Fashioning
Possibilities

People

Chemicals

Cotton

Being one of the largest producers of textiles and garments in India, cotton continues to remain a key input material for us - something that is essential for us to be fundamentally right. With the demand for garments growing, sustained supply of this vital ingredient, in sufficient volumes and at competitive rates, is material to us.

In tune with our sustainability philosophy of ‘Fundamentally Right’, which focuses on input management, Arvind spends a great deal of time and effort on reducing the environmental impact of cotton cultivation.

Highlights: FY 2014-16

  • 52%

    Increase n the number of BCI farmers between FY 2013-14 and FY 2015-16

  • LCA OF ORGANIC & BCI COTTON

    Reiterates the sustainability benefits of responsible cotton farming

  • COMPREGENSIVE FIVE-YEAR PLAN

    To drive BCI ahead and to develop genuinely organic cotton seeds

  • ZERO CHILD LABOUR

    At our organic & BCI Cotton farms through the strict implementation of anti-child labour policy.

Our Approach

Our approach to sustainable cotton addresses challenges along all three bottom lines

  • Social

    Find efficient methods of farming, enhancing farm yield and reducing social evils like child labour.

  • Economic

    Safeguard the farmer’s interests while ensuring steady supply

  • Enviornmental

    find environmentally-friendly processes, to meet the continuously increasing demand.

Our approach to sustainable cotton addresses challenges along all three bottom lines.

Economic, Social and Environmental. The economic challenge is to safeguard the farmer’s interests while ensuring steady supply; the social challenge is to find more effective and efficient methods of farming, enhancing farm yield and reducing social evils like child labour. The third task is to find environment-friendly processes, to meet the continuously increasing demand.

Arvind has been working with farmers to promote Sustainable Cotton for over a decade. In FY-15-’16 the efforts involved more than 3,500 farmers and over 70,000 acres was under sustainable cotton cultivation. A new strategic road map has been worked out for 2016-2020 to research and commercially develop seeds, encourage sustainable irrigation and enhance farmers’ incomes.

Arvind was also the first textile major to partner with Better Cotton Initiatives (BCI) – a global not-for-profit – that seeks to grow cotton through carefully controlled application of water and use of approved fertilisers and pesticides; thereby, dramatically reducing the environmental footprint of cotton farming.

The sustainability benefits of BCI and Sustainable cotton are well known. BCI shows 14% less acidification potential, 71% less eutrophication potential, and 40% less global warming potential as compared to conventionally grown cotton. Organic cotton goes even further, showing 75% less acidification potential, 77% less eutrophication potential, and 32% less global warming potential as compared to BCI.

To tackle social ills like child labour, Arvind has dedicated teams based in the farming areas that sensitise and educate farmers about the negative impacts of child labour and encourage them to send their children to school. Similar efforts are carried out with child groups and schools. As a result of these sustained efforts, school attendance has seen a marked increase, even during harvest seasons.

Case Study

E-Soft Nanobubble technology | Bengaluru

Chemicals

The look and feel of fabrics and clothes is obtained by the use of chemicals and dyes. In the interests of sustainability, it is important that the use of these chemicals is closely controlled, monitored and, as far as possible, reduced. At Arvind, we do this by following a life-cycle approach to ensure comprehensive chemical management.

The four key steps to this are to:
  • 1Encourage the farmers to reduce or eliminate harmful chemical fertilisers and pestitcides in cotton cultivation by promoting BCI and sustainable cotton.
  • 2Make improvements in the production process to reduce consumption of chemicals.
  • 3Substitute the hazardous chemicals from the chemical recipe with minimal discrepancy in the final output.
  • 4Limit the discharge of hazardous chemicals as well as recover salts from the wastewater.

Our comprehensive Chemicals Management Policy details processes and guidelines for purchase, storage, usage and disposal of chemicals. This is done keeping in mind brand requirements of our customers, internal guidelines concerning occupational health and safety and regulatory requirements.

Some of our key initiatives in chemicals management are:
  • 1Creating and supplying “Spill Kits” to each department to allow them to quickly manage hazardous chemicals spills.
  • 2Creation of Easy Wash fabrics that require fewer washes and less use of detergents at the customer end.
  • 3Replacing manual mixing of chemicals and dyes with Auto-dosing.
  • 4Reducing of Hard Waste during spinning by use of a range of processes and technologies.
  • 5Salt Recovery through Zero Liquid Discharge systems. In FY15-16, over 1,200 MT of salts were recovered and later re-used in dyeing of yarns and fabrics.
  • 6Replacing pumice by abrasive drum coating that is fastened to the internal drums of washing machines. This is enable us to have “No-Stone” washes, thereby saving on chemicals, enzymes and detergents used to produce “Stone-washed” denims.

Case Study

Auto Dosing for more safety & quality

No-Stone washing | Bengaluru Unit

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Energy

It is more important now than ever to be wise in using energy. At Arvind, our philosophy towards energy conservation is summed up in five words - Every watt saved, is a watt earned.'

This approach enables multiple tangible benefits – improved energy security, reduced energy costs, enhanced productivity and lower emissions.

Highlights: FY 2014-16

  • 60,400kWH

    Cumulative power savings in Bengaluru through daylight harvesting system - FY 2014-15 & FY 2015-16

  • 3 Million kWH

    Annual power saving through introduction of LED lamps at Santej

  • ISO - 50001:2011 Certification

    Arvind is the first Indian company to get the certification in the ‘Composite textile industry denim fabric’ category

  • 11.78%

    Decrease in GHG emissions (direct+indirect) at Naroda in FY 2015-16

To reinforce this approach, we have put in practice a business-wide Energy Policy with a commitment to continually improve the energy performance of all units of Arvind. Objectives and targets are set and reviewed to maximise the outcome of every unit of energy consumed. To ensure effective implementation of this policy, we have also instituted an Energy Conservation Cell, which is overseen by the CEOs of each of the businesses.
Our array of energy conservation efforts range from the relatively simple – switching to LED lights, harnessing natural light wherever possible by having transparent roofing – to more complex methods – installing heat recovery systems and retro-fitting old systems with energy-efficient technologies, and working with our vendors and suppliers to create awareness among their management and employees about the importance of energy conservation.

Here are a few of our key achievements:
  • 160,400 kwh cumulative power savings in Bengaluru through daylight harvesting system - FY 2014-15 and FY 2015-16
  • 2Over 3 million kwh saving through introduction of energy saving LED lamps at Santej
  • 3Arvind is the first Indian company to get the certification in the 'composite textile industry-denim fabric category
  • 4A decrease of 11.78% in GHG emissions (direct + indirect) at Naroda in FY 2015-16
  • 5Arvind’s Santej unit received top honours at the National Energy Conservation Awards for conservation excellence in the textile sector - for the second year in a row.

Santej Unit

Our Santej unit received top honours at the National Energy Conservation Award for conservation excellence in the textile sector - second year in a row.

Action Conservation
Replacement of existing pump sets with energy-efficient pump sets int he central ETP 6 nos. 30KW pump sets replaced by 2 nos. 55KW pump sets- resulting in energy savings of 2.51 lac kWh/Annum 6 nos. 110KW pump sets replaced by 3 nos. 160KW pump sets- resulting in energy savings of 1.4 mn kWh/Annum
Temperature optimisation of approximately 10C at the Thermopack machine Gas consumption reduced by 9.2%
Installation of O2 sensor and insulation improvement in steam boilers Annual coal sacings of 2,594 tonne

Initiative

Harnessing the power of Nature

Money

For any business, capital is the fundamental building block and pursuit of profit its raison d'etre. However, our pursuit of profits is powered by an uncompromising focus on integrity, inclusivity and innovation and is tempered by our philosophy of responsible stewardship.

We carefully invest in expansion of our capacities, nurturing our talent pool, advancing in technology, employment generation, and giving back to the community as well as the environment.

We carefully invest in expansion of our capacities, nuturing our talent pool, advancing in technology, employment generation & giving back to the community as well as the enviornment

This 360° asset building strategy ensures enough muscle to manoeuvre through the diverse expectation of our clients, maximise value for our stakeholders, and maintain a leading position. It also enables us to make key contributions to the growth of the textile industry as well as to the country's development.

Going forward, our focus is to move to an asset-light, customer-centric business model with a focus on high-growth areas like brands and e-commerce.

For the next five years, Arvind’s value creation agenda will be driven by maintaining a 15% overall top line growth with EBITDA growth in tandem with the top line even as we sharpen our business mix and expand B2C plays, while maintaining tight management over capital employed.

  • 8%

    Growth in revenues

  • 5%

    Growth in profit before tax

  • 5%

    Growth in operating EBITDA

  • 51,947 mn

    Economic value disturbed

*All figures are for FY 2015-16 and all comparisions are YoY

Water

The textile industry ranks among the top ten water-consuming industries. Within the industry, the water footprint of natural fibre processing is higher than artificial fibres.

While water cannot be completely substituted in the manufacturing process, in addition to recycling, our approach is to take a detailed look at every input point where we consume water and manage this consumption more judiciously and responsibly. This is done through efficient treatment and recycling mechanisms; well-thought-out conservation projects; smarter monitoring; and identification and plugging of leaks.

Here are some highlights of our efforts at Arvind’s four main manufacturing centres – Santej, Naroda, Ankur and Bengaluru.

Highlights: FY 2014-16

  • 17.42%

    Decrease in freshwater consumption at Naroda

  • 100%

    Process water requirement sourced through treated muncipal wastewater at Bengaluru

  • 10.88 mn m3

    Total water treated & reused in the process during the reporting period

  • 6.5 litre/kg of Knit Fabric

    Water saved at Santej through one bath biopolishing & dyeing

  • 800kl/day

    Community sewage water treated and recycled at Ankur textiles

Santej

Our Santej unit is equipped with a Wastewater Treatment Plant that recycles up to 98% of our effluent. Thus, the net withdrawal of the water from bore wells is limited to evaporation and consumption losses.

Not satisfied with this, we are now working on efforts to minimise the amount of energy used to conserve this water. For example, we have introduced an Electro-Oxidation Process at the effluent treatment plant. In this process, pollutants are broken down through oxidation at the anode and are transformed into non-toxic substances; thereby reducing the effluent's COD (Chemical Oxygen Demand) substantially.

Another initiative is aimed at saving the amount of water used in Bio-polishing – a finishing process that enhances fabric quality by decreasing the pilling tendency and fuzziness of (cellulose) knitted fabrics. In the regular process, the fabric undergoes a number of baths like pre-treatment, dyeing and bio-polishing. Each bath consumes substantial quantities of water. Our specially devised single bath bio-polishing and dyeing makes it possible for bio-polishing and dyeing to happen in the same bath, saving water, steam, energy and time. This process is now used for almost 95% of our piece dyed fabrics.

Naroda

We have identified and implemented water conservation measures at various points in our Naroda facility. Some of these include recycling and reusing of water in the Rope Dyeing Machine; EOU Sucker Muller and EOU Monfort.

A simple decision to install a Variable Frequency Drive for the water pump has resulted in substantial reduction in water wastage by matching the supply to water to its demand.

Ankur

An effluent treatment plant at our Ankur Textiles facility treats waste water from communities outside our complex, which is then used for manufacturing. This has eliminated the requirement of 1 million litres per day of ground water which was earlier used in this facility.

Bengaluru

Right from the time our garmenting unit was commissioned in Bengaluru, 100% of the water used in the facility has been treated waste water from the municipality. The facility does not use any fresh water for production processes.

To further rationalise the use of water, we have introduced several processes and technologies. One such example is the E-soft Nano-bubble technology.

In a conventional softening process, textile products go through a washer containing water and chemicals before being spin-dried and tumble-dried. Each cycle consumes a huge quantity of water. The E-soft technology, which is based on Nano-bubble technology not just negates the need for a separate bath, it also makes spin-drying unnecessary and minimises the tumbler-drying cycle. This ensures 98% water savings, 80% chemical savings and 79% energy savings.

Initiative

E-Soft Nanobubble technology | Bengaluru

People

For any company, its people are its most important assets.

To say that good talent is a necessary condition for success across bottom-lines, is stating the obvious. The key lies in how well one executes what is universally known to be Fundamentally Right.

At Arvind, our efforts on talent management focus on three key areas – continuous learning to improve Occupational Health and Safety (OHS), Training and Development and Industrial Relations.

Highlights: FY 2014-16

  • 8,963

    Man-days total training given during the reporting period

  • 56%

    Decrease in injuries between FY 2014-16 & FY 2015-16

  • PROJECT NEEV

    A comprehension, competency-based standard for identifying empolyee potential & structuring career growth

  • BS OHSAS 18001:2007

    Certification afor santej unit

Occupational Health and Safety

Arvind is one of the few textile mills in the country to embark on a programme of continuous learning on OHS issues. We have introduced Standard Operating Procedures (SOPs) that are common to many industries, but are not usually seen in textile facilities. This includes work permit systems, use of industry-grade Personal Protection Equipment like safety shoes and masks. Weekly safety meets are held to take stock of on-ground situations and address them in a timely manner. This is followed up with rigorous safety inspections once a month. The firefighting capabilities at our Santej unit have been upgraded and staff and Floor-Line Managers (FLMs) trained in fire safety.

A result of these efforts is that the overall injury rate has fallen 56% in FY15-16.

Training and Development

At Arvind, we have a number of training and development programmes aimed at meeting specific requirements of staff members at all levels. These include: Pragati – a training programme for shift supervisors, iRise aimed at junior managers, iGnite – a Manager Development Programme and iLead designed for senior leaders.

The Company is also rolling out NEEV – a comprehensive, company-wide, competency-based standard to identify employee potential, grade their performance, and chart their structured career growth plan.

27% increase in the man-days of training given in FY 2015-16

Industrial Relations

The core objective of the industrial relations function is to strike a harmonious balance between personal and organisational goals.

The Company has structured policies and processes pertaining to prohibition of employment of child labour; freedom of association and right to collective bargaining; grievances redressal mechanism; working hours; remuneration; health and safety; discrimination; engagement and welfare initiatives and disciplinary proceedings.

Case Study

A cleaner, Healthier & Safer Workplace | Naroda

Safety & Emergency Preparedness | Santej