Sandeep Singh Managing Director Tata Hitachi Construction Machinery Company “We recognise that sustainability is an important management issue, and the purpose of corporate governance is to deeply acknowledge that a company is a member of society that must devote itself to fair and transparent corporate behaviour. ” — Sandeep Singh Tata Hitachi firmly believes that long-term value creation for our business is linked to the organisation embracing sustainable development. In today’s scenario, every business needs to be intertwined with environmental, social, and governance (ESG) concerns. There is a paradigm shift away from the sole purpose of generating profits toward sustainable development and long-term value creation for organisations. Environmental responsibility We, at Tata Hitachi, are aware of our role to adopt environmentally sustainable practices in our design, processes, and products. Tata Hitachi machines come with lead and chrome-free paints and are highly fuel efficient. While we are working towards the BS4 environmental norms for our excavators, we have already complied with that in our wheeled products. We carry out environmentally conscious design assessments for each of our products and modify the design accordingly to meet regulations and requirements. With our TL340H PRIME, the first and only hydrostatic wheel loader in India, we have assured fuel savings to the tune of 20 per cent over conventional wheel loaders. Additionally, we do product life cycle assessment, which leads to eco-friendly designs and reduces the overall carbon footprint of our products and services. We aim to achieve a circular economy by focusing on our value chain businesses like the rental of machines and remanufacturing of aggregates to customers. On the operations side, Tata Hitachi takes aggressive carbon footprint reduction targets each year and works towards that. We have reduced our carbon footprint in manufacturing by 45 per cent in the last five years. We have made significant investments in our plants at Dharwad and Kharagpur towards renewable energy, rainwater harvesting, and reusing ETP water for irrigation, apart from creating biodiversity parks and improving the quality of potable water in the catchment areas of our manufacturing plants. Our Kharagpur plant has an installed solar capacity of 10.5 MW that meets 74 per cent of our power requirements, while our Dharwad plant has a target to meet 90 per cent of power requirements via solar power through a power purchase agreement. In addition, the admin buildings of both our plants are LEED-certified green buildings. Social responsibility We believe that we are an integral part of society and play a crucial role in providing reliable construction equipment and solutions to our customers in addition to providing employment avenues to the communities where we operate. Tata Hitachi is an equal opportunity employer, and we strongly believe in building a diverse and inclusive workplace that values differences between people and encourages participation and collaboration. We are slowly, yet significantly, breaking the gender stereotypes in our workplace. Various women-friendly policies and initiatives have helped us see more and more women marking their presence on our shop floors. Occupational safety and health is a prime consideration in every decision we make. We comply with all regulatory health and safety norms by assessing risks, providing controls for health and safety hazards, and conducting audits. Tata Hitachi has accorded a special focus to undertaking various social initiatives with the objective of addressing challenges faced by the society and the environment. Our commitment is to improve the quality of life of the communities located in and around the areas of our operations. Our outcome-oriented CSR initiatives are categorised under four broad heads, namely, skill development, education and literacy, rural development, and healthcare. Tata Hitachi’s Operator Training Centres at Kharagpur and Dharwad are on a mission to skill unemployed youth for the enhancement of employability and entrepreneurship under the Skill India programme. Several key partners and NGOs have helped the company to mobilise the youth. Both the training centres have received full affiliation from the Sector Skill Council and have been conducting certification courses. Corporate governance We recognise that sustainability is an important management issue, and that – in addition to improving business performance – the purpose of corporate governance is to deeply acknowledge that a company is a member of society that must devote itself to fair and transparent corporate behaviour. By extension, it is our belief that this will lead to an increase in corporate value and a further increase in shareholder value. Tata Hitachi’s philosophy on corporate governance is founded on a rich legacy of fair, ethical, and transparent governance practices. By adopting high standards of professionalism, honesty, integrity, and ethical behaviour, our parent companies, Hitachi Construction Machinery Company, and Tata Motors are also equally committed to the best practices embraced by leading corporates globally. Tata Hitachi has strengthened its governance practices proactively by adopting most of the requirements of public and listed companies. Through the Governance mechanism, the Board along with the committees undertakes fiduciary responsibilities to all our stakeholders by ensuring transparency, fair play, and independence in the decision-making. In closing The goal of Tata Hitachi’s activities is to continue to supply best-in-class machines and solutions to customers. As we enter the 61st year of our operations, Tata Hitachi recommits itself as a reliable partner in the government’s endeavours toward infrastructural development to usher in a brighter future and create a sustainable society and an Aatmanirbhar Bharat. Our brand campaign ‘Chalo Desh Banaye’ reflects our avowed mission towards nation-building. About the author Sandeep Singh, Managing Director, Tata Hitachi Construction Machinery Company, has over three decades of experience in sales, marketing, customer support and general management roles across automotive, tractor and construction equipment industries.