Written by Introduction
Wipro Limited, a global leader in information technology, consulting, and business process services, has committed itself to sustainability and climate change management. This case study delves into Wipro’s comprehensive sustainability report for FY 2022-2023, highlighting key milestones, strategies, tactical steps, challenges, opportunities, and future expectations in their journey towards emissions management and carbon neutrality.
Background
Wipro’s sustainability journey is driven by a robust governance framework, featuring a dedicated Sustainability Council and a Board-level committee overseeing its initiatives. This commitment is evident in their comprehensive sustainability strategy, which encompasses climate change management, emissions reduction, and the pursuit of carbon neutrality.
Milestones
- Early Initiatives (2010-2015): Wipro’s sustainability efforts began with the establishment of its Environmental Management System (EMS), certified under ISO 14001. The initial focus was on improving energy efficiency and reducing greenhouse gas (GHG) emissions across its operations.
- Carbon Disclosure Project (CDP) Leadership (2016-2018): Wipro consistently scored high in the CDP’s Climate Change Program, reflecting its transparency and performance in managing carbon emissions. The company also adopted science-based targets to align its carbon reduction goals with global climate science.
- Renewable Energy Adoption (2019-2021): During this period, Wipro increased its renewable energy usage to 39% of its total energy consumption, significantly reducing its carbon footprint. The company’s data centers achieved energy efficiency improvements through advanced cooling technologies and energy management systems.
- Carbon Neutrality Commitment (2022-Present): Wipro announced its ambition to achieve carbon neutrality by 2040, with an interim target of reducing its GHG emissions by 50% by 2030. The company joined the “Transform to Net Zero” coalition, a group of leading companies committed to accelerating the transition to a net-zero global economy.
Strategies and Tactical Steps
Wipro’s strategy for climate change management and emissions reduction is multi-faceted, involving energy efficiency, renewable energy adoption, sustainable supply chain practices, and carbon offset initiatives.
Energy Consumption and Renewable Energy Usage
| Year | Total Energy Consumption (GWh) | Renewable Energy Usage (%) |
|---|---|---|
| 2019 | 300 | 25 |
| 2020 | 290 | 30 |
| 2021 | 280 | 35 |
| 2022 | 270 | 39 |
- Energy Efficiency: Wipro has implemented energy-efficient lighting, HVAC systems, and building management systems across its campuses. The company also conducts regular energy audits to identify and mitigate inefficiencies.
- Renewable Energy: Wipro has invested heavily in renewable energy sources, including solar and wind power. The company’s data centers in India are powered by 100% renewable energy, significantly reducing their carbon footprint.
- Sustainable Supply Chain: Wipro engages with its suppliers to ensure they adhere to sustainable practices. The company’s Supplier Code of Conduct includes specific requirements for environmental management and carbon reduction.
- Carbon Offsets: To complement its reduction efforts, Wipro invests in carbon offset projects, such as reforestation and renewable energy projects, to neutralize its remaining emissions.
Carbon Emissions Reduction Over Time
Challenges and Opportunities
Wipro faces several challenges in its sustainability journey, including:
- Technology and Infrastructure: The transition to renewable energy and energy-efficient technologies requires significant investment in infrastructure and technology upgrades.
- Supply Chain Management: Ensuring compliance with sustainability standards across a diverse and global supply chain is complex and resource-intensive.
- Regulatory Landscape: Navigating the evolving regulatory landscape related to climate change and emissions management requires continuous monitoring and adaptation.
Despite these challenges, Wipro also sees numerous opportunities:
- Innovation and Leadership: By investing in sustainable technologies, Wipro can position itself as an industry leader in climate change management, driving innovation and setting new standards.
- Cost Savings: Improved energy efficiency and reduced reliance on fossil fuels can lead to significant cost savings in the long term.
- Stakeholder Engagement: Wipro’s sustainability initiatives resonate with stakeholders, including customers, investors, and employees, enhancing its brand reputation and competitiveness.
Future Expectations
Wipro’s future sustainability roadmap includes several key initiatives:
- Science-Based Targets: Wipro aims to set new science-based targets to further align its carbon reduction goals with the latest climate science.
- Net-Zero Emissions: The company is committed to achieving net-zero emissions by 2040, with an interim goal of a 50% reduction by 2030. This involves expanding its renewable energy portfolio and investing in carbon capture and storage technologies.
- Circular Economy: Wipro plans to implement circular economy principles across its operations, focusing on reducing waste, enhancing recycling, and promoting the use of sustainable materials.
- Collaborative Efforts: Wipro will continue to collaborate with industry peers, governments, and non-governmental organizations to drive collective action on climate change and sustainability.
Roadmap for Other Companies
Drawing from Wipro’s experiences, other companies can follow a structured roadmap to enhance their sustainability efforts:
- Commitment and Governance: Establish a robust governance framework with dedicated sustainability leadership and board oversight.
- Strategy and Targets: Develop a comprehensive sustainability strategy with clear, science-based targets for emissions reduction and carbon neutrality.
- Energy Efficiency and Renewable Energy: Invest in energy-efficient technologies and increase the use of renewable energy across operations.
- Sustainable Supply Chain: Engage with suppliers to ensure compliance with sustainability standards and promote sustainable practices throughout the supply chain.
- Stakeholder Engagement: Communicate transparently with stakeholders about sustainability initiatives and progress, fostering trust and collaboration.
- Continuous Improvement: Regularly review and update sustainability strategies and practices to align with evolving scientific knowledge, regulatory requirements, and stakeholder expectations.
Conclusion
Wipro’s journey towards climate change management, emissions management, and carbon neutrality showcases the company’s commitment to sustainability and its role as an industry leader. By setting ambitious targets, investing in renewable energy, and engaging in collaborative efforts, Wipro has made significant progress in reducing its carbon footprint. The challenges faced and opportunities seized along the way provide valuable lessons for other companies aiming to enhance their sustainability efforts. As Wipro continues to push the boundaries of what is possible, it sets a compelling example for the global business community, demonstrating that sustainable practices are not only good for the planet but also for business.
By following Wipro’s roadmap, other companies can embark on their own sustainability journeys, contributing to a more sustainable and resilient future for all.
Disclaimer: This case study is based on Wipro Limited’s Sustainability Report for FY 2022-2023. The data and insights presented are extracted from the report and interpreted to highlight Wipro’s journey towards climate change management, emissions management, and carbon neutrality. The study is done in a good faith to highlight Wipro’s endeavors towards climate change and sustainability… however, any error or misinterpretation, if found, would be unintentional and may have occurred due to bounded rationality w.r.t. the facts and practical experiences during the operations…. For detailed information, please refer to the original report which can be downloaded through the following link: Wipro Sustainability report FY 22-23_Final file