Tata Steel's Sustainability Report: Semester 2, 2024

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Business Ethics and Sustainability

INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................2
1. How Tata Steel’s approaches to CSR and its priorities which help organization in making
ethical and sustainable decisions.................................................................................................2
2. Explain how sustainable practice help business to compete...................................................3
3. Analyse why LCA is more accurate kind of assessment than just looking at carbon footprint
of “usephase” of material............................................................................................................4
4. Contribution of Tata steel to sustainable and ethical business practice..................................4
TASK 2............................................................................................................................................6
Purpose and scope of policy........................................................................................................6
Key stakeholders identified in policy document.........................................................................6
Relevant legislation and standards covered in policy document................................................6
Sustainability goals and expected outcomes...............................................................................6
Mechanisms for realizing sustainability goals including roles of key stakeholders...................6
Factors which drive company’s sustainability strategy..............................................................7
TASK 3............................................................................................................................................8
Brief summary of organization and its business activities..........................................................8
Why sustainability is important for organization........................................................................8
Business area/function where sustainable practices are critical..................................................9
Key sustainability principles or philosophy................................................................................9
Policy goals and objectives.........................................................................................................9
Scope of policy..........................................................................................................................10
Key stakeholders and their roles and responsibilities...............................................................10
Relevant laws and standards includes equal employment opportunity, equity and diversity
principles and OHS implications of policy being developed....................................................10
Industry best practice................................................................................................................11
Expected outcomes...................................................................................................................11
Methods for implementation (Recommendation).....................................................................12
TASK 4..........................................................................................................................................13
1. Purpose..................................................................................................................................13
2. Strategies for minimizing resource use.................................................................................13

3. Strategies for reducing toxic material and hazardous chemical use.....................................13
4. Benefits of employing life cycle management approaches...................................................13
5. Communication plan for involving all stakeholders in implementation process..................14
6. Process for implementing policy initiatives..........................................................................14
7. Measures or benchmark indicators to identify the outcomes achieved.................................15
8. Key responsibilities...............................................................................................................15
9. Process to collect and analysis feedback once the policy has been implemented................15
10. Plan for continuous improvement using Deming’s PDCA cycle........................................15
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
Sustainability is an appropriate procedure of maintaining change in balanced surrounding for
enhancing current as well as future potential for meeting the human requirement or aspirations.
However, this term is defined through various interconnected domains such as; environment,
social and economic. Apart from this, there are some sub-domains of this term are; cultural,
technological and political. Main objective of promoting sustainability is to encourage corporate
world to fulfil the needs of existing populations without compromising their ability in meeting
requirements of future generations (Arena and Azzone, 2012).
Therefore, this assignment is going to highlight the case study of TATA Steel and this company
is seen as a second largest steel producer in Europe and having its foremost steel producing plant
in UK. Thus, this project is covering the various approaches of CSR which helps organization in
making distinct type of decisions such as; ethical and sustainable for supporting business in
competitive marketplace. Furthermore, main objective of sustainability policy is going to
outlined by focussing on its scope, key stakeholders, relevant legislation, standards and many
more. It means overall factors which helps organization in making its sustainability strategy
more effective will properly discussed in this project. Additionally, report will also outline the
requirements which organization needed for writing a sustainability policy such as; business
activities, environmental influence of business operations, need of specific laws or standards and
many more. Lastly, project has to focus on implementation of sustainability initiatives in order to
attain stated sustainability objectives by considering necessary facts or figures.
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TASK 1
1. How Tata Steel’s approaches to CSR and its priorities which help organization in making
ethical and sustainable decisions
Steel is a consider as creative and vital material at societal place which touches almost every
section of advanced life because this element is playing a major role in the infrastructure process.
For example; various organizations are using this material while designing distinct things such
as; busses, buildings, canned food to computers which means that in modern world almost each
and every things are manufactured by the use of steel. This shows that steel is really
indispensable for modern society due to which Tata Steel is consider as second famous
manufacturer in overall Europe by having its major plant of steelmaking in UK and Holland.
However, this organization is having five major values that aids in defining its company’s ethics
such as; integrity, understanding, excellence, unity and responsibility. In fact, these values are
shown in each and every activity of business which helps in driving ethical behaviour of an
organization (Husgafvel and et.al., 2015). It means, natural behaviour of Tata steel is to take
obligations of tackling challenges related with sustainability which comes from their ethical
stance. Basically, major definition of sustainability for Tata steel is to make sure the proper
balance in economic activity, environmental obligation and societal advantage. In simple terms,
sustainability is all about overcoming the challenges by ensuring that upcoming populations will
also enjoy the similar type of lifestyles which people are enjoying in current era. This
commitment towards ethical behaviour is often shown in corporate social responsibility policy of
an organization. It means that TATA Steel is not only judged in the ability of delivering products
or services whereas society also judged an enterprise in what manner they influence overall
community and environment (Chang, Kuo and Chen, 2013).
Hence sustainability policy of this firm states that; it is essential to conduct business activities for
economic progress, social obligations and environmental concerns in an appropriate way for
becoming more sustainable by meeting the expectations of desired stakeholders. Apart from this,
there are various existing laws or regulations which help in promoting ethical and sustainable
practices such as; anti-pollution rules whose main motive is to place strict control on levels of
CO2 emissions. Therefore, this framework or approaches to CSR helps in ensuring that Tata
Steel organization is handling the necessary sustainability challenges and fulfilled the
requirements of necessary stakeholders. As a result, this will be advantageous for environment,
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people which were working for this organization, communities where this organization operates
as well as beneficial for end users and business profits. Along with this, Tata steel are working
more efficiently by saving energy and waste as well as get succeeded in reducing costs.
Moreover, this helps an association in improving their image and famous as environmental
committed and responsible organization by maintaining best public relations in this competitive
marketplace (Klovienė and Speziale, 2014).
2. Explain how sustainable practice help business to compete
Sustainable practices mean that company is trying to meet the expectations of existing
populations without compromising with future generations. Mainly, steel is seen as one of the
best materials which help in ensuring sustainability and its uniqueness is that this material is
totally recyclable. Steel become totally new after its recycling process and doesn’t count as
inferior product which means that this product is not downgrade as it is used again and again.
Thus, Tata steel has built their ethical and sustainable practices into each and every domain of its
business operations. Basically, this material is advantageous by being fully recyclable but it
manufactured by a procedure through which CO2 emissions produces. However, promoting
sustainability is more than CO2 but most drastic challenge of this element is to minimize
emissions of CO2 that might plays crucial part in climatic change. Hence, Tata steel is
performing lots of activities for reducing these harmful emissions with the use of modern
technology and practices (Akkucuk, 2016). For instance; Tata steel has launched advanced tool
for re-using gases that were produced at its Port Talbot plant for creating electricity equivalent to
10% of its requirement. Moreover, selected firm is working in minimizing emissions of CO2
with the help of its climate change scheme. Furthermore, Tata steel has decided to invest their
efforts and resources in regards to five key main priorities which highlight its vision that is
associated with climatic change. Thus, main priorities are-
 Continue to attain minimization in emissions,
 Company is investing lots of things in long term vision with the help of advanced
technologies in order to produce minimum carbon steels.
 Got engaged in producing new goods and services which helps in generating lower CO2
emissions with the help of life cycle.
 promote staff members to actively take part in various challenges that are faced by an
enterprise,
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 Lastly, try to being an example at global steel industry.
Consequently, it has been understood that Tata Steel gets succeeded in maintaining its position at
marketplace by performing numerous of socially responsible activities. In fact, all the above
actions which is taken by company shows their sustainable practices that aids them in competing
at marketplace (Young and Dhanda, 2012).
3. Analyse why LCA is more accurate kind of assessment than just looking at carbon footprint of
“usephase” of material
Tata steel is acquiring obligation framework towards its own approaches which is really
indispensable for organization to maintain balance judgement. It means that, company is not only
focussing on CO2 emissions but consider overall range of social, surrounding and economic
things. Hence, this approach is known as “life cycle” framework for making decision by
analysing the goods that in what ways products are manufactured, utilized and disposes. It
means, that only one phase has been covered in it whether it’s produced or just use phase.
Therefore, selected firm is promoting life cycle perceptive in order to make sure that judgement
has been taken on the basis of production, use and end of life stages of any goods or material.
Hence, life cycle analysis helps in assessing the real environmental influence of goods over its
entire life phases. Its main objective is to focus on surrounding effect of production process of
specific material which begins from its use and finally disposing of particular goods. With the
help of LCA TATA steel get succeeded in showing that this company is offering most
environment friendly material solutions (Crane and Matten, 2016). There are numerous example
is identified related with LCA in Tata steel which helps in finding the most cost-effective cluster
of materials and technologies for creating minimum or zero level of carbon. Basically, Zero
carbon buildings is using minimum technologies related with carbon such as; solar panels for
generating every buildings power. Along with this, it can also build with the use of elements by
having minimum level of carbon footprint. Most critical part of this assignment is to focus on
differences which are designed with the use of alternative materials for maintaining structures.
4. Contribution of Tata steel to sustainable and ethical business practice
Tata steel covers ethical and sustainable practices in their business operations by promoting its
end users and markets in order to make judgment which is entirely relying on sound
sustainability principles. This organization is encouraging their business towards number of
activities through which they get succeeded in fulfilling the desired of existing as well as future
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generations. Any business is having an objective of generating maximum benefits whereas Tata
steel is focussing towards interest of overall community by making sure fair practices at
marketplace. As a result, company is enhancing its corporate social responsibility by maximizing
consumer confidence and prevent values of brand for gaining competitive advantage (Kiel and
et.al., 2017). Mainly, ethical practice of business is to take fully case of their investor by
ensuring that equal amount of dividends have been payable to each and every investor because
this help in maintaining positive reputation of company at marketplace. Apart from this,
manufacturing process of company is also environmental friendly in which entire workforce has
been involved either in direct manner or indirect without get harmed. Additionally, sustainability
practice of an association is concentrating in making proper balance in between increasing
shareholders value, giving honour to surrounding as well as social obligations. Hence, in given
case study of Tata steel there sustainability naturally consider or based on five core values of
ethics which helps them in distinct areas for attaining set targets as per defined procedures
(Bhamra and Lofthouse, 2016).
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TASK 2
Purpose and scope of policy
Main purpose of sustainability policy is to fulfil the instrumental, impersonal requirement of
people in the essentials of economic sustainability. Its main purpose is to build the positive
goodwill of Tata steel company at marketplace by following relevant rules and regulations in
order to protect business reputation. On the other hand, major scope of this policy is to make sure
proper balance between economic activity, environmental and social influence of business by
meeting the existing customer needs or future (Martin, 2015).
Key stakeholders identified in policy document
Main key stakeholders which are identified in policy document are; customers, investors whose
are connected with company in monetary terms, employees that were working for company
betterment, governing bodies and many more. All these members are playing crucial role in
success of selected firm by grabbing market opportunity.
Relevant legislation and standards covered in policy document
Some of the existing laws or regulations which is covered in policy document for promoting
ethical and sustainable practices such as; anti-pollution legislation focus on limiting the levels of
CO2 emissions. Thus, Tata steel is also ensuring that all these laws are fully imposed at
workplace by maintaining ethical standards. Along with this, its main motive is move beyond
law by making positive contribution at the time of need.
Sustainability goals and expected outcomes
Main objective of sustainability is to safeguard the needs of future generation by considering all
the relevant facts or figures and its expected outcome is to balance the economic, social and
environmental factors at marketplace (Taticchi, Tonelli and Pasqualino, 2013).
Mechanisms for realizing sustainability goals including roles of key stakeholders
Tata steel is fully aware about its sustainability objectives by seeing their distinct stakeholders
that were expecting number of things from overall company. In fact, an organization can also
realize its sustainability goals by analysing annual report of an enterprise in which profit, loss,
debt and fluctuation of income level have been mentioned. Moreover, reviews on their official
sites and success of competitors make the company realize about their goals related with
sustainability.
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Factors which drive company’s sustainability strategy
Rosneft in 2012 engaged in continuously analysing and evaluating legitimate, financial,
industrial, environmental as well as other uncertain factors which may influence sustainable
growth in adverse manner. Therefore, Rosneft have designed a comprehensive risk management
system in which suitable action plan has been created. However, various factors are there which
drive’s organizational sustainability scheme such as; balance economic, social and
environmental in similar harmony (ROSNEFT, 2019).
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TASK 3
Brief summary of organization and its business activities
Tata Steel is one of the leading multinational steel manufacturing companies which are situated
in Mumbai, India. It is has been considered as top most company at international level with crude
steel production of 27.5 million tonnes as well as second largest steel in India in terms of yearly
capacity of 13 million tonnes. It is having a wide network of chain of production operation in
almost 69 nations with the total number of employees working is around 80000. The largest part
is situated in Jameshpur, Rourkela. According to the report of Fortune Global 500 rating it is
ranked 486th global corporation. Tata steel is able to generate a total net income of ₹9,098 crore.
The products which are manufactured by the company is steel, flat steel items, long steel goods
and wire products. In this organisation there are wide number of activities are conducted which
are related with the manufacturing of steel. They are using material like Aluminium, magnesium
or other carbon-fibre reinforced plastic which high environmental cost in production process.
They also involve in recycling the scrap steel in to the new one. All the employees and other
department are connected with one another to produce a unique set of steel products as per the
requirements of customers (Zeidan, Boechat and Fleury, 2015).
Why sustainability is important for organization
In every business organisation sustainability is utmost important aspects that can help in
attainment of long-term prosperity of international industries. It will serve to increase their
opportunities and to reduce the bad impacts on their core operation. Tata steel company is
entirely committed to environmentally sound practices of various businesses. It will help them to
capitalize on their long-term positive implication and reduce negative impact on the community.
The company is responsible in dealing with all challenges of sustainability. It means that their
role toward environment and society is major priority. Tata steel policy is to conduct effective
activities in accordance to their economic progress and to promote green environment. There are
some law or rules that could assist the company in encouraging ethical and sustainable matters.
Its primary aim is to go beyond the minimum needs through law and giving positive contribution
in most of the crucial areas as possible. It seems to be positive decision for the Tata steel for
protecting the environment and build maximum of customers (John and Narayanamurthy, 2015).
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