HOW DIMO IS BUILDING A RESILIENT CONGLOMERATE WITH SUSTAINABILITY AT THE CORE

Gahanath Pandithage, Group CEO of DIMO, a dynamic conglomerate in Sri Lanka, shares insights into the group’s sustainability agenda and how that is enabling DIMO to withstand economic shocks and grow.

The group represents some of the world’s best-known brands and has built a portfolio of successful brands under the DIMO umbrella. Over the years, its product and service offerings have expanded considerably, with a wide range of sectors covered, from agriculture, education, healthcare, power, energy and water to digital technology, building services, home and garden, construction, mobility and industrial, among others.

Pandithage points out that in its quest for growth, DIMO is committed to creating sustainable value for all its stakeholders.

The business environment has been challenging for corporates since 2019. Can you tell us how DIMO continues to steer through and unlock opportunities for growth?

DIMO believes in the abundant opportunities available in our nation and continues to explore them through the sectors we represent despite business challenges.

DIMO launched a range of organic food under the Miditer brand for export through recently acquired fruits and coconut processing plants, with a sustainable out-grower program for ethical sourcing. This will facilitate foreign exchange earnings in the agriculture sector during these critical times.

The company has undertaken several initiatives to increase local value addition and strengthen its product portfolio through sustainable solutions during challenging times. These include the launch of the first carbon dioxide-absorbing smart paints by GRAPHENSTONE, the DIMO Batta and Di-TEC water pump assembly plants, sustainable products like HomeBiogas for biogas and organic fertilizer production, and DI-Solar, which enables the utilization of solar PV-generated power during daytime interruptions and reduced power wastage.

Can you tell us why sustainability matters to DIMO? Why is it good for business?

Sustainability is at the core of DIMO’s strategy, as we recognize that there can be no future without it. It is not simply about mitigating the negative impacts of business operations, but rather integrating sustainability into our business model. Our purpose is to fuel the dreams and aspirations of the communities we serve, and sustainable development is essential to achieving this goal. As such, implementing effective ESG strategies is a key aspect of our corporate approach.

Sustainable practices allow companies to make positive impacts on people, the planet, and businesses. It is also crucial in attracting and retaining employees, as it instils a sense of pride in being part of a responsible organization. Companies that prioritize sustainability can create value, reduce costs, drive innovation, and identify new market opportunities that optimize profitability. Sustainability enhances corporate image and attracts consumers, creating a competitive edge.

What is your sustainability policy, and how does it align with the core objectives, and values of the company?

DIMO’s Sustainability Agenda 2030 is centred around three pillars: being a resilient business, building a resilient community, and conserving a living planet. DIMO aims to achieve 50% of its revenue by 2030 through further improved ethical business practices, circularity, sustainable entrepreneurship, and innovation, with a focus on being a resilient business. Building resilient communities involves improving employee well-being, promoting diversity, and creating partnerships; with a target of increasing women in decision-making roles by 40% and positively impacting one million individuals by 2030.

Conserving a living planet focuses on minimizing the company’s environmental footprint through conscious practices, restoration, and enhancement. DIMO aims to achieve 100% usage of treated water, zero landfill, 1:1 restoration, and a 50% reduction in carbon footprint by 2030. Our values of Integrity, People Centricity, Excellence, Customer Delight, and Accountability guide our sustainability journey.

Can you take us through some of your sustainability initiatives and their impacts?

Our Turtle Conservation Project at Panama and Coral Restoration Project at Rumassala are ongoing partnerships with Wildlife and Ocean Resource Conservation program. Over the past 11 years, we have protected 5940 turtle nests and released 402600 hatchlings, conserving 3km of beach at Panama, and restoring around 3.5 acres of the reef at Rumassala. Additionally, DIMO has contributed to the Life Project, a reforestation initiative led by Biodiversity Sri Lanka with 15 other corporates, restoring 12 hectares at Kanneliya. DIMO Academy for Technical Skills has produced over 500 NVQ 4-level automobile technicians as a social service, enhancing vocational education in Sri Lanka. The DIMO Nature Club is a platform for employees with a focus on conservation and social welfare, educating members and the community while working together to create positive change.

ACCA feted DIMO as the Overall Runners-up at the ACCA Sustainability Reporting Awards 2022. Why is this significant?

DIMO’s commitment towards sustainability has been recognized by the Awards’ Jury, which has acknowledged our annual report as an exceptional example of a business that has evolved in line with sustainability requirements. This achievement demonstrates our dedication to creating positive impacts on the economy, society, and environment, and is a testament to the fact that sustainability is at the heart of our core strategy. In addition, we have been awarded in the Conglomerates & Diversified Category, which recognizes our shift towards sustainable businesses.

How has that sustainability focus, amidst a crisis, benefitted DIMO, and what are your plans and goals?

By incorporating sustainability principles into every aspect of our business operations, including revenue generation, we have developed a more balanced product portfolio that is resilient to economic shocks. As a result, we have reduced our reliance on the automobile industry amidst current import restrictions and are now reaping greater benefits through sustainable sectors such as Agriculture. Our future revolves around sustainability, including sustainable partnerships for business, environmental conservation, and community development. Climate SMART village is one of the projects in the pipeline.