Tech Mahindra Limited
Climate Impact & Sustainability Data (2022-23, 2023-24)
Reporting Period: 2022-23
Environmental Metrics
Total Carbon Emissions:68,661.53 tCO2e/year (Scope 1+2)
Renewable Energy Share:21.90%
ESG Focus Areas
- Climate Change
- Water Stewardship
- Waste Management
- Renewable Energy
- Employee Engagement
- Diversity and Inclusion
- Supply Chain Sustainability
- Human Rights
- Corporate Governance
Environmental Achievements
- Scope 1+2 emissions reduced by 40% against the base year FY15-16
- Renewable energy increased from 1.77% (FY15-16) to 21.90% in FY2022-23
- Energy intensity reduced by 63% against the base year FY15-16
- 71% of waste reused/recycled/upcycled/sold to recyclers
- Recycled and reused more than 200 million liters of water
- 3.06 million liters of groundwater recharged through rainwater harvesting
Social Achievements
- Improved employee engagement score from 3.7 to 4.15
- Increased percentage of women in senior management from 8.08% to 10.22%
- 100% of associates received sustainability training
- SMART vocational training centers benefited 79 associates (FY22-23), targeting 120 by FY25-26
- Direct and indirect beneficiaries of CSR initiatives increased significantly
Governance Achievements
- Robust governance structure with diverse board composition
- CEO compensation linked to ESG performance metrics (ROCE)
- Compliance with Companies Act 2013 and SEBI regulations
Climate Goals & Targets
Long-term Goals:
- Carbon neutrality by FY2030
- Net zero emissions by FY2035
Medium-term Goals:
- Increase renewable energy mix to 90% by FY2029-30
Short-term Goals:
- Increase renewable energy mix to 50% by FY2024-25
- Zero waste to landfill certification for 100% owned facilities by FY2025-26
- Reduce energy consumption by 20% by FY2029-30
Environmental Challenges
- Climate change risks (physical and transition)
- Supply chain disruptions
- Data privacy and security concerns
- Algorithmic bias in AI
- Job displacement due to AI automation
- Geoeconomic confrontation and fragmentation
Mitigation Strategies
- Scenario analysis for climate risks
- Internal carbon price of $13 per ton CO2e
- Supplier audits and ESG assessments
- Data protection regulations and safe data handling practices
- Investments in upskilling and reskilling programs
- Strengthening trade resilience, joint efforts on debt, modernizing cross-border payments, and confronting climate change
Supply Chain Management
Supplier Audits: 142 key suppliers audited on ESG aspects
Responsible Procurement
- SSCM Supplier Code of Conduct
- Supplier sustainability requirements
Climate-Related Risks & Opportunities
Physical Risks
- Natural disasters
Transition Risks
- Carbon tax
- Regulatory changes
Opportunities
- Development of energy-efficient products and services
Reporting Standards
Frameworks Used: GRI Standards 2021, IIRC, TCFD, SASB, BRSR (SEBI), UNGC principles
Certifications: ISO 14001:2015, ISO 45001:2018, Zero Waste to Landfill (3 locations)
Third-party Assurance: KPMG
UN Sustainable Development Goals
- SDG 1
- SDG 2
- SDG 3
- SDG 4
- SDG 5
- SDG 6
- SDG 7
- SDG 8
- SDG 9
- SDG 10
- SDG 11
- SDG 13
- SDG 17
Various initiatives contributing to these goals, including sustainable agriculture training, wellness programs, education programs, gender equality initiatives, water conservation, renewable energy solutions, job creation, innovation, and partnerships.
Sustainable Products & Innovation
- ESG consulting services
- Technology-enabled energy and resource optimization solutions
Awards & Recognition
- Numerous awards and recognitions from various organizations (DJSI, S&P Global Sustainability Yearbook, CDP, MSCI, FTSE4Good, Sustainalytics, etc.)
Reporting Period: 2023-24
Environmental Metrics
Scope 1 Emissions:10,574 tCO2e/year
Scope 2 Emissions:68,088 tCO2e/year
Scope 3 Emissions:33,277 tCO2e/year
Renewable Energy Share:22.96%
Total Energy Consumption:100,602 MWh/year (non-renewable)
Water Consumption:0.24 million cubic meters/year (freshwater)
Waste Generated:12.01 metric tonnes/year
ESG Focus Areas
- Climate Change
- Energy Management
- Waste Management
- Water Conservation
- Biodiversity
- Sustainable Supply Chain
- Employee Engagement
- Safety & Wellbeing
- Talent & Skill Management
- Diversity & Inclusion
- Ethics & Compliance
- Corporate Citizenship
- Human Rights
- Innovation
- Cybersecurity and Data Privacy
- Corporate Governance
- Customer Relationships
Environmental Achievements
- Reduced Scope 1+2 emissions by 58.8% by 2030 (as per SBTi Climate science)
- 8 of 13 owned facilities Zero Waste to Landfill certified
- Renewable energy mix increased to 31% for owned locations and 22.96% globally in FY24
- Avoided emissions by 5,031.32 MTCO2e through initiatives such as Smart Lighting and CAPE
- 100% of 141,327.83 KL of discharged water was treated before being sent to third-party facilities in FY24
- Recycled 0.29 million cubic meters of wastewater, reused for landscaping and flushing
Social Achievements
- Launched Women Leadership Program (WLP) and other initiatives to improve gender diversity
- 90% employee retention rate
- 48.96 average training hours per employee per year
- 33.12% women representation in workforce
- Over 16,000 Robotics/AI certified associates trained
- Automation savings of over $120+ million USD in FY24
Governance Achievements
- Established a robust governance structure for ESG with a majority of independent directors on the board
- Implemented a Code of Ethical Business Conduct with consequence management for non-compliance
- Integrated climate-related incentives into the company's management structure through the Balance Score Card (BSC) methodology
- 100% Associate and relevant stakeholders received anti-corruption training
Climate Goals & Targets
Long-term Goals:
- Become carbon neutral by 2030 and net zero by 2035
- Become Water Positive by 2030
- 100% of owned locations Zero Waste to Landfill certified by 2026
Medium-term Goals:
- Reduce Scope 1+2 GHG emissions by 22% by 2030 and 50% by 2050
- Achieve 50% renewable energy sourcing by 2026 and 90% by 2030
- Reduce energy consumption by 20% by 2030
Short-term Goals:
- Reduce water withdrawal intensity by 20% by FY26
- Reduce total waste disposed by 10% by FY26
- Reduce Scope 3 emissions by 20% by FY26
Environmental Challenges
- Supply chain disruptions due to climate events (e.g., Cyclone Michaung)
- Rising temperatures and heatwaves impacting operations and productivity
- Emerging regulations related to carbon pricing and renewable energy compliance
Mitigation Strategies
- Implemented robust Business Continuity Plans (BCPs) and Disaster Recovery (DR) structures
- Invested in renewable energy infrastructure and energy-efficient equipment
- Implemented internal carbon pricing mechanism at $12/MTCO2e
Supply Chain Management
Supplier Audits: 154 of top 200 suppliers assessed on ESG parameters in FY24
Responsible Procurement
- Supplier Sustainability Code of Conduct (SSCM)
- Preference given to suppliers with environmental and social targets and public reporting
Climate-Related Risks & Opportunities
Physical Risks
- Cyclones and floods
- Heatwaves
Transition Risks
- Emerging regulations on carbon pricing and renewable energy
Opportunities
- Development of sustainable products and services (Green IT, i.Riskman, i.Sustain, i.Greenfinance)
Reporting Standards
Frameworks Used: GRI 2021 Standards, IIRC, TCFD, SASB, BRSR (SEBI)
Certifications: ISO 14001, ISO 45001, ISO 22301:2019, SOC 2 Type 2
Third-party Assurance: DNV
UN Sustainable Development Goals
- SDG 1
- SDG 2
- SDG 3
- SDG 4
- SDG 5
- SDG 6
- SDG 7
- SDG 8
- SDG 9
- SDG 11
- SDG 13
- SDG 17
Various initiatives contributing to these goals, detailed in the report
Sustainable Products & Innovation
- Green IT
- i.Riskman
- i.Sustain
- i.Greenfinance
Awards & Recognition
- India's Most Sustainable Business of the Year 2023
- Terra Carta Seal
- #1 among all Indian companies in World’s Most Sustainable Companies 2024 list