A study on Corporate Sustainability by analyzing its application as adopted and practiced in Maruti Suzuki.

1. 2016
SUBMITTED BY
TUSHAR SHARMA – 150301007
PRANJAL JOSHI- 150301005

2. Table of Contents
Sustainable Development......................................................................................................................2
Sustainability..........................................................................................................................................2
Dimensions.............................................................................................................................................3
 Environmental Sustainability.....................................................................................................3
 Economic Sustainability .............................................................................................................3
 Social Sustainability....................................................................................................................3
Pyramid of Sustainability.......................................................................................................................4
Maruti Suzuki..........................................................................................................................................4
Manufacturing Facilities.....................................................................................................................5
Organization Structure.......................................................................................................................6
Facility Capacity..................................................................................................................................6
Exports................................................................................................................................................7
Social Performance.............................................................................................................................7
Sustainability at Maruti Suzuki..............................................................................................................8
Corporate Governance Structure........................................................................................................8
Environmental Performance..............................................................................................................8
Efficiency and Sustainability ............................................................................................................10
Economic Performance.....................................................................................................................11
Environmental Performance.............................................................................................................12
Social Performance ...........................................................................................................................13
References............................................................................................................................................15

3. Sustainable Development
Sustainable development is a process for meeting human development goals
while sustaining the ability of natural systems to continue to provide the natural
resources and ecosystem services upon which the economy and society depend. While the
modern concept of sustainable development is derived most strongly from the 1987 Brundtl
and Report, it is rooted in earlier ideas about sustainable forest management and twentieth
century environmental concerns. As the concept developed, it has shifted to focus more
on economic development, social development and environmental protection.
Sustainable development is the organizing principle for sustaining finite resources necessary
to provide for the needs of future generations of life on the planet. It is a process that
envisions a desirable future state for human societies in which living conditions and
resource-use continue to meet human needs without undermining the "integrity, stability and
beauty" of natural biotic systems.
Sustainability
Sustainability can be defined as the practice of maintaining processes of productivity
indefinitely—natural or human made—by replacing resources used with resources of equal
or greater value without degrading or endangering natural biotic systems. Sustainable
development ties together concern for the carrying capacity of natural systems with the
social, political, and economic challenges faced by humanity. Sustainability science is the
study of the concepts of sustainable development and environmental science. There is an
additional focus on the present generations' responsibility to regenerate, maintain and
improve planetary resources for use by future generations.

4. Dimensions
 Environmental Sustainability-Environmental Sustainability can be defined as the
capacity to preserve over time the three basic functions of the environment: the
resource supply function, the waste receiver function and that of direct usefulness. In
other words, within a territory (area / region), environmental sustainability means the
capacity to increase and bring up the value of the environment and its peculiarities,
while assuring the protection and the renewal of natural resources and the
environmental patrimony.
 Economic Sustainability – Economic Sustainability can be defined as the capacity of
an economic system to generate a constant and improving growth of its economic
indicators. In particular, the capacity to generate incomes and employment in order to
sustain the populations. Within a territorial system, economic sustainability means the
capability, through the most efficient mix of resources, to produce and maintain the
highest added value, in order enhance the specificity of territorial products and
services.
 Social Sustainability –Social Sustainability can be defined as the ability to guarantee
welfare (security, health, education), equitably distributed among social classes and
gender. Within a territory, Social Sustainability means the capacity of the different

5. social actors (stakeholders), to interact efficiently, to aim towards the same goals,
encouraged by the close interaction of the Institutions, at all levels.
Pyramid of Sustainability
Maruti Suzuki
Maruti Suzuki India Limited, once in the past known as Maruti Udyog Limited, is a car maker
in India. It is an auxiliary of Japanese car and cruiser producer Suzuki Motor Corporation. As
of January 2016, it had a piece of the overall industry of 47% of the Indian traveller auto
market. Maruti Suzuki fabricates and offers prevalent autos, for example, the Alto, Swift,
Zen, Celerio, Swift DZire, SX4 and Omni. The organization is headquartered at New Delhi.
In February 2012, the organization sold its ten millionth vehicle in India.

6. Manufacturing Facilities
Maruti Suzuki has two manufacturing facilities in India. Both manufacturing facilities have a
consolidated creation limit of 14,50,000 vehicles every year. The Gurgaon manufacturing
facilities has three completely incorporated manufacturing facilities and is spread more than
300 sections of land (1.2 km2). The Gurgaon offices additionally fabricate 240,000 K-Series
engines every year. The Gurgaon Facilities fabricates the 800, Alto, WagonR, Estilo, Omni,
Gypsy, Ertiga, Ritz and Eeco.
The Manesar manufacturing facilities was introduced in February 2007 and is spread more
than 600 sections of land (2.4 km2). At first it had a generation limit of 100,000 vehicles
every year except this was expanded to 300,000 vehicles yearly in October 2008. The
generation limit was further expanded by 250,000 vehicles taking aggregate creation ability
to 800,000 vehicles yearly. The Manesar Plant creates the A-star, Swift, Swift DZire, SX4,
Vitara Brezza, Ritz and Celerio. On 25 June 2012, Haryana State Industries and
Infrastructure Development Corporation requested Maruti Suzuki to pay an extra Rs 235
crore for upgraded land procurement for its Haryana plant extension. The organization
reminded Maruti that inability to pay the sum would prompt further procedures and clearing
the improved area securing. It arrangements to set up a plant in Gujarat and has gained 600
sections of land of area.

7. Organization Structure
Facility Capacity

8. Exports
Social Performance

9. Sustainability at Maruti Suzuki
Corporate Governance Structure
Environmental Performance
Maruti Suzuki's efforts in the environment sphere are guided by its environment policy. The
policy passes on the organization's dedication towards diminishing the pressure on the
environment, because of business exercises and items, working cooperatively with clients,
suppliers, and the encompassing group, and focusses on nonstop lessening in the utilization
of regular assets. The strategy likewise offers significance to preparing and correspondence.
As a strategy, Maruti Suzuki has received the ISO 14001 standard. The Environment
Management System in the organization helps in ceaselessly enhancing its ecological
execution. Going past its limits and compliances, it's likewise advancing ISO 14001 among
its Tier-I suppliers.
The organization has recognized and organized material viewpoints in environment in the
wake of considering the noteworthiness and size of their effects. For each significant
viewpoint, it embraces taking after essential activities:
• It utilizes a substantial volume of crude materials and vitality in vehicle fabricating. A
result of the assembling operations is characteristic asset consumption and the unsafe
waste era. This makes crude materials, vitality, waste and discharge material angles for the
organization.

10. • As contrasted with other manufacturing industries, for example, textiles, food
processing, the organization's operations are not water concentrated. In any case, the
Company sees its obligation towards preserving water and considers it to be a material
angle.
• Biodiversity is not a material angle for the organization as it doesn't work in areas
with delicate biological parity or biodiversity.
• The organization sources a substantial number of segments from its suppliers for
assembling its autos. Their natural impression, work practices, quality and expense of parts
and transportation are vital viewpoints for the organization.
• The utilization of vehicles for portability causes fuel utilization and emanations. In this
manner, it is imperative enhance fuel effectiveness of vehicles, and create exchange fuel
vehicles.

11. Efficiency and Sustainability
The results of vehicles industry touch everyday lives by giving individual portability to
millions. Yet, there are some difficulties that are confronted by the business, for example,
weakening of nearby air quality, an unnatural weather change and the treatment of scrapped
vehicle. Each automaker has worked in the bearing to spare environment and the significant
upgrades are additionally made in this heading. As there are aggressive weights to lessen
cost, the automakers are driven towards asset efficiency and minimization of waste to
accomplish economies of scale. A late World Energy Council (WEC) study found that with no
adjustment in our present practice, the world vitality request in 2020 would be 50–80%
higher than 1990 levels. Maruti Udyog, India's driving automaker whose guardian is Suzuki
from Japan, has additionally cleared its direction towards supportable improvement by
incremental changes in couple of things that brought about huge investment funds. A year
ago Maruti ran project to decrease part of every segment by 1 gram. Strikingly, Maruti has
diminished its power utilization per vehicle by 20 for every penny in the most recent nine
years, water utilization by 46 for each penny, and area fill waste by 67 for each penny. The
carbon dioxide emanation has declined 27 for each penny in seven years. It has turned into
a zero release organization and reuses all its water. The little auto named 'A-Star', which is
worldwide auto of Maruti, is composed in a manner that 87 for each penny of auto can be
reused as clarified by European controls about the idea of end-of-life-vehicles
(ELVs).Therefore organization sacked a request of 35000 A-star from Nissan in Europe as of
late. In this course, Maruti has taken some different activities towards maintainability, which
are:
• When the Indian market was offering only two tube light configurations i.e., 42 watts and 36
watts, Maruti tied up with a small manufacturer for 28-watt tubes. In the factory there is
provision for three CFL lamps and company managers realized that the room would have
enough illumination with two lamps of 36 watts in each holder. So the third lamps were taken
out. This seems to be a small step but if we look towards energy savings in a year time, and
then they are huge.

12. • In the assembly line, where axles are installed, the components are placed on an inclined
bar on which they slide towards the worker due to gravity which helped in eliminating the use
of conveyor belts.
• Water pumps in cooling towers were made to consume less electricity by slightly reducing
the size of the impeller.
• The power supply of machines, that run intermittently, was cut to save energy.
• The compressed air used to run various tools used to go into the shop floor at 28-29
degrees centigrade allowed to rise its temperature to 32 degrees because of no harm.
• Earlier waste water from all sources was dumped into Government sewers, for which
company was paying Government. But now after the improvements in treatment processes
no sewer is discharged into Government sewers and all waste water is recycled by the
company.
• Company has used steel crates rather than wooden or board packaging for storage and
transport of components coming from Japan. After use the steel crates are folded and sent
back for reuse.
There are many parts originating from Indian sellers are supplied in reusable plastic
containers to evade wastage. The strides set forward by Maruti Udyog brought about
monetary development as well as in natural and social advancement. It is very clear that if
an organization needs to surpass in future then it needs to look its present. Maruti Udyog
understood the significance of being manageable in present. Organization is demonstrating
that the adventure begins from the little activities, however they bring about enormous funds.
Most likely, it is difficult to bring change for reasonable improvement. To execute
maintainability standards, firms require clear goals. Only those projects that are actualized
adequately and conveyed to all representatives result in quality for the association. So this
study uncovers that by joining maintainability in assembling framework, how an organization
can diminished water, power, and general vitality utilization, and brought down waste
transfer costs. Henceforth, every one of these exercises can take an organization towards
maintainable worth creation
Economic Performance

13. Environmental Performance
Maruti Suzuki strives to consistently improve environmental performance of its
manufacturing operations, products and supply chain. The Company identifies
environmental impacts and develops strategies to mitigate impacts in each of these areas.
Maruti Suzuki’s efforts in the environment sphere are guided by its Environment Policy. As a
strategy, Maruti Suzuki has adopted ISO 14001 standard. The Environment Management
System of the Company helps in continuously improving its environmental performance.
Going beyond its boundaries, the Company promotes ISO 14001 among its Tier-I suppliers.
The Company has identified and prioritised material aspects in Environment after
considering the significance and scale of their impacts. For each relevant aspect, the
Company undertakes following necessary actions.
• The Company uses a large volume of raw materials and energy in vehicle manufacturing.
The consequence of manufacturing operations are natural resource depletion and the
hazardous waste generation. This makes raw materials, energy, waste and emissions as
material aspects for the Company.
• As compared to other manufacturing industries such as textiles and food processing, the
Company’s operations are not water intensive. However, the Company sees its responsibility
towards conserving water and considers it to be a material aspect.
• Biodiversity is not a material aspect for the Company as it doesn’t operate in locations with
sensitive ecological biodiversity.

14. • The Company sources a large number of components from its suppliers for manufacturing
cars. Their environmental footprint, labour practices, quality and cost of components and
transportation are important aspects for the Company.
• The usage of vehicles for mobility causes fuel consumption and emissions. Therefore, it is
important for the Company to improve fuel efficiency of its vehicles, and develop alternate
fuel vehicles.
Social Performance
In 2013-14, the Company scaled up its CSR activities in the areas of community development, skill
development and road safety. The need for scientific driving training and road safety awareness is
tremendous in India. In 2013-14, over 4.49 lakh people were trained in safe driving. In all, we have
now trained nearly 1.9 million in safe driving. The Company’s partnership with state governments to
upgrade Industrial Training Institutes gained strength and the Company now partners with 29 ITIs.
This programme benefitted over 11,000 students in the last year.

15. Benefits provided to the employees are:-
1. Parental Leave
2. Maternity Leave
3. Occupational Health and Safety
4. Training and Education
5. Lifelong learning and continued employment
6. Diversity and Equal Opportunity
7. Labour Practice and Grievance Mechanism
8. Human Rights
9. Non-Discrimination
10. Freedom of Association and Collective Bargaining
11. Child Labour
12. No Forced or Compulsory Labour
13. Community Development

16. References
https://en.wikipedia.org/wiki/Maruti_Suzuki
http://www.moneycontrol.com/company-facts/marutisuzukiindia/history/MS24#MS24
http://www.bseindia.com/stock-share-price/maruti-suzuki-india-ltd/maruti/532500/
https://marutistoragenew.blob.core.windows.net/msilintiwebpdf/MARUTI_SUSTANIBILITY_R
EPORT_2014.pdf
http://www.marutisuzuki.com/company-at-a-glance.aspx
http://www.sogesid.it/english_site/Sustainable_Development.html