Background and Genesis of the Independent Assessment
In late 2004, the University of Michigan, USA initiated an enquiry into the
Coca Cola Company’s water management practices in India. The University
of Michigan and Coca Cola agreed that an independent assessment would provide
the information needed for the University to move ahead with its enquiry and
agreed that TERI, a New Delhi based international research organization, would
conduct the assessment guided by a Steering Committee comprising eminent experts.
In addition, the parties agreed that the credibility of this effort would
be strengthened if a neutral mediation and facilitation organization were
called upon to facilitate the interactions between Coca Cola and TERI, and
to help the parties ensure that the appropriate protocols and procedures were
in place that would preserve and protect TERI’s and the study’s
independence. The parties agreed that the Meridian Institute, an internationally
recognized neutral mediation organization based in the United States, would
be the appropriate organization to fill that role.
TERI’s Role and Approach
In late August 2006, the Scope of Work was finalized for TERI to conduct the
independent assessment of Coca-Cola’s corporate policies and governance
procedures related to water resources management and of Coca-Cola’s
current water management practices and water quality at selected facilities
in India. According to the Scope of Work, TERI was responsible for the:
a) Formation of an expert and credible Steering Committee to oversee and
review implementation of the work plan and methodology.
b) Plant level on-site assessment of water management at six Coca Cola facilities
in India. The on-site assessment included: primary monitoring of water balance
and water quality; surveys; and interviews with key personnel from each facility,
the community within the defined area, and other stakeholders to address the
relevant issues associated with water stewardship.
c) Corporate-level assessment of Coca Cola’s policies, procedures, management
systems, and compliance mechanisms relating to environmental protection and
water resource management, and questionnaire-based secondary data collection
from selected Coca Cola facilities in India.
In this context a Steering Committee of eminent persons headed by Prof.Yoginder K Alagh, eminent scholar and former minister in the Government of India, was constituted which approved the methodology, various protocols, and has periodically advised and guided the study.
A strong multi-disciplinary team of over 50 professionals has conducted the
detailed assessment of the six plants, which is contained in the Report along
with recommendations for corrective action wherever required.
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