Statutory Section
Dear Valued Stakeholders,
As we reflect on FY 2023-24, it is with a profound sense of responsibility and pride that I address you in this
year's Annual and Environmental, Social & Governance (ESG) Report.
This year, our commitment to sustainability and ethical governance has led us to implement initiatives that
not only support our planet but also provide tangible benefits to our communities and stakeholders.
Transforming environmental impact into a business driver—that's the aim of our SMILE-based sustainability
targets. We've adopted a comprehensive approach, tackling energy, emissions, waste, packaging, water and
societal impact with a unified strategy. Each focus area is bolstered by ambitious, time-bound goals.
Looking Forward
We are committed to sustainability through scientifically developed goals that aim to evoke radiant smiles across stakeholders and our planet. Our purpose guides our commitment and enables us to navigate the complex landscape of sustainability. Through our meticulously structured approach, we seize every opportunity to maximize positive impact across our organization and beyond. Our Environmental, Social, and Governance (ESG) framework helps us integrate sustainability throughout our strategy and operations. From robust governance to stakeholder engagement, our ESG approach enables us to adopt responsible practices and generate sustainable growth. We internalize this framework with a 3-step process 'Organize, Optimize, and Outperform' – a clarion call to chart a definitive course towards a greener, more equitable future.
This sequential approach provides us with a pathway to initiate and implement sustainability best practices across the six domains - Environment, Social, Governance, Employees, Sustainable Sourcing, and Product Performance.
Structuring Sustainability for Impact
Delving into the foundational aspects of our sustainability endeavors, we outline how each of the six domains is meticulously organized to operationalize sustainability and achieve our SMILE-based Targets. We highlight the clear goals set forth, the structural framework in place, and the governance and oversight mechanisms ensuring accountability and alignment.
Driving Efficiency and Impact
Next, we focus on the Optimization of our sustainability strategy. We track our progress with key performance tables and initiatives that sharpen our ability to drive efficiency and impact. Through continuous improvement and innovation, we seek to optimize resource usage, reduce our environmental footprint, and enhance the effectiveness of our sustainability programs, ensuring they yield tangible results that contribute to our Smile-based Targets.
Demonstrating Value Creation Through Sustainability
Be it pioneering groundbreaking solutions, leading the industry with best practices, or surpassing our performance metrics, our focus is on pushing the envelope and delivering value to our stakeholders. Through persistent dedication and a culture of continual improvement, not only do we aim to outperform our past achievements but also set new industry benchmarks.
Thus, by organizing our efforts, optimizing our resources, and outperforming expectations, we aim to create exponential value for all stakeholders. Our mission is to make the world a better place, one smile at a time, for generations to come.
At Colgate-Palmolive (India), we are committed to our purpose of 'reimagining a healthier future' for both people and the planet. We believe that integrating ESG thinking into all our operational and strategic endeavors is essential to realizing this purpose. Our ESG framework is a pivotal lever that helps cascade sustainability practices throughout our organization.
At the heart of our ESG framework lies the 'Global 2025 Sustainability & Social Impact Strategy,' ensuring that we focus on Environmental and Social parameters comprehensively and inclusively. By harnessing innovation, digitization, and modern technology, we work to create a positive impact on both the environment and society. Furthermore, our strong governance and stakeholder management practices are fundamental components of this framework and are seamlessly incorporated into our business operations.
More information about Global 2025 Sustainability & Social Impact Strategy later in this section
Our key priority is to nurture a resilient organizational culture that is adept at addressing ESG concerns. Our approach begins with a robust Board of Directors comprising diverse members and independent voices well-versed in ESG within our business context. A formalized Board-level ESG & Corporate Social Responsibility (CSR) Committee (ECC) oversees ESG Impacts, Risks and Opportunities, ensuring alignment with our business strategy and transparent disclosure to stakeholders.
Alongside the ECC, we have a Core Committee and a leadership team comprising Legal, Finance, Human Resources, Supply Chain, Corporate Communications, CSR & Sustainability departments. This Committee supports the effective supervision of ESG initiatives while integrating ESG goals into our corporate strategy.
To facilitate the integration of ESG considerations into our day-to-day operations, a dedicated ESG taskforce with representatives from relevant functions, is in place. The taskforce conducts thorough analyses of trends, performance, forecasting, and cost-benefit evaluations of ongoing initiatives, empowering the ECC to make informed decisions.
Engaging with our internal and external stakeholders on sustainability matters is important to Colgate and helps inform our sustainability strategy and approach. In FY 2021-22, we conducted a comprehensive materiality assessment aligned with GRI standards.
This assessment, informed by input from both internal and external stakeholders, integrated ESG perspectives gathered from various sources including investor surveys, peer-reviewed scientific research, industry reports, consumer insights data, as well as feedback from employees and suppliers. This inclusive process allows us to identify and effectively prioritize key sustainability issues.
