### 3.1 Board Oversight and Compliance
Cyient's board has the overall responsibility of providing oversight and setting future goals for the sustainability agenda. Board of Directors plays a pivotal role in overseeing climate risk and its associated impact on business, and etching climate change and sustainability related aspects in the Company's core business strategy.
The board has the overall responsibility for the governance and strategic direction of the Company, including aspects related to climate change. Board of directors through various committees have close oversight of the functioning of the organization. The board members meet at regular intervals to provide strategic directions and review initiatives towards climate change across the organization.
At the board level, comprehensive sustainability governance framework drives the company's sustainability goals which majorly includes three positions/committees responsible for addressing climate -related issues.
Positions/Committees Responsibilities for climate-related issues
Cyient's Board of Directors - Acts as apex committee, providing oversight and setting future goals for our sustainability agenda
- Provide oversight with the support of ESG Committee, on ESG and climate related issues and priorities, long-term sustainability strategy targets, and performance of the company
- Consider Climate-related issues when formulating organization's business plans and strategies; Climate related issues are annually scheduled on the board of directors' agenda.
ESG Committee - Ensures the integration of sustainability related aspects across the organization; responsible for identifying, assessing, and managing climate-related risks and opportunities.
- Oversees Cyient's ongoing efforts around environmental, health and safety, corporate social responsibility, inclusion and diversity, sustainability, and all other matters pertaining to public policy.
- Evaluates the utilization of ESG as a growth strategy for Cyient's offerings and operations
- Oversees goal setting and reporting processes
- Works closely with the Risk Management Committee to identify, monitor, and evaluate climate-related risks
- Oversees the organization's ESG and climate strategy implementation, offering strategic guidance for managing climate-related risks and impacts
Working Group - Constitutes representatives from different functions responsible for implementing sustainability and climate related initiatives within their respective areas
- Manage on-ground teams, gather essential data, and provide inputs on various sustainability programs
Table 2: ESG committee: Board level positions/committees responsible for addressing climate-related issues
The committee oversees Cyient's key sustainability initiatives, such as enhancing the share of renewable energy, boosting energy efficiency, transforming offices into green buildings, and eliminating single-use plastic. The company has also devised an emission reduction roadmap.
Company ensures the robust management of climate change related issues by linking the Key Result Areas (KRAs) with the compensation of the CEO, other executive officers, business unit manager to material ESG and climate factors. We promote sustainability among employees by rewarding them with recognition for sustainable activities they adopt outside our organization. Additionally, we foster increased associate participation in advancing sustainability through innovative gamification programs.