"Sustainable Business Transformation: Prioritizing Planet, People, and Profit for a Better Future"

The Importance of Sustainability in Business Transformation

Business transformation is not solely focused on generating profit; it encompasses the triple bottom line of planet, people, and profit. Sustainability is a key element in business transformation programs, driving companies to prioritize the well-being of the environment, society, and their financial success. In this new chapter of "Transformation Realized," powered by Evi, inspiring stories of business transformation that prioritize human technology and innovation are highlighted.

Hindustan Unilever's Sustainability Journey and Future Plans :

In the penultimate episode of this series, we explore the sustainability journey and future plans of Hindustan Unilever Limited, one of India's largest FMCG companies. Sustainable business transformation has become a fundamental pillar of growth strategies today, with innovation and technological advancements playing crucial roles in achieving long-term success and scaling operations.

Key Building Blocks for Sustainable Business Transformation :

In this week's episode, we welcome Ritesh Tiwari, the Executive Director of Finance and ID, and Chief Financial Officer of Hindustan Unilever. Ritesh is an active member of various industry bodies, including the Chairman of the CFO Council of Vicky, Senior Vice President of the Bombay Chamber of Commerce and Industry, and an independent director on the board of ORNDC. We are also joined by Nitesh Meherotra, a partner at EY's ESG Consult Building Practice, who has partnered with Hindustan Unilever on their sustainability journey.

Ritesh Tiwari: CFO's Perspective on Sustainability and Business Performance

Ritesh, as the CFO of Hindustan Unilever, has been actively involved in their sustainability path since they publicly committed to the Sustainable Living Plan in 2010. He shares that their main purpose as a company is to make sustainable living commonplace, firmly believing that business and ESG are interconnected. Over the past decade, they have focused on various areas such as plastic neutrality, waste reduction, empowering women in rural areas, and creating water potential. Their commitment to sustainability is visible in the positive impact they have achieved.

Nitesh Meherotra: Partner at EY Discusses the Inflection Points in Sustainability

Nitesh sheds light on the increasing importance of sustainability in today's business landscape. He highlights the synchronized actions across stakeholders, including customers, investors, employees, governments, and regulators. Customers are increasingly inclined to buy from sustainable organizations, and investors demand consistent and comparable ESG performance. Companies driven by purpose also attract and engage employees. Governments are implementing policies to support sustainability initiatives, creating new opportunities for businesses.

Early Successes and Learnings from Hindustan Unilever's Sustainability Initiatives

When asked about the triggers and inflection points that have propelled companies to prioritize sustainability, Nitesh emphasizes that climate change and social inequality are the two biggest challenges facing humanity. Awareness and actions in these areas have grown, driven by various stakeholders. Customers are willing to change their behavior to support the environment and society. Investors seek companies with strong ESG performance. Governments implement policies to promote sustainability.

The Role of Leadership and Finance in Driving Sustainable Change

Ritesh and Nitesh discuss the challenges and steps involved in navigating the sustainability journey. They highlight the importance of reframing strategies, accelerating transition, governing and operating sustainably, and building trust through effective communication. Data and digitization play vital roles in measuring, benchmarking, and monitoring progress, as well as making informed decisions. Collaboration, change management, and strong leadership are crucial in driving successful sustainability initiatives.

The Power of Data and Digitization in Accelerating Sustainability :

The conversation concludes with Ritesh and Nitesh emphasizing that sustainability is everyone's responsibility. They encourage CFOs and organizations to create winning business cases for sustainability, embed sustainability into their business models, and actively contribute to a sustainable future. The role of finance teams in reporting non-financial measures accurately and transparently is crucial, and digital capabilities and data-driven insights are essential for sustainable progress.

Takeaways for India Inc: Navigating the ESG Journey Successfully

In summary, the article highlights the importance of sustainability in business transformation and shares insights from Hindustan Unilever's sustainability journey. It emphasizes the need for collaboration, data-driven decision-making, strong leadership, and the integration of sustainability into business models. The goal is to create a sustainable future for all stakeholders by prioritizing the triple bottom line of planet, people, and profit.