ERM Annual Review 2008 - (Page 22) Confidential Client Producing a unique series of interactive training programs on the value of process safety management. Dan Reinke, St Paul MN, US Managing Risks in the Supply Chain The compliance agenda is not limited to an organization’s operations on-site; it can also be applied to the entire supply chain and incorporate compliance with company or industry standards. Driving these performance standards along the supply chain requires a multi-faceted program that extends beyond auditing, by encompassing supplier engagement mechanisms, auditor training and integration with key corporate functions. Recently, ERM conducted an independent review of Hewlett-Packard’s Supply Chain Social and Environmental Responsibility program to assess the quality, completeness and robustness of the processes and tools associated with it. Although EHS and social impact inclusion in supply chain management is in a relatively early stage of development for some sectors, a growing number of organizations are realizing the benefits of managing and measuring suppliers on a risk prioritized basis. We are seeing organizations engage in knowledge transfer to influence behavioral change in the supplier base by focusing on key areas of risk and recurring areas of non-conformance. Delivering Integrated Information Services The growing demand from regulators, investors and stakeholders for information on EHS performance, and the additional need to ‘measure what you manage’, is forcing companies to collect ever-increasing quantities of data. In the short-term, compliance and the protection of corporate reputation is a priority, though in the medium-term, organizations need to prepare for new requirements generated by an increasingly resource restricted global economy. In an area such as greenhouse gas emissions trading, data estimates and reliance on different manual spreadsheets are increasingly unacceptable to regulatory authorities. From a company perspective, the resources and time required for manual collection and validation is increasingly burdensome and in the longer term probably untenable. A project recently undertaken by ERM for BP in the North Sea illustrates how these issues can be addressed. ERM worked with BP to implement a new Total Environmental Reporting Tool (TERTL) across its UK North Sea business. This web-based application is accessible both onshore and offshore, and provides accurate, auditable environmental data in an easy to use ‘one-stop shop’. Tesoro Petroleum Far-reaching compliance benefits of an enterprise management system triggers company-wide rollout. Lynn McGuire & Bryan Lee, Walnut Creek CA, US Hochschild Mining plc Global ERM team conducting EHS reviews at mines in Peru, Mexico and Argentina. John Patterson Stockholm, Sweden 22 ERM Annual Review 2008
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