ANNOUNCEMENTS
In response to the evolving regulatory landscape and rising global emphasis on sustainability, Indian corporations are increasingly integrating Environmental, Social, and Governance (ESG) frameworks into their core operations. This study focuses on IFB Industries Ltd. and its initiative to operationalize ESG principles across its supply chain, aligning with SEBI’s mandatory Business Responsibility and Sustainability Reporting (BRSR) framework and the newly introduced BRSR Core. Recognizing that vendors play a critical role in determining a company’s sustainability footprint, the project establishes a structured ESG evaluation model for suppliers contributing to 75% of procurement value.
The research developed an ESG scoring system based on selected NGRBC principles, specifically P1, P2, P3, P5, P6, P8, and P9, using weighted indicators and threshold-based scoring adapted from CRISIL, CareEdge, and GRI methodologies. A centralized web-based Environmental Management System (EMS) portal was created in collaboration with IFB’s IIoT team to collect, verify, and manage vendor ESG data, with supporting evidence including utility bills, certificates, and training documentation. Vendors were trained and guided through the portal to ensure accurate submissions.
To illustrate the framework’s application, three vendors were assessed and categorized into ESG performance tiers (Diamond, Silver, and Bronze). The scoring results highlighted strong performers and revealed critical sustainability gaps in others, especially in environmental and governance-related parameters.
The study concludes that integrating a digital ESG data repository and a vendor evaluation system into IFB’s sustainability strategy not only enhances regulatory compliance but also fosters a more responsible and resilient value chain. The model developed is scalable, replicable, and capable of aligning vendor practices with future ESG disclosure expectations under BRSR Core.
