Oxy is dedicated to ensuring a safe and healthy workplace and responsible environmental stewardship worldwide.
The company's formal HES management system, implemented in the late 1970s, is embedded in Oxy's operations.
Oxy's HES management system encourages individual responsibility, values quantifiable results and promotes communication about progress. Business segment managers and HES experts provide guidance, oversight and support to local operations in developing and implementing the management system. Our HES management system is centered on robust programs that have been put in place to maintain compliance with legal requirements, minimize environmental impacts and risks, meet objectives and facilitate sustained performance improvement.
From facility to the corporate level, system performance is routinely reviewed and verified with audits, evaluations and other quality assurance and quality control methods. While accountability for HES performance resides with local operating management, individual employees are responsible for following Oxy's established policies, procedures and all applicable laws and regulations. HES performance also is considered in the annual review and compensation of employees.
Oxy's HES management system incorporates the following elements:
Leadership
Senior management is committed to implementing HES policy and procedures, and fostering a business culture that values the importance of HES success.
Policy and Strategic Objectives
Defining HES principles and strategies is key to achieving sustained improvement in HES performance.
Organization, Resources and Documentation
Processes ensure human, financial and organizational resources are in place.
Evaluation and Risk Management
Identifying and evaluating HES risks is vital to developing appropriate risk-management measures.
Planning
Operational effectiveness rests on the integration of and planning for HES requirements.
Implementation and Monitoring
HES Performance is routinely tracked along with other business goals and objectives.
Auditing and Reviewing
Periodic assessment of HES systems and performance leads to program and performance improvements.
Oxy's wholly owned subsidiary OxyChem has tailored its HES management system to incorporate the elements of the ACC Responsible Care® initiative. The program is structured around a set of HES metrics, many of which are more stringent than the government requires. Among the Responsible Care requirements are: implementation of management systems that are verified by independent auditors; tracking performance through established HES measures; and extending best practices to business partners. OxyChem plants also regularly participate in community advisory panels to discuss HES improvements, performance and other information of interest.
As a regular practice in new projects, Oxy evaluates social impact concurrently with environmental impact assessments. This approach provides a comprehensive process to identify and address stakeholder concerns.
In 2006, Oxy's oil and gas segment created a Social Responsibility Standard that defines business unit requirements for stakeholder relations, social risk management and quality of social programs. The Social Responsibility Standard facilitates relationships with host communities and promotes Oxy's understanding of the communities' needs, concerns and connection with the company's operations.
In 2007, Oxy initiated the integration of its Social Responsibility Standard into the HES management system. Interdisciplinary teams were established to assess the social responsibility baseline of international oil and gas operations and identify areas for improvement.
Baseline assessments were completed in Oman and Colombia and initiated in Argentina and Libya. In Colombia, the baseline assessments examined current practices for addressing stakeholder concerns, managing local community programs and risk management. The assessments resulted in a plan with more than 90 action items designed to integrate social responsibility throughout Oxy Colombia, and adoption of new practices to ensure performance quality. In 2008, assessments will continue at the remaining international locations and extend to U.S. locations.
In addition, several HES performance standards were revised in 2007 to incorporate provisions of the Human Rights Policy and the underlying Voluntary Principles. The revised standards establish the requirements in regard to security risks, training, engagement of stakeholders and related matters.