sesa sterlite

Adding & Sharing value

We seek to add and share value through everything that we do. As a business we make a considerable economic impact; through employment, the payment of taxes, royalties and other contributions to local, state and national governments. We also build local infrastructure that benefits local communities in the form of roads, schools and healthcare centres.

The group continues to increase its global footprint as a diversified resource major, since it began operations in 1976. Over time, the multinational has acquired and grown an exploration portfolio which follows a history of consistent geological discovery.Our stakeholders expect to see Vedanta Ltd. extend the benefits and value of our business across society in a meaningful and effective manner. Equally, we also have an expectation of ourselves that as a multinational company we have a broader role in society than merely bringing resources to market.

We believe our role is to create value for all our stakeholders; not just through the financial value we create for our shareholders, but also through the non-financial value we add to the society. To deliver this responsibility, we employ, directly and through contractors, around 55,000 people.

We play a significant role in growing local skills and in the development of local infrastructure, including roads, sanitation, education and medical facilities. We made a community investment of Rs 160 crore last year, reaching around 1.75 million people and providing support for schools, hospitals, health centres and farmers. We also contributed 20,600 crores to the Indian exchequer through direct and indirect taxes, royalty and oil tax.

 

Our employees are our key asset and our growth and success are attributable to them. Our people strategy is founded on this belief and is designed to recruit, develop and retain the talented workforce that run our businesses. We are committed to providing our employees with a safe and healthy work environment. Through a high degree of engagement and empowerment we enable them to realise their full potential, creating a high performance work culture.

Our Approach

The strategic approach to human resources (HR) is set by our over-arching Group HR philosophies, which help us achieve our goal of being an employer of choice. In practice this means:

  • Operate a mertitocratic business and recognising and rewarding all our people in a fair and equitable manner.
  • Creating a high-performance culture with effective internal systems and processes for talent management and engagement.
  • Ensuring that all our workplaces are free from all forms of discrimination or any kind of harassment on the basis of age, gender, caste or religion.
  • Meeting all our responsibilities and HR obligations as a direct and indirect employer and ensuring that there are no violations of human rights.
  • Creating an atmosphere where performance is recognized and rewarded in a fair and transparent manner.
  • Compliance with all applicable laws of the jurisdictions where our operations exist.
  • Ensuring smooth integration in the event of mergers or acquisitions by upholding and honouring all ongoing commitments and sharing best practices.

Training and Development

Training and development remains a constant element of Vedanta’s commitment to its employees and an annual training calendar of events and opportunities is developed at both Group and business unit level. Training is carried out on-site by both internal and external experts. Themes covered include health and safety and technical skills training.

All our businesses recognise that in order to ensure that the business is both fit to serve the markets in which we operate and meet our growth strategy, we must invest in the development and retention of our people to drive innovation and efficiencies within the business.

As a high proportion of our workforce join as new graduates, managing career progression and development is very important to the business, particularly to ensure talent retention. To manage a new recruit's transition from "Campus to Corporate", we have a structured orientation programme as well as a mentoring programme.

Workforce and Diversity

Our aim is to be an industry-leading employer with an inclusive approach that is designed to ensure a rich diversity in the employee base. Our recruitment, remuneration and promotion policies and procedures are designed to avoid all forms of discrimination and ensure equal opportunity, regardless of race, nationality, religion, gender, age, sexual orientation, disability, political opinion, or any other basis.

Challenges to our diversity aims do remain, particularly around the perception of many that the sector is male-dominated, especially at site management level. In addition, we are conscious of the need for flexible working hours and shift work to cater for childcare.

We ensure that the ratio of entry level wages meets or exceeds the legal requirements and complies with all applicable laws. The ratio with regards to gender is 1:1 and we don't discriminate in any way in terms of standard entry level wages.

Workforce Welfare

Our operations tend to be located in remote regions where access to health facilities is often limited. In order to ensure that employees and contractors are able to access these services, we have on-site medical facilities, local hospitals and supporting medical staff, available to our employees, contractors and local community members. In addition, and in order to encourage a healthy work-life balance around our sites, our businesses promote social gatherings organised by Events Committees. Employees are actively encouraged to include their families in these events and also in the use of our provided recreational facilities.

 

Case Study

Junior Executive Trainee (JET) Programme - BALCO

In the context of expanding production capacity at BALCO and meeting the skills needs of the workforce, various workshops were conducted across all employee levels to understand the critical gaps and developmental needs. As a result of these workshops, BALCO developed the Junior Executive Trainee (JET) programme which was designed to enhance employee skills and give them the opportunity for greater responsibility. The programme covered 235 employees. The participants were supported through targeted skill development programmes led by leading educational institutes including BITs Pilani, PES Global , NPTI, Durgapur and coached by 'Internal Training Champions'.

Successful JET participants have received diplomas and degrees and also addressed the need for a skilled workforce.

 
 

As a responsible corporate citizen, the Company focuses on community development through its CSR activities. Our community activity is delivered at a local, regional, and state/national level to ensure that the business is able to effectively maximise its impact in facilitating socio-economic development. The majority of our initiatives are carried out in collaboration with community organisations and are developed in partnership utilising a needs-based approach to community investment, underpinned by the use of the 'Public-Private-People-Partnership' (4Ps) model. Fundamentally we work to help communities identify their priorities through externally delivered needs assessment programmes and then work closely with them to design programmes that seek to make progress towards meeting these.

In order to maximise the outcomes and impacts that the business can have, we focus on seven key areas through our community investment activities, which we outline below. These have been chosen as a response to both local need and direction from international development frameworks such as the UN Millennium Development Goals.

Health, Nutrition and Sanitation

Our activities include the delivery of medical infrastructure such as the hospitals we run across the Group. Our hospitals are supported by medical outreach services, which include mobile health vans and medical outposts to enable isolated rural communities’ access to medical services. Our 10 Rural health posts and 16 Mobile Health units and other outreach programmes covered 1.8 lakh people in the last year.

Education

Our work with children’s education is targeted at the pre-school level, particularly through our VBCA Project – Integrated Child Development Scheme (ICDS). ICDS is a centrally sponsored scheme of the Government of India aimed at providing services to pre-school children in rural, tribal and slum areas in an integrated manner so as to ensure their proper growth and development. In addition to pre-school support, we also support a mid-day meal programme through 8 centralised kitchens, aimed at improving the health status of children from Class I to VIII in Government-aided schools as well as encouraging regular attendance at school.

Sustainable Livelihoods

Education about yield improvements and moving production into cash crops has been a particular focus to assist farmers in maximising their returns. For example, we have assisted farmers in gaining access to high-yield seeds and fertilizers, soil testing, watershed management and cultivation. As well as working with communities to increase the financial value of their production, we have undertaken education programmes around innovative technology, which offer multiple benefits.

Vocational training to youth in employable skills saw more than 770 youth benefiting. The Vocational Skills imparted include BPO as well as industrial stitching.

Women Empowerment

Development theory supports the conclusion that through achieving food security, generating incomes and maintaining savings women are critical to improving livelihoods and the quality of life of their communities. We are able to assist in creating sustainable development through supporting initiatives that have women’s empowerment at their heart. 

In addition to bringing women together in collaborative forums, the group dynamics and collective spirit creates informal structures of support helping to create sustainable small businesses as well as enhancing the bargaining power of members. Our programmes cover over 22,000 women including a federation ‘Subalakshmi’ for 2700 women.

Community Asset Creation

Operating in rural developing communities means that these areas often lack basic amenities and infrastructure. Our engagement in infrastructure development programmes is crucial to ensuring that the business is able to operate effectively and efficiently, with the dual benefit of improving the infrastructure of our surrounding local communities.

Our initiatives enable the planning and development of infrastructure to improve the lives of communities surrounding our operations, for example creating several community welfare assets, which include building roads, community centers, wells, classrooms and drainage network across the areas of operation. The programme benefits potentially 1.7 lakh people for whom the assets have been created. 

Bio-investment

Restoring and improving natural systems is key to our bio-investment programme. They help not only to improve the biological balance of the locality but also to reduce rural poverty. As part of our bio-investment initiatives, the leftover food waste is converted into organic manure through the organic waste converter plant at Mid-Day-Meal kitchens. Other initiatives that we have been involved in include: watershed management, social forestry, cattle breed improvement and cash crop farming. 

Integrated Village Development

Our objective is to facilitate the development of long-term change that allows benefits to local rural communities based on their needs and develops our relationship with the community through our Integrated Village Development Programme (IVDP).

The integrated village development programme(IVDP) core objective is enabling the holistic development of villages surrounding our operations. Under IVDP, villages are identified for assistance by a number of indicators including limited infrastructure, low literacy rates, the level of government services available and the availability of healthcare and education services. When a village is identified, we work with NGOs and government authorities, in collaboration with the village to prepare an integrated development plan. The plan usually results in the development of infrastructure, including health and education support, along with environmental planning and the implementation of sustainable livelihood programmes. From commencement of the IVDP to handover, the process takes between 3-5 years. This project has matured and now presently our intervention is in 2 villages covering 4000 people. 


 

 

Case Study

Cataract Surgery Project - Black Mountain Mine (South Africa)

Resource constraints in the Northern Cape have resulted in the provincial Department of Health reporting a significant backlog in cataract surgery. Black Mountain Mining (BMM) set out to support the Northern Cape Department of Health in addressing this backlog.

In consultation with the Department of Health it was agreed to run a first phase intervention as a pilot project and to host this at BMM's Aggeneys Health Centre. Screening took place first at local clinics and then by the Bureau of the Prevention of Blindness Team in Nababeep after which patients were referred for assessment in Aggeneys, prior to surgery.

Fifty-eight patients were assessed by the ophthalmologist and 47 underwent cataract surgery in Aggeneys in December 2012. Following the success of the pilot programme, plans are underway to grow the programme in collaboration with strategic partners so that the objective of zero cataract blindness in the Northern Cape can be achieved in a reasonable timeframe.

 
 

Working within the jurisdictions of developing countries necessitates an understanding of the socio–economic, political and cultural contexts of these nations, which are often distinct to those of developed economies. We believe that, as a Group, we make a significant, valuable contribution by ensuring that both the financial and non-financial returns that the business can deliver are realised.

For example, where infrastructure, including roads, housing, sanitation and healthcare facilities, are not adequate we partner with host governments to develop these areas for future generations.

We offer an attractive value proposition for our host Governments, both because of the positive economic contribution we can make to national and state budgets through the taxes and royalties we pay, and also through the broader contribution we make in developing infrastructure, skills and employment opportunities.

In the last year, our Group contributed around Rs 27,000 crores to host Governments by way of taxes and royalties. Our businesses provide a range of important commodities, which are the building blocks of any society, including zinc, copper, lead, aluminium, silver and power.

We also provided around 70,000 direct and indirect employment opportunities and many times that through secondary, supporting industries the estimates go to 3,00,000. This has a direct positive impact on overall livelihoods and domestic consumption, contributing to economic growth locally and nationally and the development of local markets. This is underpinned by the broad range of health and education services and infrastructure that we provide, either independently or in constructive partnerships, benefitting close to 2.8 million people.

 

 
 

Through our operations, we make a significant contribution to the development and maturity of many natural resources markets. Our growth and the success of our suppliers and customers are all intrinsically interlinked and interdependent. Accordingly, we ensure that suppliers, customers and interested industry parties understand our approach to supplier and contractor relations, which we provide in detail through our day-to-interactions which in turn are framed by our sustainability policies.

Customers

We have clear systems and personnel in place to understand and meet customer expectations and we constantly engage with customers through our dedicated marketing and customer service personnel. All our activities in this regard are focused on ensuring our customers' needs are met in an appropriate and timely manner. Alongside the timely delivery of our products, their quality must be assured and in compliance with agreed technical standards, with the certification of all deliveries vital for ensuring that customers trust the product and that its quality has been verified. Technical assistance is also provided to customers both by our internal experts and by international consultant visits along with workshops and seminars on technical issues and product development for first use.

Suppliers

Our suppliers are an integral part of our business and include government utility companies, international manufacturers and local service providers. We aspire to use local suppliers where appropriate, for both service and supply purposes. We believe in continuous and progressive adoption of IT and automation to improve our operating efficiencies. Recently, the Group has launched the SAP - Supplier Relationship Management (SRM) module, which includes an SAP supplier portal which is an easy-to-use, highly efficient and secure method of communication between purchasing

Product Stewardship

As primary producers, we have limited control of the full lifecycle and the way in which products are produced and disposed. However, the business is committed to ensure that the beginning of the lifecycle adheres to appropriate international commodity trading standards. To support this, 38 of our 44 plants are certified to OHSAS 18001, ISO 9001 and ISO 14001 - this covers the entire manufacturing lifecycle assessment.

Our products are commodities, which are sold through commodity markets and used in a large number of industries. Our final products are refined metals and meet the required international standards (such as LME) for entering the commodity market. To ensure the safe handling of our products, we use a Material Safety Data Sheet which includes information on physical data, health effects, storage and disposal. We also use a Technical Services Resource for quality assurance.

Together with scorecards, all this information is available to support our customers, allowing them to have a full, detailed understanding of our products and their composition. We seek to comply with all prevailing standards and laws related to marketing communications, including advertising, promotion, and sponsorship of the country where we operate.

 

Case Study

Supplier / Vendor Meet - Sterlite Copper

Sterlite group run different forums of engagement for example, our Sterlite Copper business ran a vendor conference in 2012 where suppliers were given a tour of the site, shared know-how and developed ways of working more efficiently with the business as well as providing feedback. The event was attended by approximately 200 vendors.

The result of such interventions by Group businesses means a more collaborative approach to supplier relationship management. Consultation with suppliers ensures that the business has an understanding of their drivers and challenges and is able to work with them to achieve the best possible results

 
 

As a major contributor to the social and economic development of the communities in which we operate, we advocate policies which promote sustainable development and value creation for all stakeholders.

The world faces many pressing issues including climate change, poverty and the depletion of finite natural resources. By our engagement and partnerships with civil society – encompassing a wide range of non–governmental and not–for-profit organisations – we can make a contribution to meeting these global and local challenges. In addition, to deliver our many community development programmes we partner with a wide range of civil society organisations as they can offer valuable expertise and personnel. These relationships are managed at the appropriate level: at the Group corporate level, at our subsidiary businesses and at the local level, utilising our CSR, investor relations, sustainability and other functional teams. We also listen closely to the views of organisations that challenge our business. Engaging with civil society (non-governmental organisations, religious, academic and healthcare institutions) helps us to tackle the world’s changing social and environmental megatrends and reduce business risk. It is also fundamental to our corporate values of trust and sustainability.

In 2014–15, we focused on increasing our presence with global bodies such as UNGC – Women Empowerment Principles and becoming a signatory to the World Business Council for Sustainable Development’s Water, Sanitation and Hygiene (WASH) Pledge to fulfil global human rights to water by 2050. 

Some of our subsidiary companies are members of trade and industry bodies like the Federation of Indian Mining Industries, Confederation of Indian Industries, India Lead Zinc Development Association, Indian Institute of Metal, Federation of Indian Chambers of Commerce & Industry, Zambia Extractive Industries Transparency Initiative, Irish Business and Employers' Confederation, and The Energy Resources Institute, India, where they actively participate and contribute.