More for less for more
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Sustainability is not an option for industry, especially Indian industry. It does not take a lot of imagination or effort to recognise this reality. Consider for example, India's commitment to inclusive growth. As more than 700 million additional people become micro consumers and micro producers, and join the organised sector, the pressure on resources will increase dramatically—be it pressure on land (and consequent deforestation), access to water, commodities and fossil fuels. Inclusive growth and sustainability are linked at the hip. The solution to this sustainable inclusive growth dilemma is not to stop growth but to innovate.
The argument from developing countries is fairly well rehearsed. "Sustainability is a burden that impedes growth. Consequently, developing economies can ill afford to focus on sustainability. This is a luxury that developed economies must deal with and pay for. Further, they are imposing an implicit tax on poor countries when they ask India, China or Brazil to cut down on their emissions". It is time we examined these assumptions.
We could, in India, continue with status quo and create an environmental disaster that is increasingly visible in China and pay the price of remediation later. Or we can change the focus of our efforts now. Instead of approaching sustainability as a matter of regulation and cost of compliance we could redirect our effort towards opportunities that sustainability offers for breakthrough innovation.
What if we converted India into a laboratory for sustainable inclusive growth innovations? What if we learn to do "More with Less" resources (sustainability) so that "More" people can participate (inclusive growth)? What if we start with "More for Less for More" as the organising theme for innovation?
We already see efforts in this direction such as LEED-certified buildings, water harvesting, energy saving small refrigerators, intelligent washing machines, and innovation in rice production (direct seeded rice) that saves water and human effort and increases productivity. The opportunities are for implementing "More for Less for More" is obvious in India.
For example, with growth we will get a dramatic increase in logistics requirement. What if we also improved the quality of traffic in our cities through better discipline? Give priority to building highways that can dramatically improve energy use as well as reduce the time and effort required in logistics? Just eliminating the inefficiencies in the transportation system through coordinated effort—better training, enforcement of traffic discipline and better highways—would be the first step. What if we also invested in cleaner fuel engines at the same time or in hybrids? What if we brought to bear on the issue of transportation and logistics the same energy and ingenuity that brought us a "Tata Naño"?
In every field of endeavour, we can see similar opportunities. What if we focus on "waterless detergents" or those that use one-tenth of the water without sacrificing quality? In the West, we are moving from hot water to cold water detergents. This change alone, if fully implemented, is estimated to save 80 billion KWH in the USA.
Should India with a low installed base of washing machines go through this cycle of first installing washing machines and then improving on them or go to the next generation technology, and leapfrog the West? India does not have a "forgetting curve" to worry about. The West has to change consumer habits that are ingrained through reinforcement over 75 years. Neither do we have to replace the installed base of machines. What an opportunity!
— The writer is a Paul and Ruth McCracken distinguished university professor, Ross School of Business, The University of Michigan.