Occidental's Health, Environment and Safety (HES) risk management program provides a consistent and rigorous methodology to help the company identify and assess safety, environmental, social and operational risks across all areas of business operations.
For decades, Occidental has required implementation of HES risk management policies, standards and procedures at all operating locations and levels of the organization to identify, prioritize and apply feasible risk mitigation options. The company's Risk Management Community of Practice leverages the collective expertise of the company's risk engineers to share opportunities for improvement. Higher-level risks are reported through the management chain of command, validated and acknowledged by business segment management and reviewed annually with members of the Board of Directors, assuring that HES Risk Management is among Occidental's highest priorities.
Occidental's comprehensive Health, Environment and Safety Management System (HESMS) sets consistent worldwide performance expectations and standards across each business segment's respective operations. Occidental strives to continuously enhance its risk management program and is committed to conducting business in a manner that protects the health and safety of people and the environment at its facilities and in the communities where we operate. The HESMS facilitates compliance with laws and regulations and the management of HES and Social Responsibility risks to improve overall business performance. It encourages individual responsibility, values quantifiable results and promotes communication among employees, contractors, neighboring communities, government authorities and other stakeholders.
Occidental's Vice President of HES is responsible for implementing the HESMS, with oversight from the Environmental, Health and Safety Committee of the Board of Directors. Business managers and HES experts provide guidance, oversight and support to local operations in updating and implementing the HESMS. Each manager and employee is accountable for HES performance, including compliance with applicable HES laws, regulations, company policies and procedures within the scope of his or her duties. All personnel are empowered and expected to report non-compliance or unsafe conditions promptly and to take immediate action to prevent injuries or environmental incidents. From individual facility locations to the corporate level, HESMS implementation is routinely reviewed and verified with audits. Performance in key areas of HES and SR is directly considered in the annual review and compensation of employees, as well as in the selection of contractors, suppliers and business partners.
Throughout Occidental's worldwide operations, the HESMS emphasizes risk identification and forthright communication through job safety analyses, process hazard reviews, HES inspections and assessments and emergency planning so that preemptive actions can be taken to prevent or mitigate injuries or environmental incidents. The HESMS also provides tools for managers and employees to recognize HES and SR risks in their areas of responsibility. These risks undergo rigorous analysis to identify, prioritize and implement appropriate mitigation measures that are designed to improve performance.
The HESMS helps with the orientation of new personnel, including those at newly constructed facilities and acquired operations. As a regular practice in new projects, Occidental assesses potential social and environmental impacts, including water scarcity, human rights and indigenous peoples' rights. This comprehensive process helps us identify and address potential risks and stakeholder concerns promptly, strengthen Occidental's relationship with host communities, and educate new employees and contractors about performance expectations.
Occidental's HESMS is based upon the following 10 HES Principles:
Safeguard the health and safety of people and protect the environment using design procedures, work practices and employee training
Correct operating conditions that have a significant adverse HES impact
Reduce waste generation and responsibly manage waste disposal
Reduce pollutant releases to the environment
Make efficient use of water and other natural resources
Use energy efficiently
Provide information on the safe use and disposal of Occidental's products
Maintain a dialogue with neighboring communities about HES concerns
Ensure ongoing enterprise-wide communications, including with the Board of Directors
Report annually on Occidental's HES performance
Occidental continues to validate and improve its Health, Environment and Safety policies and HES Management System to address new business activities and challenges. Our vision remains focused on protecting people and the environment and increasing stockholder value by providing reliable, cost-effective energy and chemical products that are essential to society, public health and modern life.
Occidental's HESMS incorporates the following seven elements:
Leadership - Senior management is committed to implementing HES policies and procedures, and fostering a business culture that values the importance of HES success.
Policy and Strategic Objectives - Defining HES goals, 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.
Risk Management and Evaluation - Identifying and evaluating HES risks are necessary for 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 with other quantifiable business goals and objectives.
Auditing and Reviewing - Periodic assessment of HES systems and performance by trained company HES auditors independent of the subject facility or operation, supplemented by third party auditors as warranted, leads to program and performance improvements.
As a leading manufacturer and marketer of commodity and specialty chemicals, OxyChem generally does not sell directly to end-users, but instead sells its products to other manufacturers. OxyChem is committed to high ethical standards and continually strives to ensure safe production, distribution, use and disposal of its products. The following principles provide the foundation of OxyChem's operating philosophy:
Utilize Health, Environment, Safety and Security (HES&S) systems, procedures, work practices and employee training to enhance HES&S performance, awareness and compliance.
Design, construct and maintain facilities consistent with recognized engineering standards.
Responsibly manage waste materials.
Minimize the release of pollutants to the environment.
Make efficient use of energy and natural resources.
Protect facilities to ensure safe operations and continued supply of product.
Provide information on the safe handling, use and disposal of OxyChem products.
Maintain dialogue with communities about HES&S issues.
Work with stakeholders to ensure products deliver their intended benefits to society while protecting public health and the environment.
OxyChem is committed to high ethical standards and the protection of health, safety and the environment. Product stewardship is one of the cornerstones of OxyChem's business, and the company's rigorous programs have for many years helped us earn a reputation as one of the safest producers in the industry. OxyChem's Product Stewardship systems help ensure the safe and knowledgeable use of our products throughout the world and universal compliance with product-related regulations. OxyChem's Product Stewardship Program includes the following areas: ACC Responsible Care®, Product Stewardship, and Product Safety. Click here for more information about OxyChem's Product Stewardship Program.
An active member of the American Chemistry Council (ACC), OxyChem has implemented the ACC's Responsible Care® principles, as well as codes and standards of the ACC, the Chlorine Institute and the Vinyl Institute. The American Chemistry Councils' Responsible Care® program is a global initiative that is practiced today by national and regional economies around the world. Responsible Care® has helped American Chemistry Council (ACC) member companies significantly enhance their performance, discover new business opportunities, and improve employee safety, the health of the communities in which they operate and the environment as a whole. The Responsible Care® program is structured around a set of specific health, environment and safety metrics with performance goals that are often more stringent than corresponding government requirements, and verifies conformance through internal and external audits. For information about OxyChem's Responsible Care® program, click here.
OxyChem assesses the health and safety impacts of its products periodically through its product stewardship program. OxyChem has established a risk management program for products and major secondary materials manufactured by OxyChem. The risk assessment for each chemical is based on analysis of the hazard it poses and its likelihood of exposure. Using this strategy, products are evaluated and prioritized for potential adverse effects, and risk-reduction practices are implemented, such as recommending personal protective equipment and providing additional technical support to customers. Product Stewardship Summaries have also been developed for OxyChem's high priority and core chemicals.
OxyChem's customer and technical service departments provide information and support to customers on the safe and environmentally responsible handling and use of its products. Under its Responsible Care® program and ISO 9000 certification, OxyChem surveys its customers annually, reviews the results of these surveys, and identifies opportunities to improve products and services.
In accordance with U.S. Occupational Safety and Health Administration (OSHA) requirements, product labeling and Safety Data Sheets (SDS) have been prepared for all OxyChem products and are routinely provided to customers. SDS provide comprehensive product information, including chemical composition, use of personal protective equipment, instructions for safe handling, and environmental and health information.
The vast majority of OxyChem's products are delivered in bulk via pipeline, tanker trucks or rail cars. Railcars and tank trailers are placarded with appropriate hazard warnings, and hazard information is provided to the transporter. In addition, all OxyChem products transported in drums, bags and other non-rail or trailer containers are labeled with product information that follows applicable regulations when they leave our facilities.