Our Sustainability Strategy

Our Sustainability Aspiration
Orica's aspiration is to become a business that does no harm to people and the environment. 
This means a transition to: 

• carbon-neutral;
• water-neutral;
• zero-waste; and
• environmentally friendly operations, products and services

... in a commercially responsible way. 

Orica’s strategy for meeting its SH&E commitments and for achieving the Vision is to have in place:

• Equipment and materials that are designed and maintained fit for purpose;
• Well communicated principles and behaviours that promote continuous SH&E performance improvement through leadership and personal responsibility; and
• A management system which describes systems of work that ensure the integrity of equipment and materials and people-based control measures is sustained.

Central to Orica’s strategy is that :

• SH&E is a line management responsibility. Ownership and accountability for SH&E performance is embedded in the line at all levels;
• There is a consistent risk-based approach to SH&E management. Resources are allocated and activities prioritised on the basis of risk; and
• Appropriate training is in place to equip all personnel to carry out their tasks so as to take care of themselves and others.

The Orica Group Executive and the Corporate SH&E Manager provides SH&E leadership. The Group Executive is a forum for strategy development as well as for SH&E governance of the Company. The Corporate SH&E Manager and business SH&E managers and SH&E specialists provide advice and support to the line managers. The Orica SH&E Managers’ Team ensures the most effective use of resources by sharing best practice and standardising, streamlining and coordinating SH&E activities across the Company and its subsidiaries.

Elements of the Strategy

Plant Equipment and Materials
Orica’s plant and equipment will be designed, constructed and operated to provide and maintain the engineering integrity and inherent safety required to minimise workplace SH&E risks. To achieve this we:

•  Use hazard identification, risk assessment and critical (HIRAC TM) management techniques in design and construction and in operation;
• Apply local and international standards as well as meeting statutory requirements;
• Sustain integrity by effective preventative maintenance systems and modification procedures; and
• Identify critical systems and equipment and ensures their sustained integrity.

Our Basis of Safety program equips personnel with an operational understanding of significant process hazards, the attendant risks, the corresponding controls to manage those risks and the individual’s role in the application and maintenance of those controls.
Orica uses raw materials and produces intermediates and products only if they can be handled safely. In particular, we meet our product stewardship responsibilities by:

• Specifying properties of raw materials and information to be supplied;
• Ensuring product properties are controlled through strict quality assurance;
• Undertaking product life cycle studies to ensure that SH&E risks are assessed and minimised as far as practicable;
• Using packaging, storage and transport fit for the purpose; and
• Collating and making available appropriate information on the materials.

People and our Behaviours
Orica seeks to foster a culture which promotes excellent SH&E performance through:

• Targeted selection and training of people to desired competencies;
• Line management leadership;
• Clear expectations for all employees and contractors;
• Rigorous adherence to Company procedures;
• Participation in SH&E performance improvement;
• Promotion of SH&E awareness;
• Personal responsibility and a prevention mindset; and
• Encouraging SH&E awareness outside of the workplace.

Everybody is personally accountable for their own SH&E performance and for the SH&E performance of those whom they manage or supervise. In particular line managers are responsible and accountable for all aspects of SH&E in their operations and products. They are expected to demonstrate SH&E leadership at all times.

It is a fundamental belief that all work-related injuries, illnesses and environmental incidents are preventable. Unsafe acts prevention (UAP) and supporting programs for identifying and observing critical behaviours reinforce this message and raise hazard awareness and promote risk reduction.

Each year all employees or supervised contractors together with their line managers are expected to sign on to the Orica SH&E Charter. The Charter describes the Company’s expectations and impact as much on the line managers or supervisors as on individuals and will be an integral part of all job performance assessments. The SH&E performance of employees will be a major factor in their performance assessment and advancement.
The Company formally recognises outstanding SH&E performance by individuals and teams of people particularly with respect to the prevention of adverse SH&E incidents. The Orica SH&E Managers Team recognises outstanding SH&E improvement initiatives.

Key Behaviours for Orica employees are:

• Take care of yourself and others;
• Meet the needs of our customers and the community in an environmentally sustainable manner; and
• Always aim to improve our SH&E performance.

Our Systems and Procedures

Our SH&E Management System has been developed to manage the interaction between people and the work environment and to ensure sustained compliance with legislative requirements, the 19 Orica Group SH&E Standards, the Responsible Care Codes of Practice and other external standards.
Read more: Our Management Systems.

Performance Measures

We measure our SH&E performance and benchmark with the world’s best companies and industry associations. Our Key Performance Indicators for SH&E and Sustainability are:

• All Worker lost workday / recordable case rate;
• Hygiene - performance sampling to plan (%) & samples < exposure standard (%);
• Health assessment – performance to plan (%);
• Number of site losses of containment category 2 and higher;
• Number of distribution incidents category 2 and higher;
• Number of justifiable public complaints / prosecutions;
• Environmental licence non-compliance (%);
• Energy usage per tonne of production;
• Total Greenhouse Gas emission per tonne of production;
• Water usage per tonne of production;
• Waste generated per tonne of production;
• Sustainability Index;
• Audit programs completed;
• Compliance with procedures / standards; and
• Incident / audit actions overdue.

The Group Executive sets challenging short and long-term targets for the Company for the key performance indicators.
At the site and operation level, measurement will also focus on positive performance measures including behavioural safety.

Performance Improvement

Each year ‘Letters of Assurance’ are prepared by all operations and businesses declaring their compliance with the SH&E Policy and 19 SH&E Standards. The Orica Board reviews these ‘Letters of Assurance’, which draw from internal and external audit reports. The letters of assurance demonstrate due diligence has been exercised in SH&E management and they form the basis of SH&E improvement plans. The SH&E Management System is continually developed to reflect learnings, newly identified good practices and external requirements. Local procedures and work instructions are updated.
Particular focus is placed on:

• The attitudes and expectations of line managers and employees particularly with respect to adherence to procedures;
• The focus on risk-based activities and learning from significant events including those with no adverse outcomes; and
• Systematic SH&E training of all personnel.

Return to Sustainability Introduction.