Business and environment profoundly linked

Dynamic transformation is taking place in China and some other Asian countries at the dawn of the 21st century. One of the main features is the increasing awareness of the importance of being sustainable. Encouragement on sustainable practices has become more visible in China and India, most notably in government policies and regulations.

As people are increasingly aware of the significance of sustainability as a defining country brand, equally would they expect the business players to effectively build sustainability into their own brands.

There's an ascending public expectation that business, especially multinational companies, should act responsibly to address various sustainable concerns.

As the largest foreign investor in the Chinese diesel engine industry, Cummins takes sustainable development as a responsible business practice. It forms the core of its business and defines its vision for the future. Working toward a cleaner, healthier, safer environment are primary components of Cummins commitment to sustainability. And that perfectly coincides with China's ultimate sustainable objective - improving environmental and social performance to make lives better.

A sustainable future

As a company with proven history and passion for innovation, Cummins has been dedicated to pioneering new ways to solve common problems and, in so doing, making progress toward building a sustainable future. As a company listed on the Dow Jones Sustainability World Index for three consecutive years, the company is committed to developing or investing in promising new technology to support sustainability wherever it occurs.

Cummins has an established reputation for entrepreneurial approaches for innovative solutions to meet the toughest emissions standards worldwide while improving energy efficiency. In Asian markets, Cummins has a history of being a "green leader". Its development path in China, India, Japan and South Korea are based on the company's continued commitment to communicating advancements in diesel engine and emissions technology.

More importantly, instead of acting alone, Cummins prefers to be an active partner with like-minded businesses and organizations to seek innovative solutions for the local demands. Cummins works closely with its customers to build partnerships that strengthen local capacity to promote environmentally sound economic development for the areas.

Joint efforts

Numerous initiatives generated from joint efforts include:

Instead of simply introducing the existing product catalog, Cummins cooperates with its local partners to adapting the engine products, or designing new platforms tailored for the local demand. For example, to meet the market desire for low-emission, high-efficiency engines, Cummins is working with Chinese partners to develop three brand-new diesel engine platforms that will soon debut in China, including two new light-duty diesel engines by the company's joint venture with Foton, and a new 13-liter heavy-duty engine jointly developed with Dongfeng.

Leveraging its worldwide experience and leadership with a wide range of proven technologies, Cummins aims to establish first-class research and development capabilities to identify innovative solutions to address the local demand. It built up tech centers in China and India by partnering with local OEMs. Cummins also entered a partnership with Tsinghua University on the joint development of diesel technologies.

Cummins believes that multinationals, as responsible corporate citizens, have the obligation to pioneer the innovative application of alternative fuel sources. Cummins has pledged to continue its efforts to ensure that future products be compatible with biofuels. Cummins' outstanding cooperation with China urban transit fleets has produced successful stories of alternative fuel application: Cummins natural gas engines and hybrid power have made great contributions to the emission reduction efforts. The company has also made remarkable progress in India by applying bio-energy refined from rice stalks to Cummins power generation products.

All these innovative solutions represent progress, and they are important steps toward a more sustainable future - but they also represent the recognition of a larger truth that sustainability and development are mutually reinforcing. It would be of great help if multinational companies recognize the interdependence of our economic and environmental needs, so that everyone plays their part in the sustainability challenge.

Steve Chapman is the vice-president of Cummins Group

(China Daily 05/29/2008 page23)