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Aditya Birla Fashion and Retail: Stitching Sustainability

內容大綱
The chair of Aditya Birla Group (ABG)—an Indian conglomerate whose businesses ranged from cement production to textiles—stressed to the leadership team that sustainability in business was a holistic pursuit with a three-step agenda. This involved (a) managing business operations responsibly; (b) understanding material issues from all stakeholder perspectives; and (c) seeking ways to create and share value with each stakeholder group by active use of knowledge. The meet this sustainability vision, the leadership team established an independent Group Sustainability Cell, which was tasked with formalizing and integrating the principles and standards needed to develop and improve sustainability across ABG. The sustainability cell would support the development of governance structures, a sustainability framework, and clear road maps for the business to prepare for a more sustainable future. In 2015, Aditya Birla Fashion Retail Limited (ABFRL) emerged after a consolidation of ABG’s apparel businesses. Ashish Dikshit, appointed as ABFRL’s business head, was tasked with leading the company toward a Group-wide Sustainability 1.0 framework. One morning, Dikshit was pondering this new challenge on his way to work. On reaching the Bangalore office, he sat down with his team to decide the way forward: How could the organization’s structure be adapted to achieve this sustainability vision? What should be the governance structure? What was ABFRL’s sustainability road map? How could sustainability progress be monitored?
學習目標
This case is ideal for training executive participants and graduate-level courses focusing on sustainability and environmental, social, and governance topics. It can be used in modules such as building sustainable organizations, sustainable supply chains, and related areas. The case invites students to analyze ABFRL’s vision and governance structure, requiring them to assess the company’s initiatives and approach, including the challenges faced and its effectiveness in managing internal and external risks during its sustainable transformation. Since the company’s individual brands and units predate consolidation, they are considered incumbents, offering a unique context. Insights from this case help participants understand how to build a sustainable organization and manage challenges in a developing country like India.<br><br>After working through the case and assignment questions, students will be able to do the following:<br><br><ul><li>Understand the challenges faced while transforming toward a sustainable organization.</li><li>Appreciate the role of leadership while developing sustainable transformation roadmap.</li><li>Analyze as well as critique the sustainability missions and strategies adopted by ABFRL.</li><li>Identify the risk while undergoing sustainability transformation and how to navigate it.</li></ul>
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