Leaving Footprints - Vodafone ?· Leaving Footprints Making a difference one step at a time Vodafone…

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Leaving FootprintsMaking a difference one step at a timeVodafone Essar Sustainability Report 2010-11At Vodafone, sustainability is an integral part of the companys mission and strategy, shaping how we conduct our business everyday. Footprints is our endeavour to make a difference to our workplace,marketplace, environment and community. Its not something beyond our business, its about how we do our business itself.About Vodafone Essar 4CEO leads 5Vodafone Essar sustainability journey 7Workplace 10 Health, Safety & Wellbeing 13 Driving an injury-free work culture 14Marketplace 16 Supply Chain Management 16 Health, Safety & Wellbeing in Supply Chain Management 17 Supplier Perspective 18 Connecting the unconnected 19 Sanchaar Shakti 20 Empowering inmates in West Bengal and Tihar prisons 21 M-learning service 22 Mobile Banking 23 Were Happy to Help 24 Associate Distributors Vodafone Mini Stores (ADVMS) 25 Aegis Call Centre, Srinagar 26 Environment 28 Our green resolve 28 Green effort on the network 30 Green IT 31 Management of Radio Frequency (RF) safety at Vodafone 32Community 34 We care for our world 34 Circle stories of sustainability 36Performance against Group commitments 39Table of ContentsVodafone Essar is a member of the Vodafone Group and commenced operations in India in 1994 when its predecessor Hutchison Telecom acquired the cellular license for Mumbai. Our company now has operations across the country with over 130.92 Mn subscribers. In a survey conducted by Indias leading business weekly, Vodafone Essar was awarded the Most Respected Company in the telecom sector for 2010 . It was also awarded the Most Trusted Service Brand in India for 2010, by a leading financial daily.Vodafone is one of the world's largest mobile communications companies in terms of revenue with approximately 371 Mn customers in its controlled and jointly controlled markets as on 31 March 2011. We currently have equity interests in over 30 countries across five continents and more than 40 partner networks, worldwide. The Essar Group is a diversified business corporation with a balanced portfolio of assets in the manufacturing and services sectors of Steel, Energy, Power, Communications, Shipping Ports & Logistics and Projects. Essar employs more than 50,000 people across offices in Asia, Africa, Europe and America.Vodafone Essar operates in 23 different telecom circles spread across India. Each of these circles is further About VodafoneEssarsubdivided into zones. The corporate office is based in Mumbai and is considered a circle on its own. We directly own and control base stations in 7 of these circles through Spacetel; the remaining 16 circles are controlled by Indus Towers. With a rapidly increasing subscriber base, our network is growing as well - we now manage over 1,00,000 base station sites. Weve seen a 19% growth in the volume of voice usage from last year. This year, we keenly look at placing ourselves as a preferred data and services provider. In line with this, weve witnessed a structural transition from mass prepaid acquisition to segmented base management within Vodafone Essar. The environment we operate in has also witnessed a few major changes - the subscriber verification process became more stringent, Mobile Number Portability (MNP) was introduced and 3G services are now available in India. In the last 15 months weve carried out extensive re-verification of our subscriber base and re-verified around 60 Mn subscribers to ensure that their verification documents are in compliance with the currently applicable Department of Telecommunications guidelines. Weve also been an enthusiastic supporter of this government initiative from the very beginning. Our belief has always been that if MNP is good for the customer, it means its also good for the service providers. The results of MNP have been very encouraging and heartening for us. We quickly emerged as a leader in Haryana and subsequently across all circles, with the maximum number of port-ins from other networks. By the end of February 2011, we had registered a net gain of around 2.2 lac customers.We believe that its our commitment to customers, brand recognition and our friendly approach that have been the primary reasons why customers have opted to choose our network. A large number of subscribers have thus embraced this as a means to exercise their choice and we look forward to leading the continuing telecom revolution in the Indian market.Vodafone Essar Sustainability Report 2010-11In the telecommunications sector, we break barriers to connect people across geographies. This makes us a responsible business. But it doesnt stop here. I believe, being a responsible business is not only about how much you achieve but also how you achieve it. Weve a clear understanding about how we impact people, how we can use our core competencies of communication to better the lives of people and how we engage with our stakeholders. We believe that all this has to be done with relentless pursuit and determination.At Vodafone Essar, weve built the momentum gradually and in the last couple of years weve been quite impactful and engaging. Given that health, safety and wellbeing are integral to our operations, our persistent efforts with all stakeholders, both internal and external, have helped raise awareness levels.Weve done some great work with our diversity & inclusion programmes, employee volunteering, GiveIndia payroll programme and resource management initiatives through the ReSolve campaign.Energy is a precious resource and our teams are working hard to evaluate energy solutions that are beneficial to the environment and the business.Our key learning from the journey so far is that sustainability initiatives have to be embedded in our business & aligned with our vision and future goals. The next step for us is to create an overarching sustainability theme for India that will help us further build upon peoples love for the brand.Till then, let the good work continue!Warm regards,Marten Pieters05CEO leadsOur steps, our journeyVodafone Essar Sustainability Report 2010-11Key facts & figuresSubscriberbaseNetworkRetailpresenceNumber of Vodafone subscribersTotal base station sitesTotal voice usage (Minutes in Mn)Total SMS messages handled (In Mn)Number of stores owned by VELNumber of stores franchised130,920,732100,680501,685 69,348 307164100,858,35893,948418,23637,948309181As on31 March 2011As on31 March 2010Total number of employees Total number of women employees Number of newly hired employeesNumber of nationalities in top management9868*14732067^4People at Vodafone(Numbers)* As of 31 March, 2011 ^ YTD ( April 2010 - January 2011)At Vodafone, sustainability is not a mere philanthropic gesture or an add-on, but a part of our core business. Weve embarked on the process of embedding sustainability within Vodafone in a market as diverse and large as India, and we are proud to have left our footprints in territories of undiscovered opportunities and risks. Our route map so far reads:Milestone:This is Vodafone Essar Limiteds (VEL) first sustainability report in which The Vodafone Group Plc and 16 out of its 23 Local Operating Companies (LOCs) will report on their sustainability performance.In this report, our sustainability strategy and role is presented with due consideration to the extent of impact on our environment, on the communities we operate in, on our employees and how we conduct our business in a responsible and ethical manner. We discuss our stance, policies and actions taken on issues that have a bearing on our performance as a responsible business.The issues find place under four sections: Workplace, Marketplace, Environment and Community. The Workplace section deals with our Human Resources (HR) policies and actions and covers employee health and safety. We also outline our practices in supply chain management, ethics, customer service and marketing in the Marketplace section. Our environmental initiatives and programmes such as waste management, green Information Technology (IT), energy and responsible network deployment feature in the Environment section. The Community segment covers the many facets of social responsibility activities undertaken in the circles.Vodafone Essars first sustainability report07When VEL was acquired by Vodafone Group, we had a sustainability vision. As we signed up to integrate with the Vodafone Groups sustainability approach, our overarching deliverable was to ensure basic compliances and delivery on issues. The Group made external commitments on the following - work with suppliers to ensure ethical and sustainable supply chain, measure our environmental footprint and the impact of our business on the Indian society.MarketplaceCommunityEnvironmentWorkplaceSustainabilityTaking sustainabilityfrom planning chartsto execution1One of our key focus areas was to embed the sustainability basics in operational functions; thus Footprints, the sustainability programme was created. It took off with two major employee oriented initiatives - payroll giving and volunteering for a cause. contribution of more than ` 50 lac. to work with the hearing impaired, visually challenged and to teach English to slum children. Jagriti and Learn English presented in the Marketplace section are examples of such volunteering. safety, energy conservation and waste management.also noteworthy.Our global vision is to be a responsible and an eco-efficient company, to engage and contribute to our local communities and to deliver sustainable innovations that benefit Indian society, crystallised as a key goal in our business.We see tremendous growth opportunities in being recognised as an entity who is the first mover on environmental and ethical issues, in being the preferred brand with customers, in strengthening our reputation with key external stakeholders and in increasing mobile adoption in underpenetrated or untouched market segments. Further, by being a responsible corporate, we would be more energy efficient, have loyal employees and be able to leverage government goodwill for social innovation projects. Strategising for sustainability32Milestone:Milestone:Vodafone Essar Sustainability Report 2010-11Identify a flagshipsustainability programmeSustainability is not charity nor is it a green movement. Its much broader than that. Its about how we conduct ourselves responsibly towards our employees, our customers, our vendors & associates, the community we live in & the environment around us. Only when its a way of life, sustainability is possible.Samaresh ParidaDirector - Strategy & Corporate AffairsHaving identified this value, on recognising the priorities of our stakeholders and with the guidance of our global framework, our sustainability strategy for India emerged as depicted.We have outlined our performance and achievements in environmental compliance, green initiatives, customer centricity, employee satisfaction, marketing and social contributions in this report. We have left our footprints in tough and challenging territories, and our journey has only just begun.Certainty - Trustworthy, respectedand not letting our stakeholders down.Trusted NetworkPossibility - Using mobile technologyto deliver a sustainable future.Useful InnovationTo be recognised as the leading Indian telecommunication company for responsible and ethical behaviour, contributing positively to the world we live in. Admire the brandTransfer ownership offundamentals to lines ofbusiness with clear ownersand targets, andmonitor progress.Identify opportunities andsupport lines of businessto deliver.Identify a short list of focus areasand mobilise internal resources andexternal partners to developand scale solutions.APPROACHINITIATIVESGOALSVISIONLove the brandBeing a responsible and an eco-efficient companyEngaging with and contributingto our local communitiesDelivering sustainable innovationsthat benefit Indian society1. Embed sustainability basics in the operational functions and circles2. Expand energy efficiency renewables and waste management activities3. Establish sustainability communications and reporting on performance (Internal and external)4. Set up a company-wide volunteering programme5. Engage with key stakeholders and customers at national and local levels6. Explore applications for special groups 7. Deliver products and services that improve economic and social conditions for women09In being a responsible telecommunications company, we would like our employees to take our sustainability values ahead. Our workforce is our brand ambassador who manage issues in an ethical and a transparent way. Employee engagement at Vodafone takes various forms and forums such as refresher courses on our values - Speed, Simplicity and Trust, surveys and studies, nation-wide team building activities, employee volunteering forums and work-life balancing initiatives. Connecting with our peopleWe strive to be an Employer of Choice. We do this by encouraging a culture of flexibility and accommodation, diversity and inclusion, employee friendly policies, investing in structured succession planning, making a difference in the lives of those associated with us, and above all upholding the Vodafone values at work. Our dedication to build great careers for people who work with us, combined with talent management and development and speedy response to the call of community in times of crisis is our strength.The best sustainability activities are those that help us in our core business as more people in the organisation own it and drive to achieve it.Sanjoy MukerjiDirector - Business Operations, North and EastBeing a responsible telecommunicationscompany, we would like our employeesto take our sustainability values ahead.Vodafone Essar Sustainability Report 2010-11workplace11A restructured organisation to bring decision making as close to the customer as possiblePresented employees with career options that will actualise and unleash their potentialIntroduced an employee engagement planIntroduced a Whistle Blow hotlineWe have empowered our circles and zones to run their businesses in a fairly decentralised manner.At Vodafone, talent management exists to support the organisations overall objectives by leveraging our capability in the below mentioned focus areas and presenting employees with career options that will actualise their potential.We invest in top talent and develop a pool of diverse talents for the future. We run development modules across levels in order to identify, check and develop talent. Our senior leadership also reviews talent management through structured forums.We have devised a comprehensive employee engagement plan, which includes surveys and studies related to Vodafone as an employer, nation-wide team building activities, employee volunteering forums and other work life and health initiatives.Employees are encouraged to report any fraud or misdeed and can do so with total confidentiality.We have Empowering employeesEmpowerment is an essential part of our organisations effectiveness - and hence, vital to our sustainability efforts.We would like to offer best in class opportunity for training women leadership; developing strong women leadership in the future should be our legacy.Ashok RamchandranDirector - Human ResourcesDiversity & InclusionWe embarked on the diversity journey in 2009. The starting point was building an inclusive workplace where we can nurture diverse talent.Inclusive Leadership workshops were held for people managers across all circles. It aimed at building a culture where three pillars of diversity can flourish - gender diversity, nationality diversity and diversity of business experience & skills. During these workshops, it emerged that there are separate needs for our women employees. Weve rolled out women-friendly policies in September 2010 adding credibility to our commitment to provide a fair workplace and to promote employee work life balance. childrenwhich can be availed within 6 monthswe introduced the Reach Home Safe policy. Rewards & RecognitionWe recognise an individual and teams through their performance, contribution and the success of their work. Rewards and Recognition are based on the performance of an individual or the team. We foster healthy competition, team collaboration between zones and circles via a quarterly adjudging of best circles and zones with respect to revenue, subscribers, distribution, infrastructure and service and award the status of Region Star. Also, during Management Conference, best circles and initiatives are felicitated.We recognise individual performances by awarding Vodafone MegaSStars to our employees who have demonstrated the Vodafone way of Speed, Simplicity and Trust. Our employees are our real pillars of strength. Their loyalty to the company and to our brand is a silent testimony to the way we conduct business. Weve also instituted Long Service Awards for those amongst us whove been stalwarts of our brand for 5 years and/or 10 years.Employee engagementWe conduct the People Survey every year to understand the effectiveness of our engagement initiatives. Its a unique tool to rate ourselves on how well we communicate and practice key organisational values. In 2010, we saw some outstanding results:Vodafone Essar Sustainability Report 2010-11Vodafone Overall 2009 2010Engagement Index757879737477797880 80 8086 8688 88Manager Index Inclusion Measure Operates Ethically Socially ResponsibleVodafone People Survey 201013At Vodafone Essar - Health, Safety & Wellbeing comes before business.Vishant VoraDirector - TechnologyOperating in emerging markets, especially in India, carries with it significant health and safety challenges. We believe in growing our business and staying competitive - safely, responsibly and ethically. With a majority of our operations outsourced, weve come to recognise that this presents a considerable challenge in relation to implementing health and safety systems.While aspects of HSW directly related to our employees are discussed in this section, our HSW practices with suppliers and across are discussed in detail under the Supply Chain Management section.Incident preventionEvery incident, even if its a near miss, is regarded as an opportunity to understand and improve HSW performance. What follows a near miss incident is:to local market executives and the Global HSW team. business heads are expected to be involved and to ensure that corrective actions are implemented.Health, Safety & WellbeingThe Health, Safety and Wellbeing (HSW) policy of Vodafone Essar is applicable to all direct employees, service providers, contractors and suppliers alike. It commits to:ensure these standards and ideals are implemented. We aim to achieve an injury-free record in all business operations with a focus on six key initiatives:1) Leadership workshops - For senior management to embody the change we seek to create.2) Senior management tours - To inspect safety initiatives.3) Health and safety management system - Weve adopted the International Safety Rating System (ISRS), a Det Norske Veritas protocol for HSW management since 2010. We have successfully completed implementation of ISRS Level 3 in 16 circles and ISRS Level 5 across 4 circles.4) Absolute Safety Rules - We have launched a campaign demanding zero tolerance in 3 critical areas: driving safety, electrical safety and working at height. We have incorporated seven rules, one of which is unique to the Indian environment - the additional rule is for 2- wheeler driver safety. 5) Focus on supply chain - Weve begun to engage with contractors working on high-risk activities.6) Road safety - Approximately 345 people in India die every day in road accidents. We have a focused programme on defensive driving training, together with a number of other local and corporate road safety initiatives. The use of seat belts and helmets are strictly enforced and there are examples where these measures have saved lives. Driving an injury-freework cultureVodafone Essar Sustainability Report 2010-11Leavingfootprints at our workplacemarketplaceSupply Chain Management touches every aspect of our business. Operationally, its categorised into Networks, IT and Services based on the nature of procurement, supply chain operations and support services cutting through all categories and extending to the entire geography of the company operations.We give utmost importance to sustainability in supply chain and this translates to specific goals and objectives for our function. We want to work with suppliers who share our values on ethical behaviour, health and safety, performance optimisation and resource management with environmental consciousness.We communicate our Code of Ethical Purchasing (CEP) to internal and external stakeholders. The CEP pack sent to suppliers contains a letter of introduction from our CEO, a guidance note on CEP and our business principles. We ask our suppliers to sign up to the CEP as a standard process during registering them and work collaboratively with them in its implementation. We also ask suppliers to cascade it within their organisations and down their supply chains.To standardise a measurement system and deliver value to Vodafone and its suppliers, Vodafone Group has developed a Supplier Performance Management methodology. Suppliers are evaluated across all areas of their engagement with Vodafone. Sustainability is one of the evaluation pillars and suppliers are marked on parameters such as compliance to the Code of Ethical Purchasing, Management of Labour, Environmental Certification and Health and Safety among others. Weve adopted this starting with our key suppliers and plan to extend it to more suppliers in the coming year.Supply Chain ManagementVodafone Essar Sustainability Report 2010-11As it is evident from the MNP numbers, weve been able to establish a clear differentiation through our quality of services. Theres a growing demand to understand our sustainability performance.TV RamachandranDirector - Regulatory Affairs17being strengthened as we have begun to engage with contractors working on high-risk activities.All network suppliers are now being re-accredited based on an assessment of their health and safety management systems. CEP and HSW are critical in our supplier qualification and registration, and we request all suppliers to sign up to them before working with us.We hope to continue to contribute in making our business and supply chain sustainable.The most immediate challenge in ensuring HSW compliance to our standards in the supply chain was the sheer scale and size of our operations. To tackle this, we have embarked on this HSW journey:Training our employees: We now have at least one person trained in HSW at corporate and at every circle. To help in implementation: An Apex committee was set up comprising some of our key suppliers and us. We meet every quarter to discuss Health, Safety & Wellbeing and share best practices. Our key suppliers also communicate to us monthly on their HSW highlights, concerns, training and awareness programmes conducted and the number of incidents. To improve the health and hygiene at the sites: We have started scoring each of the sites on health and hygiene parameters, circle-wise.Our responsibility in the marketplacemanifests itself in the form of an ethical supply chainmanagement, trust and transparency in ourcommunication with customers and innovative telecomproducts for the population at the bottom-of-the-pyramid.Health, Safety & Wellbeing inSupply Chain ManagementWere headed towards a sustainable supply chain and the challenge in India is integrating contractors into the same, who are now beginning to see the value of sustainability, health and safety.Venkat ReddyExecutive Vice President- Supply Chain ManagementSupplier perspectiveNokia Siemens Network (NSN) is one of our key network partners and the Vodafone - NSN association has been a long one. NSN understands our ethical values and policies, and putting a perspective to this association, C.B. Velayuthan, the Head of the Vodafone Customer Team quotes:Our association with Vodafone is unique because its a meeting of minds in terms of health, safety and introduction of green initiatives. Vodafone Essar has always been supportive of our ideas and we are very excited about working with them on introducing new initiatives. Vodafone Essar Sustainability Report 2010-1119To truly enable development, taking connectivity to every nook and corner to improve access to communications is a must. Improved rural penetration is also a key objective of the Government. We have been working aggressively in the last few years to establish a strong rural presence.Within a very short time frame, we have, to our credit, been recognised as the second-largest rural wireless operator in the country. As a part of the Vodafone Public Policy series launched in 2004, we asked the Indian Council for Research on International Economic Relations (ICRIER), one of Indias foremost independent research institutes, to conduct an India specific study on the socio-economic impact of mobile telecommunications. As consumers become increasingly globalised in India, there is a thirst among people to connect with their roots. People seek this identity in their culture, local arts, crafts and architecture. Individuals have also become more conscious of the environment like never before. These are the aspects that weve taken into account while creating our market plan. Our people activities have two distinct legs - protecting the environment and preserving culture. Our initiatives in this regard are covered in more detail in the section Circle Stories.This study released in January 2009 found clear evidence to suggest that mobile phone penetration facilitates economic growth and that mobile phones aid the process by which disadvantaged groups enjoy the fruits of economic growth. With compelling evidence from the study and in view of the Vodafone Groups commitment to be recognised as a communications company making one of the most significant contributions to achieving the Millennium Development Goals (MDGs) by March 2015, we have undertaken various initiatives emphasizing women empowerment promoting gender equality, universal education as well as promoting inclusive growth. We launched various tailor-made initiatives that will be beneficial to the population at the bottom-of-the-pyramid. Weve products and services such as Credit Transfer, ` 4 Bonus Card and Chota Credit exclusively marketed to this sector. We function in our role as enablers to create an inclusive society where the government is the key stakeholder. Weve partnered with the government and its institutions to achieve the realisation and implementation of some of our initiatives outlined herein. Connecting the unconnectedDelivering our product and service, unfailing and continuously as we build credibility to our brand is our driver. Our sustained value delivery is identified with our brand. We are privileged to be placed in a sector where we can use our products and services - by bringing access to information and marketplace - as a unique opportunity to bring about inclusion in our diverse society.Kumar RamanathanChief Marketing OfficerUnder the guidance of the Universal Service Obligation Fund of the Department of Telecommunications (DoT-USOF), we launched Sanchaar Shakti, a gender budget scheme for mobile connectivity and ICT-related livelihood skills for Self-Help Groups (SHGs) in March 2011. The programme aims at increasing the income and livelihood means of women members and raise awareness and education in areas such as health, sanitation, hygiene and social issues via mobile phone solutions. It was launched by Smt. Pratibha Devsingh Patil, President of India, and has partnered with an NGO - Ankuram Sangamam Poram. It will be conducted over a 12 month period, involving around 2500 women who are organised in roughly 160 SHGs across 80 villages in the Warangal and Ranga Reddy districts of Andhra Pradesh.As part of the activity, Vodafone will Vodafone retailers within the community. This will become a powerful means for increasing each SHGs collection of funds through new customer acquisitions, product and service sales, etc. Application in Telugu will allow the SHG leaders to upload income and loan activity - related data to the NGO and allow the latter to analyse information, correct problems and replicate best practices. interactive voice application in Telugu, which will deliver content on health topics, social issues and livelihood enhancement tips.Sanchaar Shakti: A gender budgetscheme by Vodafone Essar andDepartment of TelecommunicationsUSOF schemeCaseStudyVodafone Essar Sustainability Report 2010-1121For years, Ive wanted a fool proof security system for the inmates lodged in the correctional homes for years that would enable them to be in touch with their friends and family. I thank Vodafone for giving us a perfect solution andI hope that its implemented in all correctional homes across India.B.D. SharmaAdditional Director General of Correctional Homes and Inspector General of Police - West Bengal Correctional ServicesCorrectional institutions are intended to convert prison inmates into normal members of society by providing them with useful skills, education and rules. Since any form of communication with the outside world by the inmates is either forbidden or restricted, the authorities have been experiencing a problem of smuggling of SIM cards into the prison.In one such facility at West Bengal the Dum Dum Correctional Home, mobile phone jammers are used to ensure no prisoner can use smuggled-in phones. Prisoners were allowed to interact with their families once in a week on two fixed days of the week. This led to a highly chaotic situation on those two days - a frustrating experience for prisoners and their families and highly stressful days for prison authorities to manage the crowds and ensure security. We took on the challenge and designed a system to extend phone facilities to inmates at the behest of an idea seeded by a police authority during routine conversation. The new facility enabled convenient interactions and was secure to meet the stringent security norms of the correctional homes while reducing the crowding on meeting days. The service was a SIM-less system, allowing calls to a maximum of 3 pre-notified numbers. Each call would be recorded onto a server located within the premises. In Tihar Jail too, the problem of overcrowding and SIM card smuggling was rampant. Our solution of using biometric telephony was introduced. Each inmate gets registered with the jail authorities by providing his finger print and two telephone numbers on which he would like to call, he or she logs in biometrically and accesses one of the two numbers and all conversations are recorded for future reference by jail authorities.Empowering inmates in correctional homes - West Bengal and Tihar PrisonCaseStudyTihar statistics:12,000 are eligible to register for this facility.4000 inmates are currently using the facility. Each inmate has usage of 40 mins per month.1.60 lac minutes per month and still counting. At Vodafone, we value the critical role of education in an individuals life. Education has been a priority for us and hence, weve worked to further funnel down this belief by introducing the M-learning module as an integral part of our bottom- of-the-pyramid products. The M-learning project, launched in March 2010, is an English-learning module delivered on the mobile phone using an IVR based subscription service in a dual language mode. This enables the user to manage basic everyday sentences in English thereby aid them in employment and networking. This service is valuable in rural India where people aspire to learn English and may not have the access to quality education. Efforts have been made to make this service relevant and beneficial to its subscribers and thus truly a Value Added Service.Were all geared up to make the M-learning module available in regional languages across Indian states, as this would ensure that the service meets its objective and reaches the masses across the country.M-learning service:A unique value proposition for IndiaThe future lies in our ability to provide Value Added Services in the areas of health and education. Relevant content development is the key challenge in this space. For interventions such as M-learning to be successful the stakeholder involvement which includes the teachers, school administration and government, is required. Success depends on the synergies achieved through a combination of the right technology provider, the content developer or a subject matter expert and the results of pilot testing. Rupal VaidyaGeneral Manager - Content DevelopmentCaseStudyVodafone Essar Sustainability Report 2010-1123A majority of rural Indians who own mobile phones dont have the access to banks. In line with the objective of nurturing inclusive growth, we conceptualised and launched a pilot project with HDFC Bank to assess the viability of our proprietary M-Paisa mobile banking platform to open accounts under an RBI-approved policy initiative. This has allowed banks to do business using the business correspondent framework in the Sikar district of Rajasthan. Weve already seen success with similar concept - M-Pesa across 3 countries in Africa catering to 17 Mn customers.Backed Money concept is where accounts in the system are pre-funded and equivalent amount of currencies are created on the M-Pasia banking platform for use on the mobile phone. Using M-Paisa, targeted customers are able to do transactions like cash deposits, cash withdrawal, funds transfer, check account balance and mobile top-ups.Till date, nearly 4,000 customers have availed this service of which more than 60% have performed more than two transactions since activation. Nearly 20,000 transactions so far are primarily for cash deposits, airtime purchase and merchant payments. Weve now planning to scale up this initiative to other circles across India.Mobile Banking:Revolutionising access for financial servicesAadmi bank jeb mein lekar thodi chalega? Isse hamara kaam bahut aasaan ho gaya hai... chota mota samaan hum ab aasaani se khareed sakte hain. Ab mobile banaa batua. (Who carries a huge amount of cash with him at all times? I can easily buy anything with M-Paisa...life is much easier now. Now my mobile phone has become my wallet.)A Vodafone customer using M-Paisa CaseStudyWe care about our people and we make every effort to make our services address all customer needs. Our retail network and Customer Service function is the back bone of our offerings and the frontline of our business. We have touched many lives through our services. Our Customer Service teams have gone the extra mile to help people and have employed innovative means to increase our reach. The circle sustainability stories also showcase many such instances where our Customer Service teams have gone beyond the call of duty - in particular, the story about the disaster response to the Japan earthquake and tsunami. Our call centres have averaged 90% in their customer satisfaction scores while our stores have consistently stood at 95%. Were working towards enhancing our rural interface and augmenting services offered in vernacular languages. In customer service too, we have left our footprints by supporting a call centre in a remote location in India - touching several lives and realising dreams of many.We are Happy to HelpTMOne evening I received a call. I couldnt hear anyone speaking at the other end so I decided to disconnect. Just then I heard a weeping sound on the phone. I figured something was wrong. After asking a few questionsI understood that it was a college girl who missed her train at Katpadi railway station. Unfortunately there was not enough balance on her phone to make a call. I told her not to worry and got her fathers number. I checked with her if she knew anyone in Katpadi. She had a relatives number.So I immediately called and informed her relative of what had happened.I then called her father, informed and assured him that a relative had been informed. I gave him the number where his daughter could be reached.I was more than Happy to Help.K. S. Padmanabhan Executive - Customer Service,Tamil NaduCaseStudyOur goal is to communicate transparently with our customers - trust, transparency, simplicity and customer education is what drives the Customer Service function at Vodafone Essar. Power to you is a belief that we live by, aiming to transfer power from the company to the customers.Madhumati LeleCorporate Vice President -Customer ServiceI was more than Happy to Help.K. S. Padmanabhan Executive - Customer Service,Tamil NaduVodafone Essar Sustainability Report 2010-11At Vodafone, we believe that business and service are the two strong pillars that can boost our growth. In making services available to the masses and with a focus on market penetration, we not only have urban set-ups but also have a presence in remote districts across India in the form of Associate Distributors-Vodafone Mini Stores (ADVMS).ADVMS are our small Vodafone Stores located in the remote areas of our 23 circles, making our services accessible to low income groups. The ADVMS model helps to provide employment opportunities to the local residents. Each of these stores has a Franchisee Owner and a Customer Care Executive. Through the ADVMS model, we implement what can be referred to as our Client Relation to sustainability journey. 25CaseStudyAssociate Distributors -Vodafone Mini Stores (ADVMS)I was helping in my family business but it was leading to sharing of the income with others and the income was unsteady as well. By becoming an Associate Distributor of Vodafone Essar, my individual income has increased and is more stable.Arup PalMaa Tara Mobile - ADVMS, Burdwan, West BengalWe have nearly 350 ADVMSs in the region of West Bengal and were proud that it has generated 600 jobs for the locals.The community surrounding the ADVMS identifies us not as a mere mobile phone service provider but a good neighbour who also organises social and recreational activities for them like health checkups, blood donation drives, career counselling, cultural events during festivals, games and much more.Aegis Global, one of our major customer service providers in India decided to start a call centre in Srinagar, a city often in the news for turmoils and political unrest. We supported this venture by agreeing to let this upcoming call centre service our Uttar Pradesh (UP) East circle. In June 2010, right when the first batch of Vodafone certified agents were ready and the call centre was to go live, turmoil hit the Kashmir valley. Despite the turmoil, the Aegis agents did not close operations and Vodafone stood by them strongly by not withdrawing the business. When the situation returned to normal in November 2010, the call centre got into action right away.The call centre today employs about 230 local youth, nearly 95% of them are graduates and 30% of them are women. Many Kashmiris have returned to take up employment here from their well placed jobs in other parts of India. Plans are underway to bring the strength to 500 by July 2011. The records of low absenteeism and attrition rate as low as 3% are industry bests. The call centre bridges the gap between employment and employability through their training while empowering the local youth and driving the local economy. Were elated to be a key driver of this success story by our vote of confidence. The Srinagar call centre is now servicing our UP West operations as well.CaseStudyAegis Call Centre, SrinagarWe work in tandem, not in silos. We are like one family.Operations HeadAegis Global - SrinagarVodafone Essar Sustainability Report 2010-11Leavingfootprints in our marketplaceOur Green ResolveAs a leading telecommunications operator in India, we have a network footprint of over 1,00,000 base stations as of March 2011. More customers join the Vodafone family for a better connected world; In order to service them better, we need to increase the number of base stations. This means an increased consumption of electricity and diesel.Of the 1,00,000 base stations, weve taken definitive steps in managing energy (electricity & diesel) consumption in 12% sites where we have total operational control. Our Responsible Network Deployment policy sets consistent standards in key areas such as legal compliance, environmental impact, radio frequency emissions, site planning and selection, communication, consultation and landlord relationships. Our energy and resource management initiatives: Networks - Our efforts in reducing the carbon footprint through initiatives such as co-hosting base sites and taking up joint initiatives to make network energy improvements have been elaborated in the section Green Effort on the Network. Waste Management in operations - Weve identified two priority hazardous materials from our base stations and warehouses and have put in place procedures to handle these: i. Lead acid batteries - These are either returned to the battery manufacturer itself or are sold to authorised recyclers. By the end of FY 2010, we had already prevented nearly 3000 batteries from going into landfills and recycled 248 tonnes of waste. This includes lead acid batteries, IT equipment & network equipment.environmentemployees to observe environmental global resolve events. All circles pledged support to the Earth Hour in 2010 and 2011. paperless billing. vendors towards electronic Real Time Gross Settlement system thereby eliminating paper and saving time in selected circles.Vodafone Essar Sustainability Report 2010-11 ii. Electronic & IT waste - Most of our IT equipment is managed by IBM and is recycled under IBMs Global Asset Recovery Services.Aligning ourselves to the Vodafone Groups strategic objective to manage electronic waste in the emerging markets by March 2012, we commissioned ERM this year to study our network wastes and responsible disposal methods for those. The results from this study would help us shape our future course of action regarding e-waste management. Waste Management in offices - We started a campaign, ReSolve which is our endeavor to create sustainable models for recycling waste and conserving resources in offices. In 6 circles weve partnered with NGOs, to recycle waste thereby creating livelihood opportunities for youth and strengthening our community engagement. Green IT - We seek to leverage technology to reduce our footprint in areas such as transport, employee air travel, data storage and waste. Weve adopted Green IT policy - initiatives and the benefits so far achieved are discussed in the Green IT section.0129Project ReSolve Waste recycling as a tool for poverty alleviationExternal ExpertOutcome& impact reviewsVodafone NGOConsultingpartnerAdoptedCommunityin every citySustaining livelihoods& Rag picker childrenprogramme managementfor Vodafone officesDisposal of hazardous wasteClean & Green Community-basedimplementationThe environment is both a stakeholder and gets impacted by what we do. We endeavour to create sustainable models to ensure that our operations are efficient and conserve energy across the value chain.Our Scope 1 and 2* emissions for 2010/11 were 379,602 tonnes of CO2 which includes data from our network where weve operational control (sites, switches and data centres) and our offices and retail stores. This will be used as our baseline to compare our future energy saving initiatives. We include emissions from our tower companies and shared sites under Scope 3. This emission, along with the emissions from short haul flights, was close to 1.966 Mn tonnes of CO2. While we don't have direct management control over the majority of these emissions we are working with our suppliers to find low carbon solutions.Our overall emissions for 2010/11 remain relatively stable from the figures collated in 2009/10; this is despite the growth in our business - 33 % increase in customers and a 9 % growth in number of base stations. Were pleased with the improvements that weve made to our energy data collection this year. Now we have a comprehensive and reliable picture of our carbon footprint, giving us a focus for continued improvements. The Vodafone Group Executive Committee has just agreed a group-wide target for emerging markets to reduce emissions by 20% per network node, by 2015 from the 10/11 baseline. Vodafone Group Technology & Sustainability teams will be working with Vodafone India to help set its individual market contributions towards this target which is based on market plans over the next 5 years.In the telecom sector, industry initiatives on co-location of sites have led to a decrease in electricity and diesel consumption. Of the 1,00,000 sites that we own, 88% of the sites are shared with these 88% of the sites are with third party tower companies benefiting from the shared resources at the remaining 12% where we have operational control, the following initiatives have been undertaken:The primary energy challenge in base stations in circles where we have operational control, is high consumption of diesel due to non-existent or unreliable grid power. Our commitment to reduce our carbon footprint has led to a series of initiatives that would help manage emissions. Weve undertaken initiatives both in our active as well as the passive infrastructure (power plant, batteries and air-conditioning).Active Equipment Solutions - Along with our technology partners, weve made improvements to our base stations which include shutting down associated cabinets and extra transmitters during low traffic so as to reduce energy consumption. This has resulted in saving nearly 4 Mn kW of electricity and reduction in CO2 emission by 3,240,000 kg per annum.Passive Infrastructure Solutions - Free Cooling Boxes (FCB) - It shuts off air-conditioning when outside air temperature is lower than 260C and thus suitable for cooling. We have successfully implemented this at 1500 sites. This equals a reduction in CO2 footprint by 5.8 Mn kgCO2 per annum.Solar Powered Sites We piloted this concept at 4 sites in 2010, and we seek to replicate this, where theres an absence of grid power. We foresee a decrease in diesel dependency to the tune of 2.8 Mn kgCO2 per annum.Hybrid Solutions Weve deployed hybrid solutions (diesel generator and battery working in alternate mode) at 2200 sites to effectively reduce diesel consumption by 26,28,548 litres or 7 Mn kgCO2 in 2011.Green effort on the networkBefore AfterDiesel consumption in LitresDG Run in hrsNon EB Hybrid site savingsDiesel consumption/monthCO2 emission/month (kg)28501056154457205001000150020002500300054% reduction incarbon emissionVodafone Essar Sustainability Report 2010-11Data centres are units that house data servers which store and manage subscriber-related information, calls and messages data, employee information and so forth. Typically, data centres are costly to set up, power intensive and have a large physical footprint. Weve started evaluation of energy efficiency of the data centres and expect to complete it by June 2011.Simultaneously, in our effort to make data centres more sustainable, we are strongly pushing for:Virtualisation of Servers, as they reduce space and power requirements to run and cool the servers. By virtualising 504 servers, our reduction in environmental footprint translates to 3.7 Mn kgCO2.as blade servers having less space and energy requirements.With our network of 130 Mn, the number of calls and messages handled are huge; it implies managing an enormous volume of data. Reduction of power, consumption with no compromise in performance translates directly to savings. Though smaller in energy footprint, these translate into large savings.Green ITmonitors in our offices. power after 30 minutes of inactivity - which roughly translates to a reduction in annual CO2 footprint by 4.3 Mn kgCO2.printing for all users along with a secure printing code. This effectively reduces paper consumption for printers by 50%. conferences and alternate options. End user applicationData centres31We stand committed to carbon emission reduction and energy efficiency solutions across the network by engaging with all stakeholders.R. UnnikrishnanVice President - Governance and Strategic InitiativesMobile phone networks globally operate by transferring voice (conversations), text (messages) and data (photographs, music, videos etc) via radio frequency (RF) waves. The transmission of voice and data via RF waves is achieved by base stations and mobile phones, which communicate with each other by transmitting and receiving electromagnetic waves.In line with its global philosophy, we recognise the increasing awareness and concerns related to exposure from Radio Frequency due to the increased number of mobile phone handsets and base stations. Our vision is to lead the industry in response to public concerns about mobile phones, base stations and health by demonstrating cutting-edge practices.We conduct an independent survey of external stakeholders every year to understand how responsibly were behaving with regard to mobile phones, base stations and health. Participants include scientific opinion formers and academicians, health bodies and government departments, industry associations, national politicians, local authority decision makers, representatives from the media and NGOs.Management of Radio Frequency (RF)safety at VodafoneAs part of our sustainability initiatives, we play an active role with the Cellular Operators Association of India (COAI), the official voice for the Indian GSM industry. With COAI weve also conducted several awareness building workshops in Mumbai, Delhi, Hyderabad and Pune to create awareness among the public and different stakeholders to present facts and clear the myths surrounding health and mobile telephony.Regulatory and compliance perspectiveThe International Commission on Non-Ionizing Radiation Protection (ICNIRP) has issued guidelines on levels of exposure to RF (and related electromagnetic fields). The World Health Organisation (WHO) has also recommended adoption of ICNIRP standards. Compliance to ICNIRP levels ensures safety for the public, customers and workers. The guidelines set by ICNIRP have been adopted by many countries across the globe.In July 2008, the adoption of ICNIRP guidelines for the telecom sector in India was approved by Government of India. Department of Telecommunications (DoT) requires self certification of base stations, before entering into operation, as per the detailed procedures laid down by Telecommunication Engineering Center (TEC) in August 2010.We constantly endeavour to ensure that all our base stations are fully compliant and the entire network is designed and operated under the guideline limits set by the ICNIRP and checked by the DoT.Vodafone Essar Sustainability Report 2010-11Leavingpositivefootprints for our environmentWe dont address a niche audience anymore; we need to give back to the society in a big way.Kavita NairVP - Enterprise MarketingcommunityWe care forour world Go Green campaignswhich gained huge popularity. towards to a greener planet. Vodafone Essar Sustainability Report 2010-1112Payroll giving programmesto share their pay with the GiveIndia programme.raise more than 50 lac.children followed by education and senior citizen care.Our concern forthe society around us is not just a mere thoughtbut a way of life for all employees at Vodafone35Health, Safety & Wellbeing drivesIndia to spread the word of road safety.widely supported our initiatives.issue of health and hygiene.Resource conservationEngaging with the communitypriority.gave us more reasons to reach and help our community.5Making Delhi safer, the Vodafone wayA safer Delhi - thats what the employees at Vodafone Delhi wanted to achieve. A road safety campaign was organised where defensive driving training sessions were organised for on and off roll employees and an audit of driving licenses and ISI-marked helmet usage was conducted across locations. Other than this, ISI-marked helmets were sold at subsidised rates for all employees.Safety First for team HaryanaSafety is priority for the team at Haryana. They organised a road safety campaign in Sonepat, for an enthusiastic bunch of children. The event saw traffic policemen inform the crowd about road safety measures. To make this a little different from the routine run-on-the-mill campaigns, the team came up with the idea of distributing games such as snakes & ladders and ear caps for kids as a way to spread awareness.Safety Saves says team UP EastThe team at UP East organised a campaign called Safety Saves. While the first phase was experimental in nature and was extended only to the employ-ees, the second step of controlled reaction was applied to school students to see how they react to the safety measures told to them. The third and final step was going all out to the public and holding huge events and spreading safety awareness.Partnering with the RailwaysWe also partnered with the Railways to create awareness about passenger safety on railway stations and trains. We even organised a campaign to spread this information supported by the management team.Team Karnataka gets on to the streets, literallyThe aim was to educate the common man on the importance of wearing helmets and team Karnataka didnt think there was a better way to do this than getting on to the street. Armed with banners and posters, the employees reached out to shopkeepers, passerbys and college students to educate them on the safety message.Circle stories of sustainabilityFor cleaner cities, teams in Mumbai, Delhi and Chennai are increasingly partnering with local bodies & NGOs. While Mumbai did the Freedom from Garbage campaign at the Andheri-Kurla Road in Mumbai, Delhi supported the Clean Delhi Drive campaign, conducted by the Art of Living Foundation. Chennai meanwhile worked on cleaning its beaches in the successive months.Donating for alife-saving causeThere is perhaps nothing more satisfying than being able to save a life. At Vodafone, we understand the importance of blood donation, which is why circles across the country have been regularly organising these camps.Across Chennai, Gujarat, Pune, West Bengal and other circles, around 200 units of blood were donated by 400 volunteers.Cleanliness drivesBlood donationcampsHealth & Safety awareness and emergency preparedness initiativesVodafone Essar Sustainability Report 2010-11Jagriti in DelhiAfter the success of the first initiative, which focussed on education for all, the employees at Vodafone Delhi decided to organise a second session of Jagriti. This session was organised for 30 associates including security guards, pantry boys, housekeeping staff, drivers and maintenance staff, who were taught by a group of 30 employee volunteers. This programme was well appreciated by one and all and went on to become the talk of the town.English sessions for needy studentsIn Gujarat, the team believes that English education is the way to empowerment. With this belief, Yuva English Unstoppable was initiated. Under this initiative, 30 of our employee volunteers went to a nearby municipal school for three months to teach English to the children. The class turnout was very encouraging and showed the interest these students have in English.West Bengal spreads awarenessabout healthIn West Bengal, we organised health camps at various Vodafone Stores, wherein anybody coming to the store was given a free BMI diagnosis.37Supporting educationGo GreeninitiativesBihar rules for green bill conversionsThe Go Green initiative was launched to save paper and encourage customers to shift to other modes of receiving bills. The project was driven through the Enterprise team who reached out to corporate customers and encouraged them to get their bills online. As a way to encourage everyone to spread the message, employees who referred numbers to the Go Green team were gifted Tulsi saplings. After the entire exercise, it was seen that Bihar circle topped the list for using the least number of paper bills.Team Kerala supports children to go back to schoolIt was a small initiative when employees of Vodafone Kerala, along with customers, came together to support the education of underprivileged children. The initiative, Paadam 1 - Oru Kai Sahayam (Lesson 1 - A helping hand) collected new school items like bags, books, lunch boxes, umbrellas, etc for needy and underprivileged schoolgoing children in Kerala. The initiative was taken jointly with Club FM which spread awareness regarding the initiative through its radio channel.J&Ks unique Diwali celebrationThe team at Vodafone J&K celebrated the festival of lights by making it special for kids from the SOS village. The employees volunteered for a day with the children, spreading mirth and merry & treating the children with gifts.A day out with children for team KarnatakaIt was Childrens Day and Vodafone Karnataka employees celebrated the day exactly the way it should be, amongst children! An event was organised at the Association for Promoting Social Action, with more than 300 slum children from 4 constituencies of Bangalore. The day had its fair share of fun, games, interactive learning and ended with a gift- giving session.CitizenshipKolkatas active citizensThe thought of approaching government authorities for a civic issue is something most of us are wary of. But what if there was a way to handle basic civic issues in an easier manner. In association with the NGO named Public and the Kolkata Municipal Corporation, the team launched the Vodafone Active Citizenship campaign. A guide was also launched on the occasion. This ready reckoner addressed the most commonly faced civic issues faced by the people of Kolkata in their day-to-day lives and how to solve them.Driving energy conservationCircles have introduced many measures to maximise energy conservation. A switch-off policy was implemented; Light and AC switches were coded in different colours depending on the need for use and the energy consumed.All these initiatives ensured that we not only reduce cost and consumption of energy but also reduce our carbon footprint. Team Punjab cycles to workThis initiative is not just good for the environment but also for everyones health. The employees in the circle decided to cycle once a week to office. This initiative resulted in savings of 20,000 litres of fuel per year, reducing emission of CO2 by 44,000 kgCO2 units and reduction of 14,000 carbon footprints. Gujarat circle tones it downThe Gujarat circle found its own way to say that they care for the environment. It partnered with Hewlett-Packard to recycle printer toners and cartridges by sending it back to the company. Hewlett-Packard then recycled the same and manufactured new products out of it. The team even received a certificate from Hewlett-Packard appreciating their participation.Resource conservationinitiativesCelebratingwith the CommunityVodafone Essar Sustainability Report 2010-11Leavingfootprints in our communityCustomersBe recognised as a communications company making significant contributions to achieving the Millennium Development Goals (MDGs).Contribute to building capacity to manage electronic waste in 3 emerging markets.Offer an option facilitating the hearing impaired, visually impaired and elderly customers access to telecommunications services in every market.Roll out Group Privacy Management System to all Vodafone markets, with an initial focus on emerging markets.Climate changeReduce CO2 emissions by 50% against the 2006/07 baseline.Mobiles, masts and healthMaintain an approval rating against external stakeholder opinion on how responsibly Vodafone is acting regarding mobile devices, masts and health as a rolling average, targeted at or above 80% over any three-year periodPublish a Vodafone Socio-Economic Impact of Mobile (SIM) report assessing the issues around increasing data services in emerging markets.Published research on the socio-economic impact of affordable handsets in India in 2008.Conducted future agenda workshop on future of water, waste and e-waste.ERM was commissioned to audit waste management processes and suggest roadmap for improving compliance.Vodafone Essar has supported 2 projects under the Social Innovation Fund.Vodafone Essar has started compliance with the group privacy policy.March 2015March 2012March 2011June 2010March 2020March 2011DoT deadline was November 2010Conduct stakeholder workshops to determine how we can help to build e-waste capacity in 3 emerging markets.Formulate an action plan based on the findings of the stakeholder workshops.Launch a range of handsets specifically adapted to people with multiple minor impairments.Train our sales channels to support the roll-out of new inclusive handsets.Achieve full compliance with the W3C Web Content Accessibility Guidelines 2.0 for the Vodafone.com website and top pages of 14 local markets.Continue to invest in new products and services through SIF.Begin implementation after roll out by June 2010.Set a new CO2 intensity target for emerging markets during 2010-11.Plan to deploy alternating mode technology at more than 500 of our sites across India.Achieve full compliance with Indian national guidelines for self-certification of ICNIRP.Vodafone Essar systems to capture base line data have been assured by E&Y. This year the focus will be on setting targets for emission reductions.VEL has completed installation of free Cooling Boxes at 800 sites and emergency free cooling air conditioners at 550 sites.Completed self certification of 100% of sites by March 2011.Group strategic objectives Target Vodafone Essar Ltd.progress statusPerformance against Group commitmentsVodafone Essar Sustainability Report 2010-11Group strategic objectives Target Vodafone Essar Ltd.progress statusPerformance against Group commitmentsHealth and SafetyISRS audit by DNV is completed.All circles have achieved ISRSlevel 3.All managers have undergone HSW training at VEL.Plans are underway to initiate Supplier Reward and Recognition programmes in India.VEL has taken up key supplier audits and this is in progress.Drive a zero fatalities culture, mindset and behaviour.Plan to include the clauses in all requests for quotation and new contracts for high-risk activities (such as network deployment) over the next year, and audit progress in 2010-11.Complete audit implementation against ISRS standard in three emerging markets.Ensure all managers receive Health, Safety and Wellbeing training.Launch of supplier health and safety award that will recognise strong commitment and good performance.March 2011March 2011Code of Conduct has been communicated to all VEL employees.PeopleLaunch and communicate the Vodafone Code of Conduct to all employees.41A Vodafone Essar CompanyWe would like to hear your feedbackon our sustainability report - email us on footprints@vodafone.comErnst & Young Private Limited, India was retained for developing content for Vodafone Essars sustainability report titled Vodafone Essar Sustainability Report for the financial year 2010-11Photography credits: Jagdish Purushothaman and Kunal Gupta


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