Sustainable banking has come to mean much more than shrewd lending practices - potentially difficult projects, the challenges of global warming and the slowdown of the global economy have forced banks to look differently at their outsourcing providers.
As the global economy slows down and profits start to fall, banks are under growing pressure to turn to outsourcing companies to create further efficiencies and help drive down costs. One of their biggest challenges will be to balance environmental sensitivities with lower costs, and justify their decisions to a myriad of stakeholders.
Many financial institutions have made a contribution to tackling climate change by moving towards carbon neutrality through contracting environmentally sustainable outsourcing agents.
Environmental sustainability is a major issue across boardrooms the world over. Amidst growing concerns, there is one Indian outsourcing company which stands out ñ ITC Infotech.
According to industry research more than 21 percent of publicly traded companies that outsource have added green policies and performance demands to their vendor contracts in 2007 and 94 percent plan to add such clauses during renegotiations over the coming year.
ITC Infotech devises solutions for customers which not only deliver business benefits, but are energy efficient as well.
ìCustomers are increasingly making their IT operations more energy-efficientî, says Sanjiv Puri, Managing Director, ITC Infotech, ìWe ensure each project we undertake demonstrates our commitment towards environmental sustainability. We are now witnessing customers exercise a choice in favour of service providers who are more responsible to society and the environment. At ITC Infotech we are making a conscious and concerted effort to protect the environment.î
Puri adds, ìWe are increasing our data centre efficiency, coupled with virtualisation and consolidation of servers, which helps reduce energy consumption. We are optimising efficiency of IT assets and equipments. We also run internal awareness campaigns at regular intervals to bring down any wastage.î
ìWe follow the mantra of ìReduce, reuse and recycle. This is one area which is also receiving increased focus from our parent company, ITC Ltdî, says Puri.
Being environmentally conscious is part of ITC Infotechís DNA. The parent organisation ITC is one of India's leading private sector companies with a market capitalisation of over US $ 20 billion and a turnover of US $ 5 billion. A truly diversified conglomerate with interests in FMCG, Paperboards & Packaging, Agri & Foods Business, Hotels and Information Technology, ITC employs over 20,000 people in more than 60 locations across India.
The company practices the philosophy of the ëTriple Bottom Lineí and believes that a holistic measure of value creation goes beyond the shareholder by creating positive footprints on economic, environmental and community capital.
ITC Ltd is among the first 10 companies in the worldóand the first from Indiaóto publish a sustainability report in compliance with the latest G3 guidelines of the Netherlands-based Global Reporting Initiative backed by the UN to develop a globally accepted reporting standard. This Report, assured by PricewaterhouseCoopers, is a transparent disclosure of ITCís economic, social and environmental performance.
ITC has not only been carbon neutral for two years now but is also water positive. The company has increased water conservation and its rainwater harvesting efforts so it produces more water than it consumes. ITC is also working towards accomplishing a zero solid waste discharge status.
Banks forced to consider sustainability as part of the bottom line
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