted with active
standards related to the permissible threatened flora and fauna species participation of local community
level of environmental impact of listed in the IUCN red list or National and stakeholders.
our operations that is allowed Conservation List were recorded
OUR PEOPLE
Our employees are an intrinsic part of our identity, they are our true
wealth. We have a strong team of 3,146 employees who are working
together to drive excellence through the products and services that
we offer.
We care for and strive to and strengthen their skills to excel As an organisation, we respect
provide our employees with an in their roles. We have built an the rights of our people and have
enriching experience, giving them effective framework of fair policies, implemented robust policies to
opportunities to grow and the practices and benefits, which allows ensure that these are upheld across
flexibility they need for a healthy talent to thrive, and excellence to all of our operations. We celebrate
work-life balance. Our core family become a way of life. our differences and capitalise on
values differentiate us from the the intrinsic values of a diverse
rest. Those are the foundation The Human Resources (HR) workforce, including gender, race,
on which our business has been team at WCL focuses on colour, religion, age, nationality or
built. We are committed towards building a stable but a dynamic any other factor.
acting responsibly; respecting and organisation by adopting the core
improving the lives of the values embedded in our people, As an equal opportunity employer,
people we impact. processes and practices. We have we believe in meritocracy. To this
transformed our employee value end we have instituted a fair and
From recruiting the right talent to proposition by augmenting key an objective system to evaluate
fostering lasting careers, human HR processes, namely - talent our people’s performance, ensuring
capital forms a critical part of resourcing, employee engagement, that it is aligned with our broader
our organisational development competency development, strategic objectives and
strategy. We provide adequate performance management and operational goals.
avenues for our people to develop recognition.
3,146
Welspun family, is extended to our approach
to human resource management.
75
collaboration, dynamism, innovation and
inclusive growth – have been passed down
over the years within the company. Today,
these values define how we engage with New Employees
society.
Recruited
Smart Leaders Programme: Smart Leaders is a long term programme, spread over 4
months with an intensive learning structure. While the classroom sessions are spread over
3 phases – Terrain, Ascent & Zenith. Learning is also driven through group exercises on live
projects which will enable application of the learning.
To promote and uphold the rights of our people and enable a decent and ethical workplace, our operations
at Anjar and Dahej are SA8000 certified. We respect the right of freedom of association as well as collective
bargaining in our plant locations.
OUR
COMMUNITIES
Welspun impacts lives by
working with our communities
through a diverse range of social
interventions that aimed at
securing stable and sustainable
futures.
We aim to promote a modern vision By 2020, we commit to working waste management systems and
for villages in India where they are together with 20 villages to e-connectivity including public
technology enabled and sustainable. implement replicable smart WiFi, public announcement systems
A ‘Smart and Sustainable Village’ solutions that not only empower a and CCTV cameras. The project at
would provide communities with better way of life, but also secure a Versamedi will directly impact the
employment, while creating ancillary healthier environment for residents lives of 1,500 households.
livelihood opportunities leveraging by promoting greener living.
‘smart’ technologies and green
growth opportunities. Versamedi at Anjar (Gujarat), is the
first village identified for transition
A smart sustainable village uses into a ‘Smart and Sustainable
information and communication Village’ through an integrated
technologies (ICTs) and other means approach by addressing a broad
to improve quality of life, efficiency range of community needs.
of rural operation and services, and Our sustainable development
competitiveness, while ensuring programmes at Versamedi include
resilience to meet the needs of interventions in the following key
present and future generations with impact areas – education, skills
respect to economic, social and development, healthcare and
environmental aspects. hygiene, access to clean energy,
Empowering Women
a catalogue of sustainable
contemporary products, such
as decorative pillows, rugs,
table linen sets and other
accessories with an indigenous
appeal.
Key Achievements:
8 Vocational centres have
trained 748 women in cut and
sew, SPUN and Rags to Rugs
line of products
219 women have been
absorbed by Welspun India
We believe in creating an Our key initiatives towards women Limited
environment conducive for women empowerment include: Through the project,
where they can make decisions SPUN – Threads with a Soul we have developed 12,34,562
of their own for their personal Under SPUN, products are products, increasing earnings
benefits as well as for the society, fashioned at local village by 13%
as it strengthens social cohesion centres and are marketed
and resilience. Our focus has been with the aim of creating a
on enabling women to create global brand identity with a
alternative livelihoods and improve contemporary edge, rooted
their earning capacities. Economic in handcrafted traditions and
independence amongst women home-grown aesthetics. By
improves gender equality, advances reviving traditional arts and
their social status and increases indigenous techniques such
civic participation. as block printing, kantha
embroidery, mirror work and
Vocational training and skills applique techniques, this
enhancement centres have project seeks to connect rural
been established to provide women artisans and craftsman
opportunities for women to learn with urban markets.
and develop new skill sets such as
garment making and sewing. Each Rags to Riches – from Waste
training centre is structured as a to Wealth
social enterprise and managed Waste is wealth depending
like a professional business with on how it is managed,
targets, quality standards and transformed and then
efficiency metrics. repurposed. Driven by women,
the ‘Rags to Riches’ model
To support trained women, the seeks to reimagine waste, using
Welspun Group endeavours to it as a raw material from which
provide them with consistent orders, further value may be derived.
ensuring that impact is sustained Factory scraps are re-used
across the lifecycle of the project. in innovative ways to create
Promoting Education
Improving the accessibility and crafts are integrated into a Benefits of our education
quality of education is one of holistic learning approach. programmes:
the major issues facing the rural Quality Education Project at Improved quality of education
communities where we are present. 41 government schools in Anjar Technical skills development
Many of the schools around reaches out to over 10,000 Reduced rate of drop-outs
our plants do not have modern students. Better employment
amenities, are poorly equipped and Deployment of 60 Para opportunities
lack infrastructure. This leads to teachers at Anjar.
poor teaching quality, increasing ‘Smart Classes’ installed in all
drop-out rates and sub-standard 28 schools in Anjar to deliver
learning. Over the course of the the curriculum in an engaging
next five years, by 2020, we plan to and interactive audio-visual
extend the reach of our education format. Libraries, furniture
projects to 1,100 schools in Anjar. & televisions to aid teaching
through audio-video mediums
Our key initiatives on promoting were installed in primary
education include: schools at Kudregundi & Holalu
Welspun Vidya Mandir at Anjar villages in Mandya.
focuses on providing quality 3 Adult Literacy Classes for 175
education to 1,500 students, women at 3 villages in Anjar -
up to standard XII and Ratnal, Sinugra and Satapar.
following the CBSE curriculum. Vocational training at a
Extracurricular activities such Secondary School in Ratnal,
as community engagement, Anjar where 55 students from
welfare programmes, art and the 9th grade are being trained
The villages in areas where we camps, blood donation drives, Facilitated a Pulse Polio
have a presence lack access to and awareness sessions on Drive in association with
basic healthcare facilities, and maternal healthcare, child care, District Government Health
where they are available, they malnourishment, HIV/AIDS, Department across Mandya
lack infrastructure or are often hygiene and sanitation District
unsuitable to address needs of To promote hygiene and Over 2,150 toilets have been
the community. Where primary sanitation, 1,500 toilets have constructed across our
healthcare services are unavailable, been constructed at 18 villages communities
there is a rise in illnesses. While in Anjar, Gandhidham and Mobile Healthcare Vans at
this lowers productivity leading Rapar Taluka 17 villages reaching 20,000
to income losses, it also results in Blindness Control Programme individuals
higher costs for curative treatment. for elderly people where 468
This is a vicious cycle that must individuals were screened and
be broken. 85 referred for eye surgery
Economic performance
Revenue ` Million 50,424.25 50,963.75 39,183.07
Operating cost ` Million 47,093.07 47,294.48 37,026.90
Employee wages & benefits ` Million 1,467.51 1,893.31 1,937.85
Payments to provider of capital ` Million 2,239.81 2,128.05 1,926.60
Payment to Govt. (tax) ` Million (100.36) (97.90) (409.83)
Community investment ` Million Nil 0.77 Nil
Economic Value Retained ` Million (275.78) (254.96) (1,343.45)
Financial assistance received from Govt. ` Million 1,720.66 1,808.54 1,017.42
Materials
Associated materials MT 99.69 216.79 104.80
Semi manufactured goods/parts MT 3,90,503.90 5,06,954.10 7,93,671.64
Packaging material MT 377.43 357.46 1,027.13
Energy use
GHG emissions
Direct GHG emissions tCO2-e 16,813.56 27,161.81 44,106.75
Indirect GHG emissions tCO2-e 63,437.25 57,551.97 76,395.71
Water
Total water withdrawal KL 2,54,711 4,40,426 4,15,364
Total water recycled KL 1,33,818 1,14,343 20,70,675
Waste
Hazardous waste disposed MT 292.25 348.56 1,990.13
Non-hazardous waste MT 2,474.33 4,967.00 8593.16
Bio-medical waste MT 0.72 0.35 0.12
Hazardous waste (discarded containers) Nos. 1,231 834 141
Air Quality
Suspended Particulate Matter Tons/yr 30.40 30.45 31.83
NOx Tons/yr 4.12 8.09 8.45
SO2 Tons/yr 2.60 0.68 3.98
Environmental expenditure
Environmental expenditure Million ` 14.06 14.69 18.54
Parental leave
Employees availing parental leave Nos. Not available Male – 50 Male – 61
Female - 0 Female - 1
Employees returning to work after the leave period Nos. Not available Male – 59 Male - 61
Female - 0 Female - 1
Employees who returned to work after parental Nos. Not available Male – 53 Male – 58
leave ended and were still employed for twelve Female - 0 Female - 1
months after their return to work
Safety performance
Reportable Injuries (Employees) Numbers 3 6 1
Lost days (Employees) Numbers 190 142 24
Fatalities (Employees) Numbers 0 0 0
Reportable Injuries (Contractual workforce) Numbers 3 2 3
Lost days (Contractual workforce) Numbers 43 58 100
Fatalities (Contractual workforce) Numbers 0 1 0
Organisational Profile
G4-3 Name of the organisation About the report 04 — —
Stakeholder engagement
G4-24 List of stakeholder groups About the report 04 — —
engaged by the organisation
G4-25 Basis for identification and About the report 05 — —
selection of stakeholders with
whom to engage
G4-26 Organisation’s approach to About the report 05 — —
stakeholder engagement
G4-27 Key topics and concerns that About the report 05 — —
have been raised through
stakeholder engagement,
and how the organisation has
responded to those key topics
and concerns
Report profile
G4-28 Reporting Period About the report 05 — —
G4-29 Date of most recent previous GRI Index ‘Building sustainable — —
Report value’ sustainability
report 2014-15
G4-30 Reporting cycle GRI Index Annual — —
G4-31 Contact point for questions About the report 05 — —
regarding the report or its
contents
G4-32 GRI Content Index This table 01-10 — —
G4-33 Organisation’s policy and current GRI Index No external — —
practice with regard to seeking assurance has been
external assurance for the report; sought for this
relationship with the assurance year’s report.
providers; the highest governance
body’s involvement in seeking
assurance for the organisation’s
Sustainability Report
Governance
G4-34 Governance structure of the Corporate 10 — —
organisation; committees governance
responsible for decision making
on economic, environmental and
social impacts
Category: Economic
Aspect: Economic Performance
G4-DMA Generic disclosure on management Our business 07 — —
approach
G4-EC1 Direct economic value generated Our 23 — —
and distributed, including revenues, sustainability
operating costs, employee performance
compensation, donations and other
community investments, retained
earnings, and payments to capital
providers and governments.
G4-EC2 Financial implications and other Our business 08 — —
risks and opportunities for the
organisation’s activities due to climate
change
G4-EC3 Coverage of the organisation’s Our 23 — —
defined benefit plan obligations sustainability
performance
G4-EC4 Financial assistance received from Our 23 — —
Government sustainability
performance
Category: Environmental
Aspect: Materials
G4-DMA Generic disclosure on management Our 12 — —
approach environment
G4-EN1 Material used by weight or volume Our 12 — —
environment
G4-EN2 Percentage of materials used that are Our 12 — —
recycled input materials environment
Aspect: Energy
G4-DMA Generic disclosure on management Our 11 — —
approach environment
G4-EN3 Energy consumption within the Our 11 — —
organisation environment
G4-EN4 Energy consumption outside of the Our 11 — —
organisation environment
G4-EN6 Reduction of energy consumption Our 11 — —
environment
Aspect: Water
G4-DMA Aspect specific disclosure on Our 13 — —
management approach environment
G4-EN8 Total water withdrawal by source Our 13 — —
environment
G4-EN9 Water sources significantly affected Our 13 — —
by withdrawal of water environment
Aspect: Emissions
G4-DMA Aspect specific disclosure on Our 11 — —
management approach environment
G4-EN15 Direct greenhouse gas (GHG) Our 11 — —
emissions (Scope1) environment
G4-EN16 Energy indirect greenhouse gas Our 11 — —
(GHG) emissions (Scope 2) environment
G4-EN20 Emissions of ozone-depleting Our 13 — —
substances (ODS) environment
G4-EN21 NOx, SOx, and other significant air Our 13 — —
emissions environment
Aspect: Transport
G4-DMA Generic disclosure on management GRI Index Currently we —
approach do not have a
mechanism in
place to report
on the significant
environmental
impacts of
transporting
products and
other goods
and materials
used for the
organisation’s
operations and
will be reporting
on the same by
2018.
G4-EN30 Significant environmental impacts GRI Index — —
of transporting products and
other goods and materials for
the organisation’s operations,
and transporting members of the
workforce
Aspect: Overall
G4-DMA Generic disclosure on management Our 11-13 — —
approach environment
G4-EN31 Total environmental protection Our 22 — —
expenditures and investments by type sustainability
performance
Category: Social
Sub-category: Labour practices and decent work
Aspect: Employment
G4-DMA Generic disclosure on management Our people 14-17 — —
approach
G4-LA1 Total number and rates of new Our 23-24 — —
employee hires and employee sustainability
turnover by age group, gender and performance
region
Aspect: Assessment
G4-DMA Generic disclosure on management Our people 15 — —
approach
H4-HR9 Total number and percentage of GRI Index — We will be —
operations that have been subject reporting
to human rights reviews or impact complete
assessments. information on
this indicator by
2018
Sub-category: Society
Aspect: Local communities
G4-DMA Generic disclosure on management Our people 19-22 — —
approach
G4-SO1 Percentage of operations with GRI Index 19-22 — —
implemented local community
engagement, impact assessments,
and development programmes
G4-MM6 Number and description of significant GRI Index There were no — —
disputes relating to land use, instances of
customary rights of local communities disputes relating to
and indigenous people land use, customary
rights of local
communities and
indigenous people
G4-MM7 The extent to which grievance GRI Index N.A. — —
mechanisms were used to resolve
disputes pertaining to land use
customary rights of local communities
and indigenous peoples
Aspect: Anti-corruption
G4-DMA Generic disclosure on management Corporate 10 — —
approach governance
G4-SO3 Total number and percentage of GRI Index Corruption can — —
operations assessed for risks related pose a significant
to corruption and the significant risks risk to the
identified organisation.
Welspun’s Ethics
and Code of
conduct policy
is applicable to
all employees,
customers and
suppliers which
clearly states
that compliance
with laws and
regulations of the
land will always be
followed and further
business practices
will be conducted
in a fair and honest
manner
G4-SO4 Communication and training on anti- GRI Index Welspun Ethics and — —
corruption policies and procedures Code of conduct
policy is applicable
to all employees
and associates
that enable a
transparent and fair
work environment.
G4-SO5 Confirmed incidents of corruption and GRI Index During the reporting — —
actions taken period there were
no instances of
corruption