Bhambure Akshay Boivin Hugo Gu Kaixin Quianying Luo

Group 10 Afternoon Batch

SUSTAINABLE DEVELOPMENT AND INCLUSIVE BUSINESS

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PepsiCo Indias water conservation initiative:

PepsiCo has been in India since 1989 and started major expansions at the turn of the century. A majority of the new facilities were bottling plants for its multiple beverage brands and also for its new bottled water brand. The source of water for its facilities was water from the underground reservoirs. After a few years, the company started facing protests in the year 2004 from local populations about the reduction in the ground water levels which was a major source of water for farming. The reputation and image of the company was also severely affected as it was seen as bottling and selling water which could be used for agricultural purposes. Looking at a way to improve its image and also maintain a sustainable source of water for its facilities, PepsiCo India launched a water conservation initiative with a goal to achieve a positive water balance i.e. give back more water than it takes from the sources. The goal is to conserve, replenish and thus offset the water used in their manufacturing process through community water recharge projects such as rainwater harvesting and water conservation projects in agriculture. 2009 was a year of immense joy & pride for PepsiCo India as they achieved the goal they had set. They were able to give back more water than consumed, through the various initiatives of recharging, replenishing & reusing water, thus making PepsiCo India the first beverage company in the world to achieve a positive water balance

Concepts:
Sustainability: The Company is taking steps towards sustainability of its resources. As a company which is into beverage industry, the water is the main raw material as well as an element in the manufacturing machinery. Hence, maintaining it and recharging its supply reservoirs will help the company maintain a regular source of water for the future operations. Had the company not taken initiatives to maintain water levels it the decreasing water levels would have increased the water salinity, thus requiring the company to make additional investments to water softening. These additional plants would have severely impacted the environment through the use of various chemicals used for the process. By taking the initiatives, the company has saved considerable financial resources and helped maintain a cleaner environment.

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Corporate Social Responsibility: One part of PepsiCos initiative was to educate the local farmers on ways to use water more efficiently. The company conducted various camps to make the people aware of the water conservation techniques and also provide financial incentives for taking up efficient methods. The company provides guidance to farmers on raising money from banks using their assets, incentivizes drip irrigation technology and make agricultural equipment more commercially viable for farmers. These initiatives have helped to raise the standard of living among the people of the area as they now a more sustainable and higher quality crop. Source: www.pepsiindia.co.in

Larsen and Toubro Limiteds Vocational Training Schools

Larsen and Toubro Ltd. is one of the biggest companies in India working primarily in the infrastructure sector. One of the taglines of the company is that they do not build roads or bridges but build a nation. The company seriously follows its nation building activities through its various CSR programs which help improve the life of the people around its establishments. One such program run by its Larsen & Toubro Public Charitable Trust is its vocational schools. The trust has set up 13 different vocational schools throughout the country majority of them being in the rural areas. The schools are unique as they only admit local youth who are school dropouts in the age of 1825 years and provide them with vocational training such as an electrician, mechanic, etc. The training allows them to sustain themselves and provide a livelihood for self and family.

Concepts
Corporate Social Responsibility: The unemployment among the youth is a serious issue facing the society at large. The uneducated and school dropouts between the ages of 18-25 years are the most vulnerable segment of the society and are a serious socio-economic issue. The companys program actively targets this particular section of the society. The various training programs help in improving the employability of this section thus enabling them to make a living. The program helps in channeling the direction of life for these youth away from a possible life of crime, thus improving the quality of life in the community.

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Source: http://www.larsentoubro.com/lntcorporate/common/ui_templates/HtmlContainer.aspx?res=P_CORP_AABT_DCOR

Cargill:
As a food and agricultural company, Cargills goal is to nourish people. Human food and animal feeds depend on clean water, soil, air and light. As the worlds population continues to grow, so too do the demands on the environment. A sustainable future requires investing in environmental innovation today. At Cargill, they are aware that our global reach creates high expectations for leadership in resource stewardship. They look to innovation as a way to preserve and protect the environment, whether by using energy and resources more wisely (which also helps reduce energy costs), pioneering profitable business and product lines that make use of renewable raw materials or helping customers shrink their environmental footprints.

Concept:
Corporate Social Responsibility: In Cargill, the profits of the company go hand In hand with the principles. For example, they use energy and resources more wisely and make use of renewable raw materials in profitable business. Source: www.cargill.com

Intel :
The Intel advocates green factory designed for the environment. It adopts the nanometer process technology to produce the computer chipsets and ensures that the factory pay attention to the environmental protection, health and safety in the operation process.

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Concept:
Sustainable Development: In Intel, the environment and poverty are related issues and it integrates the economic, environmental and social dimension of sustainability into financial analysis and investment decision making by adopting green factory and new technology to achieve the environmental protection, health and safety in its operation process. Source: www.intel.com

Starbucks Coffee Company:

Starbucks Coffee Company was awarded its 21st Annual Gold Medal for International Corporate Achievement in Sustainable Development by the World Environment Center (WEC) for its extraordinary international leadership in sustainable development within the specialty coffee industry. The leadership was demonstrated by Starbucks development of Coffee and Farmer Equity (C.A.F.E.) Practices, a set of environmentally, socially, and economically responsible coffee buying guidelines are designed to contribute positively to the livelihoods of coffee farmers while placing an emphasis on environmental conservation and supply chain transparency. Coffee business affects the lives of over 25 million farmers in more than 70 countries around the world, most of which are developing regions, such as Columbiana and Indonesia. Traditional coffee production methods can often negatively affect the surrounding environment through the use of harmful chemicals and unnecessary deforestation. Although Starbucks Coffee Company purchases only 2% of the world's coffee, it has used its leadership position in the global marketplace to demonstrate how innovation in combining corporate social responsibility (CSR) and business strategy at the bottom of the pyramid (BOP) can lead to long-term economic and environmental sustainability. Aiming to minimize negative environmental impact, Starbucks has made sustainability a part of the company culture. In 1990, Starbucks wrote the value of contributing positively to the community and environment into its Guiding principles, and in 1992 established its Environmental mission statement, in which it pledged: Starbucks is committed to a role of environmental leadership in all facets of our business. In 2009, Starbucks released an annual Corporate Social Responsibility report. Since then, Starbucks coffee company has set many actions integrated with their sustainability policies to make its

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business more environmental-friendly in every area of companys operation.

Concepts: Sustainability Reducing greenhouse gas: Recognizing that coffee farming depends on a healthy environment,
Starbucks is concerned about the negative impact that climate change could have on coffee-growing communities. These changes ultimately could have a significant effect on the long-term sustainability of its business. In 2004, with support from CH2M HILL, Starbucks voluntarily conducted an inventory of its greenhouse gas emissions in an effort to understand and evaluate its contribution to climate change. Using the WRI Greenhouse Gas Protocol, Starbucks limited the inventory to areas with the biggest environmental impact: retail, coffee roasting, administration operations and its distribution network.

Recycling: To reduce the negative impact on environment made by millions paper cups, Starbucks work
with its supply chain member, Mississippi River Corporation, to find a new kind of paper cup which can lower the companys use of tree fiber by more than five million pounds annually. Besides, to decrease the using percent of paper cups, Starbucks encourage customers to buy drinks with their own reusable cups, for which Starbucks will give a 10-cent discount.

Fair trade
In 2004, Starbucks purchased approximately 4.8 million pounds of Certified Fair Trade coffee and 11.5 million pounds in 2005. The company has become the largest buyer of Certified Fair Trade coffee in North America, which occupied 10 percent of the global market. The great contribution made by Starbucks has helped thousands of family farmers through their huge selling Fair Trade Coffee volume, and it also raise consumers awareness of sustainable development. Beyond Fair Trade Certification, Starbucks pays above market prices for all of its coffee. According to the company, in 2004 it paid on average $1.42 per pound ($2.64 kg) for high-quality coffee beans. This is in comparison to commodity prices which were as low as $0.50$0.60 in 200304. Although it increases the purchase cost for the company, it guarantees the quality of coffee beans; besides, it also helps the farmers of developing countries make more money.

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Starbucks coffee companies still try their efforts to support the communities. For instance, every store in china will hold regular coffee class to spread coffee knowledge. Source: http://www.qsrmagazine.com/news/starbucks-honored-its-work-sustainable-development

Picture Organic Clothing

Picture is in the ski-clothing industry. The company contributes to develop a new way of thinking. Riding all the spots over the world and forming part of harmony with elements. It works to protect environment by proposing respectful products. Sharing those moments with the people you like. Our planet is sick, our natural resources are collapsing. Picture act on a new way and commit for the environment. Picture products come organic farming and dont use neither pesticide nor chemical fertilizers in order to preserve ecosystems without polluting waters and grounds. However, they can be purchased at similar prices as standards ones. Whats more, all the products in polyester are made with recycled fabrics as most as possible and respectful of the environment. To finish Picture ensures that the rules from labor law are respected and fights against child labor and slavery. Pictures role is to sensitize consumers regarding the environmental impact of their purchase and make them think about sustainable development. Of course, Picture is multi labeled: Global Organic Textile Standards, Eco Sustainable Textile, NAPM recycled

Concepts:
Sustainability: Picture organic clothing wants his products to be respectful of the environment. Thats why the cotton of their clothes comes from organic farming. Whats more they are using recycled materials so this one more effort to minimize the impact of their activity on the environment. Corporate Social Responsibility: Picture wants the farmer to be paid for their work and to be able to earn a living so Picture creates a win-win partnership with his providers. Moreover Picture wants the factories they work with to be labeled Global Organic Textile Standards and Flo cert (Fair trade certifications) to be sure that they respect the environment and human rights. Final paper

Source: http://www.picture-organic-clothing.com/

Micro Housing Finance Corporations :

Micro Housing Finance Corporation Limited (MHFC) aims at providing housing finance for lower income households (mostly in the informal sector) in urban India. The promoters believe that one of the issues stalling the development of low income housing is the lack of finance available to buy such homes, and set up MHFC to specifically address this gap. The company has received the necessary regulatory clearance from the National Housing Bank ("NHB") in the form of the Certificate of Registration ("COR").

Concepts:
Inclusive Business: Micro housing finance wants to help BOP to access property in India. BOP is the target and special services were created for them. These people usually cant access to bank services so MHFC tries to give them a new start in their life and for their family. Source: http://mhfcindia.com/index.html

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