HCL Technologies

RATING

SECTOR

IT, Internet, Software & Services

WEBSITE

CONTACT

HCL Technologies Ltd.
Technology Hub, SEZ
Plot No. 3A, Sector 126
Noida 201304
India

STOCK EXCHANGE

LISTING

EMPLOYEES

137,000

CHIEF SUSTAINABILITY OFFICER

Srimathi Shivashankar

AWARDS

CONTENT SOURCE

FURTHER READING

Report created by Kavita Kripalani

HCL Technologies

SECTIONS :  Sustainability    Evaluation  •  Progress  •  Watch  •  Overview

Company Activity

HCL Technologies Ltd. engages in computer programming, consultancy, and related activities. It operates through the following segments: Software Services; Information Technology (IT) Services and Business Process Outsourcing Services. 

  • The Software Services segment provides application development and maintenance, enterprise application, next-generation software as a service application service, engineering, and research and development. 
  • The IT Services segment provides management services involving customer’s information technology assets. 
  • The Business Process Outsourcing Services segment offers traditional contact center and helps desk services as well as the next generation services around platform business processes. 

The company was founded by Shiv Nadar on November 12, 1991, and is headquartered in Noida, India

Company Sustainability Activity

Creating Harmony Between Profit, People and the Planet

HCL builds sustainability principles and actions into the strategy, culture, and day-to-day operations of their company. They aim to improve the lives of people around the planet, engaging their employees, clients, stakeholders, and the communities they live into a higher purpose. 

They focus on areas where they can make the most difference: health, education, technology, jobs, and people who are denied the benefits and access afforded by science, technology, and innovation. 

Guided by the United Nations Sustainable Development Goals, they view sustainability in three ways: economic, social and environmental, known informally as Profit, People and the Planet.

Highlights

During the year, the Company has contributed 174.99 crores for CSR activities. For details of the expenditure, refer to Annexure 4 of the Director’s Report which forms part of this Annual Report. The community development initiatives undertaken by HCL Foundation are aligned to Schedule VII of the Companies Act, 2013, sustainable development goals and various national missions. List of all such community initiatives undertaken by HCL Foundation are given below:

  • Eradicating hunger, poverty and malnutrition, promoting healthcare including preventive healthcare and sanitation and making available safe drinking water;
  • Promoting education including special education and skill development trainings for children, women, elderly and the differently-abled besides livelihood enhancement projects;
  • Promoting gender equality, empowering women, setting up homes and hostels for women and orphans, setting up old age homes, day care centers and such other facilities for senior citizens;
  • Undertaking measures for reducing inequalities faced by socially and economically backward groups;
  • Ensuring environmental sustainability and ecological balance, protecting flora and fauna, promoting animal welfare and agroforestry, conserving natural resources and maintaining quality of soil, air and water;
  • Protecting national heritage, art and culture including restoration of monuments and sites of historical importance and works of art, setting up public libraries, promoting and developing traditional arts and handicrafts;
  • Undertaking measures for the benefit of armed forces veterans, war widows and their dependents;
  • Providing training for the promotion of rural sports, nationally recognized sports, Paralympics’ sports and Olympic sports through HCL Uday and HCL Samuday; and
  • Undertaking rural development projects through HCL Grant and HCL Samuday

Targets

HCL Technologies does not disclose any current targets regarding sustainability.

Progress

  • A leading European retail bank: Design and implementation of future state operating model with Robotic Process Automation and Artificial Intelligence.
  • A global North America-based mass media and information company: Delivering Digital Workplace Services across 80 countries.
  • Retail company based in the US: One-stop shop IT outsourcing partner to provide holistic IT Infrastructure management services including Cybersecurity.
  • Integrated energy and utility company in South Africa: Multi-year automation-led hybrid cloud migration program.
  • New Zealand-based dairy co-operative: Modernize and manage the technology infrastructure across the globe.
  • Large US-based pharmaceutical & biotech company: Scaled agile digital transformation for superior user experience globally.
  • Leading US-based manufacturing company: End-to-end modernization of applications and infrastructure to enable Scale Digital services.
  • A leading US-based enterprise software products company has chosen HCL as its engineering partner for its select Enterprise products. With this partnership, HCL will form integrated development and support teams to enhance the implementation and maintenance capabilities of these product suites across multiple industries and geographies.
  • HCL supported a global leader in the foodservice industry in its strategic initiatives of Digital Transformation and Controller Platform Standardization. HCL’s solution for quick-serve restaurants will include equipment connectivity, cloud platform development, and the launch of digital applications.
  • HCL has partnered with a leading online company in engineering a high-performance and highly scalable, customized data center hardware platform supporting billions of consumers.
  • HCL has been selected by a leading European home appliance OEM to set up its global engineering center in India for new product development, product testing, product benchmarking, product sustenance, and manufacturing.
  • A major European bank chose HCL BigFix, an endpoint management platform that enables IT Operations and Security teams to fully automate discovery, management, and remediation, whether on-premises or cloud, regardless of location or connectivity.
  • An Asian Bank, which has used Domino/Notes, an enterprise-wide messaging and management workflow system (Oce Automation) for more than 10 years, expanded its adoption to enhance dedicated end-user communication efficiency. 
  • One of the largest banks in Latin America renewed Digital Experience, Unica, and AppScan and signed up for CSM Premium Support.
  • A health and life insurance company based in the US has chosen HCL to deploy DRYiCE™ MyCloud and DRYiCE™ MyXalytics to manage and govern their Hybrid cloud environment and create and deliver a unified reporting and dash-boarding system

Environmental Policy

  • As a responsible corporate, at HCL Technologies, they believe that they have got accountability to the future – also an imperative role to play in addressing global challenges such as climate change and Environmental Sustainability.
  • HCL Technologies commits itself to confront these challenges by assuming a leadership role in fostering a sustainable environment and responding appropriately to the risk posed by environmental degradation.

Energy Policy

  • As a responsible corporate, HCL Technologies believe that they have got accountability to the future – also an imperative role to play in addressing Global Energy challenges, climate change and Environmental Sustainability.

Certificates

United Nations Sustainable Development Goals

United Nations SDGs Compliance

The following section aligns current company-wide sustainability initiatives with the UN Sustainable Development Goals. Although not explicitly stated, HCL Technologies has attempted to be compliant with the SDGs.

SDG 1

CSR at HCL Technologies

  • HCL Technologies conducts its CSR initiatives through its CSR arm, HCL Foundation. HCL CSR concentrates its efforts to transform the lives of vulnerable communities in India and around the world. The company through its flagship CSR initiatives HCL Samuday, HCL Grant and HCL Uday, has impacted the lives of more than 1.5 million people in the Financial Year 2019-20. HCL Foundation has been creating opportunities to break the cycle of poverty through its initiatives pertaining to Early Childhood Care and Development (ECCD), Education, Health, Livelihoods, Water Sanitation and Hygiene (WASH), and Disaster Risk Reduction and Response (DRR) verticals in rural and urban communities. The Foundation has also worked to address environmental poverty through mass plantation, water conservation and rejuvenation, and animal welfare initiatives. However, the company defines the spirit of its CSR by its “Power of One” initiative which consists of the company’s employee volunteers and contributors who offer their personal time and commitment toward social upliftment.

HCL Uday 

  • With a vision of clean, green, healthy and empowered communities, HCL Foundation works to break the cycle of urban poverty through its integrated urban development program – HCL Uday. Defining Uday’s approach is its intrinsic belief that the urban poor aspire to a life of dignity and self-respect. Through this program, HCL Foundation creates opportunities through carefully designed strategies that speak both to their environment and to the ambitions of the community. HCL employee engagement and participation is a key lever that spans across all programs.

SDG 2

  • During the year, the Company has contributed `174.99 crores for CSR activities. HCL Foundation undertakes community development initiatives, including eradicating hunger, poverty and malnutrition, promoting healthcare including preventive health care and sanitation and making available safe drinking water; HCL America Inc. (HCLA) is supporting the following organizations in the USA: Rise Against Hunger Food packaging events across GDCs

SDG 3

  • They have kicked off extensive COVID-19 business continuity measures. Their first priority since then has been the wellbeing of employees, 98% of whom are now working from home.
  • They have launched a global helpline to provide timely physical and mental health support to them and have increased digital connections to keep HCLites and their families engaged during the lockdowns.

My Worth

  • My Worth program uses a self-efficacy model to empower and enable young girls and boys towards self-reliance through a gender transformative approach.
  • Currently, HCL Uday is reaching out to 440,000+ people in 11 cities of India. In FY 2019-20, the program benefitted 133,550 people through the education initiatives of HCL Foundation that focus on early childhood care and development of children below six years, bridge and remediation support to out of school children living in difficult circumstances, comprehensive technology-based quality enhancement of government schools, adult literacy, and life-skill based gender-transformative programs for youth and adolescents.
  • Through the skilling initiatives, 9,342 youth were trained in various trades, such as mechanical, ITES/CRM, fashion designing, and nursing. 2,49,243 people benefited through health, nutrition, and WASH interventions that include monthly health camps, weekly checkups, community healthcare programs, mass sanitation, and cleanliness drives.

HCL Samuday

  • HCL Samuday is a rural development initiative launched in 2015 with an aim to develop a sustainable, scalable, and replicable model for the economic and social development of rural areas. Currently implemented in three blocks of Hardoi district in Uttar Pradesh, the program covers 164 Gram Panchayats, comprising 765 villages and 90,000 households totaling a population of 6,00,000 people.
  • HCL Samuday, through its interventions across six verticals for holistic rural development – agriculture, education, health, infrastructure, livelihood, and WASH (Water, Sanitation, and Hygiene), has so far been able to make the following changes on the ground:
  • Health: In order to improve the healthcare scenario in the project area, the program has provided over 20,000 pregnant women and 17,000+ children with improved care. It has also screened 12,482 children in the age group of 6 months to 5 years for malnutrition.

CARE™ Platform

  • HCL’s CARE™ platform accelerates the development of highly secure and regulatory compliant solutions for connected medical devices and patient engagement. It enables remote device monitoring and control for medical devices and provides device data visibility to  patients as well as to health service professionals

Life Sciences & Healthcare Industries (LSH)

  • HCL’s Life Sciences and Healthcare industry unit is poised to play a primary role in digital transformations across leading health and life sciences companies. With the COVID-19 pandemic, an industry that has been historically regarded as lagging behind in adopting digital technologies will now be at its forefront. An immediate focus is on using digital technologies to alleviate the burden on hospitals, delays in clinical trials, reduction of workloads such as elective surgeries and medical testing, and the scarcity of R&D resources. These challenges have given rise to opportunities in line with the current trend of digital transformation in LSH.

SDG 4 

My School

  • My School is a State School Quality up-gradation project under the ambit of Right to Education. It is aimed at achieving improvement in enrollment, attendance and learning outcomes of students. This is achieved through a participatory model of school development which includes building capacities of all relevant stakeholders in the school’s ecosystem.

HCL Samuday

  • HCL Samuday, through its interventions across six verticals for holistic rural development – agriculture, education, health, infrastructure, livelihood, and WASH (Water, Sanitation, and Hygiene), has so far been able to make the following changes on the ground:
  • Education: For education the program has ensured improved school education for 55,000+ children in the project area. It has introduced a Happy School Intervention through which it has established 326 Happy Schools with the effective school environment, ICT-enabled learning, assertive community participation, and improved teaching-learning processes. The program has also enrolled 48,000+ adults in adult literacy batches.

SDG 5

My Worth

  • My Worth program uses a self-efficacy model to empower and enable young girls and boys towards self-reliance through a gender transformative approach.
  • Currently, HCL Uday is reaching out to 440,000+ people in 11 cities of India. In FY 2019-20, the program benefitted 133,550 people through the education initiatives of HCL Foundation that focus on early childhood care and development of children below six years, bridge and remediation support to out of school children living in difficult circumstances, comprehensive technology-based quality enhancement of government schools, adult literacy, and life-skill based gender-transformative programs for youth and adolescents.

Gender diversity Programs of HCL

  • HCL Women Connect aims to engage and advance women through development programs, and advocate a gender-neutral work environment by suggesting appropriate policies as well as position HCL as an employer of choice by women across the globe. This group also coaches and counsels aspiring young women professionals, shares experiences on work/life priorities and includes life coach support, daycare in office premises, concierge services, and policies such as extended maternity leave, work from home, flexible careers and flexible work hours.
  • Feminspiration is a platform facilitated by the HCL Women Connect Affinity Network in which successful women leaders are invited to address employees and provide insights into successful leadership as well as understand perspectives on gender matters.
  • BlogHer is an internal platform of the organization where many aspects of gender-neutral policies are discussed. These discussions are constructive, non-hierarchical and help both HCL and employees to demystify workplace myths and stereotypes on gender, culture and other issues.

SDG 6

My Worth

  • My Worth program uses a self-efficacy model to empower and enable young girls and boys towards self-reliance through a gender transformative approach. Under the Environment pillar of HCL Uday, the foundation managed to cumulatively plant 103,284 trees in schools, residential spaces, and public spaces, and at the urban forest sites known as Uday Upvan. In addition to this the foundation took up 67 water bodies for restoration and rejuvenation. The Environment vertical is now known as ‘Harit- the Green Spaces Initiative’.

HCL Samuday

  • HCL Samuday is a rural development initiative launched in 2015 with an aim to develop a sustainable, scalable, and replicable model for the economic and social development of rural areas. 
  • HCL Samuday, through its interventions across six verticals for holistic rural development – agriculture, education, health, infrastructure, livelihood, and WASH (Water, Sanitation, and Hygiene), has so far been able to make the following changes on the ground: WASH Initiatives: Various initiatives of the organization in the WASH sector has led almost 60,500+ households to practice safe sanitation. It has also made safe and piped drinking water available to 11,000+ households.

SDG 7

  • HCL Samuday is a rural development initiative launched in 2015 with an aim to develop a sustainable, scalable, and replicable model for the economic and social development of rural areas. Infrastructure Development: The foundation has installed infrastructure to introduce renewable energy in the area to provide electricity to 39 villages through 30 solar mini-grids as part of the program. It has also supported 125 schools with the necessary energy infrastructure through the installation of rooftop solar PV systems. All in all, the foundation has set up 860 kWp of renewable energy infrastructure in the area.

SDG 8

My Scholar

  • My Scholar is a sustainable career development project for students from weaker economic backgrounds. Under this project, HCL Foundation provides long-term scholarship and mentoring support to meritorious and talented students from HCL project locations and children of HCL’s support staff. The scholarship is funded through Power of One – HCL’s payroll giving program and driven by HCL employees who provide mentoring support to the scholars.

HCL Samuday

  • HCL Samuday is a rural development initiative launched in 2015 with an aim to develop a sustainable, scalable, and replicable model for the economic and social development of rural areas. Currently implemented in three blocks of Hardoi district in Uttar Pradesh, the program covers 164 Gram Panchayats, comprising 765 villages and 90,000 households totaling a population of 6,00,000 people.
  • Improving Livelihood aspects: The foundation has supported the livelihood of about 9,000+ dairy farmers in the area by procuring 11,800 liters (avg.) of milk every day. It has supported 2,300+ households to develop backyard poultry unit development setting them up with a source of income. The program has enabled the strengthening of 995 Self-Help Groups comprising around 11,500 women with 4,000 women connected to economic activities in the area. In addition to this, it has facilitated the skill development of 900+ youth in various trades.

SDG 9

Frontline Innovation

  • HCL shone the brightest, though, at the frontline. Continuing their tradition of ‘ideapreneurship™,’ their employees filed 29 patents in FY20, out of which 16 were granted. They also created immense value for their customers through ideation platforms like Value Portal, through which they generated 12,225 ideas with a verified value to customers of $1.7B for the year.

Start-up Ecosystem

  • Redefining partnership paradigms, HCL cultivates a unique and innovative ecosystem – consisting of start-ups, VCs and trade missions from across the globe – that generates solutions HCL can bring to its clients. A key differentiator is HCL’s own start-up accelerator and innovation platform. This platform industrializes innovation and fosters deep collaboration among various stakeholders through a systematic and scaled approach for idea funnel management, prototyping, deployment and commercialization.

SDG 10

Women Empowerment at HCL

  • Women empowerment is an important part of the holistic diversity agenda at HCL Technologies. The company is committed to women empowerment and celebrating the contribution of women in the organization. The three key elements of HCL Technologies’ gender diversity strategy involve:
  • Leadership commitment and extensive ongoing advocacy to address the unconscious bias in the workplace
  • On-boarding multiple stakeholders and driving the agenda based on diversity and inclusion goals of the respective unit, wherein the framework is global but the implementation is global to suit varied business and location needs, and
  • Two enabling programs for women’s leadership development are based on formal mentoring.
  • ASCEND, which mandates an increase in the representation of women in senior management via multiple ways, including support programs, peer mentoring and coaching at all levels, and providing platforms to enable women leaders to learn and exhibit transformational leadership.
  • STEPPING STONES, which is a focused career development program to enable mid-level female employees to realize their career aspirations and potential and help them in their developmental journey. It focuses on coaching women who are new mothers and require help to manage the new expectations at work and home.

SDG 12

  • The Company has a Procurement Policy in place which discourages discrimination with any vendor on the basis of gender, nationality, ethnicity, religion, disability etc. In accordance with local legislation and best practices, HCL’s procurement process is transparent, objective and non-discriminatory in the selection of its vendors. The Company works towards sustainable sourcing and ensures that their Company’s social and environmental performance extends to its supply chain by sharing their expectations with its vendors from time to time.
  • They also promote the localization of business by giving preferences to local vendors. HCL is committed to doing business with environmentally responsible vendors with an objective to minimize the adverse effects on the community, the environment, and natural resources while safeguarding the health and safety of the public.
  • They intend to procure 5%of their goods and services from marginalized and vulnerable sections of society e.g. women and people with disabilities.
  • HCL encourages onboard suppliers/vendors who comply with local laws and policies to maintain and balance diversity requirements. HCL’s Procurement Policy particularly focuses on local vendors. While selecting the vendors, preference is given to local vendors for outsourcing jobs pertaining to facilities management, procurement of materials for infrastructure development and other operations with the objective of creating employment and economic opportunities in the area HCL operates in. The Company also maintains Minority and Women based vendors’ data in CL (Contingent Labour) vendors’ database to fulfill business needs wherever needed as per business demand.

SDG 13

  • As a responsible corporate, the Company owns accountability for the future and plays an imperative role in addressing global challenges in the areas of energy, climate change and sustainability. The Company has made a commitment to conserve the environment by adopting “Go Green Initiatives” and be responsible for Energy & Water Management in its areas of operations, and perform efficiency by consuming Energy & Water in an efficient, economical, and environment-friendly manner throughout all its premises. To conserve the environment by adopting “Go Green Initiatives” and increase operational efficiency, the Initiatives and Good Practices attributed towards a reduction in carbon footprint during the financial year 2019-20 are described below
  • Renewable Power Purchase – In continuation with their commitment to reduce “carbon footprint”, they have procured renewable power equal to 26,460 MWH for their major campuses during the year. The source of this power was wind, solar and hydel-based electricity. This much of Green Power Purchase has enabled the Company to reduce carbon footprint of 21,961 tCO2* (Ton of Carbon Emission) over the other available power resources like Grid and Captive. Renewable Power is contributing to 10.38% of overall PAN India YTD consumption.
  • High Side – Chiller Operational Performance Improvement – Chiller Performance improved in all major facilities due to the improvement in the effectiveness of cooling tower with the help of auto chemical dosing, fills replacement and condenser descaling activities which has helped the Company to save 1,391 MWH of energy during the year and has also helped in reducing the carbon footprint by 1,154 tCO2* (Ton of Carbon Emission). Water-cooled chillers are installed at most of the locations which consume less power than air cooled chillers while air-cooled chillers are installed only in water deficit areas. The auto chemical dosing system installed in SEZ Noida campus has also helped in saving significant amounts of water.
  • Low Side – HVAC Operational Performance Improvement – Low side HVAC systems have been implemented in all major facilities including energy-efficient unit installation,VAV renovation, defective coils and filter replacement, increase of temperature set point and other related operational controls that has helped the Company in saving 2,136 MWH of energy during the year and has also helped in reducing the carbon footprint by 1,773 tCO2* (Ton of Carbon Emission). VFDs (Variable Frequency Drives) are also being used in AHUs which result in lower power consumption by regulating the frequency of the motor which is based on the return air temperature feedback, an indicator of the occupancy and heat load.

SDG 15

  • Ensuring environmental sustainability and ecological balance
  • Protecting flora and fauna
  • Promoting animal welfare and agro-forestry 
  • Conserving natural resources and maintaining the quality of soil, air, and water.

SDG 17

  • Clean NOIDA is an HCL Foundation initiative started in 2019. The initiative carries out works and services to implement effective solid waste management in Noida in partnership with the Noida Development Authority. This initiative aims to transform the city into a litter and waste-free region, via the cleaning of garbage vulnerable points (GVPs) and the provision of cloth bags, among others. The initiative has covered 90 Residential Welfare Associations (RWAs) and 64 urban villages, with a major focus on capacity building of relevant stakeholders, intensive behavior change campaigns, awareness drives and technology solutions. A total of 3,375 volunteers and 13,776 participants have been engaged till now through various events.
 
 

Evaluation

The company has decent awards, listings and a certificate noted. The company does demonstrate a sincere effort to make progress toward CSR and sustainability. Although the company clearly approaches CSR and sustainability issues on multiple fronts, they do not express any of their intent with regard to targets. 

Despite having few certificates, awards, and listings, the company produces a credible report with their progress for reducing their CO2 emissions, energy consumption, renewable energy, clean water, and human rights in alignment with the UN Sustainable Development Goals.

HCL Technologies seems to have initiatives that align with 13 out of the 17 UN SDGs, a commendable effort. However, because the company does not communicate its goals specifically and clearly, it is difficult to identify its true progress. Furthermore, with more relevant certificates and accolades, the company would achieve a higher standing. This company has been rated a C. 

Analyst Outlook: Neutral

The company has many admirable initiatives and should continue making progress with its ethical business practices. To achieve greater success in sustainability, the company should communicate its progress in a more organized manner by identifying its specific targets, sustainability metrics, and clear alignment with UN SDGs. In addition, their lack of certifications and listings do not support the company’s initiatives and strategies.

Key Points

  • The company received a CDP rating of “B-” in 2019 and “D” in 2020, reflecting a decline in progress.
  • The company takes a multi-faceted approach toward sustainability and through the HCL Foundation, the CSR arm of the company, has many commendable initiatives that demonstrate a commitment to uplifting communities
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