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Pawan Goenka |
In the last few years it has become clear that the globe’s economic center of gravity is shifting toward Asia. As such, Asian companies are being looked at more closely than ever before ― as suppliers, buyers, partners, competitors, investment opportunities and as potential investors. Naturally, this means that their financial, structure, operations, products and services are increasingly coming under the microscope.
One very important factor that influences the image and long-term potential of any company is its standard of corporate governance ― in other words how ethically it runs its business. If the governance of a firm is not seen as being open, trustworthy and in the best interests of its shareholders, then global investors are unlikely to take an interest in that company.
Ever since its foundation 68 years ago, the Mahindra Group has always adhered to the highest standards of ethical conduct and firmly believed in strong corporate governance. This is the foundation on which we have built our heritage and reputation, while ensuring consistent shareholder returns and a strong operating performance. Our transparent and fair business practices have also helped us attract and retain the best talent in India and across the world.
As the Mahindra Group goes global we are using these strengths to create a strong connect with all of our stakeholders, while co-creating the future with our partners around the world. We are a global company with global standards and the aspiration to emerge among the Top 50 most admired global brands within the next decade.
Mahindra is also striving toward becoming a leader in the area of redefining sustainable urbanization. This is an idea that encompasses most sectors within the Mahindra Group. Since the concept of sustainable urbanization hinges on a vibrant rural economy to sustain the people moving to the cities, the idea spans both, urban and rural businesses. Our auto, IT, real estate, hospitality and other businesses are demonstrating how excellent products can help transform lives in an urban setting, while our farm equipment, agribusiness and financial services businesses are helping improve farm productivity and consumption, thereby helping maintain this balance.
Within our automotive sector, the concept of redefining sustainable urbanization is showcased by our version of the future of mobility. This envisions the creation of an automotive eco-system in India that is clean, clever, connected, convenient and cost-effective.
Our efforts at operating in an ethical manner are also bearing fruit in terms of recognition among our peer group in India. At the recently held NDTV Profit (a leading business news channel in India) Business Leadership Awards Anand Mahindra, chairman of the Mahindra Group, was honored as “Business Leader of the Year.” This award indicates that the firm has high capabilities with respect to wealth creation for all stakeholders while adopting sound corporate governance practices.
The company has also been given a level 1 rating, the highest possible, for governance and value creation from CRISIL, India’s leading ratings, research, risk and policy advisory agency, for the past three years running.
The Mahindra Group has also joined a group of international businesses, in an initiative led by the World Economic Forum, to stamp out corruption. This “Partnering Against Corruption Initiative,” involves a pledge by companies to mitigate corruption in their business operations and inter-corporate transactions across the supply chain.
To conclude I can say that the Mahindra Group remains committed to the highest standards of corporate governance and ethics as it emerges on the global stage.
By Pawan Goenka
The writer is president of automotive and farm equipment sector of Mahindra And Mahindra. The opinions reflected in the article are his own. ― Ed.
