‘Climate Change’, ‘Global Warming’, ‘Sustainable Development’, ‘Carbon Credits’ have become buzzwords not only for progressive, concerned individuals, hippies and environmentalists but also for entrepreneurs, large corporations and serious business people all over the world. You cannot pick up a newspaper or magazine or turn on the TV today without encountering something related to these topics. So much so that they are beginning to enter the mindsets of people who would not normally consider themselves “eco-conscious”.

In this country we pride ourselves on the fact that recycling is ‘inherently Indian’, a notion that is reinforced by the presence of the neighbourhood ‘raddiwala’ or scrap dealer who collects and stores everything from old magazines and newspapers to radios, keyboards, and light bulbs. We also tend to be quite particular about turning off unused lights and fans and making sure the tap is completely turned off so no water is wasted. It is debatable whether we do this out of our environmental consciousness or because it will actually save us some money in the long-run. To some extent frugality also defines our ‘Indianness’. These are no doubt important habits but they can best be described as ‘baby steps’ in the realm of sustainability and are most certainly not enough. Very few people actually go beyond these initial ‘baby steps’ and end up making this consciousness a part of their daily lives.

If you truly wish to improve the quality of life around you and make your surroundings safer and cleaner then it is important to ask “What is my individual impact on the earth and its finite resources?” There are several resources available online that calculate your ‘ecological footprint’ or ‘carbon footprint’ based on the responses you provide. Your ecological footprint is basically a calculation of how much of the earth’s resources it takes to support your lifestyle. I encourage you to visit http://www.myfootprint.org/en/ and find out your own footprint. It is an interesting exercise and the results will definitely surprise you. My own results are below.

I like to think of myself as an environmentally conscious individual and was disappointed to know that if everyone in the world lived like me, we would need 1.02 Earths which implies that my current lifestyle is not sustainable. My footprint in global hectares is 16.08 hectares which is well above the country average of 6.7 hectares. This is due to 3 major factors:

1) I drive a car often,

2) I travel in airplanes several times a year

3) I am non-vegetarian.

These are the three main reasons why I’m living unsustainably and by simply making changes in one or more of these areas I could definitely reduce my footprint. Being vegetarian for example would lower my footprint dramatically.

According to a study by Redefining Progress (the creators of this particular ecological footprint quiz), “humanity is exceeding its ecological limits by 39%. Or, put another way, we would need to have over one third more than the present biocapacity of Earth to maintain the same level of prosperity for future generations.”

Another online resource enables you to quickly calculate your carbon footprint and compare it with the average for your country. It only takes a minute to calculate so check it out at http://oneminute.zerofootprint.net/. Below is an illustration of my own carbon footprint which shows that I annually contribute approximately 13.81 tonnes of CO₂ (the average Indian’s is less than 2 tonnes of CO₂ per year). Like the Ecological Footprint Quiz this high number is a reflection of my travel and commuting methods as well as my eating habits.

Find out what your impact on the earth is today and you can begin to identify areas in which you can improve your footprint. Both websites provide suggestions and tips to help you to achieve this.

Although the word ‘sustainability’ seems to be appearing everywhere lately, it nevertheless remains a multifaceted issue which resists definition at every turn. Undeniably, however, the basic tenets of sustainability – in which economic, environmental, and social capital are given equal value – are essential to any well run business.  Here at M&M, as is true at nearly every company, we have always stressed the importance of sustaining our economic capital, i.e. promising increasing returns for our shareholders.

 

However, in this changing global business (and environmental) climate, environmental and social issues are now a key concern of many stakeholders. Employees, customers, investors, government agents, the media and numerous others are all keenly aware of how companies impact the environment and the communities in which they operate.

Mahindra and Mahindra has addressed these difficult issues informally in its business plan for a long time. From our Mahindra Hariyali initiative to plant 1 million trees and our forays into alternative fuel vehicles and biodiesel tractors, to our Nanhi Kali programme to provide education for underrepresented female students, we have made great strides to sustain the environment and society, while always working towards economic growth.

In today’s world, however, there is increasing pressure to do it more formally and officially. Sometimes this means putting a name to something that is already occurring; sometimes this means restructuring our business to account for changes in the market related to sustainability issues.  The drivers of these new pressures are many and varied.  Sometimes we are forced to change because of new statutory requirements, so our response is essentially risk mitigation, i.e. we don’t want to face sanction or fines. Sometimes the pressure comes from NGOs or the media, so we are managing a different risk, a blow to our reputation.  When consumers’ evolving demands drive a change (e.g. we offer a new green product or service) we are taking advantage of an opportunity.  While managing the risk associated with sustainability is indispensable for a high performing business, it is the opportunity presented by sustainability that is perhaps most exciting and hopeful.       

In subsequent posts on Mahindra Universe we will discuss how M&M tackles both the risks and opportunities of sustainability issues and how that relates to India as well as the rest of the world.  Additionally, we will explore how the rest of the world and others in India are tackling sustainability and discuss what M&M and others in its situation can learn.

We hope to delve into a diverse array of issues, mirroring M&M’s dynamic and expansive market presence. Architecture and real estate, automobiles, agriculture, information technology, microfinance, and more can, should, and will all be analyzed through the lens of sustainability. We look forward to using this web spot to spark stimulating dialogue, expand our collective learning and possibly even catalyze change in the coming months.