At Hindustan Zinc, stakeholder satisfaction is a top priority and we value the concern of all our stakeholders associated directly or indirectly with
the business. We operate through a sustainability framework that is strengthened by responsible stewardship, building strong relationships,
adding and sharing of values and strategic communication. Thus, we see it as imperative to maintain transparency in our engagements with
stakeholders, encouraging a long-term and mutually beneficial relationship that is built on trust.
Engagement Approach
Since our operations deal with several stakeholder groups, each playing diverse roles with varying priorities, it is vital to design a robust
engagement model that understands and addresses the concerns of each group. Our stakeholder engagement model is updated every two years
to keep in step with emerging engagement mechanisms and evolving stakeholder behaviours. The identification of all pertinent stakeholders and
understanding their expectations is of high concern for us in our pursuit to ensure sustainability.
The process of engagement with our stakeholders is as follows:
Another key aspect of our stakeholder engagement is a robust grievance redressal mechanism. This involves a Grievance Committee that is
chaired by respective unit heads who review complaints and suggestions on a periodic basis. An apex committee chaired by the location head
meets every quarter while the unit level committee meets every month, to monitor and resolve any pending grievance.
Stakeholder Identification
An important exercise, stakeholder identification helps us classify them and their concerns or interests into groups, to enable us to engage with
them in an effective and efficient manner. The identified stakeholders include all those who have a direct or indirect influence on our business
operations, also including those who are impacted by us.
Stakeholder Identification Process
Engagement Platforms
Since our operations deal with several stakeholder groups, each playing diverse roles with varying priorities, it is vital to design a robust
engagement model that understands and addresses the concerns of each group. Our stakeholder engagement model is updated every two years
to keep in step with emerging engagement mechanisms and evolving stakeholder behaviours. The identification of all pertinent stakeholders and
understanding their expectations is of high concern for us in our pursuit to ensure sustainability.
The process of engagement with our stakeholders is as follows:
Employees
Safe workplace, employee engagement, career development, senior management interaction
We are committed to taking care of our employees and addressing their concerns in a timely and effective manner. The Company engages with the
employees through various mechanisms such as mentor-mentee and senior management meet, open forums, suggestion scheme, training
programmes, town hall meetings and V-Connect. The senior management interacts with the employees on a monthly basis, the safety committee
meets monthly/quarterly, meetings with contractors are conducted on a quarterly basis and regular Suraksha Chaupals are conducted.
To address the employees' concerns, the Company has comprehensive incentive policies, that include provident fund, gratuity, canteen facilities,
parental and maternal leave, all resulting in greater employee satisfaction. The Company has a Diversity & Inclusion Policy that guides us to
increase focus on gender diversity, equal opportunity to work and retention of employees. Several health and safety measures have also been
undertaken by the Company to ensure a safe working environment for its people.
Trade Unions
Workforce Welfare
At HZL we ensure to maintain a strong relationship with the trade
unions, and constantly endeavour to engage with them to address
their concerns.
The Company interacts with the trade unions regularly through group
and one-on-one meetings. Tripartite meetings are conducted with
DGMS and Union representatives to discuss the improvement areas
in safety performance and systems.
Contractors/Suppliers
Safe workplace, ongoing engagement
We engage with our contractors and suppliers through vendor meets,
pre-qualification meetings and meetings with senior management
on a regular basis. V Step Up programme and the set-up of an
ancillary plant are the key initiatives taken during the year to enhance
our relationship with our suppliers.
Various training programmes are being conducted regularly for their
skill enhancement alongside regular interaction through the Safety
Chaupal and through monthly meetings. Issues relating to ease of
doing business, delay in payment and speed of contracting have
been resolved by automating the vendor registration process and
using digital interventions such as implementation of ARIBA.
Communities
Socio-economic Development
At HZL, we are constantly working towards creating an inclusive
environment, with opportunities of development for all. We seek to
engage with the communities through public hearings, scheduled
interactions by our CSR field team and through baseline surveys.
Socio-economic development of communities through improvement
in health, education, livelihood and public infrastructure facilities are
some of the key issues that were discussed in these forums. We have
also identified and implemented flagship programmes like Sakhi,
Khushi, Samadhan, Mining Academy, etc. for the development of
nearby communities. During the year we had three capacity
expansion projects at Kayad/Pantnagar and SK mine.
As per regulatory requirement we conducted a public hearing at applicable
site SKM.
Community Engagement at SKM
The expansion of Sindesar Khurd Lead-Zinc underground Mine (SKM)
from 4.5 million TPA to 6 million TPA ore production, and beneficiation
from 5 million TPA to 6.5 million TPA, involved community engagement.
The public hearing was conducted by Rajasthan State Pollution Control
Board on 1st November 2017 outside SKM. It was presided by the
Government officials and about 800 villagers from nearby areas
participated in it and shared their views.
Government
Regulatory compliance, Regional economic development
The Government can influence business through a myriad of ways. This may include influencing businesses through tax, regulatory and other
policies, and also creating a level playing field for businesses, providing them access to capital and other related functions as well. For HZL, falling
in line with all laws, rules and regulations is of utmost importance. Our dedicated team at corporate as well as facility level takes up the
responsibility of interacting with the respective regulatory and government agencies for various compliances and other related functions.
The Company constantly endeavours to engage with the Government, regulatory authorities and professional bodies through regular dialogue and
meetings to ensure timely sanctions, approvals and clearance. During the year we participated in Rajasthan Digifest & IT Day 2018 organised by
RSPCB and our stall was well appreciated by all.
NGOs
Community Development
At HZL we work towards maintaining strong relationships with NGOs by listening to their concerns and using various mechanisms to interact
with them. HZL regularly engages with them through one-on-one and group meetings.
Customers
Product quality and delivery
At HZL, we believe in a customer centric approach and are focused on areas such as product innovation, excellence in quality, value pricing and
service. The Company engages with customers through various forums like customer meets, biennial customer satisfaction surveys, online customer complaint tracking system, site visits and social media. The issues raised by the customers at these forums were regarding
improvements in resource efficiency, support in time to market, and enhancing service capability and consumer experience. The Company has
taken various initiatives to address these issues, and has also offered tailor-made value propositions on customer demand.
Shareholders/Investors
Value Generation
We immensely value the efforts of our shareholders and investors. We appreciate that investors are now looking beyond the shareholder value and
are also concerned about the sustainability endeavours of our organisation.
The Company is committed to excellence in governance and in creating long-term sustainable value. We engage with investors through investor
meets, conferences and analyst calls. The dialogue is mostly around the Company's strategy, operational, financial and sustainable performance
and outlook. HZL conducts a yearly shareholder gathering, the Annual General Meeting where we present our key performance indicators, the
Company's strategy and the way forward. During the year we had one earnings call, three analyst conferences, investors' site visit to our SK and
RA mines, and we also attended the Axis Capital 11th Annual Conference.
Stakeholder Perception Survey
HZL commissioned Corporate Image Survey with the help of a leading integrated marketing services company. This was done to better understand
and improve our engagement with the stakeholders. As part of our operations we deal with a diverse group of stakeholders, each playing an
important role in our journey towards sustainable growth. Hence, gauging HZL's image amongst our stakeholders and measuring our performance
against various parameters is imperative in fostering a long-term, mutually beneficial relationship with our key partners.
Methodology
Face-to-face interviews with the help of a questionnaire were conducted with the stakeholders. 1,020 face-to-face interviews conducted in all
across stakeholders. They were asked to rate their perception of HZL on the following parameters:
Awareness | Familiarity | Disposition | Interested in Following Progress | Level of Trust |
Strength of Relationship | Recommendation | Image as an Organisation | Awareness of CSR Activities
Findings The overall brand image score for HZL was 79. Media had the highest brand image score of 90, putting them at the top and future
employees at the bottom with a score of 62.
Customers
The survey revealed great bonding between HZL and our customers through an effective communication flow. However, there is a need to strengthen their awareness with the facts of the organisation, which will help in enhancing the brand image.
Vendors
Vendors and suppliers are
pleased with the trust they
enjoy with HZL. This bonding
can further be strengthened
through more transparent
and simplified policies. There
is also the need to find a
more effective tool of
communication for the local
vendors who are not familiar
with email communication.
Associations
All the Associations were found to
have high regard for Hindustan
Zinc. However, they are of the
opinion that HZL should expand its
CSR activities beyond its business
operations.
Government
At the state and central level, there
is an immense level of trust and
belongingness. But, at the local
level, the authorities have more
expectations from HZL.
Media
Media at the local, state and national
level perceives HZL as close as
family and friends. While 85% of the
media confirmed a strong bonding
with the Company, they have also
indicated for more transparency at
the time of incidents.
Employees
Current: They are well versed
with all the activities and
projects being undertaken by
the Company. All the verticals
of the communication are
properly read and acknowledged.
The employees have suggested
the need for more bonding
between the employees and
senior management within the
plant.
Potential: In the mining sector
HZL stood out as one of the
best companies to work with.
But, there still exists the need
to increase familiarity with
HZL in colleges.
To know more details about
our employee activities, please
refer to our People section of
the report.
Communities
Communities have good
awareness level of HZL's CSR
activities being undertaken in
their vicinities, and its
subsequent impact on their
lives. The NGOs pointed out
the need for long-term
projects that create a larger
impact on the communities.
There is also scope for
improving their trust level on
HZL's CSR.
To know more details about
our community activities,
please refer to our Community
section of the report.
