Oxy is dedicated to ensuring a safe and healthy workplace and responsible environmental stewardship worldwide.
The company’s policies governing health, safety and the environment and its formal HESMS were initially implemented in the late 1970s. Over time, they have been enhanced to address new business activities and challenges. However, Oxy’s vision remains focused on protecting people and the environment while increasing stockholder value.
Oxy’s HESMS directly engages and challenges managers and employees throughout our operations to attain our HES performance goals and to identify opportunities for continuous improvement. The HESMS sets expectations that go beyond compliance with applicable HES laws, by requiring Oxy’s business segments to develop consistent worldwide standards for their respective operations so that managers and employees can recognize HES risks in their areas of responsibility and take appropriate actions to manage those risks prudently. These standards supplement local HES laws, and are focused on preventing incidents that could have a consequential impact on health, safety or the environment.
The HESMS holds managers and employees accountable for the HES performance of their business units, and compensation is tied to achieving our HES performance goals. Our training and procedures emphasize that every employee has the authority and the obligation to stop any activity or to shut down any production line or equipment, whether to prevent a potential incident or to address a safety or environmental concern. Management at all levels reinforces this message through regular communications with employees and contractors and, most importantly, in practice. Management encourages awareness and open dialogue about HES risks and opportunities for continuous improvement in planning, prioritizing and implementing projects and in day-to-day activities.
The HESMS also provides for regular assessments of HES performance at each level of the organization and at each operation worldwide to identify any required actions or enhancements. Members of Oxy’s senior management and the Environmental, Health and Safety Committee of the Board of Directors actively monitor Oxy’s HES performance, implementation of the HESMS, HES policies and standards, and stakeholder issues or concerns.
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.
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.