10-Year Sustainability Strategy Aspen Business and Society Case Competition, 2010 Stefan Baumeister Cécile Fontaine Jarno ...
Contents of the presentation <ul><li>Tata’s Rich History in Sustainability </li></ul><ul><li>The Challenges Tata is Facing...
Transition in TATA CSR: From Ideology to Corporate Governance 09/03/11 Sustainability 1910  1920  1930  1940  1950  1960  ...
Sphere of Sustainability 09/03/11 SUSTAINABLE DEVELOPMENT SR, ISO 26000 SUSTAINABILITY LEADERS Environ-mental Economic
Challenges <ul><li>CS Traditions vs. CS Expectations </li></ul><ul><li>Managing Environmental Impacts </li></ul><ul><li>Be...
Recommendations for change <ul><li>Building TQMS to QEEC - the Quality and Environmental Excellence Centre </li></ul><ul><...
QEEC – Structure and value <ul><li>QEEC uses existing management systems to improve Tata groups environmental performance ...
10-Year Sustainability Strategy 09/03/11 Pillar of Sustainability  Global Coordinator Social Environmental Economic TCCI Q...
Capturing Value Model <ul><li>Operational Value </li></ul><ul><li>Access to emerging markets </li></ul>09/03/11 Brand Valu...
Design and Review Phase 09/03/11 Value Captured Strategic Need –  Example Action Task Operational Brand Financial Knowledg...
Implementation Phase 09/03/11 Value Captured Strategic Need –  Example Action Task Operational Brand Financial Knowledge E...
Operation phase 09/03/11 Value Captured Strategic Need –  Example Action Task Operational Brand Financial Knowledge Preser...
Value through sustainability <ul><li>Operational Value  US$  5 billion </li></ul><ul><li>Financial Value  US$ 64 billion <...
Strategic Conclusions <ul><li>Tata Sons goes public to </li></ul><ul><ul><li>Advance openness and accountability </li></ul...
“ Being the change” 09/03/11
Upcoming SlideShare
Loading in …5
×

Aspen Case Competition 2010; Tata corporation's 10-yeas sustainability strategy

1,498 views

Published on

A winning submission on the Aspen Institute International MBA Case Competition 2010. A sustainability strategy for the TATA corporation "Value Creation Through Sustainability".

Published in: Business, Economy & Finance
  • Be the first to comment

Aspen Case Competition 2010; Tata corporation's 10-yeas sustainability strategy

  1. 1. 10-Year Sustainability Strategy Aspen Business and Society Case Competition, 2010 Stefan Baumeister Cécile Fontaine Jarno Laitinen Benjamin Toscher
  2. 2. Contents of the presentation <ul><li>Tata’s Rich History in Sustainability </li></ul><ul><li>The Challenges Tata is Facing </li></ul><ul><li>Recommendations </li></ul><ul><li>10-year Sustainability Strategy </li></ul><ul><li>Value Creation Through Sustainability </li></ul><ul><li>Strategic Conclusions </li></ul>09/03/11
  3. 3. Transition in TATA CSR: From Ideology to Corporate Governance 09/03/11 Sustainability 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000 2010 2020 Eight Hour Day Welfare Dept. Leave With Pay Schools For Children Profit Sharing GRI Carnegie medal Steel #90 th WEF Code Of Conduct TCS to DJSI Voluntary TCCI TQMS TATA Human Index Foundation building Consolidation period Expansion Leadership
  4. 4. Sphere of Sustainability 09/03/11 SUSTAINABLE DEVELOPMENT SR, ISO 26000 SUSTAINABILITY LEADERS Environ-mental Economic
  5. 5. Challenges <ul><li>CS Traditions vs. CS Expectations </li></ul><ul><li>Managing Environmental Impacts </li></ul><ul><li>Becoming a Global Company – Transparency & Accountability </li></ul><ul><li>Philanthropy vs. Profit </li></ul><ul><li>Deriving Value from Sustainability </li></ul>09/03/11
  6. 6. Recommendations for change <ul><li>Building TQMS to QEEC - the Quality and Environmental Excellence Centre </li></ul><ul><li>TCCI is made mandatory </li></ul><ul><li>Mandatory group-wide EMS and OHS </li></ul><ul><li>Tata Sons goes public </li></ul><ul><li>Philanthropic activities continue through Tata Trusts </li></ul>09/03/11
  7. 7. QEEC – Structure and value <ul><li>QEEC uses existing management systems to improve Tata groups environmental performance </li></ul><ul><li>Promotes a closed loop corporate ecosystem, by identifying connections in: </li></ul><ul><ul><li>Energy </li></ul></ul><ul><ul><li>Material </li></ul></ul><ul><ul><li>Knowledge </li></ul></ul><ul><li>Creates opportunities for high-growth ventures </li></ul><ul><ul><li>External consultancy </li></ul></ul><ul><ul><li>Spin-off’s </li></ul></ul><ul><ul><li>Radical Innovations </li></ul></ul>09/03/11
  8. 8. 10-Year Sustainability Strategy 09/03/11 Pillar of Sustainability Global Coordinator Social Environmental Economic TCCI QEEC Tata Financial Services
  9. 9. Capturing Value Model <ul><li>Operational Value </li></ul><ul><li>Access to emerging markets </li></ul>09/03/11 Brand Value Image in India and abroad Knowledge Value QEEC projects, high-growth ventures Financial Value Tata Sons interests in group companies
  10. 10. Design and Review Phase 09/03/11 Value Captured Strategic Need – Example Action Task Operational Brand Financial Knowledge Reinforcing Tata values – TCCI made mandatory Building culture of organizational learning – QEEC begins learning organization project (LOP): “Best Practices in EMS” Sense feedback from key stakeholders – LOP: “Financial adv. of attracting SRI” and start negotiations with Tata Sons shareholders
  11. 11. Implementation Phase 09/03/11 Value Captured Strategic Need – Example Action Task Operational Brand Financial Knowledge Enhancing Tata Sons financial capabilities and competitiveness – Tata Sons issues equity, marketed to SRI funds Harvest value from knowledge generation – QEEC achieves group wide saving through excellence programs on life-cycle thinking, reverse logistics and product innovation Unifying the image of TATA as the global leader in corporate sustainability – Global PR-campaign “Being the Change”
  12. 12. Operation phase 09/03/11 Value Captured Strategic Need – Example Action Task Operational Brand Financial Knowledge Preserving Tata’s historical values - Recognition on SRI indices Translating sustainability problems to global business opportunities – QEEC launches high growth ventures building financial value in developed and developing markets Continuously developing Tata group companies sustainability performance – TCCI reveals group-wide knowledge database in TCCI annual workout
  13. 13. Value through sustainability <ul><li>Operational Value US$ 5 billion </li></ul><ul><li>Financial Value US$ 64 billion </li></ul><ul><li>Brand Value US$ 11 billion </li></ul><ul><li>Knowledge Value US$ 20 billion </li></ul><ul><li>Tata Sons Total Value, US$ 110 billion </li></ul><ul><li> under the 10-year strategy </li></ul>09/03/11
  14. 14. Strategic Conclusions <ul><li>Tata Sons goes public to </li></ul><ul><ul><li>Advance openness and accountability </li></ul></ul><ul><ul><li>Expand capital base and deleverage </li></ul></ul><ul><ul><li>Compete as a global company </li></ul></ul><ul><li>Philanthropy continues through the trusts, </li></ul><ul><ul><li>All shareholder interests are aligned in long term </li></ul></ul><ul><ul><li>Trusts maintain majority ownership in Tata Sons </li></ul></ul><ul><li>The strategy’s implementation is driven by </li></ul><ul><ul><li>Operational plan incrementally building corporate culture and governance </li></ul></ul><ul><ul><li>Continuous value creation generating business momentum </li></ul></ul>09/03/11
  15. 15. “ Being the change” 09/03/11

×