Sustainability Report 2012-13

2

About this report

Mindtree’s approach to sustainability is built on the principles

of the triple bottom line: people, the planet and profit. This

framework enables us to adopt an expanded spectrum

of values that will lead the way to measure traditional

economic parameters along with environmental and social

dimensions. Sustainability report for the year 2012-13 is our

first public domain report based on the AA1000 framework

and the Global Reporting Initiative(GRI) guidelines.

This report adheres to the GRI’s G3.1 guidelines. The report

follows the ‘ten principles of the United Nations Global

Compact (UNGC)’ and ‘the National Voluntary Guidelines

on Social, Environmental and Economic Responsibilities

of Business (NVG-SEE)’ issued by the Ministry of Corporate

Affairs, Government of India. The GRI application table is

available in the annexure, at the end of the report.

Report profileThis report extends to all operations of Mindtree, including

global operations. The environmental performance and social

programs cover primarily the India operations.

The principle of materiality has been deployed throughout

the report. Organising the report as per topics relevant

to different stakeholders makes it more comprehensible.

As a reporting organization, the disclosure of the

sustainability efforts as a valuable platform that will expand

the reach and facilitate richer engagements with the

stakeholders.

Going forward it is intended to publish this report annually.

KPMG, an independent agency has verified and provided

assurance to this report. We have achieved A+ application

level as per the GRI guidelines.

ThemeThe theme is inspired by the possibilities that the future

holds. It re-iterates the fact that how the future turns out

is entirely in our hands.

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Contents

Message from the Chairman and the CEO 05

Mindtree and the environment 58

Governance and advocacy 14

Mindtree and the community 86

Performance highlights of 2012-13 07

Mindtree and our customers 71

Mindtree and our stakeholders 21

Mindtree and our suppliers 94

Mindtree’s approach to sustainability 11

Mindtree and our shareholders 78

Mindtree and our people 32

Assurance statement 101

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Mindtree is a global information technology solutions

company with revenues of USD 436 million.

Our 11,591 experts engineer meaningful technology

solutions to help businesses and societies flourish.

Mindtree’s consulting-driven approach makes

us the ideal strategic partner to over 40 Fortune

500 enterprises.

Our domain expertise, technical excellence and

unique culture help businesses thrive and be

future-ready. We enable our customers achieve

competitive advantage through flexible and

global delivery models, agile methodologies

and expert frameworks.

Mindtree’s ability to devise solutions is equally

matched by our ability to execute them. Our

differentiation stems from a unique balance of human

perspective and with deep strategic thinking.

Our values – collaborative spirit, unrelenting

dedication and expert thinking – help us see

possibilities where others see a full stop.

Welcome to possible

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Sustainability has been integral part of what we do at

Mindtree since inception. We consider sustainability

as a business imperative that helps our clients and

societies to thrive.

It is our pleasure to present our first public domain

sustainability report. This report is an opportunity to

review our performance financially, environmentally

and socially.

Here are a few highlights of FY 2012-13:

Financial The global economic recovery has been slow and

FY 2012-13 posed some serious concerns to organizations

in their technology investment plans. Despite this, we

adopted a back-to-basics strategy and stayed significant

to our clients. This helped us deliver outstanding results

and enabled our clients to win in their businesses. As a

result our revenues and profits grew by 23% and 55% in

INR, respectively over FY 2011-12.

Leadership Mindtree Minds are the key to our growing success. We

need able leaders to lead the globally expanding team. We

have proactively taken steps in identifying, mentoring and

nurturing our next-generation leaders. Successful enterprise

have a strong ‘next level’ leadership and a development

approach that keeps it going. We are continuously assessing

and training the leadership that will help clients to trust

Mindtree as an expert in chosen areas.

Brand

We revealed the new Mindtree brand to transform our

positioning from the best mid-sized organization to an

expertise-led and culture-backed enterprise. Our new

mission, values, voice and visual identity are a reflection

of the new Mindtree.

Environment Mindtree’s ‘Green Community’ has been a passionate

advocate of change and eco-friendliness within the

organization. The community, championed by several

volunteers, is spearheading several worthy initiatives. We

have several metrics in place to measure our ecological

impact and targets to reduce our footprint across the areas

of energy usage, Greenhouse Gas (GHG) emissions, water

usage and waste disposal.

CommunityOur social commitment is driven by the Mindtree Foundation.

We are dedicated in the pursuit of better living for the

differently-abled along with providing enhancement in the

quality of primary education.

We are confident that this report will help us take stock

and steer the organization’s sustainability journey in the

right direction.

Welcome to possible

Subroto Bagchi

Chairman

Message from the Chairman and the CEO

Krishnakumar Natarajan

CEO & Managing Director

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Please take the time to review our report and send us

your feedback. This will help us make Mindtree a

sustainable workplace and play our part as a corporate

citizen to create a better world for the future.

Welcome to possible

Chitra Byregowda

Head – Sustainability & Diversity

We are very happy to present you Mindtree’s first public

domain sustainability report. It marks the culmination

of our efforts to institutionalize sustainability within

Mindtree. For us, sustainability is about how people and

systems endure, remain diverse and be productive.

We assessed our current performance with clear and

measurable goals that will be continuously tracked.

The data presented in this report will be the benchmark for

us to improve further.

We approach sustainability with three key goals:

1. Enhance supplier sustainability - Suppliers are an

integral part of our value chain and we collaborate

with our suppliers to enhance their sustainability

and to extend the reach of our efforts.

2. Improve people diversity - We focus on increasing the

people diversity at Mindtree above industry average and

enhance inclusion by creating more career roles for the

differently-abled individuals.

3. Reduce carbon footprint – We set ambitious goals to

reduce the footprint in the areas of energy, water,

green house gas emissions and waste. We plan to

reduce energy, water and emissions by 5%year-on-year

and increase the percentage of waste recycling from

65% to 85%.

Message from the sustainability team

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Specific energy consumption of 201 kWh per

employee per month (pepm)

Revenue: USD 436 million

Specific water consumption of 1.05 m

per employee per month (pepm)

Customer satisfaction score: 5.29 / 7

Specific emissions of 3.38 tCO e per employee

per annum

Number of Mindtree Minds: 11,591

Diversity figures: 28% women,

31 Mindtree Minds with disabilities

Training hours: 276,365 hours at the rate of 24

hours of training per Mindtree Mind, annually

Impact on community: USD 0.439 million

spent on community initiatives

Workplace sustainability

Ecological sustainability

Economic sustainability

$

Performance highlights of 2012-13

2

3

Mindtree’s approach to sustainability

Ecological sustainability

Governance andadvocacy

Sustainability framework

Workplace sustainability

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Mindtree approach to sustainabilityMindtree envisions an ecosystem where people, the planet

and business profit can productively coexist, fulfilling

the social, economic and environmental requirements of

present and future generations. Mindtree intends to adopt

an expanded sustainability framework to meet this vision.

Mindtree’s sustainability framework is designed to

promote transparency, accountability, sound

environmental practices and social responsibility.

The framework is built on three pillars:

We conduct ourselves with the highest standards of

integrity and are transparent in our professional transactions

and dealings that may impact the place of work. We comply

with all applicable _ local, national and international laws,

regulations, codes of practice and directives and conduct

our business operations with honesty and integrity.

Mindtree pledges itself to be transparent about our

progress on sustainability and our stated goals with all

stakeholders through various reporting forums.

Mindtree believes in a non-discriminatory environment

that promotes equal employment practices, health,

well-being, diversity and inclusion. With an occupational

health and safety management in place we encourage

and maintain a safe work environment by providing fair

working conditions to all Mindtree Minds.

Mindtree recognizes social responsibility as an integral

part of its corporate citizenship. We commit to support and

nurture societies through innovative solutions

to satisfy evolving needs of the society.

The corporate sustainability policy and targets for the

coming years have been articulated to systematically

address the sustainability challenges.

With a comprehensive Environmental Management

System (EMS) in place, Mindtree aims to minimize the

environmental impact of our business operations by

engaging Mindtree Minds as evangelists and leveraging

a comprehensive EMS.

This includes resource conservation practices,

Greenhouse Gas (GHG) emissions reduction, efficient

energy management, water efficiency and sustainable

waste management.

Ecological sustainability

Governance and advocacy

Workplace sustainability

Governance and advocacy

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Governance and advocacy

Mindtree believes good corporate governance is a key driver

of sustainable corporate growth and long-term shareholder

value creation. It is about enhancing value for all our

stakeholders. We are committed to adopting global best

practices in corporate governance and disclosure.

Ethical business conduct, integrity and commitment to

values, which enhance and retain stakeholders’ trust are the

hallmarks of good corporate governance.

Mindtree and Mindtree Minds are guided by values:

Collaborative Spirit, Unrelenting Dedication and

Expert Thinking.

These values are core to us and integral to every aspect of our

work. We adhere to the highest standard of integrity and have

a clearly articulated integrity policy. Every Mindtree Mind,

irrespective of level, role and location are bound by it.

In the conduct of Mindtree’s business and our dealings, we

abide by the principles of honesty, openness and doing

what is right and fair.

The following are the salient features of our corporate

governance philosophy:

� Act in the spirit of law and not just the letter of law

� Do what is right and not what is convenient

� Provide complete transparency on our operations

� Follow openness in our communication with all

our stakeholders

Sustainability permeates our value structure. Our framework promotes transparency, accountability, sound environmental practices and social responsibility. We believe ethical conduct is necessary to drive constructive and sustainable development.

Governance structureThe three-tier corporate governance structure at

Mindtree includes:

� Shareholders appoint and authorize the Board of

Directors (BOD) to conduct business with objectivity and

ensure accountability.

� The BOD lead the strategic management of the

organization on behalf of the shareholders. It exercises

supervision through direction and controls and

appoints various committees to handle specific areas of

responsibilities.

� The committees of the BOD and executive management

appointed by the BOD take up specific responsibilities

and day-to-day tasks to ensure that the activities of the

organization run according to the strategies set by

the BOD.

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Board of directors

Board committees

Subroto BagchiExecutive Chairman

Krishnakumar NatarajanCEO & Managing Director

S. JanakiramanExecutive Director

Dr. Albert HieronimusVice Chairman & Independent Director

R. SrinivasanIndependent Director

V.G. SiddharthaNon-Executive Director

Prof. David B. YoffieIndependent Director

Prof. Pankaj ChandraIndependent Director

Ramesh RamanathanIndependent Director

Anjan LahiriExecutive Director*

N.S. ParthasarathyAlternate Director to Mr. S Janakiraman

*resigned with effect from May 6, 2013

Strategic Initiatives CommitteeKrishnakumar NatarajanChairperson

Dr. Albert HieronimusV. G. SiddharthaProf. David B. Yoffie

Administrative CommitteeKrishnakumar NatarajanChairperson

Subroto BagchiS. JanakiramanV. G. Siddhartha

Compensation CommitteeProf. David B. YoffieChairperson

V. G. SiddharthaR. Srinivasan

Audit CommitteeR. Srinivasan

Dr. Albert HieronimusV. G. SiddharthaRamesh Ramanathan

Investor Grievance CommitteeDr. Albert HieronimusChairperson

S. Janakiraman

Nomination and CorporateGovernance CommitteeDr. Albert HieronimusChairperson

V. G. SiddharthaSubroto Bagchi

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The Board has constituted the governance committees and assigned their terms of reference. The agenda, frequency and duration of each meeting of these committees is decided by the Chairman of each committee along with other committee members and if required, other members of the Board. Currently, there are six governance committees.

Governance committees

1. Audit committeeThe audit committee reports to the Board and is primarily

responsible for appointment and changes of the

statutory auditors and internal auditors. It assesses the

independence and objectivity of the auditors and ensures

that they are not impaired by the nature and amount of

non-audit work.

2. Investor grievances committeeThis committee is responsible for investor relations and

of addressing shareholders’ grievances in general. It

includes those related to non-receipt of dividends,

interest, non-receipt of balance sheet and other matters.

3. Compensation committeeThe compensation committee assists the Board

in ensuring that an affordable, fair and effective

compensation philosophy and policies are implemented. It

approves and makes recommendations to the Board with

respect to the Directors’ fee, salary structure and actual

compensation (inclusive of performance-based incentives

and benefits) of the Executive Directors, including

the Chief Executive Officer. Currently, sustainability

performance does not influence compensation for the

Board or senior management.

4. Administrative committee This committee authorizes and manages day-to-day

business transactions, which would then be ratified by

the Board.

5. Strategic initiatives committeeThis committee handles merger and acquisition

opportunities for the organization apart from other

key strategic activities. This committee is also responsible

for the approval of entry into new business areas and

setting up new delivery centers outside India. Investment

in the equity or warrants of other organization, (other than

routine investments in mutual funds), bank deposits or the

like are handled by them.

6. Nominations and corporate governance committee The Board has constituted this committee to:

Identify potential candidates to become

Board members

Recommend nominees to various committees of

the Board

Recommend remuneration for non-executive

Directors

Ensure that appropriate procedures are in place to

assess the Board’s effectiveness

Develop an annual evaluation process of the Board

and its committees

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Avoiding conflict of interests

During the reporting period 2012-13, no significant

transaction of material nature has been entered into by

the organization with the Directors, the management or

their relatives that might have conflicted with the potential

interests of the organization.

Board performance and evaluation

Each year, prior to the BOD evaluation, the Board specified

its performance, the goals for itself and the individual

directors. Performance standards clearly state the

expected output and behaviour. These standards help

eliminate or reduce non-productive behaviour, such as

opposing the management or not contributing enough

to the Board discussions. Through performance standards,

a Director’s enthusiasm can be channelized into a

constructive and / or productive outcome.

The Board needs to set high expectations with the

management and hold them accountable for results.

Expectation of high governance standards, contribution

to strategy and improvement of operational efficiency

should be established. Sensitivity to and understanding

of industry forces and competitors’ moves should be

expected. The Board evaluation, among other activities,

looks at the Board composition and skill mix. The Board

also assesses dynamism between the Directors, their

responsiveness to stakeholders’ interests, as well as the

committee structure and effectiveness. It also decides

the meeting format and frequency.

Ethics and complianceMindtree’s values have been integrated into every system

and process. To us, sustainability begins with integrity. We

conduct ourselves with the highest standards of integrity

and are transparent in our professional transactions and

dealings that may impact the place of work. Mindtree

has a zero tolerance threshold to bribery of / by any

business partner, government agency or public authority.

Business strategic planning at Mindtree takes appropriate

measures to integrate sustainability views and programs

with our business strategy. This helps us identify, assess

and manage business risks. In the conduct of Mindtree’s

business and our dealings, we abide by the principles of

honesty and transparency. Mindtree has a comprehensive

code of conduct policy that sets broad direction for all

business dealings. This encompasses specific guidelines

on information security, third party relationships, equal

opportunity, human rights, breach in discipline and

workplace etiquette. The code of conduct bears linkage to

three other policies, as described herewith.

Integrity policy

Our shareholders appoint and authorize the Board of

Directors to conduct business with objectivity and ensure

accountability. Each Mindtree Mind is issued a booklet on

the integrity policy. Every Mindtree Mind, irrespective of

level, role and location are bound by it.

Anti-bribery and anti-corruption policy

We are committed to the prevention, deterrence and

detection of fraud, bribery and all other corrupt and

unethical business practices. It is our policy to conduct

our business activities with honesty, integrity and with

the highest possible ethical standards. We vigorously

enforce our business practice of not engaging in bribery or

corruption across our operations.

Whistleblower policy

A robust whistleblower policy establishes mechanisms

that allow secure disclosures of incidents related to

corporate governance, related party transactions,

siphoning of funds, non-compliance of the law of the land,

concealing legal mandatory disclosures, breach of fiduciary

responsibilities, financial irregularities, sexual harassment,

misuse of intellectual property, breach of integrity and

any suspicious activity / event which indicates a potential

threat to the security of Mindtree’s assets and people.

The whistleblower enterprise is governed by the Culture

Protection Committee (CPC) that is responsible for case

investigation, case closure and provision of adequate

safeguards for whistleblowers.

Transparency and communication

The 95:95:95 principle

Our open door policy encourages accessibility, openness

and transparency in communication. People can reach out

to anyone, including the Chairman of the organization, to

address concerns at any point in time.

Mindtree believes in the principle of 95:95:95. 95% of

Mindtree Minds to have access to 95% communication,

95% of the time. There is a conscious attempt to practice

this in everything Mindtree does. Each business head

and industry group head, share their industry group

growth and sales wins with their respective teams. Mails

are regularly sent from the CEO’s

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desk providing information on everything from quarterly

performance to major recognitions.

Keeping scalability and geographical reach in mind, our

virtual ‘All Mindtree Minds Meet’ gives Mindtree Minds

across the world an opportunity to come together. The

senior management team answers questions through a live

webcast. The CEO conducts a quarterly ’All Mindtree Minds

Meet’ physically, at various locations across the globe.

Compliance

In 2012-13, Mindtree followed all the necessary guidelines

as per the Indian Companies Act, 1956 and other necessary

regulatory bodies. No cases of legal action for anti-

competitive behavior, anti-trust and monopoly practices or

violations of regulations and voluntary codes concerning

marketing communications, including advertising, promotion

and sponsorship, were reported.

Memberships and associations

Collaboration with business sectors and networks is essential

for meeting growth related challenges. Mindtree has active

partnerships with industry networks such as NASSCOM and

CII, in areas of business excellence, strategic reviews and

social responsibility.

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Sustainability and Enterprise Risk Management (ERM)– Mindtree’s perspective and strategy

Mindtree has implemented a comprehensive Enterprise

Risk Management (ERM) program. The ERM framework has

been designed by reviewing the frameworks / standards

of COSO 2004, ISO 31000: 2009 and the IRM Risk

Management Standard and customizing the best of the

elements of these frameworks.

ERM in Mindtree involves looking at practices around

identification, assessment, treatment, monitoring and

reporting of risks which may impact the achievement of

key business objectives.

Mindtree ERM approach is such that risk awareness gets

embedded as part of every business leader and is part of

every critical business process embedded as part of every

business leader so that the enterprise is evaluating and

treating risks continuously as part of its normal process.

1. Strategic risks: The strategic risks are identified after

looking at the organization and the business unit strategies.

The mitigation strategies for these risks are then tested

for effectiveness. Strategic risks are also considered an

opportunity where the identified risks could be exploited

in favor of the enterprise, with ensuing benefits shared

with the client or partner. Additional investments might be

required to exploit the risk.

2. Market / environment risks: Identifying potential risks

early and alerting business units through industry and

peer monitoring. The slowdown in the U.S. and Europe

is one of the biggest risks to mid-sized IT enterprises.

Specific strategies, adopted to ensure that growth

continues, partially addresses this risk.

3. Contractual and counterparty risks: Evaluating and

reviewing the Master Services Agreements with our

customers helps identify critical risks. Once identified,

these risks are discussed with the account and delivery

managers. Adequate treatment measures are taken

to avoid or mitigate these risks. Our process ensures

that adequate reviews also address critical risks in the

Statement of Works agreed with our customers.

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Strategic risks

Operational risks

Market & environment

risks

Compliance & internal

control risks

Financial performance

risks

Contractual & counter party risks

4. Operational risks: Critical support functions such

as travel, immigration, information systems, talent

acquisition, facilities and administration are assessed to

identify the top risks which could impact the enterprises.

Operational metrics are built around the risks for

reporting on a periodic basis and to keep a tab on the risks

identified. Operational risks also include evaluation of

risks related to climate change and sustainability.

5. Financial performance risks: Assess gaps / risks in

enterprise and business unit plans to achieve their

revenue and profit goals. We also assess credit risks arising

out of new client acquisitions. A new credit score card has

been put in place to evaluate the credit worthiness of new

customers. Any new prospect is evaluated for credit risk

before we decide to work with the prospect.

6. Compliance and internal controls: The ERM team works

with functions like legal, immigration and administration

to manage risks. A compliance risk status dashboard is

maintained and internal audit verifies compliance levels in

key risk areas.

Risk Management

Process

idEntify KEy BuSinESS

GoalS

RiSKidEntification

REPoRtinG tREatMEnt

RiSK aSSESSMEnt

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Our dream for a sustainable world is driven by awareness

and action. To achieve stable long-term growth we follow

the triple bottom line principles of processes, practices

and services. Our vision for the future extends beyond

Mindtree Minds and their families to our customers,

partners, suppliers and vendors. Thus, it becomes a real

and critical part of every decision.

We strive to extend our sphere of influence beyond

Mindtree Minds and their families, to our customers,

partners, suppliers and vendors, to make sustainability

a critical aspect of decision-making. We seek to

collaborate with our stakeholders to make an impact

which is substantial.

Our approach towards our key stakeholders is driven by

following the highest standards of customer orientation,

ecological protection, corporate governance and

community development. We look to collaboratively

partner with our stakeholders such as, customers,

suppliers, sub-contractors, NGOs, government, academia

and communities to imbibe the sustainability culture.

Effective stakeholder engagement is an integral

component of an expertise-led organization.

We collaboratively partner and engage with our

stakeholders to achieve a significant sustainable change.

This provides us valuable insights and

catalyzes continuous improvement. Mindtree’s

stakeholders include our people, customers, current and

future generations, communities and NGOs, partners

and suppliers, investors and shareholders, regulators

and public policy makers and the environment. Our

stakeholder based engagement models act as a value base

for inputs and feedbacks, on our sustainability programs.

The stakeholder feedback is a crucial input to our

strategy setting process and defines our future actions.

The following table determines the stakeholder

engagement mechanisms:

Frequent ongoing engagements are used to connect with

our stakeholders daily or monthly. Periodic engagements

that are very structured is conducted every quarterly,

biannually and/or annually.

Mindtree and our stakeholders

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25

Rich communication medium

_ all Mindtree Minds meet and

open sessions

Neuron _ online

management system for

sharing and contributing

Equity at workplace through

Mindspeak and whistle blower

Genie _ online resolution

system for any queries and

Konnect - social platform

MiVoice - Employee

satisfaction survey

Customer satisfaction

survey and project level

feedback survey

avEnuES to ExPRESS and ShaRE

26

Materiality analysisBased on interviews with senior management, a study of

the external environment and reviews of CES and MiVoice

surveys, 17 material issues were identified. 9 out of 17

material issues were ranked as the highest priority on

two axes:

1. Stakeholder interest:

� Low: Stakeholders are not concerned with / impacted

by this issue.

� Medium: Stakeholders are moderately concerned with

this issue.

� High: Stakeholders are very concerned with this issue or

are negatively impacted by it and demand transparency.

2. Mindtree performance:

� Good: The issue has been addressed and has no / low

residual financial, regulatory, strategic or reputational

impact on Mindtree.

� Adequate: The issue has been adequately addressed

and has medium residual financial, regulatory, strategic

or reputational impact on Mindtree.

� Needs improvement: The issue needs to be focused

upon because it has high financial, regulatory, strategic

or reputational impact.

Mindtree performance

Good Adequate Needs improvement

High � Transparency & disclosure

� Service stewardship

� Customer privacy &

data security

� Social innovation

� Growth

� Domain expertise

� Employee engagement

� Fair business practices

� Talent development

� Diversity & inclusion

� Environment stewardship

Medium � Economic environment � Employee retention

� Safe & healthy work

environment

� Vendor engagement

� Climate change

Low � Advocacy

High priority – nine issues

The table below depicts nine high priority issues relevant to each stakeholder and our short term and long term goals.

Medium – four issues Low priority – four issues

Material issue Stakeholders Long-term goal Short-term goal

Growth � Investors & shareholders

� Customers

Percentage of revenue

contributed by top

customers to be increased

To win higher revenue

projects from existing

customers

Domain expertise � Investors & shareholders

� Customers

� Employees

To be recognized as experts

in its chosen domains

To win higher revenue

projects from existing

customers

Employee engagement Employees To increase employee

satisfaction and reduce

attrition

To strengthen engagement

and alignment of middle

managers to implement

programs like ‘fun@work’

and ‘proud to be a

Mindtree Mind’

The resultant materiality matrix is depicted below:

Stak

ehol

der i

nter

est

27

Material issue Stakeholders Long-term goal Short-term goal

Fair business practices � Customers

� Employees

� Investors &

shareholders

To build a culture of non-

discrimination & fairness

To address employee

concerns about fair pay &

profit sharing to eliminate

partiality or favoritism

Diversity and inclusion Employees To encourage diversity

along several axes: Gender,

nationality, culture &

disabilities

To improve gender

ratios at middle & senior

management levels

Talent development Employees Learning initiatives to be

strategically aligned to

organization objectives &

career path development

� To align leadership /

behavioral programs to

competency levels

� To invest in domain

certification programs

� To manage increased

volumes while

maintaining quality

when it comes to

role-based technical

certification programs

Environmental stewardship

Climate change

Current & future

generations (impact on the

environment)

� To achieve overall per

capita energy & water

consumption reduction

� To achieve reduction in

carbon emissions

� To institutionalize

resource efficiency

processes internally.

� To target low hanging

fruit for energy

efficiency

� To minimize carbon

emissions and cost by:

Reducing overall

energy usage and diesel

consumption

Making employee

commute and transport

more efficient

Reducing travel through

video conferencing

Vendor engagement Partners & suppliers To drive sustainability as a

key agenda point with the

supply chain partners

� To incorporate

sustainability

considerations into the

existing procurement

manual

� To launch a vendor

management portal

28

the way forward2013-14

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22

Mindtree and our people

To be successful, an organization needs to be

greater than the sum of its parts. This is achievable

only through a workforce of highly ambitious and

enthusiastic people. We try our best to inculcate

this through our people processes.

There is a reason we call our people as Mindtree

Minds and our human resource function as People

Function. Just as a beehive is nothing without the

collective effort of the thousands of hardworking

bees, likewise Mindtree Minds are the synthesis of

thousands of energized people. To be successful,

an organization needs to be greater than the sum

of its parts. This is achievable only through highly

ambitious and enthusiastic people.

We try our best to inculcate this through our

people processes. From training programs that

span the breadth of a Mindtree Mind’s career path

to engagement activities that enthuse them, we

make sure it happens. That being said we do not

rest on our laurels. In the spirit of continuous

improvement we have a sustainability goal of

diversity and inclusion. We have concrete targets

to improve gender diversity. We also identify

job roles for differently abled people. This creates

an environment of acceptance and well-being

that will further encourage our people to give

their best.

Welcome to possible

Ravi Shankar

Executive Vice President

Chief People Officer

‘To be successful, an organization needs to

be greater than the sum of its parts. This

is achievable only through a workforce of

highly ambitious and enthusiastic people. We try our best to inculcate this through our people

processes.’

33

Workplace sustainabilityAt Mindtree we recognize every individual and refer to our

people as ‘Mindtree Minds’. Recognizing Mindtree Minds

as people and not merely as resources is our first step

towards building a culture that advocates appreciation and

recognition. At Mindtree, the Human Resource team is known

as ‘People Function’, as our people are our key strength.

Mindtree believes in the power of its people. This belief is

incorporated by our strategic drivers that shape the people,

practices and processes. Mindtree’s values create a global

foundation for context drivers such as engagement, learning

and empowerment, which are led by the People Function

throughout an people’s life cycle _ from candidate

selection to the exit interview.

The practices at Mindtree create a culture of openness

and fairness. Our practices in performance management,

compensation models, diversity and inclusion, learning

and development, health and wellbeing, embrace globally

recognized standards. They are prime factors in building a fair

and free workplace.

Fair work practicesMindtree strongly believes in fair work practices, our

efforts in this area align themselves to those stated in the

human rights section of this report. Our initiatives include:

� An open session by the CEO conducted twice a year

� A direct communication wall known as KK’s Wall, where

people can post questions for the CEO that is visible

to everyone

� Communication: Regular communication on a series of

internal job openings, coaching and instrument based

sessions that explain the need for transparency

We ensure equity and fairness at the workplace through

MindSpeak, an issue redressal forum, with regard to

fairness in performance, career progressions, promotions

and so forth.

People engagement

TrainingRetention

Peoplelife-cycle

Talent acquisition

Separation & alumni Induction

34

Talent acquisitionMindtree’s aspirations are driven by the quality of people

hired. A good talent mix is acquired by sourcing from

institutes of repute and from the industry (lateral hires).

The recruitment process follows well-defined hiring

guidelines across all roles at Mindtree and includes

technical and cultural evaluation.

Mindtree believes that, values drive behavior and behavior

drives results. The candidate selection criteria are defined

as per the role requirement. The attributes of an Mindtree

Mind’s role under the competency mapping model are core

skills, such as technical / functional, domain, behavioral

and organization skills.

Recruitment sources are people referrals, recruitment

portals and strategic vendors. Mindtree now has an

increased presence across social networks, such as

Facebook, Twitter and LinkedIn, to connect with potential

Mindtree Minds. Campus hiring remains a priority, with

engineers and graduates contributing to 30% of

annual hires.

Talent acquisition practicesTalent Connect is a people referral portal for Mindtree

Minds to refer friends and family into the Mindtree family.

All open roles can be viewed and referrals tracked by the

referring Mindtree Mind.

Campus Minds (sourced from colleges) bring technical

knowledge, positive energy and a fresh perspective to the

organization. They also keep the Mindtree culture young

and vibrant.

1. Mindtree recruits Campus Minds by assessing their

potential and skill readiness so that they can create and

sustain long careers in the IT Industry.

2. Mindtree engages with Campus Minds through various

channels including social media platforms such as

Facebook. Mindtree’s pre-joining engagement program

consists of elements related to technical learning,

organization connect and career appreciation.

Shadowing is a Culture and Competence (C2) team

initiative for Campus Minds. They spend a full day with the

support staff from various administrative functions such

as pantry, housekeeping, security, gardening, facilities

and reception, to understand the nature of the work and

its challenges. Through this, they also imbibe qualities

like dedication, commitment, sincerity and timeliness as

demonstrated by the administrative staff.

Induction – Mindtree MindsBuddy program: Our talent acquisition team assigns a

buddy to every shortlisted candidate. The buddy connects

with the candidate regularly till the latter joins, through

phone, emails, one-on-one meetings to answer queries

related to the organization and the role of the candidate.

Orchard - campus induction program: Orchard goes far

beyond skill building for Campus Minds. Orchard aims to

make a Campus Mind better skilled, differentiated and

emotionally attached to the organization. This is a 12-14

weeks program and aims to transform a Campus Mind into

a Mindtree Mind.

Mindtree has been inducting Campus Minds since 2001

and has moved away from a faculty-centric model to a

learner-led model. This enables a Campus Mind to imbibe

qualities of collaboration, teamwork, self-dependence and

responsibility at an individual, grass roots-level. While this

model is focused on honing technical skills, our behavioral

skills enhancement program, ‘COLORS’ focuses on the

personal development of a Campus Mind.

Arboretum: The vision of Arboretum is to drive scalable

processes for effective assimilation of lateral hires while

retaining the human touch.

Arboretum is aimed to assimilate laterally hired Mindtree

Minds into the Mindtree culture, before they are

assigned to a project. This is done through self-learning

opportunities on behavioral and leadership skills.

Arboretum is involved in all stages of assimilation, from the

time of selection to project allocation.

An intensive two-day assimilation program is an

introduction to Mindtree systems and processes.

Arboretum also facilitates meetings between new

Mindtree Minds and the senior management. This is a great

opportunity for new Mindtree Minds to get to know leaders

and understand their vision, motivation and likewise.

35

Training – nurturing competenceThe Culture and Competence initiative (C2)

Learning and development at Mindtree is a strategic

priority that is part of our Culture and Competence (C2)

framework. The C2 initiative is conceptualized with

the objective of facilitating learning and development

within the organization. Learning plans are structured to

cater to a variety of learning opportunities through diverse

channels that ensure a natural learning channel. The

foundation of the learning culture in Mindtree is built with

the current realities in mind.

The key focus in 2012-13 has been to build and develop

domain expertise. This will help us partner with our

customers in their business transformation initiatives.

The C2 team develops competence through certifications

and training programs. During 2012-13, Mindtree Minds

across levels benefited from over 1470 programs. Our

certifications are rigorous and cover aspects related to

one’s role. They impart essential technology, domain,

leadership and behavioral skills that extend over an

individual’s career map. For engineers with zero to four

years of experience, we offer a domain knowledge training

program called Archers. Furthermore, an emerging leaders

program has been developed to build leaders for current

and future roles.

e-learning,video & URLs

Assignmentsindividuals

groups

Books & Handouts

Experiential learning, projects

& unusual sources

Discussions &connect

Assessments

Coaching

Classroomtalks

Learner

36

1. Expert-led learning: classroom, workshops,

tests and certification

2. Mentored learning: stand-alone or used in

conjunction with other forms of learning

3. Technology-aided learning: e-learning, learning

online or with a remote tutor

Current realities are the foundation for Mindtree’s learning culture. Five learning disciplines have been created to impact

Mindtree business goals:

An assortment of training methods are used, keeping in mind the lack of time, role expectations and business needs. Many of the

learning objectives are met using multiple methods.

4. Learn by sharing: communities, forums and

conferences, learn by teaching and team learning

5. Self-learning: books, online and conferences

6. Learning from unusual sources

core skillsManagement

skillteaming &

relationshipneed of balanceinnovation

37

Summary of learning and development programs

Certification programsMindtree has its own internal certifications for building

competence. These are rigorous in scope and cover

aspects directly related to Mindtree Minds role. Most

Project Manager

Mindtree certified Project Manager

Senior leaders

iLead

Business Analyst

Mindtree certified Business Analyst

Mid-level leaders

vLead

Senior Software Engineer

Mindtree certified Software Engineer

Software Engineer

Mindtree Certified Engineer

Technical Leader Mindtree certified Technical Leader

First time leaders nuLead

certifications have a blended learning approach,

combining the best of traditional and contemporary

learning concepts and leverage platforms provided by the

innovative learning management system. Certification

programs extend over an individual’s career roadmap and

impart essential technology, domain and leadership skills.

Processes and tools required to perform these roles with

excellence are also embedded in this program.

training data for the year 2012-13Category / level /

gradeNumber of hours of training per category

Average hours of training per year per

Mindtree Mind

Male Female Total Male Female Total

Associates 183,690 70,031 253,721 29.17 24.86 27.84

Middle management 19,483 2,446 21,930 13.21 11.93 13.05

Senior management 353 8 361 3.76 1.60 3.65

Top management 5 5 0.26 0.25

Subcontractors 293 56 348 0.68 0.33 0.58

Total 203,824 72,541 276,365 24.50 22.70 24.00

Percentage of

Mindtree Minds

who received skills

training

Permanent

Contract

Lady Minds

People with disability

: 76%

: 11%

: 80%

: 81%

Technical certification

Soft skills certification

38

Growth and development, a

sense of progress

� Continuous learning

� Career enrichment

� Empowerment

Certifications and assignments

� Company sponsored certifications

� Delivery task group, PF and C2 working on the certifications and tie-up with

the vendors

Experiential learning

� Quarterly sessions with successful leaders (internal and external)

� Shadowing the CXO

� Special view on Internal Job Portal (IJP)

Being valued and recognized

� Public recognition (respect

& appreciation)

� Personalized rewards

� Feeling heard (platforms

where they share their

views / ideas)

Social recognition

� Thanksgiving day for the family

� Recognition on various public forums – corporate social media

Organizational recognition

� Real estate on PeopleHub & Konnect

Organization connect

� Sense of creating the story

of success together

� Pride of working in a high

performing environment

Mentoring

� Pillars are mentored by senior leaders in the organization to groom them as

future leaders

� Leadership connect

� Platforms such as blogs, discussion forums between the leadership team and

Mindtree Pillars team

Pillars program Mindtree’s Pillars program aims to nurture and retain star

performers and build a leadership pipeline, which can

be showcased to our customers. Mindtree Minds aspire

to be a part of this elite club. To be considered for this

program, a Mindtree Mind must consecutively achieve

high performance ratings in appraisals. Once the annual

performance cycle is complete, a formal invitation is

extended to invite eligible members to be a part of this

club. Membership gets renewed every year. While new

members are added, old members drop out depending on

their eligibility.

The theme of the program motivates high achievers. The

following programs are slated to be launched:

� Growth and development, a sense of progress –

career progression

� Recognition – being valued and recognized

� Organization connect – value alignment and a sense of

being together in the journey

39

The Emerging Leaders Program (ELP)This is a holistic engagement and leadership development

experience targeted at emerging leaders, keeping their

dynamic needs in mind. The program is an umbrella

initiative with two objectives:

� Enabling continuous engagement with

emerging leaders

� Creating value for the target audience through specific

and periodic interventions

The awareness sessions were initiated in March. The ELP

has three segments:

Connect: This enables multiple points of interaction with

Mindtree leaders, with an emphasis on interactive and

experiential learning. It includes the ‘Leader Talk Series’,

with external leaders addressing the emerging leaders.

Reverse Learning / Avant Garde is a program focused on

innovation for our emerging leaders. This program is led

by an external innovation coach and provides

opportunities for our emerging leaders to display their

innovative capabilities.

Careers: This focuses on an emerging leader’s need for

career development. Career-scape provides a landscape

of careers at Mindtree. ‘Managers as Coaches’, an exclusive

program prepares emerging leaders to hold effective

career conversations.

Learning: E-learning is incorporated to suit individual

pace and time. Open learning programs focus on the

personal branding of an emerging leader. Specific

programs on cross-culture and high end conversations

are in the pipeline.

Transformational Leadership is yet another unique

program, with a graded approach to self, team,

organization, business and social transformation. We

have two programs, one of six months and the other,

four months. The emphasis here is on self-awareness.

This program blends classroom, experiential and action-

oriented learning methods, with a focus on workplace

application of acquired skills. The learning principles

for this program are aligned to the four attributes of a

Mindtree leader: change, mental, results and people.

People engagement Mindtree’s culture consists of a foundation of leadership,

vision, values, effective communication, strategic

plans and people policies that are focused on Mindtree

Minds. We believe that commitment, cooperation and

responsibility are the foundations of engagement. One

that provides an empowering platform that connects

Mindtree Minds with different levels of the organization.

Drivers such as communication, performance clarity

and feedback, organization culture, rewards and

recognition, relationships with managers and peers,

career development opportunities and knowledge

of the organization goals and vision are some of the

factors that facilitate Mindtree’s people

engagement practices.

Mindtree’s engagement forums such as MiVoice,

Mindspace, Fundo Club, Shadowing and mentoring

programs, Emerging Leaders Programs and informal

engagement programs such as Konnect act as information

sharing and interactive platforms. They facilitate a

regular channel of engagement at various levels of the

organisation. We participate in the ‘Great Places’ to work

survey to externally validate our processes.

One noteworthy source of Mindtree Minds feedback and

opinion, globally, is the MiVoice survey. This survey is a

key input to our materiality matrix. MiVoice evaluates

aspects such as great workplace relationships, differences

in perception across dimensions and demographics,

understanding people experiences, effectiveness of

people practices and connects and disconnects between

people practices and perception.

The Fun@Work charter brings lighter moments to

the work place by establishing fun events under

one global umbrella. Our rewards and recognition charter

enables us to encourage a spirit of gratitude and build a

culture of rewards for performance. This is an important

exercise in both engagement and retention. We have

several programs to recognize great efforts as well as a

range of awards for exceptional work performance.

40

Ongoing engagement

People Hub – Content rich intranet

portal

The Mindtree intranet houses comprehensive organization’s wide information,

accessible by Mindtree Minds across the globe. All policies, practices,

programs, people systems and applications are available on People Hub.

Genie An online resolution and interaction platform for any queries. It not only front-

ends all functional related communication but also serves as a handy query

handling mechanism for Mindtree Minds.

Senior management interactions, town

halls & webcast

New changes within the organization are addressed at town halls by the

senior management

Blogs & discussion groups Konnect _ Mindtree’s social platform

Neuron Neuron is an idea management system where ideas and suggestions solicited

from Mindtree Minds reside. These ideas are then nurtured by inputs form

fellow Mindtree Minds through brainstorming. Once the feasibility of an idea is

defined and analyzed, the idea is taken to the design phase, followed

by implementation.

Mindspace CEO wall – direct communication from the CEO

Mindspeak A platform for promoting equity at the workplace, where Mindtree Minds

can raise a dialogue on issues relating to career progression and promotion,

favoritism / discrimination at the workplace, performance management.

All dialogues raised are attended to by the concerned People Function

representative, involving the respective stakeholders. They are then brought

to closure to ensure satisfaction and redress.

Whistleblower Mindtree’s platform ensures a fair and equitable workplace providing an

opportunity to blow the whistle against anyone who bypasses the integrity

norms of the organization.

Open door policy This encourages accessibility, openness and transparency in communication.

One can reach out to anyone, including the Chairman of the organization, to

address concerns at any point in time.

Periodic engagement

COMPASS - Performance Management

System (PMS)

Performance appraisal discussions (biannual)

All minds meet A platform to interact with the senior management, ask questions and voice

opinions (quarterly)

Open session CEO interaction with middle management and above (biannual)

The table below highlights various forms of people engagement.

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Feedback mechanismThere are three governance mechanisms to ensure that

Mindtree Minds get enough opportunities to discuss

concerns related to their projects and people.

1. Weekly Status Review (WSR) meetings: The primary

focus of this meeting is to review project deliverables and

understand the risks and issues faced by the team. This

meeting is between team members and their respective

reporting manager.

2. Monthly Project Management Review(PMR) meetings:

This review meeting is anchored by the project manager.

It involves the delivery manager and the respective

program team. Every month, a planned project review

meeting is organized for team members to talk to

their account managers or group managers and escalate

issues pertaining to the project and people.

3. Monthly Project Performance Review (PPR) meetings:

This meeting is convened by the delivery head of the

Industry Group (IG), to discuss people issues and project

health across the entire IG. Similarly, ‘post-harvest

meetings’ is another forum for people to discuss their

concerns. It happens at the end of projects.

In addition to the organization processes explained above,

there are practices that capture issues at a micro project

level under these surveys:

1. Project Level Satisfaction Surveys (PLSS): It is intended

to assess the health of the projects and the comfort level

of the team members.

2. Skip Level meetings: It caters to and addresses team

dynamics issues. Issues with managers or expectation

inequalities are also discussed.

3. Feedback fortnight: Feedback fortnight is an annual

event which happens in the months of December

and January.

4. MiVoice: An annual people perception survey is

conducted in association with the ‘Great Places to

Work’ institute.

Knowledge Management (KM) and innovationKnowledge management in Mindtree is a world-renowned

practice that has won many accolades from different

industry quarters. We take immense pride in being part

of a Knowledge ecosystem that thrives within the

organization. Our KM mission is to establish systems,

processes and culture that helps us continuously build our

Intellectual Capital.

Mindtree believes in a holistic approach towards KM. It’s

an emergent phenomenon where people are naturally

motivated to share, learn and where change is enabled not

forced. Our organization culture and environment largely

supports this phenomenon.

KM processes and systems at Mindtree influences the

organization in enabling its offshore delivery teams

achieve better quality, higher productivity, innovative

solutions, faster response times and shorter learning

curves which in turn results in higher customer and people

satisfaction.

KM’s charter is carefully structured to continuously

nurture and build upon the human capital, intellectual

capital and relational capital, which holds the key to

our knowledge retention strategy. Aptly KMs charter

consists of the following three broad areas:

1. Kernel

2. Communities

3. Value add and innovation

Knowledge centric project executionWe thoroughly understand that knowledge is core to

business in an IT services industry, hence it becomes

very much necessary for us to engage closely with offshore

delivery teams to mitigate their KM pain points which

include but are not limited to reducing dependency on

key people, faster onboarding of new resources, optimizing

knowledge processes, knowledge retention in event

of attrition, addressing inter track dependencies in large

multi-track engagements and so on.

The key purpose of the initiative is to enhance both

productivity and innovation in project teams and we have

seen very positive results. Knowledge centric project

execution has already established itself as a differentiator

in project execution in Mindtree. Our delivery teams have

witnessed how collaboration through a set of knowledge

practices and effective use of collaboration platforms has

impacted project-level performance.

CommunitiesMindtree communities provide an informal and non-

hierarchical structure to groom and nurture Mindtree

Minds. In communities, groups of like-minded individuals

gather to share their experience with others, hear

alternative viewpoints, help minds find solutions to

problems, test out their ideas / screen them, further build

on their own capabilities, bond and build relationships

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and innovate and create knowledge.

There are over 50+ active communities constantly

working on diverse knowledge areas ranging from

building depth in domain, to achieving technical maturity,

to building capability and even in some cases building

thought leadership in a core area. An average of three

events per day translating to over 60 events a month is

driven by these bodies. That all these events are driven

voluntarily by community members indicate the vibrancy

of community movement. Proactive and energetic people

who form the fabric of this community movement are

another facet of the thriving knowledge ecosystem in

Mindtree. As you are reading this our communities are

expanding their envelope and taking this phenomenon

to the next level with externalization and reaching out to

the larger communities out there in business world. Just

another step in our endeavor towards ensuring success to

our customers by serving them with the best of IT world.

Innovation and value addMindtree value add program is designed to be one

the key differentiators to deliver ‘Open Innovation’

and accelerate ‘Internal Collaboration’ within teams

to address new generation of business challenges for

Mindtree’s customers. Mindtree value add framework is an

inventive model that encompasses systematic innovation

techniques and problem definition / solving approaches

to help facilitate ideas resulting into perceptible outcomes

for customers.

Benefits perceived by the customers

Since its inception, the Mindtree value add program has

been assisting customers perceive value by enabling

collaborative innovation for delivering the following:

� Helping customer envision tangible outcome via POC,

demo, working prototype model before resulting into

actual solutions.

� Improving customer’s go-to-market time by

aligning value add ideas to customer’s goals and

business priorities.

� Mitigating risk in deploying futuristic solutions on

emerging and disruptive technologies.

� Demonstrating Mindtree’s collaborative energies by

engaging with internal communities and external

ecosystem to co-Innovate with and for the customer.

Social collaboration platformsSupporting all our KM engagements is a very

interesting array of collaboration platforms. Our team

of KM practitioners and thought leaders together with

information systems team constantly work towards what

we call a ‘social experiment’. An experiment targeted at

creating a whole new social experience around our KM

efforts. Our organization wide collaboration platform

‘Konnect’ has won accolades from different industry

quarters and has been specially recognized and promoted

by none other than our technology partner Microsoft

corporation. Another platform worth mentioning here

is ‘Project Space’ which is tailored specifically for the

collaboration needs of delivery teams in Off-shore

Development Centre (ODC). With its rich feature set and

brilliant user experience we are able to create the ‘pull’

that is expected out of a delivery collaboration platform.

Presently there are around 1500+ projects using this

platform for their collaboration needs.

We feel that even our customers form an integral part of

our knowledge ecosystem in true sense of collaboration

in business. Hence we have provisioned special access

to our customers into these platforms, where they can

experience the social culture of Mindtree.

OsmosisOsmosis is a month long event that celebrates

achievements and innovations in technology through

collaborative discussions, knowledge exchange and

contests. This event invites people across levels to support

various forms of creative expression and celebrate the

‘geeks and nerds’ at Mindtree.

Every year Osmosis is different, but 2013 truly held

something unique. This month-long event enthused,

engaged and brought out the expert within us. During the

month, Mindtree Minds were introduced to a variety of

Osmosis tracks. Some were familiar, while others were new

like Techathlon, Architectalk and ExpertSpeak – interesting

events that took the event a notch higher. The tracks

celebrated technology to address business issues. The six

diverse tracks designed in synergy with the chosen theme

are TechWorks, Techathlon, Knowledge Safari, Architectalk

and PM Conference.

ExpertSpeak‘Reach’ was an important factor we kept on mind while

designing Osmosis 2013. We wanted the event to touch

Mindtree Minds globally, across multiple geographies.

A live streaming of Architectalk, PM Conference and

ExpertSpeak was enabled. The entire Techathlon and

Techworks was run through virtual channels which helped

us connect with our global colleagues. We also established

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our presence through social media channels like Facebook

and Internet. The icing on the cake was when Osmosis was

broadcast ‘Live on Air’ (radio) on the final day.

With Osmosis, we showed the world that we are truly an

expertise led organization—in deed and in spirit.

Retention practicesMindtree has a robust retention council that supports

business by improving retention levels. The council

fosters an open and reliable culture that creates models of

best retention practices and strategies.

The retention council was formed as a neutral and trusted

body within the organization, to support the business

by increasing retention levels. It covers all voluntary

resignation cases up to middle management level. The

council helps foster an open, reliable culture and creates

models of best retention practices and strategies.

It comprises esteemed members from various business

units brought together to provide a common platform for

the redressal and retention of Mindtree Minds. Members

are senior managers who are viewed and widely accepted

as trusted leaders of the organization and they operate on

a rotation basis. People who have a positive influence over

Mindtree Minds and who possess excellent negotiation

capabilities have been carefully handpicked for this.

Members engage in a meaningful dialogue with the

resigned Mindtree Mind, using their negotiation skills and

appropriate intervention to retain them. They also work

in collaboration with the industry group / practice heads

and People Function to work out possible short-term

and long-term retention alternatives. The council meets

on a biweekly basis to assess trends and formulate best

practices. The council has driven a decreasing pattern in

our attrition levels in comparison to previous years. Our

attrition levels reduced from 24% to 18% . We hope to

reduce this further next year. We have also revamped our

rewards and recognition system to motivateour people.

total workforce by employment type, employment contract and region, broken down by gender

Categorization2012-13 2011-12 2010-11

Male Female Total Male Female Total Male Female Total

By people category

Associates 6,587 3,083 9,670 6,358 2,884 9,242 5,389 2,379 7,768

Middle management 1,581 219 1,800 1,454 186 1,640 1,478 183 1,661

Senior management 94 6 108 93 5 98 91 4 95

Top management 20 1 13 19 1 20 22 1 23

By people type

Permanent 8,282 3,309 11,591 7,924 3,076 11,000 6,980 2,567 9,547

Contract 543 180 723 486 158 644 480 144 624

By region

India 7,140 3,174 10,314 6,973 2,976 9,949 6,156 2,471 8,627

UK 126 20 146 111 22 133 87 14 101

US 767 86 853 634 57 691 571 62 633

Others 249 29 278 206 21 227 166 20 186

By age

<30 4,565 2,481 7,046 4,592 2,375 6,967 3,811 1,944 5,755

30-50 3,660 824 4,484 3,290 698 3,988 3,134 617 3,751

>50 57 4 61 42 3 45 35 6 41

Total 8,282 3,309 11,591 7,924 3,076 11,000 6,980 2,567 9,547

People demographics

Note: The people demographics by region and age only include permanent Mindtree Minds.

44

Local hiring Expansion and overseas growth makes it important to

maintain diversity in nationality. Mindtree aims to generate

employment wherever it operates. Setting up the local

delivery centre in Florida helped solve the visa shortage

issue, while providing local skill sets and seamless

communication to our customers. All this helps in winning

more contracts.

total number of new hires leaving the organization in the reporting period by category,

region, age and gender

Categorization2012-13 2011-12 2010-11

Male Female Total Male Female Total Male Female Total

By people category

Associates 128 49 177 309 105 414 411 132 543

Middle management 3 10 13 13 1 14 29 2 31

Senior management 0 0 0 0 0 0 7 0 7

Top management 0 0 0 0 0 0 1 0 1

By region

India 122 48 170 319 103 422 439 131 570

UK 1 0 1 3 3 6 0 1 1

US 14 4 18 0 0 0 6 2 8

Others 1 0 1 0 0 0 3 2 5

By age

<30 85 41 126 244 88 332 308 118 426

30-50 53 9 62 78 18 96 138 16 154

>50 0 2 2 0 0 0 2 0 2

Total 138 52 190 322 106 428 448 134 582

*Figures are not just newly hired Mindtree Minds.

Mindtree’s sales force are locals and 77% of the overseas senior management hires are also locals.

Region Number of senior and top management who are locally hired*

Local hires Total number Percentage of locals

India 83 83 100%

UK 0 5 0%

USA 10 29 34%

Others 0 4 0%

Total 93 121 77%

45

total attrition by category, region, age and gender

Categorisation2012-13 2011-12 2010-11

Male Female Total Male Female Total Male Female Total

By people category

Associates 1,265 535 1,800 1,613 622 2,235 2,068 711 2,779

Middle management 247 25 272 330 41 371 225 25 250

Senior management 21 1 22 23 0 23 24 1 25

Top management 1 0 1 7 0 7 4 0 4

By region

India 1,423 534 1,957 1,867 646 2,513 2,242 720 2,962

UK 6 5 11 8 0 8 4 2 6

US 78 17 95 79 15 94 53 12 65

Others 27 5 32 19 2 21 22 3 25

By age

<30 733 369 1,102 984 453 1,437 1,316 531 1,847

30-50 788 188 976 974 206 1,180 996 204 1,200

>50 13 4 17 15 4 19 9 2 11

Total 1,534 561 2,095 1,973 663 2,636 2,321 737 3,058

Mindtree Mind compensation and benefitsThe Mindtree remuneration policy is driven by the

success and performance of individual Mindtree Minds

and the organization. Through the compensation program,

our organization attempts to attract, retain, develop

and motivate a high performance workforce. We offer

a compensation mix of fixed pay, benefits and

performance-based variable pay. Individual performance

pay is determined by the business performance of the

organization compensation at all levels is a combination

of base salary, allowances, retiral and other benefits,

perquisites and performance based variable. The

performance based variable is determined by performance

parameters which are relevant to the role of the Mindtree

Mind. The annual compensation revision is decided

based on market benchmarking and performance level of

Mindtree Minds. In the case of the Chairman, Managing

Director and other Executive Director, any changes in

compensation as well as the variable compensation that is

paid is as approved by the Board.

The people satisfaction survey highlighted a few of

the concerns of Mindtree Minds, such as fairness and

equity to performance, as well as related compensation.

The performance management system, COMPASS,

addresses one part of this concern and an evolved

compensation model addresses the other.

The Mindtree compensation philosophy is driven by

three principles:

1. Pay for performance

2. Pay competitively

3. Inclusive meritocracy

46

Grievance resolutionA fair and equitable workplace is a prerequisite to ensure

high people satisfaction and engagement.

To build a workplace that does not tolerate favoritism,

politics and any form of harassment, Mindtree has

constituted several grievance redressal mechanisms – key

amongst them the whistleblower policy and Mindspeak.

The whistleblower policy empowers every Mindtree Mind

to report unethical behavior, actual or suspected fraud

or violation of the integrity policy, breach of security,

harassment and more, to the management, irrespective

of the designation of the violator. It also ensures that

adequate defense is provided to whistleblowers against

any victimization or vindictive practices like retaliation,

threat or any adverse (direct or indirect) action on their

employment or growth in the organization. The resolution

of concerns related to equity vs. fairness is addressed

through a structured system known as MindSpeak. This

system provides a platform to Mindtree Minds to voice

their concerns.

Type of complaints Action taken

Corporate governance 2 Separation 1

Financial irregularities Warning

Sexual harassment 1 Counseling 2

Misuse of intellectual property Process / policy changes

Breach of integrity 1 Minor issue / clarification 1

Threat to security Others

The table below represents the type of cases reported and closed in 2012-13 with specific action taken:

Diversity and inclusionBeing a global organization, talent and workforce diversity

is critical to business success. As an equal opportunity

employer, Mindtree works with non-discriminatory

practices that respect and value the workforce and our

business partners. Embracing a diverse and inclusive

workforce gives the organization an innovative, creative,

competitive and more productive edge. This focus has

gathered significant momentum in 2012-13, owing to

the development of the charter which is focusing on

four pillars called ‘EDGES’, which represents Ethnicity,

Disability, GEnder and Sexual orientation.

The integrity policy clearly spells out that no individual

shall be discriminated against on the grounds of race,

gender, nationality, disability or sexual orientation.

Mindtree is an equal opportunity employer and ensures

that the gender pay ratio is 1:1.

Mindtree has a comprehensive framework designed to

aid inclusion. We believe that an inclusive environment

Culture protection committee (CPC):The CPC governs the whistleblower of the enterprise. It

is responsible for case investigation, case closure and

provision of adequate safeguards for whistleblowers. The

encourages employment as well as a stable career path.

Our inclusion framework is driven by our reasonable

accommodation policy. In addition to this, we support

accessible infrastructure at all our facilities and provide

accessible technology and information systems. We look

to identify job roles suitable to persons with varied forms

of disabilities to facilitate the individual’s career stability

and growth. Our overseas growth and expansion provides

us with a platform to generate local employment and

capitalize on a talent pool of diverse nationals.

committee periodically reports to the Chairman of the

audit committee and the Executive Chairman of Mindtree.

47

EDGES _ the diversity charterOur Mindtree Minds represent a talented and diverse

workforce which doesn’t accept discrimination of any kind.

Our focus is on four pillars called EDGES through which we

aim at fostering a culture that embraces differences and

celebrates unique ideas, perspectives and experiences.

Ethnicity (E)Ethnicity, age, religion, multi-cultural backgrounds,

minorities or nationalities are never criteria for

discrimination in terms of salary and or any other

benefits.

People with disabilities (D)Hiring people with disabilities has been high on the

diversity agenda. Technical competence and cultural

fitment is considered at the time of recruitment. In cases

where some limitations due to disabilities are seen, an

assessment is done to check if these limitations can be

addressed and the Mindtree Mind be made productive

through specific arrangements.

Today, 31 Mindtree Minds with disabilities are proudly

associated with Mindtree for over nine years and hold

esteemed positions in the organization. We are proud of

our diverse culture.

The campus has been designed for people with

disabilities. They have specially-built restrooms on every

floor and ramps are available at all entrances. Motorised

wheelchairs are provided for Mindtree Minds who need

them. The facility interiors are decorated with paintings

by children from the Spastics Society of Karnataka (SSK) or

from SPASTN (Spastics Society of Tamil Nadu).

To ensure people with special needs can enjoy the

benefits and privileges of employment equal to those

enjoyed by similarly situated people without

disabilities we have introduced two policies:

1. Benefits for people with disabilities: This includes

monetary benefits such as special medical relief loans

as well as fringe benefits (transport, motorized wheel

chairs and so on).

2. Reasonable accommodation policy: Allows any change

or adjustment to a job or work environment that

permits a qualified Mindtree Mind with special needs,

to participate in the job application process, to perform

the essential functions of a job or to enjoy benefits

and privileges of employment equal to those enjoyed

by Minds without disabilities. Some examples are

providing readers and interpreters, Job restructuring,

acquiring or modifying equipment or devices.

Sensitization programs are conducted as part of the

induction program. Additionally, our supervisors conduct

one-on-one sessions to ensure comfort both in the

work allocation and the surrounding environment.

Mindtree appreciates and encourages the benefits that

technology can deliver to people with disabilities. These

assistive technologies are envisioned to help people

with disabilities interact better with their environment.

Mindtree initiatives in this space are listed in the

community section of this report.

Gender (Ge)We are committed towards building a sustainable and

growing social business network that mentors women

leaders, enables a culture of environmental sensitivity

and contributes towards business growth and

development of society.

Gender diversityOver the years, the percentage of women at Mindtree has

almost doubled, from 16% in 2004 to 28% in 2012-13.

Mindtree follows a multidisciplinary approach to gender

inclusion, being aware of the dual role played by women

and the additional social responsibilities they undertake.

Ethnicity / nationality

People with disabilities

SexualorientationGender

48

We have defined policies that go a long way towards

retaining lady Minds. These are: special needs leave,

maternity leave, sabbatical, work from home policy,

flexible working hours, equal opportunity policy,

reasonable accommodation policy and prevention of

harassment policy. Infrastructure arrangements such

as baby’s day out and day care centers at the Bangalore

offices assist greatly in promoting a healthy

work-life balance.

Work-life balance

Work-life balance has been inculcated into the Mindtree

culture and is not just a mere policy.

Numerous avenues to enable work-life balance have been

introduced including a baby’s day out facility, toddler’s

park / crèche, special needs leave, flexible working hours,

compensatory off’s, part-time work hours and work from

home options for all Mindtree Minds. Mindtree Minds are

encouraged to avail leave on a regular basis and this is

ensured by the lapse of 1/3rd of the leave entitlement the

following year if not availed of in the stipulated period.

Special needs leave

A one-of-a-kind benefit offered by Mindtree: A maximum

of 365 days of leave without pay, can be availed of, after

a minimum tenure of one year within a block period of six

years. This needs to be availed for a minimum duration of

90 calendar days.

Mindtree understands that work-life balance can be a

challenge, specially for women. So they have the option to

avail a special needs leave. There has been a move, over

the past few years, to extend this benefit to everyone. This

could encompass specific needs, such as a desire to study

further, take time off for social work, family care, personal

value addition through teaching assignments and so forth.

This would provide them with the flexibility to attend to

their personal needs and pursue a career at the same time.

Mindtree plans to extend the special needs leave to all

Mindtree Minds.

Baby’s Day Out

New mothers often face the difficult situation of leaving their

newborns at home or in a crèche while they go to work. To

help young mothers, Mindtree offers them an innovative

facility called ‘Baby’s Day Out’. This is a special room that

enables mothers to work even as they keep a watchful eye on

their kids. New mothers can also avail the option of reduced

work hours, half day / half work week.

Little Critters

Mindtree’s crèche, Little Critters, is a day care facility

within the campus, run by a professional team and a caring

staff. This helps Mindtree Minds with children to balance their

responsibilities between work and dependent child / children.

Employee network group

Dhriti _ Mindtree’s Women’s Network, serves as a platform

for lady Mindtree Minds to voice their concerns, share and

learn from experiences. It spearheads awareness programs

on gender sensitivity and inclusivity. Dhriti also defines

women-friendly policies, career development programs

and various e-learning and self-development initiatives. It

also serves as a grievances forum.

Sexual orientation (S)We provide an inclusive environment for lesbian, gay,

bisexual and transgender (LGBT) individuals across the globe.

Gender diversity

Targets

People with disabilities

� Lady minds constitute 28% of our total workforce

� Dhriti _ a community built to empower women realize their true potential has 500

members and 11 champions among them.

� Increase diversity (women) by 3% in totality by 2014-15

� Identify job roles suitable for individual with different forms of disabilities

� 31 across various roles

Currently there is no female representation in the Board of Directors. While the Board may not be gender diverse, Mindtree

is consciously creating positions to promote gender diversity at middle and senior management levels.

49

Performance managementThe performance management philosophy of Mindtree stands on four strong pillars, each resting on a core tenet: the power

of feedback.

Mindtree’s performance management philosophy

has been translated through the internally developed

application, COMPASS.

COMPASS starts with an objective-setting process at the

beginning of every financial year. Every Mindtree Mind is

required to have a dialogue with managers before setting

objectives on COMPASS. Apart from this, Mindtree Minds

are prompted to complete appraisals at the end of a

project and set objectives at the start of a new project,

within defined timelines. The application also allows for

role-based customization with four templates based on

user profiles in the organization.

The ‘my diary’ feature in COMPASS enables Mindtree

Minds to maintain performance logs and track progress.

The conversations feature encourages feedback sessions

and documentation of feedback by Mindtree Minds and

managers alike. To obtain feedback, Mindtree Minds can

initiate a pulse check (a self-development tool) at the end

of an activity and send a customized feedback form to

their internal network.

Besides their defined project goals, COMPASS encourages

Mindtree Minds to contribute to organization-wide

initiatives during the year. A unique feature of COMPASS is

that when Mindtree Minds contribute to organization-wide

initiatives it provides additional weightage to the overall

performance score.

The annual performance management system objectively

identifies those performers who are below average.

Mindtree has a Performance Improvement Program (PIP)

that helps these people to improve. As part of the PIP

program, individuals are assigned to a mentor in their area

of work. They are assigned a separate set of objectives

and are evaluated on them every fortnight for 90 days.

Several Mindtree Minds who have undergone this program

have emerged successful and today perform significantly

above expectations.

Personal potential maximisation

through mentoring

Input on performance through

performance appraisal

Performance management

0 100

Career alignment & planning

Input & leadership competencies through 3600

feedback

50

Professional wellness program The Mindtree professional wellness program focuses

on providing a forum for open dialogue. Here Mindtree

Minds may reflect on aspirations and alignment, talk about

personal and professional development and recollect time

spent on wellness.

In a nutshell, the process focuses on:

� The present and the future

� Personal challenges and opportunities

� Aspirations and their alignment to current career path

� Behaviors / habits

� Wellness and work-life balance

360 degree feedback 360 degree feedback program has been a part of Mindtree’s performance management system since 2008. Up until

2012, the 360 degree feedback program evaluated Mindtree Minds on behaviors pertaining to the Mindtree values and

leadership traits which was a values based behavioral assessment instrument common to all.

� Submission of my

team reflections

Professional wellness process overview

� Submission of my

reflections

Self Manager

� Discussion by central panel

� Cross pollination

� Discussion by the manager

� Updating IDP (individual

development plan)

� Effectiveness

� Program survey

Paneldiscussion discussion

51

MentorMeMentoring is an ‘experiential learning process’ between

two motivated Mindtree Minds. It enables transfer of

specific competencies by focusing on both; the career

and the individual potential of the mentee. It provides

‘anchors’ to connect with. Our mentorship program,

‘MentorMe’, was formally rolled out in March 2008.

The program caters to the internal learning needs of

a Mindtree Mind and fits into a learning space that cannot

be classroom-led. It aims at holistic development of a

Mindtree Mind at both, the professional and the

personal level.

The program provides a platform for one-on-one or a

two-way experiential learning platform for the mentor

and the mentee. MentorMe has two key objectives –

creating a platform for experiential learning and enabling

a connect among Mindtree Minds across levels. The focus

is on reducing the learning curve of the mentee using the

experiences of the mentor.

MentorMe is a critical offering in the Pillars program, which

is proudly represented by members who are consistent

high performers over the years. The members of this

prestigious club have the opportunity to be associated

as mentees to leaders in Mindtree. The program is also

integrated with the first-time managers program

called NuLead.

Rewards and Recognition (R&R)Rewarding and recognizing the Mindtree Minds is an

important exercise for both, engagement and retention.

There are several programs for recognizing excellent

efforts, as well as a range of awards for exceptional work.

As a part of the Rewards and Recognition programs,

the awards carry incentives like certificates signed by

members of the leadership team, along with a citation

personally written by the nominator, personalized plaques

/ trophies, monetary awards and so on.

There are also non-monetary benefits like participation

in mentoring and career growth programs. Winners of the

Pillars Program and the Chairman’s award can also go on

a sabbatical to complete a program that meets their career

desire in universities that have a tie-up with Mindtree.

To celebrate the spirit of gratitude and build a vibrant

culture of recognition, we launched Gloria, the one-stop

hub for recognizing and appreciating the work of fellow

Mindtree Minds. A true recognition culture cannot be

built by a unidirectional push of recognition by the senior

management only. It has to penetrate to every team, every

individual where the feeling of appreciation and telling

the world about one’s accomplishment is encouraged.

To facilitate this, we created a platform in Gloria that

shares the winning moments of Mindtree Minds with their

pictures and award won. A Service Level Agreement (SLA)

driven system ensures instantaneous appreciation

for the job well done, thus creating what is called as the

‘culture of recognition’.

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Reward programs

The highest award in Mindtree, this

award is given to Mindtree Minds

for upholding and spreading our

values, as well as exemplifying

delivery excellence.

Chairman’s award

Minds are chosen based on

their performance for the last

year and are recognized in a

very special way.

Outstanding performers award

A specialized award for an

individual demonstrating

outstanding technical capability

and achievement.

Technical appreciation award

A peer award that recognizes

the efforts, contributions and

achievements of a fellow Mind.

Shining star

An award given to individuals who

display delivery excellence in

various roles such as manager role,

enabling function role, lead role

and so on.

Mindtree citizen award

Mindtree Minds are given

anniversary completion gifts

on completing three years, six

years and ten years, gifts on their

birthdays and wedding dates.

Anniversary completion awards

Platforms where high achievers

and performers are rewarded.

Members of this club go through a

comprehensive 12 month program.

Pillars program

A platform for recognition of a

team’s exceptional performance at

a primary level, beyond the call of

duty and is result based.

Team spot award

An instant recognition for a

noteworthy action or contribution

while performing a task or working

on a project.

Pat on the back

Recognizes managers who have

helped nurture and grow their

teams professionally.

Role model managers

An instant recognition platform

that encourages a Mind to select,

personalize and send a card

of appreciation.

Send a smile

Biannual award that shares and

showcases best practices across

projects. Project teams are

evaluated for their contribution

under different categories.

Half yearly team awards

Rewards exceptional performance

at a primary level beyond the call

of duty and is result based.

10 / 10 (ten on ten)

A host of other awards recognizing

innovation and creativity through

patent generation, innovation

& creativity awards, community

awards and so on.

Other awards

53

Health and safetyAt Mindtree, the health and wellbeing of Mindtree Minds is

of prime importance. Mindtree strives to achieve a positive

balance in all aspects governing the life of Mindtree

Minds and promote an approach that encompasses

physical, mental and emotional wellbeing. The flagship

corporate wellness program at Mindtree is Healthy Mind

Healthy Body (HMHB). It focuses on offering education

and opportunities to improve the physical and mental

health of Mindtree Minds.

Mindtree has B+ve, an Employee Assistance Program (EAP),

where Mindtree Minds have a platform to get neutral

and objective professional assistance from qualified

counselors, with complete anonymity and confidentiality.

Additionally, we have a health portal, a one-stop shop for

all health related queries, with a host of health

related articles, online chat sessions with dieticians

and exercise finders.

Our India locations are all OHSAS 18001:2007 certified.

With this certification as our backbone, we drive a

comprehensive health and safety policy that entails

workplace hazard identification, risk assessment

programs and security measures. Our practices

promote safety, health, emergency response and

overall wellness. They are frequently revised based

on regulations, industry trends and feedback from

Mindtree Minds.

HMHB is built on four pillars: Health benefits, physical

wellbeing, psychological wellbeing and education

awareness. A detailed list of health and wellbeing

programs is provided in the following table.

At present the injury and illness rate is not captured and analyzed, going forward we intend to do so.

awareness

health benefits

� Medical insurance

� Group term life

insurance

� Leave policies Physical wellbeing

� Talks by experts

and workshops

� Health camps

� Process

improvement plans

� Healthy Mind

Healthy Body

� First aid centers

� Ergonomic consulting

& evaluations

� Fitness Camps

� Baby’s day out & day

care centers

Safety and security

� Safety and

security training

� Emergency

response teams

Psychological wellbeing � B+ve _

Employee

Assistance

Program(EAP)

54

Human rightsMindtree represents a talented and diverse workforce. We

strongly believe in a free and fair workplace without any

form of discrimination. This fosters a culture that embraces

differences and celebrates unique ideas, perspectives

and experiences.

Mindtree respects and values equal opportunities among

our workforce and those with whom we do business.

Our code of conduct defines our actions as an ethical

employer. We do not discriminate on grounds of race,

ethnicity, gender, gender-identity, language, age, sexual

orientation, religion, socio-economic status, physical

and mental ability, for salary and or any other benefits.

Mindtree’s position on equal opportunity is strong in all

aspects of employment, including recruitment, training

conditions of service, career progression, termination

or retirement.

Our focus on human rights is tailored into our compliance

systems. We ensure compliance with labor norms such as

prevention of child labor, forced or involuntary labor and

conformance to employment norms like minimum wage

standards, statutory benefits and timely wage payment.

There have been no defaults in this regard. We respect

right to freedom of association. At present, none of our

people are part of registered trade unions.

Promoting human rights across our value chainMindtree’s suppliers undergo human rights screening as

evinced by the contract signed containing the principles

of Mindtree’s supplier code of conduct. Our supplier

code of conduct as well as the Leadership in Energy and

Environmental Design (LEED) principles, to which we

adhere, extends the responsibility of transparency and

integrity to our suppliers and furthermore facilitates

sustainable sourcing.

Contracted labor and vendors are required to abide by

the norms of Mindtree’s code of conduct while working on

our premises. To imbibe our culture of integrity across the

value chain, we conduct integrity sessions for vendors and

contract staff. There have been no incidences of code of

conduct violations or complaints for the reporting period.

55

Mindtree and the environment

58

As responsible corporate citizens we

believe we have a vital role to play towards

maintaining our environment. At Mindtree we

align our technology, business strategies and

environment to our main goal of reducing

our footprint.

Only when we continue to grow as an

organization without increasing the impact

on our environment can we claim to be

environmentally responsible. This is the

objective behind our footprint reduction targets

for this year. We have a goal to reduce our

energy, water and emissions by 5% year on year.

We also aim to increase the percentage of waste

that is recycled.

While this is certainly challenging, we are

confident to achieve this with out-of-box

initiatives and by encouraging Mindtree Minds to

contribute towards environmental sustainability.

A case in point is the solid waste management

initiative at Rajarajeshwari Nagar Bangalore

where Mindtree Minds were able to recycle 13

tonnes of dry waste. By channelizing the passion

of Mindtree Minds and by keeping an eagle eye

on our energy, water and emissions metrics, we

are sure to achieve our sustainability goals.

Welcome to possible

Shrish Kulkarni

Vice President

Operations

‘At Mindtree we align our technology,

business strategies and environment to our main

goal of reducing our footprint. Only when

we continue to grow as an organization without

increasing the impact on our environment

can we claim to be environmentally

responsible’

59

Measures for current and future generationsEcological sustainability is one of the key pillars of

Mindtree’s sustainability framework. With the increasing

centrality of issues such as climate change, energy

security and water stress, we recognize environmental

risks and the importance of managing our impact on the

environment. We aim to minimize the environmental

impact of our business operations through resource

conservation practices, GHG emissions reduction, efficient

energy management, water efficiency, sustainable waste

management and by engaging Mindtree Minds

as evangelists.

Scope of the reportThe environmental performance covers only India

locations which represents 89% of our workforce,

therefore the data is well represented.

Environmental Management System (EMS)The EMS framework is the backbone of our environmental

charter. It helps us identify key aspects and impacts on the

environment, based on which goals are set. It also ensures

regulatory compliance and enables effective management

review. All our India offices are ISO 14001: 2004 certified.

Mindtree started its green journey in 2009 determined to

reduce its carbon footprint through initiatives to conserve

energy and water.

The green initiatives are led by the Mindtree Green Council

(MGC), an overarching governance body that supports

alignment of business objectives with green initiatives.

These are largely run by the green communities. Our

green community has been a passionate advocate for

change and eco-friendliness within and outside Mindtree,

spearheading initiatives in the fields of energy, water

and waste.

Mindtree’s approach to environmental stewardshipThe four aspects of ecological sustainability are

1. Energy efficiency

2. Water management

3. GHG emissions

4. Waste management

Mindtree is in a people-intensive business, with energy

and water consumption forming a major part of the

ecological footprint.

In the following pages, Mindtree discloses the energy,

water, waste and carbon emissions data for the year 2012-

13, for India operations only. A process is currently being

set up to track the footprint at a global level.

the four aspects of Ecological sustainability

Energy efficiency

Water management

chG emissions Waste management

Ecological sustainability

60

Targets: � Reduce energy consumption per capita by 5%

year-on-year by the implementation of energy

efficiency measures.

� Ensure all new buildings follow at minimum, LEED

Gold standards of construction.

Over the years we have implemented a variety of energy

conservation and energy efficiency measures as listed

below. The implementation of energy efficiency measures

in the areas of IT infrastructure, cooling, lighting and

general operations has resulted in a savings of 782 MWh in

the year 2012-13. Our employee energy intensity stands at

201 kWh pepm. Our specific energy consumption is 0.89

GJ / capita / month or 11 GJ / capita / annum.

We have adopted the LEED green building design for our

infrastructure. Three of our offices in India are certified

LEED gold standards.

Water managementWater scarcity is a growing reality in the world now.

At Mindtree, water conservation has gained increased

importance over the last few years. Tracking the

water usage started in 2011-12, through a ‘Water

Footprint’ exercise.

At Mindtree, water is drawn from three sources –

ground water, municipal water supplies and private

Direct & indirect consumption 2012-13 in GJ

Indirect energy _ purchased electricity: 76,681

Direct energy _ diesel: 46,960

Direct energy _ LPG: 741

Energy efficiencyEnergy efficiency is a core area of our resource

conservation efforts. Mindtree recognizes being a business

that is dependent on people and IT infrastructure,

energy impacts business directly and indirectly. It

increases operational expenses and is a major cause for

carbon emissions. Energy availability itself is a concern,

considering that the major operational footprint is

in Indian cities. Frequent power shortages increase

dependency on diesel generators to power offices and IT

systems, in turn increasing not just operational costs, but

more importantly, carbon emissions.

Targets: � Reduce water consumption per capita by 5% year

on year.

� Implement rain water harvesting or ground water

recharge systems in all owned campuses.

purchase. We have put in place rainwater harvesting

systems to capitalize on water harvesting from monsoons.

61

Water consumption per employee is 1.05 m per month.

We are constantly exploring better methods to monitor,

measure and conserve water.

� Implementing waterless urinals in Bangalore Global

village campus led to a saving of 200 m of water per

month

� Installing new water filters in all washroom taps in

Chennai operations, reduced water consumption by 15

m , per month

Similar plans to implement environmental friendly taps

and waterless urinals at restrooms in other locations are in

progress.

Water discharge: Waste water is not discharged into any

subsurface water. The water from these sewage treatment

plants is tested and is in conformance to the control

parameters as specified by the local Pollution Control

Board. Mindtree facilities do not generate any process

effluents that need specialized treatment plants.

100% of the outlet water from Mindtree facilities is

treated using Sewage Treatment Plants (STPs) at the

premises (Bangalore Whitefield and Pune campus) and

Common Effluent Treatment Plants (CETPs) at the builders’

premises (other locations). The recycled water is used

internally for flushing and landscaping purposes.

Water withdrawal by source in m 2012-13

3

3

3

3

Purchased from private suppliers: 87,463

Ground water: 18,061

Municipal water supplies or other water utilities: 33,363

Domestic sewage discharge to in-house STP vs CETP

Number of locations discharging to CETP: 71%

Number of locations discharging to STP: 29%

62

Water consumption vs water recycled in m - 2012-13

Fresh water consumption: 92%

Percentage and total volume of water recycled and reused

in 2012-13

Volume of recycled / reused water in m3

Total volume of water withdrawn in m3

Percentage of water recycled and reused

: 11,616

: 138,886

: 8%

Volume of recycled / reused water in m3: 8%

Greenhouse Gas (GHG) emissions Since 2009, Mindtree has been measuring its carbon emissions

and has actively taken steps in the reduction of its GHG

emissions. Our GHG mitigation strategy works on a three

pronged approach – energy conservation practices,

resource efficiency and sustainable waste management.

The bulk of GHG emissions at Mindtree are due to resource

consumption – both direct and indirect.

The chart provides a summary of our overall carbon

emissions – categorized under:

Scope 1 Emission from direct energy consumption, like fuel

Scope 2 Emissions from purchased electricity

Scope 3 Emissions from other indirect sources

Our emission intensity stands at 3.38 tCO e / employee per

annum. In addition to our energy efficiency practices, we made

a concerted effort to reduce the GHG emissions of our scope

three emissions. Implementation of transportation initiatives

such as common bus systems, carpooling and cab route

optimization have contributed significantly in the reduction of

GHG emissions.

43%45%

12%

Scope 1 Scope 2 Scope 3

Target: � Reduce GHG footprint per capita by 5%

year-on-year

2

3

63

Electricity / energy purchased: 16,082

Business travel: 6,932

Employee commute: 9,546

Waste: 97

Freight: 33

Fuel usage / energy generated (diesel): 4,179

Fuel usage (LPG): 48

Owned vehicles: 8

CO emissions in tonnes - 2012-13 2

Air emissions in tonnes - 2012-1345% 36%

19%

SOx (Oxides of sulphur) : 0.47

SPM (Suspended particulate matter): 0.90

NOx (Oxides of nitrogen): 1.15

64

Business travel and commuteApart from electricity consumed, a major source of GHG

emissions is business travel and employee commute.

Several measures as listed below have been taken to

reduce emissions.

Mindtree’s global village facility in Bangalore has initiated

the Common Bus System (CBS). This system not only

helps people commute more easily, it also reduces cab

transportation and hence environmental impact. This

system is facilitated by Bangalore Metropolitan Transport

Corporation (BMTC) buses that ply 37 routes. Having

succeeded in the global village campus, we plan to extend

it to the Pune facility as well.

Cab usage has been reduced to a large extent by

rationalizing shifts from 32 to 12 in December 2012,

eliminating ad-hoc cab requests and encouraging the

use of CBS. Cabs are provided after eight pm as per

statutory requirements.

Video-conferencing facilities at Bangalore, Chennai,

Pune and the U.S. have reduced business air travel.

The ’work from home’ initiative has been rebranded,

providing greater flexibility through telecommuting.

Green buildingsMindtree plans to have all new facilities to be energy

efficient, environment friendly and LEED certified. Existing

facilities in the Bangalore, Chennai and Hyderabad

campuses are already certified gold interiors.

Pollution prevention and waste managementAt Mindtree, we are diligent about tracking and managing

our waste levels. We continually assess the operational

risks to the environment and take care to recycle our

waste wherever possible. 65% of the waste generated at

our facilities is recycled through authorized vendors. A

majority of the balance mixed solid waste and tissue paper

is also handled through vendors. However, the final fate

of the waste is not clearly understood. We are continuously

exploring better monitoring of our waste management

practices. A significant proportion of the waste data is

based on derivations.

The likelihood of spillage is rare, given the nature of

work at Mindtree. One spill was recorded during 2012-13,

where 120 litres of fuel spillage resulted in land

contamination at Bangalore Global village campus. To

mitigate such instances, proper training is given to the

technicians handling fuel filling with necessary safety

controls. No fines levied with respect to environmental

laws and regulations during the reporting period.

Target: � Increase percentage of solid waste recycled from

65% to 85% by 2014-15.

Ozone depleting substances in kg’s - 2012-13

CFC Equivalent: 16

R22 (Refrigerant): 290

5%

95%

65

120

100

80

60

40

20

0

Recycle Incineration Landfill

E-waste Bio-medicalwaste

Hazardous waste

Inorganic waste

Organic waste

Packagingwaste

Otherwaste

Tissue paper: 67 (88%)

Office stationery: 3 (5%)

Newspaper: 2 (3%)

Magazine: 0.41 (0%)

Paper: 3 (4%)

The following graph shows different types of waste generated and their final result.

Quantity of waste by category in tonnes - 2012-13

Inorganic waste disposed in tonnes 2012-13

66

STP sludge: 18 (18%)

Wood: 0.18 (0%)

Food waste: 84 (82%)

Organic waste disposed in tonnes - 2012-13

Batteries: 11.16 (59%)

e-waste: 2.18 (12%)

Used oil : 5.08 (27%)

CFL’s : 0.24 (1%)

Ink cartridges: 0.19 (1%)

Hazardous and e-waste disposed in tonnes - 2012-13

Recycle: 168 (65%)

Incineration: Nil

Landfill: 92 (35%)

Waste by disposal methods in tonnes - 2012-13

67

Waste by disposal methods in tonnes - 2012-13

BiodiversityBiodiversity loss is one of the least understood ecological

risks; yet it is the most critical as it is inextricably linked to

global warming, water scarcity and livelihood loss. None of

the current facilities is proximate to biodiversity-sensitive

fields (protected or of high value). Mindtree business

operations pose zero risk to any endangered species, plant

or animal.

While the operations may not have an impact on

biodiversity, there is awareness for all to protect

biodiversity. The efforts therefore centers on creating

environmental conservation awareness among

the people.

Green community initiativesThe Mindtree green community consists of passionate

Mindtree Minds, who volunteer and organize activities

related to the environment and society. Important events

such as World Environment Day, World Water Day, Earth

Day and Earth Hour are celebrated to bring awareness. We

regularly conduct ‘Expert talks’ sessions on afforestation,

rain water harvesting, biodiversity conservation, waste

management and eco-architecture.

Apart from celebrating events the green community has

also spearheaded initiatives like creating a green portal,

a carpooling portal and a go-green e-learning module.

The efforts of the green council and the 750+ member

green community have also been appreciated externally.

Since its launch in 2009, the green communities have

conducted several activities, including:

� Screening movies and documentaries on green topics

� Organizing lectures by experts on specific topics like

compost recycling, green living, green homes, water

harvesting and the like.

� Celebrations to encourage a certain behavior like Bus Day,

Vehicle Free Day, Apna Bag to reduce plastic bag usage to

name a few.

� Competitions like slogan writing, poster making,

drawing, Green Idol and more.

� Events like World Water Day, Earth Hour and the like.

Events conducted during the reporting period are

as follows:

Celebrations

� World Environment Day (Jun ’12)

On World Environment Day, a new carpooling initiative

was rolled out. Through this, carpool requests can

be posted, existing routes can be traced and finding

‘poolers’ to the same route made easy. The portal

generated a lot of interest with more than 350

registrations in the first few days itself.

� Solid waste management initiatives at Rajarajeshwari

Nagar, Bangalore (Jul ’12)

The city of Bengaluru is going through urban

overpopulation and development, resulting in many

issues and hazards, chief among them being waste

management and disposal. With the solid waste

management systems of the city on the verge of

collapse, there is an urgent need for the citizens of the

city to understand waste management and learn the

benefits of reduction in waste disposal. Adopting best

practices of waste management at Mindtree, the green

community launched a pilot initiative on Solid Waste

Management (SWM). They encouraged the community

residing in the neighboring locality of Rajarajeshwari

Nagar to participate and initiate SWM in their homes

and neighborhoods. This model is now being expanded

to cover the rest of Rajarajeshwari Nagar over the next

few months.

Green community initiatives

� Green Community cyclothon to Turahalli hills (Sep ’12)

� Live chat with rain water harvesting experts (Apr ’12)

� Eco-friendly initiatives in the cottage industry (Nov ’12)

� Ex-Mindtree Mind, Vivek Shrivastava, delivered a

talk on his social venture Kalavilasa, which provides

market access to artisans and NGOs, on fair terms. The

highlights of the talk were:

The environmental and social implications of selecting

crafts and weaves

Mass manufacturing affecting the livelihood of the

artisan community in India

� Enablers to identify and promote genuine eco-friendly

crafts and so on.

� Movie show ‘Tiger – The Death Chronicles’ (Jan’13

� Awareness booth / session by Green Peace

India (Feb’13).

Mindtree was second runner-up in the People’s Green

Award category as part of the TCS World 10K Marathon held

in Bangalore, in July 2012. The award is for organization and

corporate foundations contributing to environmental causes

without seeking any monetary gains. We also received a

‘Certificate of Merit’ award as part of SHRM’12 Excellence in

Community Impact category.

Mindtree and our customers

70

Client satisfaction is at the core of everything

we do at Mindtree including our work in

sustainability. Mindtree believes in collaborative

partnerships with our clients and has

consistently helped our clients build value by

engineering meaningful technology solutions

and delivering high quality services.

Our clients expect us to be domain experts. Our

in-depth industry and technology expertise

gives our clients access to meaningful solutions

and helps them succeed. At the core of our

rebranding exercise is our move away from being

a culture-led organization to an expertise led

one. Our learning function has ably put in place

training programs to help the Mindtree Minds

gain expertise in our chosen areas. We also have

several mechanisms in place to measure client

satisfaction. We gather feedback

regularly through project surveys and steering

committee meetings.

Welcome to possible

Ramachandran Narayanaswamy

Vice President

Head - Delivery Enablement

‘Our clients expect us to be domain experts. The

in-depth industry and technology expertise

gives our client access to meaningful solutions

and helps them succeed. At the core of

our rebranding exercise is our move away from

being a culture-led organization to an expertise led one.’

71

Mindtree and our customersCustomer satisfactionAn organization eventually aims for a delighted and

engaged customer. Openness to listen to a customers’

feedback and expectations and deliver value accordingly

to their businesses is the key to Mindtree success.

There are several mechanisms in place to measure

customer experience. The Customer Experience Survey

(CES) process is an annual check on the health of the

relationship. It focuses on the customer disposition and

helps progress as a trusted business partner. For the past

11-12 years, an annual CES is rolled out to solicit feedback

from active customers. The survey is targeted at various

levels – CXO, senior management and operating level.

The CES process is driven with a structured questionnaire

customized to the recipient, i.e. separate questions

designed for the CXO, senior and middle management.

At the operating level (middle management) Mindtree

has different variants depending on type of project /

engagement with the customer, such as consulting,

development, Infrastructure Management and Technical

Support (IMTS), maintenance, augmentation and testing.

The actions emanating from the survey, drive customer

engagement and service delivery improvement initiatives.

These actions are at organization, business unit, account

and project levels and are tracked regularly. Everyone

including the senior management has CES linked Key

Result Areas (KRAs) and compensation (relationship level).

To improve the customer satisfaction levels, several

improvements initiatives have been kicked-off.

Results of survey conducted in Jan 2012 / 2013:

Mindtree has an all-time high response of 56.2%

which is in line with the industry standard. There is an

improvement in scores across most parameters. Key

results are presented in the graph below:

1.00

2.00

3.00

4.00

5.005.17

Satisfaction Loyality Advocacy VFM

5.295.16 5.24 5.18 5.28

4.79 4.87

6.00

7.00 2012 2013

72

Other customer feedback mechanismsApart from annual survey, there are other mechanisms

such as project feedback which are triggered as and when

key milestones are met or conducted quarterly in a project.

These mainly focus on operational management feedback

for course correction.

Steering committee meetings are another form of

connecting with the customer. These meetings consist

of sponsors from the customer and Mindtree, the

Account Manager and the Relationship Manager. The

committee meets once a quarter, to prioritize and

pedal certain initiatives.

Apart from the above, members of the senior management

visit the customers location for a meet and greet, as well as

for an informal session of gathering feedback.

Data privacy and security mechanismsIn a business where the privacy of customer data is

critical, stringent data privacy and security mechanisms

are administered and monitored. Mindtree was ISO

27001 certificated in April 2012 and has implemented

the Information Security Management System (ISMS)

framework based on the globally recognized standard.

This covers network controls, network privacy, internet

security, patch management system and controls against

malicious software.

As for physical security, access to an associated offshore

development center is extended only to people working

for a customer process in that particular center. There is

also a strong network security infrastructure, managed by

a Chief Information Security Officer (CISO),

as well an Information Security (InfoSec) council that

meets once a quarter. At each of the locations, there is an

InfoSec officer. Any security violations are reviewed and

escalated. During 2012-13, no data privacy or security

breaches occurred.

The Information Security (InfoSec) councilThis council is a high-level body that sponsors and

drives the security initiatives within Mindtree. This

team comprises of representation from the Senior

Management (the sponsor), Security Advisory (internal

experts or external consultants) and the Chief Information

Security Officer.

The responsibility of this forum is to:

� Review and approve the security policy of

the organization

� Participate in management security review meetings

� Assess if the security implementation meets the

set objectives

� Continuously improve the ISMS (Information Security

Management System)

� Monitor implementation of ISMS within the organization

73

Business Continuity Planning (BCP)Mindtree understands the impact of operational disruption

to the organization and the customer’s business. Several

steps have been taken to ensure continuity of service. A

detailed BCP has been created at the corporate level to

ensure business continuity and uninterrupted service,

in case of any eventuality affecting partial / complete

operations of Mindtree. The plan undergoes a yearly

review and action plans are developed if deficiencies are

found. In addition, every component of this plan is tested

as per the test plans in order to demonstrate the reliability

Innovation and value add programThe Mindtree value add program delivers open innovation

and accelerates internal collaboration within teams, to

address a new generation of business challenges for

Mindtree’s customers. Mindtree VA framework is an

inventive model that encompasses systematic innovation

techniques and problem definition / solving approaches

to help facilitate ideas resulting into perceptible outcomes

for customers.

of the plan. While designing the Disaster Recovery

Plans (DRP) for Mindtree, the following interruption

scenarios have been considered. Prevention and recovery

mechanisms are outlined at each level.

The requirement of BCP and DRP, in terms of the recovery

time objective, permissible data loss and the performance

level during the disaster, vary from customer to customer.

This depends on the nature of the services provided by

Mindtree, the level of criticality of these services and the

delivery model followed. Hence, a customized BCP and

DRP is discussed and finalized for each customer.

Benefits perceived by the customers

Mindtree’s VA program delivers value by enabling

collaborative innovation for delivering the following:

� Helping customers envision tangible outcome via POC,

demos and working prototype models before resulting

into actual solutions.

� Improving the customer’s go-to-market time by aligning

VA ideas to the customer’s goals and business priorities.

� Mitigating risk in deploying futuristic solutions on

emerging and disruptive technologies.

� Demonstrating Mindtree’s collaborative energies by

engaging with internal communities and the external

ecosystem to co-innovate with and for the customer.

Country

City

Site

Connectivity

Hardware / equipment

Content (data)

Cost Probability Impact

74

Mindtree endeavors to deliver predictably with high

quality to its customers and has certifications in some

of the globally recognized standards and models such as

CMMI, ISO 14001, ISO 20000 and ISO 27001. Mindtree

adopted the Capability Maturity Model (CMM) in early

2002. Mindtree is compliant to the Capability Maturity

Model Integration (CMMI) DEV 1.3 Level five, the highest

maturity level for all strategic projects, currently being

executed from Bangalore and Chennai.

Mindtree’s association with CMM has strengthened the

ability to deliver high quality solutions and services

to the customers consistently and improve internal

efficiencies. This re-iterates the organization capability to

always deliver expertise-led, superior quality solutions

and services to the customers. It also emphasizes that a

high level of rigor in data is followed, backed by metrics-

driven practices. Use of statistical methods during

the project life cycle to improve individual and team

performance is also an output of this compliance.

International Organization for Standardization (ISO)

Mindtree follows multiple ISO standards such as

ISO 27001, ISO 20000 and ISO 14001.

iSo 27001 � Certification in compliance

to Information Security

Management Systems (ISMS)

� Certified in April 2012 across

all location

iSo 20000 � Certification for design,

transition, delivery and

improvement of services

� Certified in December 2010 for

Bangalore and Chennai locations

ISO 14001 � Certification for compliance to

environmental management

systems

� Certified in September 2010

across all India location

Mindtree’s commitment to quality

75

76

77

Mindtree and our shareholders

78

As a listed organization we have a responsibility

to our investors and shareholders. Our strategy

is now to be an expertise-led organization

with a laser sharp focus on the areas that we

do business in. Simply put, sustainability is our

way of stepping back and looking at the larger

picture. It involves taking stock of the planet and

people while not losing sight of profit.

Many of our clients are currently undertaking

their own sustainability journeys. Depending

on their maturity levels and their industry

needs they too are formulating goals. Given this

situation it makes practical business sense for us

to align ourselves to their sustainability needs.

Going forward I see our sustainability

performance to be a critical component when

bidding for projects. I also see us, as a key

partner in helping our clients achieve their

sustainability goals. Therefore sustainability is

not orthogonal to our business goals – it is part

and parcel of it.

Welcome to possible

Rostow Ravanan

Executive Vice President

Chief Financial Officer

‘Many of our clients are currently undertaking

their own sustainability journeys. Depending

on their maturity levels and their industry

needs they too are formulating goals.

Given this situation it makes practical

business sense for us to align ourselves to their

sustainability needs’.

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Economy and IT services industry Uncertainty pervaded the global economy leading to

a slower recovery in 2012 (3.2% growth in world GDP

in 2012 compared to 4% in 2011, as per the IMF), with

continued strains in Europe and a drag on growth in

emerging economies, specifically China. The year 2013

is expected to see an improving global economy (3.3%

growth), led by a strong US economy, an easing Europe and

a stabilizing China. Emerging economies are expected to

grow by 5.3%; the US by 1.9% and the euro area likely to

contract by 0.3%. Downside risks include drag on the US

growth due to excessive near-term fiscal consolidation and

prolonged stagnation in the euro area, both of which could

have negative spillovers on the global economy. On the

positive front, there are key economic tailwinds in the US

and emerging economies, which offer hope for a promising

2013. Overall, macroeconomic factors indicate a gradual

recovery and a cautious positive outlook for 2013; primarily

fuelled by consumption growth and private sector spending

in the US towards the second half of 2013 domestic demand

growth in China; marginally offset by fiscal consolidation

issues in the US and eurozone setbacks.

Global IT services spending is set to recover, driven

by improvements in macroeconomic fundamentals.

Uncertainties around IT budgets and technology

investments are expected to clear to a large extent in

2013. Gartner research predicts that the worldwide

spending on IT services shall accelerate by 4.5% to USD

918 billion in 2013 compared to 1.5% growth in 2012.

As per NASSCOM, the worldwide IT-BPO outsourcing

market is valued at USD 124-130 billion in 2012. India

continues to be the leader in the IT-BPO outsourcing

market, with a significant cost-advantage and a 52%

market share. The Indian IT industry continues on its

growth path, although growth has been a tad slower in

2012-13 due to global economic uncertainties. NASSCOM

estimates that Indian IT-BPO services exports shall grow

by 12- 14% to USD 84-87billion in 2013-14, compared to

10% growth in 2012-13.

With the market releasing its pent-up demand in 2013,

the traditional application development and maintenance

services shall dominate in terms of dollar spend. However,

emerging service segments such as Infrastructure

Management Services, Business Intelligence / analytics

services and testing services shall grow much faster over

the next few years.

The future of the IT services industry shall be defined by

‘Consumerisation of IT’ and organization will be focusing

on IT as a key differentiator to their businesses. Service

providers will be investing in a combination of services,

products and platforms to create ‘transformative’

business value for customers. Organization’s are likely

to invest significantly in ecosystems built around SMAC

technologies (Social media, Mobility, Big Data / Analytics

and Cloud services). As these disruptive technology trends

increasingly gain mainstream adoption, they are expected

to offer a definitive fillip to global IT spending.

Indian IT service providers have been increasingly

focusing on:

� Strengthening customer-facing teams and mining

focus accounts

� Deepening vertical specialization and building deep

domain expertise

� Broadening services portfolio

� Evolving newer business models, building non linear

revenue streams

� Augmenting global delivery models

Financial performanceIncome

Revenue for the year in USD grew by 8.2% to USD 435.7

million. In rupee terms, revenue for the year is INR 23,618

million signifying a growth of 23.32%.

Fee revenue growth in USD was driven mainly by a volume

growth of 6.4%. Price realization improved by 2%.

We analyse our revenue based on various parameters.

The factors which are driving our revenue growth (in USD

terms) are as follows:

1. Revenue by business: ITS revenue grew by 14.7% in the

current year from USD 264 million to USD 303 million.

2. Revenue by geography: Europe revenue grew by 21.6%

followed by US revenue which grew by 6%.

3. Revenue by service offering: Our revenue from

infrastructure management and technical support grew by

41.1% year-on-year. This was followed by development

revenue which grew by 24% in the current year.

4. Revenue by vertical: Among the verticals, ITS _ others

mainly comprising of telecom grew 32.2% in the current

year followed by manufacturing and retail which grew

by 15.6% and BFSI which grew by 14.2%.

5. Revenue by mix: Our onsite revenue grew by 21% in

the current year as compared to a growth of 1.7% in

offshore revenue.

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6. Customers contribution to revenue: Revenue from our

top ten customers grew by 17% in the current year.

Our active customers list as on 31, March 2013 stands

at 232.

Profitability and Margins

� EBITDA margins are at 20.58% as compared to 15.3%

in the previous year. The main reason for the increase

in EBITDA margin is rupee depreciation of about 14%

during the year.

� Our effective tax rate has increased from 16.4% in the

previous year to 20% in the current year. This is mainly

because of two SEZ units which have moved from a

100% tax benefit on profits to 50% tax benefit on

profits in the current year (net of foreign tax credit of

INR 97 million in the current year).

� PAT has increased by 55.3% to INR 3,393 million mainly

because of the reasons explained above.

Market capitalisation

Market capitalisation has increased from ` 8,019 million

to ` 37,986 million i.e. by more than four fold in the last 5

years. (Based on NSE closing rate as on March 31).

Strength and opportunities:Customer-focused growth strategies

Our customer-focused ‘account mining’ strategy has

yielded good results, with our top ten customers emerging

as our major growth engines.

Our top ten customers have grown at over 17% in FY

2012-13, compared to the organizational growth of 8% in

the same period. We will continue investing in our account

management teams to extend our farming successes

beyond our top 10 customers.

During FY 2012-13, USD 5 million customers increased by

3 to 20; USD 10 million customers increased by 2

to 9; USD 20, million customers increased by 1 to 5. Over

98% of our revenues in the past several quarters have

come from repeat business (existing customers). Revenue

per customer has been on the rise, signaling our success in

mining focus accounts.

A key component of our ability to scale and grow with our

customers is our focus on building global delivery centers

to serve our customers. During FY 2012-13, we opened

two onshore delivery centers; one at Gainesville (Florida,

US) and another at Diegem (Belgium).

One of the most promising indicators of our customer

-focused growth approach is the fact that our customers

have rated us better on all key parameters (satisfaction,

loyalty and advocacy) in 2013, as part of our annual

customer experience survey. Over 86% of our customers

participated in this survey.

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Our strategyOur execution continues to be guided by the following four strategy pillars, enabling us to grow faster and

generate higher returns to our stakeholders.

Growthnon-linear

revenue models

� Focused account mining

� Pursue large deals

� Deepen domain expertise]

� High impact client-facing teams

� Platform, IP & products (Bluetooth)

� Managed transaction services

(‘as a service’ offerings)

� Strengthening fixed price projects

� Account management practices

� Focus on quality

� Domestic development

centers (Onshore)

� Talent management

� Seamless global delivery

� Next generation delivery platform

� World class infrastructure

Mindtree strategy pillars

customercentricity

operationalExcellence

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OutlookOur IT services business is on a positive momentum,

having grown at more than 25% CAGR between FY11

and FY13. Our product engineering services business

Financial assistanceMindtree received financial assistance of INR 57 million

from the State of Florida, USA, towards reimbursement

of rent. The monetary grant was provided to facilitate

has bottomed out and is expected to see positive growth

going forward. Mindtree is confident of delivering broad-

based growth in FY14, higher than in FY13.

workforce training and the non-monetary grant was for the

renovation of the project facility. In addition, the following

benefits have been received:

(INR in million)

Direct economic value generated (A) 2012-13 2011-12 2010-11

Revenue (through core business segments) 23,618 19,152 15,090

Other income 350 385 242

Total 23,968 19,537 15,332

Economic value distributed (B)

Operating cost 4,938 4,059 3,545

Personnel expenses (wages + benefits) 14,138 12,160 9,767

Interest charges 10 5 4

Taxes and royalties (given to various governments, wherever business

units are located) – Tax expenses

847 430 288

Taxes and royalties (given to various governments., wherever business

units are located) – Dividend tax paid

81 26 17

Dividends (payments to capital providers) 497 162 100

Donations (political parties / politicians)* - - -

Community development / CSR Investments – paid to

Mindtree Foundation

18 3 -

Total 20,529 16,845 13,721

Economic value added (A-B) 3,439 2,692 1,611

Financial assistance received (in INR million) 2012-13 2011-12 2010-11

IT exemption 1,656 1,478 1,181

Other Income (Customs and excise duties waived) 47 39 75

Total 1,703 1,517 1,256

* No monetary contributions were made to any political parties.

Financial performance

For more details refer Mindtree annual report: http://www.mindtree.com/company/investors/annual-report-2012-13

83

Mindtree and the community

86

We are a technology organization and we look

at assistive technology as a key tool to achieve

our community related goal of social innovation.

Through Mindtree foundation we take part in

outreach programs where we work with NGOs to

promote education and relief from poverty.

Employee volunteering is another key aspect

of our community involvement. The following

section describes our programs in detail.

Welcome to possible

Abraham Moses

General Manager & Good Samaritan –

Mindtree Foundation

‘Through MindtreeFoundation we take

part in outreach programs where we work with NGOs to promote education

and relief from poverty’.

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Below is a snapshot of such activities.

Outreach programsOutreach programs at Mindtree are in the form of grants or

donations that help in the infrastructure development and

poverty alleviation. Financial assistance is provided for

medical care, shelter, food, education and clothing.

� Missionaries of Charity (MOC)

Mindtree has been associated with Mother Teresa’s

Missionaries of Charity (MOC) for the past 13 years,

through financial assistance as well as infrastructure

development assistance. Mindtree foundation helped

rebuild a home for 200 residents, earlier demolished by

the Highway Authorities of India. This home was built

with a budget of INR 200 lakhs to accommodate

100 residents.

INR 7 lakhs is being spent to install a 63 KVA electrical

transformer at a leprosy home, in the MOC in Janla,

Odisha.

� Spastics Society of Karnataka (SSK)

Mindtree has a long-term relationship with The Spastic

Society of Karnataka (SSK). Mindtree buys bakery

products from SSK to feed the residents of the MOC in

Yelahanka, Bangalore.

The Mindtree Foundation recently donated INR 25 lakhs

for a lift at the extended wing of SSK at Indira Gandhi

Institute of Child Health (IGICH).

� Sikshana

Mindtree donated INR 5 lakhs to the Sikshana

Foundation, an NGO, through which 12 schools are

supported in the Kanakapura District of Karnataka. This

initiative aimed to improve the standard of education.

1005 children benefit from the program. In addition, a

two-day life skills training program was conducted for

Sikshana’s prospective teachers.

Social responsibility is an integral part of our corporate

citizenship. Mindtree is driven by its value system and

commits to support and nurture societies by delivering

innovative solutions to meet evolving needs of the society.

Mindtree strives to foster a socially responsible corporate

culture by introducing a balanced approach to business.

This is done by addressing social and environmental

challenges through required investments, necessary

resource allocation and engaging with the stakeholders.

Mindtree Foundation plays the role of a catalyst in

bringing this change, step by step.

Our social transformation initiatives, led by Mindtree

Foundation, are now nearly 6 years old. Over the years,

our approach has been to engage in social issues with

sensitivity, rigor and responsibility. Mindtree Foundation

lays the platform for Mindtree’s value system.

Mindtree is committed to the pursuit of better living for

people with disabilities and enhancement in the quality of

primary education. Our people, assistive technologies and

associations with NGOs help us to:

� promote education to underprivileged children with a

special emphasis on people with disability

� provide relief from poverty by way of assistance to

food, shelter and clothing

� provide relief of distress caused by calamities of nature

Mindtree Foundation strives to achieve these charters

through its outreach programs, voluntary programs,

organization development programs and technical

consultancy programs.

Mindtree Foundation is proud to be associated with:

� Missionaries of Charity (M.O.C.)

� Gandhiji Shanti Nivas Leprosy Rehabilitation Centre

� Sparsh Foundation

� Spastics Society of Karnataka (SSK)

� Sikshana Educational Development program for Rural

Government School Children

� AMBA Centers for Economic Empowerment of the

Intellectually Challenged (AMBA-CEEIC)

� Goonj

Mindtree and the community

Abraham Moses, Head of Mindtree Foundation, was

awarded Forbes 2012 Philanthropy award under

the category ‘Good Samaritan’ for his combined

efforts in looking after administration and the

personal welfare of Mindtree Minds.

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The quantitative indicator, based on the Annual Status

of Education Report (ASER) (www.asercentre.org)

assessment, has indicated that the schools supported

by Mindtree have produced exemplary results, much

above state and national averages.

� eDonation

Mindtree has donated 100+ computers and a file server

to AMBA Foundation. Additional 200+ computers have

been donated to various other NGOs and schools in

nearby villages and townships.

� Other grants

INR 20 lakhs was donated to Sparsh hospitals for

corrective surgeries for underprivileged children.

Dr. Nasreen (a person with disability from Freedom

Unlimited, an NGO) was sponsored by Mindtree to

participate in the 13th international conference on

‘Mobility for transport for elderly and disabled persons’.

Volunteering programsMindtree believes that participation in various social

causes foster a culture of social responsibility and

humanity. Mindtree is planning to intensify corporate

volunteering by deploying an individual social

responsibility program called ‘One Good Deed’ (OGD).

Some of the volunteering programs that Mindtree Minds

participated in 2012-13 are:

� TTK Blood Bank: A total of 1083 bottles of blood was

donated by the Mindtree Minds across all locations

in India.

� GOONJ: Over three and half truckloads of old clothes

were collected and sent to Goonj, an NGO which

mobilizes clothes and other basic amenities to millions

in the far-flung villages of rural India. A special winter

clothes collection drive was held in Dec ’12 and half a

truckload of clothes collected was sent to various Goonj

locations across India.

� Technologists for Social Action (TSA): Regular TSA

programs are conducted at Missionaries of Charity

(MOC) for Mindtree Minds _ along with their families and

friends, in all the Mindtree India campuses in Bangalore.

In 2013, the program was revamped to add hands-on

activities like cleaning the floors, ceilings, kitchen and

toilets, changing beds and spreads, feeding the MOC

residents and the like. 623 volunteers participated in

the program.

� Dream-to-reality (D2R): With the help of Mindtree

Leaders, the higher education of 14 children continues

to be sponsored. Two of these children are now in

engineering colleges.

� Life skills programs: A three-day special Life Skills

training program was organized by Dr. Meena Jain,

Sambhav Foundation (CWC member), for 60 dedicated

volunteers in Bangalore. Subsequently, the volunteers

conducted a 12-week training program for nearby

Government schools. Additionally, a one-day Life Skills

training and briefing program was conducted for 80

teachers from Ramnagar for Sikshana Foundation.

� Joy of giving: This year, six big project teams

participated in Joy of Giving activities through Sikshana

Foundation. 800 Mindtree Minds volunteered to buy

and present gifts to children from six neighboring

government schools in Bangalore. The volunteers

distributed the gifts to about 643 underprivileged

children. At the Joy of Giving program in Chennai

Mindtree Minds bought gifts for the children of the

support staff.

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Technical consultancy programsAssistive technology: Mindtree aims to use its expertise

in technology to support society through innovative

solutions driven by The Mindtree foundation. Affordable

and indigenous sustainable assistive technologies are

being developed to facilitate an easier life for people with

disabilities. Two successful products currently in use are;

� Analog and Digital Theremin Interface (ADITI):

ADITI is a device that when connected to a computer

gets recognized as a human interface device or a mouse

and assists people with musculoskeletal disabilities.

ADITI works on the capacitive principle; if a human body

comes close to the antenna plate of ADITI, it will initiate

a click on the computer. Mindtree has donated 200

ADITI units to IIT-M.

� Kommunicator Audio-Visual Interface device (KAVI):

KAVI assists children and adults suffering from speech

impairments, mainly due to conditions such as cerebral

palsy and autism.

Assistive technology consultancy

Based on requirements as specified by enterprise like IIT-M,

SSK and SPASTN Mindtree provided technical solutions.

Some of these solutions provided were:

� KAVI-PTS: Based on a request from IIT-M, KAVI-PTS

was conceptualized and technical solutions were

provided. Additionally, a technical paper was presented

on KAVI-PTS to IIT-M for the IEEE Global Humanitarian

Technology Conference, South Asia Satellite (GHTC

SAS 2013) under the Inclusive Technologies for the

Differently-abled track. IIT-M plans to take this solution

to Google market.

� Finger-Switch: Mindtree delivered Finger-Switch POCs

for cerebral palsy affected kids to IIT-M. This has been

demonstrated to National Trust Laboratories, Delhi and

to Perkins, US.

� Suction balls: 45 suction balls, a device to help children

with Attention Deficit Hyperactive Disorder (ADHD),

cerebral palsy and autism disabilities, have been

delivered to SPASTN.

Supporting people with disabilities

Mindtree encourages and provides all support to Mindtree

Minds with disabilities by providing infrastructural support

such as accessible building infrastructure, JAWS screen

90

reading software, cab facilities, health insurance and

powered wheelchairs.

� Spastics Society of Tamil Nadu (SPASTN)

SPASTN identified 32 types of solutions required for

children with disabilities. Mindtree’s volunteer team has

identified 20 solutions for which deployment are

in progress.

� Perkins International School for the Blind, USA

Perkins, USA, contacted Mindtree Foundation

through IIT-M to explore the development of assistive

technology solutions. Mindtree took the lead role to

bring Mindtree’s Project Engineering and Services

delivery wing and development teams together to

work on this opportunity. ADITI was demonstrated to

Mr. Steven M. Rothstein, President of Perkins School for

the Blind, USA and Mr. David Morgan, Vice President

and General Manager, Perkins Products USA. Their

team plans to evaluate the product and will approach

their partner on a new low vision learning technology

product that may be able to take advantage of ADITI.

� National Association for the Blind (NAB)

NAB School was guided by Mindtree to develop

Android-based free screen reader software for visually

impaired people.

� Bangalore project guide

Mindtree is guiding Ms. Emilene Zitkus a PhD researcher

from the Engineering Design Centre at University of

Cambridge, London in her research on inclusive design

for people with disabilities.

Self-development programs through volunteerism

� Lead-by-service: Mindtree has a slightly different

approach to orient new Campus Minds. As part of the

regular orientation programs, new Campus Minds are

encouraged to shadow the support staff and learn

from them.

� Learn-from-unusual-resources: Interactive sessions

for the Campus Minds, from ‘differently-abled’ sources

such as Ms. Sheeba of Spastics Society of Karnataka, a

world-renowned artist and teacher, who didn’t allow a

debilitating condition called post rickets deter her.

One-day outdoor learning: A one-day plastics-cleaning-

drive program at Bannerghatta National Park was

conducted for campus minds to do their bit for society

Customer-partner engagement programs

Mindtree volunteers organized a four-day social service

learning program for children of the leading Dutch

organization, KPN’s executives. Every morning, the children

along with the volunteers visited Missionaries of Charities

(MOC) and helped the sisters in their daily work

chores including making beds, cleaning vessels and

feeding children.

External participation and accolades

Mindtree Foundation was presented to the awards panel

committee of Society of Human Resource Management

(SHRM), Mumbai. Mindtree won at the SHRM India HR

Awards ’12 in the category ‘Excellence in Community

Impact’, where the activities implemented by Mindtree

Foundation were presented.

Mindtree Foundation also participated in the ‘India

Inclusion Summit – 2012’ in Bangalore and represented

Mindtree at ‘Skills to Succeed for a High Performance

Nation: Empowering People with Disabilities’.

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Mindtree and our suppliers

94

Mindtree and our suppliers

Supply chain sustainability and vendor managementMindtree encourages a work environment that thrives on

integrity and values. We are committed to an ethical and

sustainable relationship with our supply chain and our

outsourced services.

Mindtree supply chain consists of approximately 1650

vendors, ranging from small vendors to established names.

Among these Mindtree has also empanelled and works

with Fortune 500 organization’s to meet its supply

chain requirements.

All vendors are provided standard procurement guidelines.

At the time of procurement of technology-related

material, preference is given to green, energy efficient

and Restriction of Hazardous Substances (ROHS) certified

materials. Purchase order routing is done through the

procurement function, which focuses on optimizing

operational and capital expenses.

Promoting human rights across our value chain Mindtree’s suppliers undergo human rights screening as

evinced by the contract signed containing the principles

of Mindtree’s supplier code of conduct. Our supplier

code of conduct as well as the LEED principles, to which

we adhere, extends the responsibility of transparency

and integrity to our suppliers and furthermore facilitates

sustainable sourcing.

Contracted labor and vendors are required to abide by

the norms of Mindtree’s code of conduct while working on

our premises. To imbibe our culture of integrity across the

value chain, we conduct integrity sessions for vendors and

contract staff. There have been no incidences of Code of

Conduct violations or complaints for the reporting period.

Supplier code of conductMindtree’s suppliers and vendors are expected to follow

the supplier code of conduct.

The provisions as set forth in the code of conduct provide

the minimum standards expected of Mindtree’s suppliers.

Our suppliers are obligated, in all of their activities,

to operate in full compliance with the laws, rules and

regulations of the countries in which they function and

additionally, strive to exceed both international and

industry best practices.

Human rights – supply chainAll suppliers and vendors of Mindtree are screened

through a due diligence process before being contracted.

All vendors are expected to comply to the supplier code

of conduct. For all important suppliers, site audits are

conducted and evaluation done based on compliance

requirements in the code.

Targets: � Enforce the supplier code of conduct across

Mindtree’s supply chain

� Develop and implement supplier evaluation

process in line with Mindtree’s supplier code

of conduct

95

Audit and checks are undertaken at all Mindtree

operations, to ensure that there is no child labor on any

of its premises. No suppliers have been identified at a risk

of violation of collective bargaining, child labor or

forced labor.

Complete safety administration is ensured for the

contractor laborers at buildings construction sites.

Mindtree conducts audits, to ensure compliance to the

code of conduct. Non-compliance of the code of conduct

may impact the present and future ability of the supplier /

vendor to engage with Mindtree.

Vendor feedbackMindtree believes in that suppliers and vendors are its

long-term business partners and ensures that they face no

difficulties when dealing with the organization. Some of the

specific vendor initiatives undertaken are:

� Setting up the auto-debit payment system to ensure

that a vendor gets payment on time.

Prohibition of child, juvenile and involuntary

labor, reasonable working hours and

sustainability of contractors / sub-contractors.

LabourThe suppliers must act responsibly towards environmental

betterment and shall have an effective environmental

policy that drives compliance with all applicable

environmental laws and regulations.

Environment

Suppliers are encouraged to contribute and foster socio-

economic development of the communities in which

they operate.

Community engagement

Compensation, wages and benefits

compliance, anti-discrimination, freedom of

association and prevention of harassment.

Human rights

Integrity with respect to corruption, extortion and fraud,

protection of whistleblower cases, protection of intellectual

property and information disclosure when needed.

Ethics

Suppliers must comply with all applicable

health and safety regulations and directives.

Health & safety

� A hotline and a mobile number directly linked to the

CFO has been set up for vendor feedback. In 2012-13,

no vendor complaints were received.

� Going forward, we have a special vendor meet planned

every three years. Its objective is to recognize the

supplier and service partners and familiarize them with

Mindtree’s brand identity, value system and integrity.

� Mindtree plans to conduct background screening of all

vendors by the end of 2014-15. Currently, onsite visits

to the vendor’s premises are conducted for

large procurements.

� The current procurement manual is being revised

to encompass changes that have occurred in the

procurement landscape through the past three years.

Mindtree is planning to have a vendor management

portal with built-in performance management tools for

engaging with the vendors. This will also be used to rate

and provide feedback for vendors.

The supplier code of conduct covers the following areas:

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Gaurav JohriSenior Vice President

Banking Financial

Services & Insurance

S. JanakiramanPresident

Chief Technology Officer

Ashutosh ShuklaSenior Vice President

Travel & Transportation

Rostow RavananExecutive Vice President

Chief Financial Officer

Ravi ShankarExecutive Vice President

Chief People Officer

Parthasarathy N.S.President

Chief Operating Officer

Subroto BagchiChairman

Management team

Krishnakumar NatarajanCEO

Managing Director

Ramesh PillaiSenior Vice President

Hi-Tech

Radha RSenior Vice President

CPG, Manufacturing and

Retail

97

Veeraraghavan RKExecutive Vice President

Chief Delivery Officer

Scott StaplesPresident

Sales

Paul GottsegenSenior Vice President

Chief Marketing and

Strategy Officer

The profiles are available at: http://www.mindtree.com/company/management-team

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Global presenceMindtree has a combination of sales offices and delivery centers, to service global customers.

New Jersey15 Independence blvd.

Suite 410, Warren,

NJ 07059, USA

Ph: +1 908 604 8080

Fax: +1 908 604 7887

Florida 720 SW 2nd Avenue

South Tower, Gainesville,

FL 32601, USA

Ph: +1 352 702 4565

Fax: +1 352 433 4080

Illinois1901 N. Roselle road

Suite 800

Schaumburg, IL 60195

USA

Ph: +1 847 592 7044

Fax: +1 847 592 7043

Texas320 Decker drive

# 100, Irving, TX 75063

USA

Ph: +1 972 422 9113

Arizona19820 N. 7th Ave.

Suite 135

Phoenix, AZ 85027-4736

USA

Ph: +1 480 499 3145

Ph: +1 602 535 2257

Toll free: 1 800 239 4110

Washington5010 148th Ave NE

Suite 200, Redmond,

WA 98052, USA

Ph: +1 425 867 3900

Fax: +1 425 861 8151

California2001 Gateway place

Suite 700 W

San Jose, CA 95110

USA

Ph: +1 408 986 1000

Fax: +1 408 986 0005

CanadaBay and Bloor Centre

1235 Bay Street

Suite 400 Toronto Ontario

M5R 3K4

Canada

USA

United Kingdom288 Bishopsgate

EC2M 4QP, London

United Kingdom

Ph: +44 20 3178 8643

Fax: +44 20 7959 3030

GermanyRichmodstrasse 6

50667, Cologne

Germany

Ph: +49 221 9204 2233

Fax: +49 221 9204 2200

BelgiumPegasuslaan 5

1831, Diegem

Belgium

Ph: +32 2709 2055

Fax: +32 2709 2222

SwedenSvetsarvägen 15 2tr

17141, Solna

(Stockholm)

Sweden

Ph: +46 8 5787 7020

Fax +46 8 5787 7010

FranceLa Grande Arche

Paroi Nord

92044, Paris

France

Ph: +33 1 7329 4524

Fax: +33 1 7329 4500

SwitzerlandC/O Paramis AG

Muehlengasse 2

4410, Liestal

Switzerland

Ph: +41 5 2269 1400

Fax: +41 5 1269 1401

NetherlandsKoningin Juliana Plein 10,

2595 AA , Den Haag

Netherlands

Ph: +31 7 0891 8475

Fax: +31 7 0891 8433

EUROPE

99

UAE423, Block A, 5W

DAFZA

PO Box 293858

Dubai, UAE

Ph: +971 4260 2400

Fax: +971 4260 2401

Singapore17 Changi Business Park

Central 1,

#05 - 03 Honeywell

Building,

Changi business Park,

Singapore 486073

Singapore

Ph: +65 6323 8135

Fax: +65 6323 1795

AustraliaLevel 26, 44 Market st.

Sydney, NSW 2000

Australia

Ph: +61 (2) 9089 8970 / 71

Japan2-21-7-703, Kiba,

Koto-ku,

Tokyo, 135-0042

Japan

Ph: +81 3 5809 8444

Fax: +81 3 5809 8445

ChinaRoom 1503I, level 15

Tower 2, Kerry plaza

No.1 Zhong Xin Si road

Futian district Shenzhen

518048

China

Ph: +86 755 3304 3162 / 63

Fax: +86 755 3304 3322

Asia Pacific

BengaluruGlobal village, RVCE post

Mysore road

Bengaluru - 560 059

Karnataka, India

Ph: +91 80 6706 4000

Fax: +91 80 6706 4100

Plot no. 150,

EPIP second phase

KIADB industrial area

Hoody village, Whitefield

Bengaluru - 560066

Karnataka, India

New DelhiA-1, second floor

Sector 10

Noida - 201301

Uttar Pradesh, India

Ph: +91 120 244 3210 / 11

PuneRajiv Gandhi infotech &

biotech park,

Plot no.37 phase 1

MIDC, Hinjewadi

Pune – 411 057

Maharashtra, India

Ph: +91 20 3915 6000

Fax: +91 20 3915 6186

ChennaiTP2 / 2, CyberVale

Mahindra world city SEZ

Kanchipuram district

Chennai - 603002

Tamilnadu, India

Ph: +91 44 6749 7000

Fax: +91 44 6749 7100

5th Floor, Hardy block,

TRIL infopark ltd.,

Ramanujan IT city SEZ,

Rajiv Gandhi salai,

Taramani

Chennai – 600113

Tamilnadu, India

Ph: +91 44 3371 1100

Fax: +91 44 3371 1000

HyderabadDivyasree orion

B-6, Survey no-66 / 1

Raidugam, RR district

Hyderabad – 500 032

Andhra Pradesh, India

Ph: +91 40 6723 0000

Fax: +91 40 6723 0100

India

100

Mindtree was recognized in many forums for its environmental practices, corporate governance, learning practices, leadership acumen and good samaritan.

Awards and recognitions received during 2012-13

Environment:Second runner-up in the ‘People’s Green Award’ category

as part of the TCS World 10K marathon, that was held in

Bangalore, 2012.

Corporate governance:‘Best Corporate Governance India 2013’ (second

consecutive year), instituted by the World

Finance magazine

Asia money Corporate Governance Poll 2012 ranked us

top in the category of ‘Best for Investor Relations in India’

and also ranked us second in India (up from third in 2011)

for overall Corporate Governance, Best for Disclosure and

Transparency, Best for Shareholders’ Rights and Equitable

Treatment, Best for Responsibilities of Management and

the Board of Directors.

Leadership acumen:Our senior management comprises some of the most

seasoned global leaders in the industry, from diverse

backgrounds, geographies and with different areas of

specialization in the IT services industry.

Mr. Krishnakumar Natarajan, our CEO, was ranked 28th,

(with an employee approval rating of 90%) amongst the

Top 50 CEOs across the globe in 2013, by Glassdoor _ a

jobs and career community website.

Mr. Rostow Ravanan, our CFO, was named amongst the Top

100 CFOs in India by the CFO magazine for 2013 under

the category of ‘Winning Edge in Strategy’. This is the third

year in succession that Mr. Rostow Ravanan has made it to

the coveted CFO100 list.

Mr. Ravi Shankar, our Chief People Officer, was recognized

among the ‘40 Most Talented HR Leaders in India – 2012’,

by the World HRD Congress and ET Now.

Mr. Sudhir Kumar Reddy, our Chief Information Officer, was

honored by the CIO magazine as a ‘Super League Honoree’

as part of the CIO 100 awards in 2012.

Learning practices:Awarded the bronze medal in the ‘Best Blended Learning

Program’ category as part of the TISS-LeapVaultCLO (Chief

Learning Officers) awards instituted by the Tata Institute

of Social Sciences and LeapVault in 2012, in recognition of

the learning and development practices.

Good samaritan:Mr. Abraham Moses, Head of Mindtree Foundation, was

awarded Forbes 2012 Philanthropy award under the

category ‘Good Samaritan’ for his combined efforts in

looking after administration and the personal welfare of

Mindtree Minds.

‘Certificate of Merit’ award as part of SHRM’12 - excellence

in community impact category.

101

Assurance statement

102

103

104

Data assumptions

Company owned

vehicles

The company owns four vehicles. An assumed average of 30km per day is used. Mindtree has arrived

at the average distance commuted by assuming the average round distance of Mindtree facilities

from the center of the city. Thus, by multiplying the average km per day by the assumed number of

working days in a year (250 days) we arrived at the total kilometers travelled. Emission factors are

bifurcated into petrol and diesel based on the make of the vehicle.

Fuel usage Weight of one full LPG gas cylinder is considered as 19.5kg. This figure has been utilized in the event

that locations have provided the number of LPG gas cylinders being used as opposed to the kg.

Refrigerant For HFC’s and PFC’s, the global warming potential of the refrigerant along with a conversion factor

of 0.001 is converted into CO2e using standard conversion formulas.

Employee

commute

1. For company leased vehicles, the fuel make of the vehicle is considered to determine petrol vs.

diesel vehicles. An average of the monthly petrol and diesel prices of all major Indian cities has

been considered to compute the total litres consumed. Emissions are overstated by at least 20%

as the fuel claim also includes personal travel on the part of employees.

2. Assumed an average of 30 km per passenger per day for public transport. We have arrived at the

average distance commuted by assuming the average round distance of Mindtree facilities from

the center of the city. Thus, by multiplying the average passenger km per day by the assumed

number of working days in a year (250) and the number of employees who use the service

the total kilometers travelled are computed. It is assumed that the emission factor for public

transport to be that of bus (type unknown) as a majority of employees using public transport

commute by bus services.

3. Public transport: We have arrived at the number of employees who use public transport by

inference, i.e. by subtracting the total number of employees who use cars, two wheelers and

Mindtree operated buses from the total number of employees in the India operations.

4. Mindtree uses parking lot figures to determine a factor of the employees using four and

two wheelers.

5. For four and two wheelers, the emissions on account of employee commuting have been

computed based on the assumption arrived from the company leased vehicles, that 70% of fuel

costs assumed are to be associated with petrol and 30% of fuel costs assumed to be associated

with diesel. The kilometers are calculated by assuming an average of 30 km per passenger per

day – with a similar principle to that of public transport.

Business travel

(International &

domestic)

1. GHG protocol provides different emission factors for domestic, short haul and long haul flights. A

distance based classification into these categories is more appropriate. Based on an assumption

and a study of available literature, Mindtree has considered the following categorisation to

classify all flights as per the categorization below:

Domestic: less than 463 km

Short haul: between 464 and 1108 km

Long haul: greater than 1108 km

With this categorization, a majority of the flights (98%) are long haul with the balance under

short haul (1%) and domestic (0.2%).

Data assumptions

105

Waste 1. Weight of one UPS battery is considered as 11.70 kg. This figure has been utilized in the event

that locations have provided the number of batteries being used as opposed to the kg.

2. Weight of one litre of used oil is considered as 0.88 kgs. This figure has been utilized in the event

that locations have provided the number of litres of used oil being disposed as opposed to the kg .

3. Weight of one CFL bulb is considered as 126g. This figure has been utilized in the event that

locations have provided the number of CFL’s being disposed as opposed to the kg.

4. Weight of one tubelight is considered as 250g. This figure has been utilized in the event that

locations have provided the number of tubelights being disposed as opposed to the kg.

5. Weight of one DG filter is considered as 1.5Kg. This figure has been utilized in the event that

locations have provided the number of DG filters being disposed as opposed to the kg.

6. The average weight of municipal solid waste (wet / dry) generated is considered as 0.5 kg /

person / month. 50% of this is considered as dry waste which is recycled.

7. In the event that waste (oil soaked cotton and DG filters) have been disposed but there is no

record of the same, averages of the available data have been considered for those months

8. Emissions associated with waste disposed have been considered as opposed to disposed +

generated + stored.

9. Since clarity on the disposal methodology is not available, more conservative emission factors

are used.

Freight Emission factor for domestic is used for domestic air freight and emission factor for international is

that of long haul.

Water 1. For smaller locations where the builder maintains the total water consumed, figures are obtained

by assuming one employee consumes 65 litres of water per day. 65 litres is derived based on

ratio of the total water consumed in locations with accurate measure by the total number

of employees.

2. Drinking water is collected in the form of number of cans. This is multiplied by 20 litres (capacity

of the bubble top) to provide the total number of litres.

Air emissions Air emissions are not measured monthly and hence are extrapolated for the months

not measured.

* The INR to USD conversion factor was taken at the INR to USD exchange rate of Rs. 45.60 for the year

2010-11, Rs. 47.57 for the year 2011-12 and Rs. 54.21 for the year 2012-13

106

The ten principles of the United Nations global compact

NVG - SEE nine principles

Principles Statement Page No.

Human rights

Principle 1 Businesses should support and respect the protection of internationally proclaimed

human rights.

54, 94

Principle 2 Make sure that they are not complicit in human rights abuses. 54, 94

Labour

Principle 3 Businesses should uphold the freedom of association and the effective recognition of the

right to collective bargaining.

54, 94

Principle 4 The elimination of all forms of forced and compulsory labour. 54, 94

Principle 5 The effective abolition of child labour. 54, 94

Principle 6 The elimination of discrimination in respect of employment and occupation. 54, 94

Environment

Principle 7 Businesses should support a precautionary approach to environmental challenges. 60-67

Principle 8 Undertake initiatives to promote greater environmental responsibility. 60-67

Principle 9 Encourage the development and diffusion of environmentally friendly technologies. 60-67

Anti-corruption

Principle 10 Businesses should work against corruption in all its forms, including extortion and bribery. 17

Sub part Aspects Page no.

A Part A of the report includes basic information and data about the operations of the business entity. Thus,

the reading of the report becomes more contextual and comparable with other similarly placed businesses.

It may be written in a free format incorporating at least the following:

A-1 Basic information

about the

business

Name Cover page

Nature of ownership 4

Details of the people in top management 96-97

Location of its operations - national and international 98-99

Products and services offered 4

Markets served 98-99

Economic and

financial data

Sales 82

Net profit 82

Tax paid 82

Total assets 82

Market capitalisation 80

Number of employees 4

A-2 Management’s commitment statement to the ESG guidelines 5-6

Priorities in terms of the principle and the core elements 26-27

107

Sub part Aspects Page no.

Reporting period / cycle 2

Whether the report is based on this framework or any other framework 2

Any significant risk that the business would like its stakeholders to know 19-20

Any goals and targets that were set by the top management for improving their performance

during the reporting period

28-29

B

Part B of the report incorporates the basic parameters on which the business may report their performance.

Efforts have been made to keep the reporting simple keeping in view the fact that this framework is equally

applicable to the small businesses as well. The report may be prepared in a free format with the basic

performance indicators being included in the same. In case the business entity has chosen not to adopt or

report on any of the principles, the same may be stated along with, if possible, the reasons for not doing so.

B-1

Principle

1 – ethics,

transparency and

accountability

Governance structure of the business, including committees under the

Board responsible for organization oversight. In case no committee is

constituted, then the details of the individual responsible for the oversight.

14-18

Mandate and composition (including number of independent members

and / or non-executive members) of such committee with the number of

oversight review meetings held.

14-18

State whether the person / committee head, responsible for oversight

review is independent from the executive authority or not. If yes, how.

15

Mechanisms for shareholders and employees to provide recommendations

or direction to the Board / Chief Executive.

16

Processes in place for the Board / Chief Executive to ensure conflicts of

interest are avoided.

17

Internally developed statement on ethics, codes of conduct and details of

the process followed to ensure that the same are followed.

17

Frequency with which the Board / Chief Executive assesses

BR performance.

17

Principle

2 – products

life cycle

sustainability

Statement on the use of recyclable raw materials. NA

Statement on use of energy efficient technologies, designs and

manufacturing / service delivery processes.

60

Statement on copyrights issues in case of the products that involve use of

traditional knowledge and geographical indicators.

NA

Statement on use of sustainable practices used in the value chain. 94

Principle 3 –

employees’ well-

being

Total number of employees and percentage of employees who are engaged

through contractors.

43

Statement on non-discriminatory employment policy of the business entity. 46

Percentage of employees who are women. 48

Number of persons with disabilities hired. 48

Amount of the least monthly wage paid to any skilled and unskilled employee. 54

Number of training and skill upgradation programmes organized during the

reporting period for skilled and unskilled employees.

37-39

108

Sub part Aspects Page no.

B-1

Number of incidents of delay in payment of wages during the

reporting period.

54

Number of grievances submitted by the employees. 46

Principle 4 –

stakeholder

engagement

Statement on the process of identification of stakeholders and engaging

with them.

22-26

Statement on significant issues on which formal dialogue has been

undertaken with any of the stakeholder groups .

22-26

Principle 5 –

human rights

Statement on the policy of the business entity on observance of human

rights in their operation.

54, 94

Statement on complaints of human rights violations filed during the

reporting period.

46

Principle 6 –

environment

Percentage of materials used that are recycled (input materials). NA

Total energy consumed by the business entity for its operations. 60

Statement on use of energy saving processes and the total energy saved

due to use of such processes.

60

Use of renewable energy as percentage of total energy consumption. Not

reported

Total water consumed and the percentage of water that is recycled

and reused.

61-62

Statement on quantum of emissions of GHG and efforts made to reduce

the same.

62-63

Statement on discharge of water and effluents indicating the treatment

done before discharge and the destination of disposal.

61

Details of efforts made for reconstruction of bio-diversity. 67

Principle 7 –

policy advocacy

Statement on significant policy advocacy efforts undertaken with details of

the platforms used.

25

Principle 8 –

inclusive growth

Details of community investment and development work undertaken

indicating the financial resources deployed and the impact of this work

with a longer term perspective.

87-90

Details of innovative practices, products and services that particularly

enhance access and allocation of resources to the poor and the

marginalized groups of the society.

87-90

Principle 9 –

customer value

Statement on whether the labelling of their products has adequate

information regarding product-related customer health & safety, method of

use & disposal and product & process standards observed.

NA

Details of the customer complaints on safety, labelling and safe disposal of

the products received during the reporting period.

NA

109

Sub part Aspects Page no.

C

Part C of the report incorporates two important aspects on BR reporting. Part C-1 is a disclosure by the

business entity on any negative consequences of its operations on the social, environmental and economic

fronts. The objective is to encourage the business to report on this aspect in a transparent manner so that it

can channelize its efforts to mitigate the same. Part C-2 is aimed at encouraging the business to continuously

improve its performance in the area of BR.

C-1 Brief report on any material / significant negative consequences of the operations of the

business entity.

None

C-2 Brief on goals and targets in the area of social, environmental and economic responsibilities

that the business entity has set for itself for the next reporting period

28-29

Application level: A+ Assured By KPMG

STANDARD DISCLOSURES PART I: Profile disclosures

Profile

disclosure

Description Reported Page no.

1. Strategy and analysis

1.1 Statement from the most senior decision-maker of the

organization.

5

1.2 Description of key impacts, risks and opportunities. 19-20

2. Organization profile

2.1 Name of the organization. 1

2.2 Primary brands, products and / or services. 4

2.3 Operational structure of the enterprise, including main divisions,

operating enterprise, subsidiaries and joint ventures.

4, 98-99

2.4 Location of organization headquarters. 98

2.5 Number of countries where the organization operates and names

of countries with either major operations or that are specifically

relevant to the sustainability issues covered in the report.

98-99

2.6 Nature of ownership and legal form. 98-99

2.7 Markets served (including geographic breakdown, sectors

served and types of customer / beneficiaries).

4, 98-99

2.8 Scale of the reporting organization. 4

2.9 Significant changes during the reporting period regarding size,

structure or ownership.

4

2.10 Awards received in the reporting period. 100

Fully reported Partially reported Not reported Not applicable

GRI index

110

STANDARD DISCLOSURES PART I: Profile disclosures

Profile

disclosure

Description Reported Page no.

3. Report parameters

3.1 Reporting period (fiscal / calendar year) for information

provided.

2

3.2 Date of most recent previous report (if any).* 2

3.3 Reporting cycle (annual, biennial and likewise) 2

3.4 Contact point for questions regarding the report or its contents. 126

3.5 Process for defining report content. 2

3.6 Boundary of the report (for example countries, divisions,

subsidiaries, leased facilities, joint ventures, suppliers).

See GRI boundary protocol for further guidance.

2

3.7 State any specific limitations on the scope or boundary of the

report (see completeness principle for explanation of scope).

2

3.8 Basis for reporting on joint ventures, subsidiaries, leased

facilities, outsourced operations and other entities that can

significantly affect comparability from period to period

and / or between organization’s.

2

3.9 Data measurement techniques and the bases of calculations,

including assumptions and techniques. Underlying estimations

applied to the compilation of the indicators and other

information in the report. Explain any decisions not to apply

or to substantially diverge from the GRI indicator protocols.

104-105

3.10 Explanation of the effect of any restatements of information

provided in earlier reports and the reasons for such re-

statement (for example mergers / acquisitions, change of base

years / periods, nature of business, measurement methods).*

NA

3.11 Significant changes from previous reporting periods in

the scope, boundary or measurement methods applied in

the report. *

NA

3.12 Table identifying the location of the standard disclosures in

the report.

107

3.13 Policy and current practice with regard to seeking external

assurance for the report.

2

* No past reports

111

STANDARD DISCLOSURES PART I: Profile disclosures

Profile

disclosure

Description Reported Page no.

4. Governance, commitments and engagement

4.1 Governance structure of the organization, including

committees under the highest governance body responsible for

specific tasks, such as setting strategy or organization oversight.

16

4.2 Indicate whether the Chair of the highest governance body is

also an Executive Officer.

15

4.3 For organization that have a unitary board structure, state the

number and gender of members of the highest governance

body that are independent and /or non-executive members.

15

4.4 Mechanisms for shareholders and employees to provide

recommendations or direction to the highest governance body.

17

4.5 Linkage between compensation for members of the highest

governance body, senior managers and executives (including

departure arrangements) and the organization performance

(including social and environmental performance).

17-18

4.6 Processes in place for the highest governance body to ensure

conflicts of interest are avoided.

17

4.7 Process for determining the composition, qualifications and

expertise of the members of the highest governance body

and its committees, including any consideration of gender and

other indicators of diversity.

16-17

4.8 Internally developed statements of mission or values, codes of

conduct and principles relevant to economic, environmental

and social performance and the status of their implementation.

17

4.9 Procedures of the highest governance body for overseeing

the organization identification and management of

economic, environmental and social performance, including

relevant risks and opportunities and adherence or compliance

with internationally agreed standards, codes of conduct

and principles.

17

4.10 Processes for evaluating the highest governance body’s

own performance, particularly with respect to economic,

environmental and social performance.

17

112

STANDARD DISCLOSURES PART I: Profile disclosures

Profile

disclosure

Description Reported Page no.

3. Report parameters

4.11 Explanation of whether and how the precautionary approach or

principle is addressed by the organization.

17

4.12 Externally developed economic, environmental and social

charters, principles or other initiatives to which the organization

subscribes or endorses.

18

4.13 Memberships in associations (such as industry associations)

and / or national / international advocacy enterprise in

which the enterprise: * Has positions in governance bodies; *

Participates in projects or committees; * Provides substantive

funding beyond routine membership dues; or * Views

membership as strategic.

18

4.14 List of stakeholder groups engaged by the organization. 21-24

4.15 Basis for identification and selection of stakeholders with whom

to engage.

21-24

4.16 Approaches to stakeholder engagement, including frequency of

engagement by type and by stakeholder group.

21-24

4.17 Key topics and concerns that have been raised through

stakeholder engagement and how the organization has

responded to those key topics and concerns, including

its reporting.

26-27

STANDARD DISCLOSURES PART II: Disclosures on Management Approach (DMA)

DMA Description Reported Page no.

DMA EC Disclosure on management approach EC 79-82

Aspects

Economic performance 82

Market presence NA

Indirect economic impacts 79-82

DMA EN Disclosure on management approach EN 59-67

Aspects

Materials NA

Energy 60

Water 62

Biodiversity 62-66

Emissions, effluents and waste 62-66

Products and services 4

113

Aspects

Compliance 64

Transport 44

Overall 59-67

DMA LA Disclosure on management approach LA 43-54

Employment 43-45

Labor / management relations NA

Occupational health & safety 53

Aspects Training and education 37-39

Diversity and equal opportunity 46-48

Equal remuneration for women and men 46

DMA HR Disclosure on management approach HR 46, 54, 94

Aspects

Investment and procurement practices 54, 94

Non-discrimination 46

Freedom of association and collective bargaining 54, 94

Child labor 54, 94

Prevention of forced and compulsory labor 54, 94

Security practices 104

Indigenous rights NA

Assessment 94

Remediation 94

DMA SO Disclosure on management approach SO 87-90

Local communities 87-90

Corruption 23

Public policy 18

Anti-competitive behaviour 18

Compliance 18

DMA PR Disclosure on management approach PR 18, 71-72

Customer health and safety * NA

Product and service labelling 71-72

Marketing communications 71-72

Customer privacy 71-72

Compliance 18

* Mindtree is an IT / ITES enterprise

114

STANDARD DISCLOSURES PART III: Performance indicators

Performance

indicator

Description Reported Page no.

Economic

Economic performance

EC1 Direct economic value generated and distributed, including

revenues, operating costs, employee compensation,

donations and other community investments, retained earnings

and payments to capital providers and governments.

82

EC2 Financial implications and other risks and opportunities for the

organization activities due to climate change.

19

EC3 Coverage of the organization defined benefit plan obligations. -

EC4 Significant financial assistance received from government. 82

Market presence

EC5 Range of ratios of standard entry level wage by gender

compared to local minimum wage at significant locations

of operation.

54

EC6 Policy, practices and proportion of spending on locally based

suppliers at significant locations of operation.

94

EC7 Procedures for local hiring and proportion of senior

management hired from the local community at significant

locations of operation.

44

Indirect economic impact

EC8 Development and impact of infrastructure investments

and services provided primarily for public benefit through

commercial, in kind or pro bono engagement.

87-90

EC9 Understanding and describing significant indirect economic

impact, including the extent of impact.

87-90

Environmental

Materials

EN1 Materials used by weight or volume.* NA

EN2 Percentage of materials used that are recycled input materials.* NA

* Mindtree is an IT / ITES enterprise

115

Energy

EN3 Direct energy consumption by primary

energy source.

60

EN4 Indirect energy consumption by primary source. 60

EN5 Energy saved due to conservation and

efficiency improvements.

60

EN6 Initiatives to provide energy-efficient or

renewable energy based products and services and reductions

in energy requirements as a result of these initiatives.

60

EN7 Initiatives to reduce indirect energy consumption and

reductions achieved.

60

Water

EN8 Total water withdrawal by source. 61

EN9 Water sources significantly affected by withdrawal of water. 61

EN10 Percentage and total volume of water recycled and reused. 62

Biodiversity

EN11 Location and size of land owned, leased, managed in or adjacent

to, protected areas and areas of high biodiversity value outside

protected areas.

67

EN12 Description of significant impact of activities, products and

services on biodiversity in protected areas and areas of high

biodiversity value outside protected areas. *

67

EN13 Habitats protected or restored. * 67

EN14 Strategies, current actions and future plans for managing

impacts on biodiversity. *NA

EN15 Number of IUCN Red List species and national conservation list

species with habitats in areas affected by operations by level of

extinction risk. *

NA

Emissions, effluents and waste

EN16 Total direct and indirect greenhouse gas emissions by weight. 62-63

EN17 Other relevant indirect greenhouse gas emissions by weight. 62-63

EN18 Initiatives to reduce greenhouse gas emissions and

reductions achieved.

64

* Mindtree is not located near areas of high biodiversity value

116

EN19 Emissions of ozone-depleting substances by weight. 64

EN20 NOx, SOx and other significant air emissions by type and weight. 63

EN21 Total water discharge by quality and destination. 61

EN22 Total weight of waste by type and disposal method. 65-66

EN23 Total number and volume of significant spills. 64

EN24 Weight of transported, imported, exported or treated waste

deemed hazardous under the terms of the Basel Convention

Annex I, II, III and VIII and percentage of transported waste

shipped internationally. *

NA

EN25 Identity, size, protected status and biodiversity value of

water bodies and related habitats significantly affected by

the reporting organization discharges of water and runoff.

61

Products and services

EN26 Initiatives to mitigate environmental impact of products and

services and the extent of impact mitigation.

60-67

EN27 Percentage of products sold and packaging material reclaimed

by category. **

NA

Compliance

EN28 Monetary value of significant fines and total number of non

monetary sanctions for non compliance with environmental

laws and regulations.

64

Transport

EN29 Significant environmental impact of transporting products and

other goods and materials used for the organization operations

and transporting members of the workforce.

64

Overall

EN30 Total environmental protection expenditures and investments

by type.

-

Social: labor practices and decent work

Employment

LA1 Total workforce by employment type, employment contract and

region, broken down by gender.

43

LA2 Total number and rate of new employee hires and employee

turnover by age group, gender and region.

44-45

* Not applicable as per the Basel Convention** Mindtree is an IT / ITES enterprise

117

LA3 Benefits provided to full-time employees that are not provided

to temporary or part-time employees, by major operations.

48

Labor / management relations

LA4 Percentage of employees covered by the collective bargaining

agreements. 7NA

LA5 Minimum notice period(s) regarding significant operational

changes, including whether it is specified in collective

agreements. 7

NA

Occupational health and safety

LA6 Percentage of total workforce represented in formal joint

management-worker health and safety committees that help

monitor and advise on occupational health and safety programs.

NA

LA7 Rates of injury, occupational diseases, lost days and

absenteeism and number of work-related fatalities by region

and by gender.

-

LA8 Education, training, counselling, prevention and risk-control

programs in place to assist workforce members, their families or

community members regarding serious diseases.

53

LA9 Health and safety topics covered in formal agreements with

trade unions. *NA

Training and education

LA10 Average hours of training per year per employee by gender and

by employee category.

37

LA11 Programs for skills management and lifelong learning that support

the continued employability of employees and assist them in

managing career endings.

37-39

LA12 Percentage of employees receiving regular performance and career

development reviews, by gender.

49

Diversity and equal opportunity

LA13 Composition of governance bodies and breakdown of

employees as per employee category, according to

gender, age group, minority group membership and other

indicators of diversity.

47

Equal remuneration for women and men

LA14 Ratio of basic salary and remuneration of women to men by

employee category, by significant locations of operation.

46

* Employees not part of trade unions

118

Social: human rights

Investment and procurement practices

HR1 Percentage and total number of significant investment

agreements and contracts that include clauses incorporating

human rights concerns or that have undergone human rights

screening.

-

HR2 Percentage of significant suppliers, contractors and other

business partners that have undergone human rights screening

and actions taken.

54, 94

HR3 Total hours of employee training on policies and procedures

concerning aspects of human rights that are relevant to

operations, including the percentage of employees trained.

54, 94

Non-discrimination

HR4 Total discrimination incidents and corrective actions taken. 46

Freedom of association and collective bargaining

HR5 Operations and significant suppliers identified in which the right

to exercise freedom of association and collective bargaining

may be violated or at significant risk and actions taken to

support these rights.

54, 94

Child labor

HR6 Operations and significant suppliers identified as having

significant risk for incidents of child labor and measures taken to

contribute to the effective abolition of child labor.

54, 94

Forced and compulsory labor

HR7 Operations and significant suppliers identified

as having a significant risk for incidents of forced

or compulsory labor and measures to contribute

to the elimination of all forms of forced or compulsory labor.

54, 94

Security practices

HR8 Percentage of security personnel trained in

the organization’s policies or procedures concerning aspects of

human rights that are relevant to operations.

54, 94

Indigenous rights

HR9 Total incidents of violations involving rights of indigenous

people and actions taken.

NA

119

Assessment

HR10 Percentage and total number of operations that have been

subject to human rights reviews and / or impact assessments.

54

Remediation

HR11 Grievances related to human rights filed, addressed and

resolved through formal grievance mechanisms.

46

Social: Society

Local communities

SO1 Percentage of operations with implemented local community

engagement, impact assessments and development programs.

87-90

SO9 Operations with significant potential or actual negative impacts

on local communities.

87-90

SO10 Prevention and mitigation measures implemented in

operations with significant potential or actual negative

impacts on local communities.

87-90

Corruption

SO2 Percentage and total number of business units analyzed for

risks related to corruption.

19

SO3 Percentage of employees trained in the organization’s

anti-corruption policies and procedures.

14

SO4 Actions taken in response to incidents of corruption. 19

Public policy

SO5 Public policy positions and participation in public policy

development and lobbying.

18

SO6 Total value of financial and in-kind contributions to political

parties, politicians and related institutions by country.

82

Anti-competitive behaviour

SO7 Total number of legal actions for anti-competitive behaviour,

anti-trust & monopoly practices and their outcomes.

18

Compliance

SO8 Monetary value of significant fines and total number of

non-monetary sanctions for non-compliance with laws

and regulations.

18

120

Social: Product responsibility

Customer health and safety

PR1 Life cycle stages in which health and safety impacts of

products and services are assessed for improvement and the

percentage of significant products and services categories

subject to such procedures. *

NA

PR2 Total incidents of non-compliance with regulations and

voluntary codes concerning health and safety impacts

of products and services during their life cycle, by type

of outcomes. *

NA

Product and service labelling

PR3 Type of product and service information required by

procedures and percentage of significant products and

services subject to such information requirements. *

NA

PR4 Total incidents of non-compliance with regulations and

voluntary codes concerning product and service information

and labelling, by type of outcomes. *

NA

PR5 Practices related to customer satisfaction, including results of

surveys measuring customer satisfaction.

71

Marketing communications

PR6 Programs for adherence to laws, standards and

voluntary codes related to marketing communications,

including advertising, promotion and sponsorship.

NA

PR7 Total incidents of non-compliance with regulations and

voluntary codes concerning marketing communications,

including advertising, promotion and sponsorship by type of

outcomes.

18

Customer privacy

PR8 Total substantiated complaints regarding breaches of customer

privacy and losses of customer data.

72

Compliance

PR9 Monetary value of significant fines for non-compliance with

laws and regulations concerning the provision and use of

products and services.

18

* The services offered by Mindtree do not have health and safety impact

121

Acronym Expansion

ADITI Analog and Digital Theremin Interface

BCP Business Continuity Plan

BMTC Bangalore Metropolitan Transport Corporation

BOD Board of Directors

BSE Bombay Stock Exchange Limited

BU Business Unit

C2 Culture and Competence

CBS Common Bus System

CETPs Common Effluent Treatment Plants

CFC Chloro Fluoro Carbon

CIS Corporate Information Systems

CMM Capability Maturity Model

CMMI Capability Maturity Model Integration

CPC Cultural Protection Committee

CPP Competitive Pay Point

CRO Chief Risk Officer

CSAT Customer Satisfaction

CSR Corporate Social Responsibility

D2R Dream-to-Reality

DRP Disaster Recovery Plans

EDGES Ethnicity, Disability, GEnder and Sexual Orientation

EHS Environment, Health and Safety

ELP Emerging Leaders Program

EMS Environment Management System

ERM Enterprise Risk Management

FY Financial year

GHG Greenhouse Gas

GRI Global Reporting Initiative

GJ Giga Joules

HFC Hydro Fluoro Carbon

HMHB Healthy Mind Healthy Body

IGICH Indira Gandhi Institute of Child Health

IMTS Infrastructure Management and Technical Support

INR Indian National Rupees

IP Intellectual Property

ISMS Information Security Management Systems

ISO International Organization for Standardization

ITES Information Technology Enabled Services

IT Information Technology

KM Knowledge Management

KRAs Key Result Areas

122

Acronym Expansion

KT Knowledge Transfer

Kwh Kilowatt Hour

LEED Leadership in Energy and Environmental Design

MSA Master Services Agreement

MCPM Mindtree Certified Project Managers

MGC Mindtree Green Council

MOC Missionaries of Charity

MPE Management Program for Executives

MAKE Most Admired Knowledge Enterprise

NAB National Association for the Blind

NASSCOM The National Association of Software and Services Companies

NOx Oxides of Nitrogen

NSE National Stock Exchange of India Limited

NVG-SEE National Voluntary Guidelines on Social, Environmental and Economic Responsibilities

of Business

NGO Non Government Organization

OHSAS Occupational Health and Safety Assessment Sequence

pepm per employee per month

PIP Performance Improvement Program

PLSS Project Level Satisfaction Surveys

PMR Project Management Review

PPR Project Performance Review

PWDs People With Disabilities

ROW Rest of the World

R&D team Research and Development team

R&R Rewards and Recognition

RAP Reasonable Accommodation Policy

RWH Rain Water Harvesting

SHRM Society of Human Resource Management

SMAC Social media, Mobility, Big Data / Analytics and Cloud services

SOW Statements of Work

SOX Oxides of Sulfur

SSK Spastics Society of Karnataka

SPASTN Spastics Society of Tamil Nadu

SPM Suspended Particulate Matter

SRP Strategic Recruitment Partners

SEBI Securities Exchange Board of India

STPs Sewage Treatment Plants

TSA Technologists for Social Action

UNGC United Nations Global Compact

USD United States Dollar

VFM Value for Money

VA Value Add

Contact details:

Chitra Byregowda | Head – Sustainability & Diversity | Chitra_Byregowda@mindtree.com

Registered Office: Mindtree Global Village, | RVCE Post, Mysore Road | Bangalore 560 059 | Karnataka, India.

Telephone: +91-80-6706 4000 | Fax: +91-80-6706 4100

The report can be downloaded at http://www.mindtree.com/sustainability/mindtree-sustainability-report.pdf

www.mindtree.com

Feedback and communication

We welcome any feedback and suggestions which will further strengthen our sustainability programs.