Dharmic values in Business and Leadership
Contributed By - Sri Devi Bulusu
In my recent column, we looked into the case of how ITC’s e-Choupal initiative created shared value by empowering farmers through more transparent e-commerce thereby enabling enhanced gains for all the layers of the transactions. In the current column, let us look into the significance of the social impact the case brought about in the context of India and beyond.
In business, the framework of dharma provides the balancing mechanics to pursue self-interest in an interdependent world. Through dharma, self-interest can be reflected in the larger ecosystems in which we operate to make it sustainable. ITC, through their e-Choupal initiative, benefited themselves through better procurement prices for the crop they get from farmers. The initiative also helped the company reimage itself as a promoter of social wellbeing from its traditional brand image of a business run on tobacco. Farmers benefited from fair and transparent e-commerce. The IT infrastructure provided by ITC also enabled farmers to embrace the best farming practices due to access to relevant information at the right time. The mutual reinforcement added to stronger association between the two business entities – ITC and farmers.
Apart from this, in the larger context, e-Choupal brought great progress in agricultural sector, one of the major sectors in Indian economy. According to Central Intelligence Agency (CIA), The World Factbook, sector wise Indian GDP composition in 2018 are as follows: Agriculture (16.8%), Industry (28.9%) and Services (46.6%). Agriculture sector alone employs 60% of the country’s total 521.9 million labor force. According to India Brand Equity Foundation, at 157.35 million hectares, India holds the second largest agricultural land in the world. With 20 agri-climatic regions, all 15 major climates in the world exist in India. The country also possesses 46 of the 60 soil types in the world. India is among the 15 leading exporters of agricultural products in the world. Agricultural exports from India reached US$ 28.28 billion during April-December 2017. By fueling the development of agricultural sector, ITC contributed to the growth of Indian economy at large.
Source: www.ibef.org
Going further, ITC’s e-Choupal, through aiding agriculture, made environmental sustainability a part of its core business strategy while across the industry, sustainability is a part of Corporate Social Responsibility (CSR). The environmental aspect of CSR is about promoting environment friendly business operations and minimizing activities that negatively affect the environment in which the company operates.
This brings up another pertinent aspect for businesses and leaders conscious of acting within dharmic premises. The question is the role of corporations and leaders in sustaining the environment. The foundational concept of dharma in business and leadership is to benefit all the layers involved in the transaction. The environment in which the company operates by default makes an essential component of the layers in context. I will elaborate more on this in my next column.
About the author: Sri Devi Bulusu has over one and half decades experience in leading global technology teams. She is passionate about delivering effective solutions through business strategy and program management. She holds double MBA (with Royal Thai Government Fellowship) from School of Management, AIT Thailand and ESCP-EAP, UK and Masters in corporate law from ASU. Sri Devi is an ardent believer in spirituality as an essential component for meaningful business and leadership.