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How Fortis Healthcare is Manifesting a New Era of Sustainability in Healthcare
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India Inc is accelerating its efforts to ensure growth based on advanced sustainable economic development. Over the past few years, the Indian government has passed various regulatory controls and mandates, including the Energy Conservation (Amendment) Bill 2022 and the Business Responsibility and Sustainability Report (BRSR). In the West, European sustainable funds remained resilient in the first quarter of 2024, registering almost $11 billion of inflows, more than double the subscriptions of the previous quarter. As organizations worldwide continue to recognize the inevitability of seriously investing in sustainability, Alok A. Kumar, Group Lead, ESG & Sustainability, Fortis Healthcare—one of India’s largest healthcare networks, joins us for an exclusive one-on-one chat. A seasoned sustainability leader, Alok completed his PGDM from IIM Bangalore after an undergraduate degree in B.Arch from IIT Kharagpur. He is spearheading Pan-India initiatives to reduce the Energy Intensity and Water Intensity of each hospital unit at Fortis Healthcare.
In conversation with Alok A. Kumar, Group Lead, ESG & Sustainability, Fortis Healthcare
How has leaders' role in sustainability evolved amid the growing emphasis on embracing ESG goals, especially in the hospitals and healthcare industry?
I always say this: Sustainability is not a choice. It never was. The organizations that understood this, sustained. Those that didn’t, perished.
In the current world where the question “whether climate change is real” has become a moot point, the role of sustainability leaders has become even more critical. Today, sustainability is not some garnishing tool over one’s flowery commentaries in the annual reports but a hard-hitting, data-driven performance indicator. With mandatory climate data disclosures like BRSR and voluntary ones like CDP, today's organizations are supposed to be leading sustainability with actions, not mere words. And the wheat is being separated from the chaff.
I am happy to see that the Healthcare industry has finally been brought under the ESG umbrella over the last couple of years. Historically, hospitals have been very high on the S parameter—the social one—because it is our job to save lives. But now, the healthcare industry is catching up on the E (environmental) and G (governance) parameters, too.
We better do that. The amount of energy and water consumed and the amount of waste generated in hospitals are huge!
Are there any overlooked areas hampering the sustainable operations of the industry? Which areas would you suggest leaders to focus on?
As I said, sustainable operations in healthcare don’t only mean to keep saving lives in a silo but to keep saving lives without doing damage to the ecosystem and the environment. I believe the leaders in the healthcare industry should focus a lot more on minimizing the generation of bio-medical waste & consumption of water in hospitals. We should also be endeavoring to shift increasingly toward solar and wind energy, which is very much possible with the advent of new-age technologies. There are variable frequency distributors for the Air handling units, foam aerators for the taps, and AI-enabled solutions to optimize the entire hospital's energy and water consumption numbers.
Nowadays, with open access to renewable energy coming in, one doesn’t need to install solar plates on their hospitals' rooftops to gain access to solar energy.
It is all possible now – we just need sustained commitment from the healthcare players. I am an optimist, and I can see the positive changes happening.
We at Fortis Healthcare are doing great work in reducing our energy and water consumption and waste generation per occupied bed. Our initiatives are seeing fruition. I will be happy to share the details of what we are doing with sustainability leaders who are interested in learning more.
Does being sustainable provide a competitive advantage? How does it attract investors and market leaders to be part of their endeavor?
A little bit of competitive flair is good here and there. But in terms of sustainability, we have to understand that there is no competition—we are all in the same boat. If my competition beats me in saving more energy and generating less waste tomorrow, I will genuinely be very happy! I appreciate every effort toward sustainability – environmental, social or governance-oriented. Competitive advantage is a good thing for an organization, but in terms of sustainability, if my competition wins, I win. And if my competition loses, I haven’t won much either.
This is the precise reason why I believe in constant communication with the sustainability leaders of my competitive healthcare players. We keep sharing the best practices and help each other in solving challenges.
Having said that, I would agree that today's customers are waking up to the sustainability practices of their service providers—be it healthcare or otherwise. If you are good in sustainability, you will attract more customers. More investors will be willing to invest in you.
A genuinely sustainable organization attracts more business, more money to operate, and more reasons to remain committed to its good work. That is the very definition of sustainability.
How can leaders utilize partnerships/collaborations to make great strides in terms of green technology adoption?
Collaborations are key to achieving success in green technology adoption. Nowadays, with open access to renewable energy coming in, one doesn’t need to install solar plates on their hospitals' rooftops to gain access to solar energy. Neither is one required to install windmills in their parking lots to gain access to wind energy. Through well-crafted collaborations and partnerships with the right technology providers, hospitals can continue to focus on what they are good at – saving lives without damaging the environment in the process. AI-enabled BMS technologies, smart water management solutions, responsible biowaste management – every initiative is a huge untapped market on its own.
Forget next-generation; current-generation healthcare delivery service providers are utilizing such collaborations in great ways to achieve green technology adoption.
Tell us about your leadership approach to helping Fortis Healthcare meet ESG obligations and improve its sustainability performance and branding. What are your sustainable visions for the group?
At Fortis Healthcare, our vision towards sustainability is simple and focused. We want to consume less energy, less water, and generate less waste while expanding our bed capacities. How does this work? Well – the answer lies in reducing the per-bed energy, water consumption and waste generation. We are working toward that. The initial results have been very encouraging—we have been able to reduce our per-occupied bed energy consumption by 3.4 percent and reduce our per-occupied bed water consumption by 8.4 percent in the last financial year. We have set data-driven baselines for our bio-medical waste generation, and you will see good progress in responsible waste management very soon.
My personal leadership approach dovetails with our organization’s vision. I like to de-clutter deliverables—so that each and every person in the engineering or admin teams on the ground understands what we are trying to achieve in sustainability.
In light of your strong professional experience within the field, what would be your advice to budding leaders while accessing new opportunities?
My single advice to budding sustainability leaders accessing new opportunities is this:
Ask yourself why you are entering the field of sustainability. Be honest. Are you coming in for the money, or are you genuinely passionate about changing the environment and society around you?
Sustainability is a very fulfilling field —and yet very demanding. You need to be honest with yourself. The earth, this society, and all of us look up to budding sustainability leaders to help save the environment. Of course, with an increasing global focus on ESG, the money is going to be good—or at least comparable to many other leading professions.
But do think about it hard. What are your environmental actions when no one is looking? Do you genuinely feel like not throwing around waste? Do you experience the feeling in your bones to save water and preserve forests? Do you feel satisfied with your actions of using less plastic—as little as possible—in your everyday lives? Do you really believe in the power of human rights? Do you value an organization that engages in sustainable, ethical behavior of the highest order?
If the answer is yes, then you will do well and be very satisfied in this field.
The more, the merrier. May our tribe grow!
Hobby: Gardening, Mending Broken Things, and Problem-solving
Favorite Cuisines: South Indian. I can go on eating home-cooked Idli Sambar for days!
Favorite Movies: A Christmas Carol, Swades, The Dark Knight, Interstellar, Schindler’s List, and ZNMD
Favorite Books: Zen & The Art of Motorcycle Maintenance, The Godfather, God of Small Things, The Adventures of Sherlock Holmes, 5 AM Club, and The Owl Which Could Spell Tuesday
Favorite Travel Destinations: Seychelles, Goa, Thailand, and Rudraprayag