Businesses must think bigger and bolder to integrate environmental, social and governance (ESG) issues into their long-term corporate strategy. We have seen how time and again, this approach is vital to creating long-term stakeholder value and building a more sustainable world.
The global diversified industrial manufacturing company Ingersoll Rand has just published its 11th annual sustainability supplement, which reveals the progress the company is making on ESG issues to achieve what it says is necessary to address key global sustainability trends and transform lives.
On the social side, during 2017, the company increased its spending on diverse-owned businesses by 11 percent, donated $8.7 million towards philanthropic causes, and its employees volunteered 25,300 hours of their time. Ingersoll Rand’s female share of the total workforce is 22.8 percent and 19.8 percent of women are holding management positions.
Through its acquisition of CALMAC Corp. in 2017, the company is strongly positioned to offer its customers wider choices for managing energy and operating costs. According to Ingersoll Rand, CALMAC will help take pressure off the energy grid, reduce strain on public utilities, bring down operating costs for building owners and enable more effective use of renewable energy.
Ingersoll Rand’s overall water use in 2017 increased by 2.5 percent compared to 2016, but the company reduced its 2017 water use by 8 percent at international locations in water-stressed regions.
Fifteen of its manufacturing sites achieved zero waste to landfill in 2017, and the company reduced its non-hazardous waste to landfill by 10 percent compared to 2016. Its recycling rate for 2017 increased by 3 percent compared to 2016.
The company provides its salaried employees with anti-harassment training and makes clear policies available to its employees worldwide.
In 2017, in terms of workplace safety, Ingersoll Rand continued to reduce its incident rates and is approaching world-class injury prevention performance. In 2017, 93 percent of the employees believed that the company is committed to employee safety.
The company uses a Supplier Diversity Matrix, which enables it to avoid using price as the primary factor for supplier selection. Instead, the company continues to evaluate its supply chain using a wide range of factors, including supplier diversity, quality and risk.
From the perspective of regulatory authority compliance, Ingersoll Rand complies with or exceeds requirements of international, national, state and local regulations and standards that aim to protect the environment, human health and safety.
In every case, whether or not an applicable law or regulation exists, the company says it applies robust EHS management practices, which continue to drive its compliance record.
“Our commitment to the Ingersoll Rand values—integrity, respect, teamwork, innovation and courage—continues to serve as the catalyst for our profitable growth,” said Lamach in a letter to shareholders. “What matters to our success is not just what we do, but how we do it.”
Vikas is an MBA with 25 years of managerial and entrepreneurial experience. He is the author of “The Power of Money” (Scholars, 2003), a book that presents a revolutionary monetary economic theory on poverty alleviation in the developing world. Vikas runs a digital content development company, and personally loves to write on global sustainability issues.