Sustainability at Iluka means integrating economic, environmental and social considerations into business practice, and ensuring safe and responsible conduct underpins everything the company and its employees do.
Iluka believes in targeting high performance levels and pursuing leading sustainability practices. The company's actions reflect its values of Commitment, Integrity and Responsibility.
The long term success of the business relies on attracting, retaining and developing quality people who share the company's commitment to safe and responsible conduct at all its operations. It also requires sound planning, control and risk management systems plus building strong and healthy relationships with stakeholders that are of mutual benefit.
Iluka’s sustainability objectives are to achieve:
- high levels of environmental, health and safety performance;
- sound planning, control and risk management systems; and
- stakeholder relationships which, over time, are mutually beneficial.
The company reports annually on performance across a number of sustainability indicators through the Annual Report
Iluka employs a number of processes for identifying material sustainability aspects, including: impact and risk assessments, and ongoing stakeholder engagement. Aspects are considered material if they have the potential to impact the company's ability to achieve business objectives or are of material concern to stakeholders.
Where Iluka operates
Different sustainability aspects are relevant to Iluka in different locations and at different points in the value chain.
Currently, all of Iluka's operations and rehabilitation sites are in OECD countries, hence material sustainability aspects are those relevant to these locations.
Iluka also operates warehouse facilities, marketing offices and exploration sites in several OECD and non-OECD countries. However, these are typically staffed with less than 10 people and have a limited sustainability profile.
As the company advances projects and examines growth opportunities in news locations (through exploration, acquisitions and joint ventures) risk assessments are undertaken to identify location-specific issues and risks.
Iluka's sustainability framework and capabilities will be evaluated in accordance with the risk assessments to ensure the company can maintain its commitment to safe and responsible conduct in all operating environments.
Iluka's approach to managing sustainability
Iluka's environmental, social and economic performance is overseen by the company's Board. Executive management is accountable for delivering sustainability objectives.
Both a cultural and systematic approach are adopted to ensure material sustainability issues are identified, addressed and monitored. This approach also ensures legal obligations are met.
The Iluka Game Plan provides cultural and behavioural alignment. All employees, through their annual performance and development reviews, are aware of the contribution they are expected to make in the areas of financial performance, sustainability and organisational growth.
Iluka employs and retains sustainability professionals responsible for identification and management of Iluka's sustainability risks, with performance reported to the Board on a monthly basis. Management systems define how the Company will meet sustainability objectives and provide the framework within which its employees and contractors are expected to work. This includes the Environment, Health, Safety Management Systems (EHSMS) and its suite of standards governing Environment, Health, Safety and Stakeholder Relations.
As well, Iluka's management practices are governed by the People Management System, which incorporates the People Policy, standards, procedures, guidelines and plans. Supported by leadership commitment, Iluka's People Management System establishes the company's approach to recruiting, developing and retaining a high performing workforce to achieve Iluka's objectives.
The EHSMS, Stakeholder and People management frameworks provide auditable criteria against which compliance, risk and best practice can be measured. Documented in easy to read language, these frameworks are implemented, maintained and communicated to employees and other relevant stakeholders.
Iluka's Board maintains oversight of sustainability issues. Monthly Sustainability Reports and quarterly Land Access Reports are provided to the Board and Sustainability is a standing agenda item for all meetings. In addition, a detailed annual EHSMS Risk and Performance Analysis Report is prepared annually. The Iluka Corporate Risk Register contains key EHS risks and is presented to the Iluka Audit and Risk Committee. They also receive active reports of any breaches of the Code of Conduct and the Anti-bribery and Corruption Policy.
The Remuneration and Nomination Committee maintains standing agenda items to address diversity and conduct. Short term incentive payments for the Managing Director and eligible management are tied, in part, to a number of sustainability related measures. Short term incentives are measured against sustainability targets, including: total recordable injury frequency rate (TRIFR) and a number of Level 3 and above environmental incidents.
Iluka maintains an Executive Risk and EHS Committee chaired by the General Manager Innovation, Technology and Sustainability. Four meetings were held in 2014. Site based EHS committees ensure interaction between management and workers. During 2014, 59 minuted meetings were held.
A targeted audit programme, developed and implemented in 2013, continued in 2014. Audit findings are converted into action plans with progress monitored on and on-going basis. Audit guidance material was updated during 2014 for Group Standards, ensuring consistency of application across the organisation. Audits are managed by qualified auditors from the Sustainability group and supported by a team of subject matter experts. Key focus areas planned for 2015 include: Workplace Health and Hygiene, Stakeholder Relations, and Emergency and Crisis Preparedness.
Group safety performance is reviewed monthly by the Iluka Executive Risk and EHS Committee.