Accelerating 
a sustainable future

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Sustainability Program

We strive to reduce our environmental footprint for all our stakeholders: investors, customers, supply chain, and our teams.

We accomplish this by taking accountability for our own environmental impacts while also helping our customers achieve their own sustainability goals.

Our environmental management strategy is based on three pillars:

  • Operating energy-efficient facilities to reduce our environmental footprint 
  • Reducing the environmental footprint of software developed for clients
  • Utilizing energy-efficient technologies

Committed to setting SBTi near-term and net-zero company-wide emission reduction targets

Areas of focus

Our environmental management system aims to consistently reduce the environmental impact of our business operations and services. In January 2023, 
we committed to set near- and long-term company-wide emission reductions in line with science-based net-zero with the SBTi. Our ambition is to reduce our environmental footprint and adhere to all environmental regulations as set out in our environmental responsibility policy and environment, health, and safety policy. By taking accountability for our own carbon footprint, we help our customers achieve their own sustainability objectives.

In line with our SBTi commitment, we conducted a reassessment of our emissions inventory in FY23.

As a result, we enhanced our scope of reporting for Scopes 1, 2, and 3 to align with requirements of the SBTi standards. For changes in the scope of reporting, refer to the databook.

Our strategy for reducing Scope 1 and 2 emissions includes investing in energy efficiency projects and renewable energy (RE). In FY21/FY22, we invested in solar energy for three of our campus facilities in India, which accounted for 1,750 megawatt hours (MWh) of energy in FY23. In addition, both of our offices in Sweden obtain electricity from 100% renewable sources through green tariffs. 

We have developed build-out guidelines that set the energy and resource efficiency standards for all office spaces and new build-outs.

In FY23, we continued to invest in improvements to our building energy management systems and HVAC systems, and we focused on obtaining ISO 50001 certification for our three campuses in India. In addition, 62% of our real estate is LEED-certified. We have converted 99% of lighting in our facilities in India and Sri Lanka to LED. 

We mainly use water for drinking, hygiene, cooling towers, and landscaping. As of FY23, 51% of our water used is recycled.

We seek to be responsible for our water consumption, since 71% of our operations are in locations of water stress. Only the Navalur campus uses fresh water for cooling towers, as the Hyderabad campuses have air-cooled chillers. Our operations do not affect water sources significantly, as the sources are neither in designated protected areas nor have high biodiversity value. Water sources with total dissolved solids (TDS) that measure less than 1,000 mg/L are considered freshwater.

As our activities and operations have a low impact on biodiversity, we do not consider this topic to be of high material impact. However, given the importance of biodiversity in maintaining a balanced ecosystem, we have invested in multiple biodiversity restoration projects.

We have processes in place for managing electronic waste (e-waste), paper, plastic, and organic waste.

E-waste, paper, and plastic (India and Sri Lanka) are handed over to a certified vendor for recycling. We also work with relevant state authorities to ensure e-waste is handled in a responsible manner. 

We have consistently followed a highly stringent elimination, modernization, and consolidation strategy to ensure effective and sustainable data center management over the years.

This strategy has enabled us to centralize the organization’s shared IT operations and equipment for storing, processing, and disseminating data and applications for internal and external clients. Overall, Virtusa continues to use the following measures to ensure our data centers’ efficient and sustainable management.

Cloud first strategy

We at Virtusa are committed to achieving our environmental, social, and governance (ESG) goals in several ways. Our cloud-first strategy enabled us to make a significant contribution to protecting our environment.

Environmental benefits

  • Reduced energy consumption: The cloud helped Virtusa reduce energy consumption by consolidating IT infrastructure and moving workloads to more efficient data centers.
  • Lower carbon emissions: Cloud providers are increasingly investing in renewable energy sources, which can help businesses reduce their carbon footprint.
  • Improved waste management: With cloud migration, we improved our waste management practices by reducing the need for physical data centers and promoting the use of virtual machines.

Accomplishments

  • 90% of applications migrated to the cloud
  • Eliminated 30% of our data centers
  • Reduced real estate space globally by 60% in datacenters
  • Eliminated 50% of IT infrastructure devices
  • 100% applications (production) in the cloud and 75%+ of core workloads migrated to the cloud
  • Modernized 95% of our legacy systems
  • 50% virtualization of server and network infrastructure
Awards and recognition
  • In 2024, Virtusa received a Gold medal in the EcoVadis Ratings assessment
  • In 2023, Virtusa received a score of “A-” (Leadership band) for our CDP climate change response
  • In 2024, Virtusa Singapore obtained Low Carbon SG certification

VIRTUSA FOUNDATION INITIATIVE

Forest restoration initiative

Partnership between Biodiversity Sri Lanka and Virtusa, the forest restoration initiative aims to restore 10 hectares of degraded land in the Kanneliya Forest Reserve.

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Empowering a greener digital future for a better world.

Sustainability is a collective effort connected by multiple ecosystems. In any industry, non-financial concerns, including environmental, social, and governance (ESG) performance, impact a company’s overall financial well-being. ESG sensibility can positively affect a company’s longevity, as ESG data can paint a holistic view of impact and the value delivered by businesses.