The Electric Vehicle (EV) industry is still at a nascent phase in India. However, industry experts are already seeing EVs as the next big development in the auto industry and are promoting the vehicles as an efficient replacement for the current lot of fuel-guzzling vehicles. With the race to achieve carbon neutrality picking up pace, even organisations outside of the EV industry are trying to find ways in which they can take advantage of electric vehicles.
Take GlobalLogic for example. The organisation has introduced an EV-commute facility for its employees at some of its offices in India. While currently just a small percentage of its cars are electric, the company has plans to expand their EV fleet substantially.
In this interview with The CSR Universe, Piyush Jha, Managing Director and Head of India and APAC, GlobalLogic, talks about his organisation’s reasoning behind adopting electric vehicles and the challenges such an adoption poses for them. He also talks about how GlobalLogic being a service platform is using technology is working on making sustainability more achievable for all its stakeholders.
Here are the excerpts from the interview:
Q. Does GlobalLogic plan to introduce the EV-commute facility across all its offices? What is the current size of your fleet?
A. GlobalLogic is committed to ambitious targets for Carbon Neutrality, and we are taking concrete steps to achieve them. As part of our efforts, we are thrilled to announce the launch of Electric Vehicles in our employee transportation fleet. On World Environment Day (05 June, 2023), we introduced EVs at our Noida, Gurgaon, and Hyderabad Delivery Centers.
We recently embarked on our sustainability journey, starting with an initial fleet of 20 EVs out of a total of 300 vehicles. Currently, our EV adoption stands at approximately 2-3%, but we have ambitious plans of substantially expanding our EV fleet in the coming months. We strongly believe that sustainable transportation is a crucial step towards a greener future, and we are excited to be at the forefront of this initiative. Our commitment to carbon neutrality drives us to explore innovative solutions and continuously improve our environmental impact.
Q. Are you introducing this facility specifically in your India offices or is this a continuation of what is already in place in your offices worldwide?
A. GlobalLogic India has taken significant strides towards achieving our carbon neutrality targets by focusing on the launch of EVs. For now, we have only introduced the EV fleet for our employee transportation in India. While we are yet to introduce EVs globally; however, we are actively working towards implementing EV adoption at our global delivery centres in the near future.
Q. What are the operational challenges involved in completely switching to EVs for employee commute? Are there any financial challenges involved in the initiative as well?
A. The EV industry in India is still in its nascent stage, presenting various operational challenges for organisations transitioning from conventional employee transportation to an EV fleet. One of the major obstacles is the high cost of acquiring EVs, coupled with the limited availability of charging infrastructure. Establishingcharging stations entails significant expenses, further adding to the cost implications of this initiative. Additionally, the cost of EVs and their spare parts contribute to the overall financial considerations.
Q. What would it take for all organizations in India to completely switch to EVs as a mode of transportation? What would be some of the logistical and financial challenges involved? Do you think the process would be easier if it was introduced by the government as a law? What kind of support would you look for from the government in that case?
A. Commitment to environmental preservation is essential for organizations, and the launch of EVs aligns with broader ESG (Environmental, Social, and Governance) initiatives. However, the EV industry faces a significant challenge in the form of high vehicle purchase costs. The manufacturing cost of electric vehiclesis usually higher compared to gasoline-powered vehicles, primarily due to battery technology. Additionally, concerns within the transport industry revolve around the limited range of EVs and the availability of charging stations. The worry stems from the need to find a charging station within a reasonable distance and endure potentially lengthy charging sessions.
To encourage EV adoption, organisations can take steps such as incentivising employees to purchase EVs and incorporating them into corporate car lease packages. Moreover, governments play a crucial role in strengthening EV charging infrastructure, which would greatly facilitate organizations' transition to EVs.By addressing these challenges and implementing supportive measures, we can foster more widespread and successful adoption of EVs, ultimately contributing to a cleaner and greener future.
Q. EV adoption is still in its nascent phase in India. What steps do you think the government can take to create a better infrastructure for EV adoption and facilitation inIndia?
A. The widespread adoption of EVs is still in its early stages, primarily due to several limitations. One significant factor hindering adoption is the high cost of EVs, which poses a barrier for many potential buyers. Another limitation is the range factor, as people are concerned about the distance they can travel for a single charge. Additionally, the charging infrastructure is not yet sufficiently developed to promote widespread adoption.
In order to overcome these limitations, it is imperative for the government to take proactive measures. Steps should be taken to actively reduce the cost of EVs, including the cost of EV batteries. Additionally, there should be a concentrated effort to establish a wide network of charging stations, ensuring their availability at reasonable intervals, such as every 10 kilometers.
By addressing these factors, we can overcome the limitations and accelerate the adoption of EVs, paving the way for a sustainable and environmentally friendly transportation future.
Q. As an organisation deeply focused on developing digital products and solutions, how does GlobalLogic incorporate sustainability practices into the products that it creates? Have you worked on any products recently that could be seen as a good example of your foray into sustainability?
A. We have successfully integrated our own in-house carpool solution to facilitate efficient transportation. Additionally, we have streamlined remote work capabilities for our employees, ensuring a seamless experience through tools like GLCafe and leveraging Metaverse to foster virtual connections. A lot of our plantations have tech monitoring mechanisms, so we ensure and track if our plantations are doing well.Overall, we are working on sustainability as a service platform that will make sustainability a problem that every employee can solve and track rather than just the CXO levels.
Q. What are the long-term sustainability goals of Globallogic? Are there any specific areas you focus on in terms of your CSR activities? Do you collaborate with other organizations to support these goals?
A. At GlobalLogic, we strongly believe in contributing to our community, both as a company and as individual employees. Each year, we carefully choose several charitable organisations and volunteer programs to support through our Corporate Social Responsibility (CSR) program, known as The GlobalLogic Foundation. Our foundation primarily focuses on two key areas: Education and Environment.
GlobalLogic Foundation focuses on providing education, developing skills, and creating opportunities for underprivileged children and young adults. Since its inception in 2015, we have come a long way. Today, we support more than 5000 children across 11 centres in India. Under the umbrella of #GLGoesGreen, through various initiatives, we aim to reduce, reuse, and recycle resources to conserve our environment.
Q. What message would you share with other businesses within the EV infrastructure considering sustainability initiatives?
A. At GlobalLogic, we prioritise sustainability and are deeply committed to fostering a cleaner and greener environment. To minimise our environmental footprint, we are implementing various initiatives focused on resource optimisation and waste reduction.
Our primary focus in the upcoming days is the transition to EVs and the adoption of renewable energy sources. We are actively working towards these goals with great determination. While the current numbers may be modest, our dedication to achieving carbon neutrality remains unwavering. We are determined to increase the size of our EV fleet at our delivery centers in India as we strive to make a significant impact.
By embracing these measures, we aim to lead the way in creating a sustainable future and contribute to a healthier planet for generations to come.
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