Our long-term relationships with customers, suppliers and communities are key to our business sustainability. Nurturing these relationships for the long term is integral to our strategy.
BUILDING RELATIONSHIPS WITH CUSTOMERS
In line with the motto of ‘Reshaping our business for tomorrow’, Tata Steel is serving the growing needs of our B2B (Business Accounts), B2C (Individual Consumers) and B2ECA (Emerging Corporate Accounts) - customer segments by offering differentiated products and services. Our end-to-end operation across the value chain, from mining to finished steel goods, enables us to deliver superior quality products. Over the years, we have built strong relationships with the channel partners that has allowed us to serve existing B2C and B2ECA customer segments through our nationwide professional distribution network. We are now leveraging this extensive network established for steel products to extend our customer-centric services and new solutions such as Tata Pravesh Doors & Windows to markets in urban and rural India.
Customer Meet - Reinforcing Relationships
ENTERING NEW MARKET SEGMENTS
While our customers in the automotive and construction segments enjoy our unwavering commitment and focus, Tata Steel has entered into new attractive segments and micro-segments by adding new facilities, and by creating market differentiators through user-friendly services and solutions. In our constant endeavour to meet the future needs of our customers, we have forayed into other materials such as Fibre Reinforced Polymers and Graphene.
To meet our objective of becoming the industry leader in steel and insulating revenue from steel cyclicality, we are is going beyond the traditional products by offering a range of customised services, solutions and value-added products across traditional and new customer segments
Increase revenue from our services and solutions business
Improve downstream products business
Enhance B2C business
Increase revenue from new materials business
IMPACT ON SDGs
SO1 - Industry leadership in steel
SO3 - Insulate revenues from steel cyclicality
Value Proposition for different Customer Groups
B2B (Business Accounts)
B2C (Individual Consumers)
B2ECA (Emerging Corporate Accounts)
Tata Steel domestic sales (MnT)
BENEFITS CUSTOMERS DRAW FROM BHUSHAN STEEL ACQUISITION
Our customers also stand to gain from our acquisition of Bhushan Steel (now Tata Steel BSL), through which we will be able to provide them an enhanced product portfolio. Our customers will now have the advantage of choosing from our quality offerings in colourcoated products and precision tubes. This expanded capacity, leading to ramping up of volumes of Tata Shaktee, Tata Kosh, Tata Steelium and Tata Astrum, will empower our customers by eliminating stock outs at their end and serve their demands better. In addition to leveraging our customer outreach and sales, we can now provide a better range by manufacturing complementary products.
In Financial Year 2018-19, more than two-third of our output were served to our automotive and construction customers who continue to be our valued partners. We also catered to the engineering sector, in which our comprehensive portfolio of solutions range from engineering services to custom-made plant and equipment. Our product range in high‑quality agricultural implements is allowing our customers in Indian rural markets get value for money. Beyond this, Tata Steel continues to expand into the oil & gas and lifting & excavation segments by enhancing its expertise and preparing downstream facilities to serve the segment. We are continuously striving to meet the evolving needs of our customers by effectively engaging with our channel and ecosystem partners to enhance their capacity and capability.
Key initiatives to enhance value for customers in Financial Year 2018-19
In India, Tata Steel continues to retain a leadership position in the automotive segment.
Tata Steel is in the process of shaping the construction industry by maintaining its leadership position in specific segments such as individual house builders, medium and small housing and construction, and rural roofing segment.
Tata Steel is working closely to develop new grades of steel with its ECA brands.
Happy working with Tata Steel which is providing resourceeffective and sustainable systems that are adding value to our CSR initiatives.
Senior Vice President, Corporate Affairs,
Nestlé India Limited
FOSTERING LONG-TERM RELATIONSHIPS WITH SUPPLIERS
As an integrated steel manufacturer, we work very closely with our network of supply chain partners in upstream as well as downstream. Our supply chain process is focussed on using a multi-pronged approach of vendor segmentation and developing long-term supplier partnerships. We treat our 5,000+ vendors as business partners through a fair and transparent governance process. All our supply chain partners are required to comply with the Tata Code of Conduct (TCoC) which enumerates the principles of fair business practice, ensuring human rights, complying with environmental regulations and standards, and adhering to health and safety requirements. The supply chain partners are covered under the whistle blower policy and a formal grievance redressal system. To ensure high standards of occupational health and safety in the supply chain, suppliers are rated on a 5-star scale. Contracts with high safety risks are awarded only to partners who score 4 and above on this scale. We also conduct periodic audits to ensure compliance to good human rights practices. 359 vendors have been trained on TCoC and SA8000, and eight have been blacklisted due to non-compliance with the TCoC.
Supplier Sustainability Expo 2018
Maintain cost leadership and care for people across our supply chain through partnerships with our suppliers
Further deepen our relationship building and process strengthening initiatives
We aim to create value creating partnership with our supplier community, based on a foundation of ethical conduct, high standards of working conditions and concern for the environment
IMPACT ON SDGs
SUPPLIER RELATIONSHIP MANAGEMENT (SRM) PROGRAMME
The SRM programme is aimed at collaborating with strategic vendors on digitalisation and innovation. We are including suppliers in technological knowledge transfer and capacity building programmes to enhance operational efficiencies, reduce transaction time and bring in transparency. Around 1,400 suppliers were covered through the Vendor Capability Advancement Programme (VCAP) under various topics such as TQM, finance, skill development, operational excellence, ethics, safety, and sustainability.
Further, to support the local communities and encourage the inclusion of marginalised sections of the society, we develop entrepreneurial capabilities and promote vulnerable communities by positive differentiation through Affirmative Action (AA) Programme of Tata Steel. Nearly 25% of our supply chain partners are local, out of which 70 are AA suppliers.
359 vendors trained on TCoC and SA8000
1,035 suppliers assessed on safety parameters
70 AA suppliers
~25% suppliers are local
SO2 - Consolidate position as a global cost leader
SO4 - Industry leadership in CSR and SHE
SHARING VALUE WITH COMMUNITIES FOR A SUSTAINABLE TOMORROW
For Tata Steel, the well-being of communities and employees is at the core of its business. We operate in the remote regions of Jharkhand and Odisha whose overall socio-economic development is not at par with other parts of the country. The mining and metals industry has an inherent, significant and lasting adverse social and environmental impact on the surrounding population. We have mitigated these impacts by delivering a number of path-breaking interventions since inception. Townships with necessary facilities (utilities, healthcare, education and opportunities for earning a livelihood) provide a superior quality of life equally benefitting employees, their families and the local population.
Industry leadership in CSR and SHE
Touching > 2 million lives by 2025
IMPACT ON SDGs
OUR CSR INTERVENTIONS GO BEYOND REGULATIONS
Tata Steel has over a century of shared context, with communities giving it a microscopic view of their critical needs and aspirations. This has enabled the design of focussed initiatives which have matured over the years, from service provision to empowering communities in forging their future. CSR interventions are deployed by almost 600 professionals with diverse skills interacting directly with the community daily, partnered by organisations of national and global repute. TSL consistently commit resources to bold and innovative projects designed at scale. This approach is the bedrock of our strong and enduring community relationships with mutual trust and respect. It has significantly contributed to growth in our business, setting the Company apart from other mining and metals corporations.
A comprehensive range of themes with multiple initiatives aligned to globally accepted guidelines, including the UN SDGs, go well beyond the CSR mandate in the Companies Act, 2013. They cater to the most vulnerable sections among communities, addressing the challenges of today and building lasting solutions for the future. Focussed projects in health, drinking water, sanitation, education, livelihoods and infrastructure meet community needs. Sports and youth empowerment initiatives engage them meaningfully. Our ‘Tribal Identity’ theme is an emerging signature theme unique among corporates. It includes sustained efforts to preserve and promote aspects of heritage (language, culture, art forms and sports), ground-breaking efforts such as Samvaad and the Tribal Leadership Programme, which provide platforms for expression of and debate on tribal issues across India.
Our CSR strategy
Tata Steel’s CSR strategy looks at establishing replicable change models which impact core development gaps across India (Signature Programmes) and enhance thematic development focus on communities in operating areas (Proximate Community Development). In addition, TSL continues to strengthen its CSR governance and consolidate its leadership position by intensifying deployment of its key initiatives through the Tata Steel Foundation.
Initiatives for health, drinking water and sanitation
Maternal and New Born Survival Initiative (MANSI)
MANSI focusses on working with pregnant women, mothers and children on the issue of infant mortality through partnerships with the government, and national and international NGOs.
Infant mortality reduced in 12 blocks of Odisha and Jharkhand
A real-time digital tracking system was launched to provide vital support to Sahiyas and ASHAs to respond to highrisk cases
Almost 1,855 high risk child and mother cases identified
~44% reduction in death rate achieved
Regional Initiative for Safe Sexual Health by Today’s Adolescents (RISHTA)
RISHTA focusses on working with the adolescents to educate them on the importance of nutrition and their rights while imparting life skills training.
The RISHTA Android application enables detailed profiling and tracking of each adolescent over the project period, leading to focussed health inerventions and linkage to government programmes.
Reached out to
990+ Peer educators developed from adolescent population
Outreach clinical healthcare services
We invest in Mobile Medical Units (MMUs), health camps, cataract screenings, surgeries and provision of eye glasses.
Mobile Eye Surgical Units (MESU) - a Sankara Nethralaya – IIT Chennai collaboration–takes world-class cataract surgical care to remote locations in Jharkhand through a fully equipped mobile operating theatre.
3,800+ Cataract cases operated
2,400+ surgeries conducted by MESU
HIV-AIDS and leprosy
We are working with the LEPRA Society to spread awareness, and provide treatment and rehabilitation to leprosy patients. We invest in truckers intervention to raise awareness about HIV-AIDS.
~ 1,905 leprosy cases availed awareness, treatment and rehabilitation, which included 31 surgeries
We install and repair drinking water facilities such as hand tube wells and deep bore wells, and piped drinking water, and are working on solar-powered drinking water projects.
The Springs initiative was an experiment conducted to prevent contamination of natural perennial springs. It enabled availability of clean water to five villages throughout the year.
1.2 lakh + beneficiaries impacted through installation of these facilities
Initiatives for Education
Thousand Schools project
Thousand Schools project is working on the deployment of the Right to Education Act by enabling access for children to school, improving teaching and learning levels and improving school governance through School Management Committees.
Learning Beyond School is a fully community managed education resource centre that enables children to learn beyond school hours and become familiar with digital technology.
1,170 schools reached out in Odisha and 248 in Jharkhand
1,50,000+ students covered in Odisha and Jharkhand
1,600+ habitations have become Child Labour Free Zones, out of the total 2,239 being addressed in Odisha since the inception of the project
Residential camp schools
We conduct residential camp schools (Masti Ki Pathshala) for children who are either dropouts or from vulnerable backgrounds engaged in child labour.
Our Saving Lost Childhood programme aims to reduce child labour in Jamshedpur.
3 new Masti ki Pathshalas created in FY 2018-19 in Jamshedpur – total 4 schools catering to 50 girls and 260 boys
Almost 40 boys were mainstreamed to CBSEbased formal schools in FY 2018-19 from the first Masti Ki Pathshala
Pipla school in Jamshedpur now caters to around 100 girls from nearby areas who require bridging and mainstreaming to formal schools
We offer Tata Steel Scholars Programme and Jyoti scholarships that provide financial assistance to meritorious SC/ST students for post-graduate professional courses. Jyoti fellowship is also offered to SC/ST students from Class VII to post-graduation.
90+ students received scholarships under Tata Steel Scholars Programme for Jharkhand and Odisha
3,300+ students received scholarships under Jyoti Fellowship in Jharkhand and Odisha
7 Tata Steel Scholars received pre-placement offers from Tata Steel in FY 2018-19
Child education for Particularly Vulnerable Tribal Groups (PVTG)
We work with the PVTG communities to provide them access to good education facilities.
About 260 students enrolled in 7 residential English-medium schools in FY 2018-19, most of them first generation learners from PVTG families
Initiatives for Livelihood
Technical education institutes
We develop technical education institutes to improve employability of the youth in the community through professional skilling courses.
Ek Pahal is a skilling initiative to constructively engage prison inmates by imparting in-house training to enable them to secure gainful employment, both within and outside the jail.
Digital skills for rural children are imparted through a classroomon- wheels called ‘Kaushalyan’ using an air-conditioned bus with workstations, an LED TV display as well as a trained computer faculty.
The nursing programme aimed at addressing the issues of poverty, unemployment and mass migration through nursing training.
~4,800 youth enrolled
~2,500 youth trained
~2,000 youth placed/ self-employed
Women Self-help Groups (SHGs)
We have created women SHGs in our communities to impart skills and empower them to run an enterprise.
~10,000 women empowered through SHGs in 95 gram panchayats
Improve agricultural productivity
We boost farmers’ income through improved agricultural productivity by investing in improved irrigation facilities for the community, waste land development and other allied activities
20,000+ farmers benefitted through agriculture productivity techniques and allied activities
~85 ponds constructed/repaired in Jharkhand and Odisha for agricultural and domestic use
The Development Corridor
A 280 km well-being trail
The Corridor is the route connecting Tata Steel’s Jamshedpur and Kalinganagar operations. The project has extensive data on over 3.6 lakh population (>90,000 households) in 71 Gram Panchayats across 5 districts using the Data, Evaluation, Learning, Technology and Analysis (DELTA) digital microplanning system of the Tata Trusts
Initiatives for youth empowerment
Youth empowerment through sports
We empower youth by training them and providing them access to good sports facilities and nurturing sporting talent with career potential
40,000+ youth engaged through different sports activities
Initiatives for tribal identity
Connecting tribal communities
We created ‘Samvaad’, a national platform for discussion among tribal communities
6 regional editions of Samvaad held across India. 1,680 tribals representing 99 tribal communities, delegates from 27 Indian states and 17 countries attended the Samvaad 2018 event
We work with 12 tribal organisations to revive and rejuvenate tribal language, literature and cultural heritage.
Almost 16,480 students of Jharkhand and Odisha enrolled in 317 language centres providing instructions in 6 tribal languages
Created ‘Rhythms of the Earth’, a pan-India tribal musical group comprising 75 members from 5 states covering 14 tribes
We also encourage and promote tribal sports
Almost 4,200 tribal youth of Jharkhand and Odisha were engaged through tribal sports
Tribal Leadership Programme
The residential programme is for individuals from tribal communities willing to work to bring about a positive change in society.
Jubilee Park, Jamshedpur
Tata Main Hospital, Jamshedpur
Summer Camp, JRD Tata Sports Complex , Jamshedpur
Quality of life for communities
Jamshedpur - Celebrating 100 years of our legacy township
Jamshedpur is the only million-plus city in India without a municipal corporation, with Tata Steel providing all amenities, such as power, water, sewage line, and sanitation facilities resulting in high Quality of Life (QoL) for its citizens. Tata Steel has progressively met the challenges posed by the surge in urban growth and increasing aspirations of a world-class city. With 37.5% green cover, Jamshedpur scores 101 on the QoL index, which is similar to the best cities in India.
Tata Steel caters to the healthcare requirement of its employees, their families, and the community around its area of operations. The medical facilities are extended through a network of Tata Main Hospital (TMH) located in Jamshedpur – 1,000+ bed tertiary care hospital supported by 8 TMH clinics spread across the city and raw material locations such as Jamadoba, Noamundi, Sukinda, West Bokaro and Joda.
Catering to healthcare of our communities
1.64 million OPD patients
59,000 Indoor admissions
21,000 Surgeries and procedures
TSK - A new beginning
The wilful relocation and resettlement of 100% of families staying inside the Tata Steel Kalinganagar (TSK) project area as per the R&R guidelines of the Government of Odisha was completed in Financial Year 2018-19. Beyond the R&R guidelines, Tata Steel is planning to develop model colonies with self-contained facilities such as portable water supply, water treatment plant, rain water harvesting, and solid waste management. Water treatment plant with a capacity of 1 million litres per day has been completed and made operational since March 14, 2019. For promoting education of the children of relocated families and the nearby community, Loyola School, Kalinganagar has been constructed with all standard facilities to cater to 1,400 students.
A 200-bed facility of Tata Steel-Medica Hospital is operational and is catering to quality healthcare needs of the people living in and around Kalinganagar. Multi-specialty health camps are also being organised to provide specialised healthcare services to people. An integrated township, with a plan of 1,004 flats are being constructed. In the first phase, 188 flats, were completed and handed over in Financial Year 2018-19.
Tata Steel Medica Hospital, Kalinganagar, Odisha
Sports - A way of life at Tata Steel
Tata Steel engages employees, their families and the community in sporting activities through its:
Some key highlights of our sports initiatives in FY 2018-19
Tata Football Academy and Tata Trusts collaborate with Atlético de Madrid to develop Indian Football
Tata Steel Training and Feeder Centre sports achievements in FY 2018-19