MD SPEAK

Message from the Vice Chairman & Managing Director

Dear Stakeholders,

It gives me immense pleasure to present our second integrated Annual Report which includes Sustainability Report for the financial year 2018-19. Through this Sustainability Report, we share our Company's overall strategy, policies and performance against specific economic, environmental and social goals and metrics.

Over the past year, as you will see in this progress update, we have made solid strides in our sustainability journey and we remain committed to doing even better. Our innovative marketing campaigns led us to push growth momentum in decorative business. Industrial sector continued to grow in niche market segments and bolster industrial business. Company also worked upon environmental and social sustainability aspects of business. KNPL exercised stewardship in all major aspects of sustainability and strengthened due diligence.

Product stewardship: At KNPL, priority is to safely and responsibly manufacture our products in a way that minimizes use of energy and natural resources. Our strategies have been directed towards environment friendly product innovations which have helped in reduction of water and energy consumption, air emissions and waste. It has helped the Company to offer innovative and sustainable products to valued customers.

Safely stewardship: The Company believes that a safe and healthy work environment is a prerequisite for ensuring employee well-being, and adopting best practices in occupational health & safety bears a direct impact on the Company's overall performance. As a part of Safety excellence, we launched “Safety Concern” portal wherein the employees and contractors log concerns regarding unsafe acts/ conditions present in the workplace which are then eliminated through necessary actions on timely basis. Company continued its focus on fire risk due to static charge and deployed “Earth Rite” systems in critical solvent handling area as a part of safety controls. Last year, we strengthened our training system and brought about training automation through implementation of training kiosks at all our facilities.

Environmental stewardship: At KNPL, focus has been on “reduce, re-use & recycle” programmes in our manufacturing units which have reduced material losses and hazardous waste generation. Company has been proactive in order to reduce its environmental footprints from. Company has strategically focussed on water reduction at source and invested in dry or close loop process technologies to curtail water consumption. All our major manufacturing sites are installed with zero liquid discharge units. Online stack and effluent monitoring systems have been installed at all the sites. We are continuously increasing renewable energy contribution in our overall energy consumption.

Serving society: KNPL believes in co-existence of business and society. KNPL has been engaging with local communities and organizations to contribute towards social benefits. Our efforts have been focussed around Health, Education, Environment and Community development in collaboration with local stakeholders like government agencies, institutions amongst others.

Lastly, I am proud of the manner in which this report has come about through coordination and partnership across the organisation. KNPL is committed to build an organisation that is sensitive, vibrant and geared towards building a better tomorrow with the help of all the stakeholders.

H. M. Bharuka
Vice Chairman & Managing Director

KNPL Membership

Membership details are covered in the Business Responsibility Report through disclosure on principle 7.

Commitment to external standards/principles
ISO 9001: 2015 All plants
ISO 14001: 2007 Hosur and Bawal plant
ISO 14001: 2015 All plants
OHSAS 18001 All plants
IATF 16949: 2016 All plants

Precautionary Approach

KNPL is keen on adopting new emerging practices and approaches that cater to a precautionary approach as specified by principle 15 of ‘The Rio Declaration on Environment and Development'.

Our precautionary approach is characterized by the following major areas:

Adoption of
renewable energy

Adoption of
cleaner technology

Product differentiation based on green features

Reduce, Reuse and Recycle initiatives to reduce overall water consumption

Raw material substitution

Process optimization and
waste minimization

The Company is keen on leveraging opportunities driven by climate change and has invested in the above approaches. While leveraging these opportunities, it has also identified risks posed by climate change. A mitigation plan has been developed to address these risks.