HSE management and reporting system
Governance and approach
EVRAZ places a top priority on continuously improving its health, safety and environment (HSE) management throughout its operations. This includes implementing process upgrades and introducing tiered management and control systems.
HSE management covers all levels of EVRAZ business, from strategic decision making to day-to-day operations. In 2018, a HSE management committee was established, consisting of all CEO-1 level excecutives, which review HSE issues on a monthly basis. Since the HSE Committee’s inception in 2010, the Board of Directors has delegated to it responsibility for monitoring all HSE strategies, policies, initiatives and activities.
The Group’s CEO is the member of the HSE Committee with ownership and oversight of the results of the HSE strategy review that took place in June 2018. Subsequently, the implementation of the decisions taken as part of the strategy review was regularly monitored at HSE Committee meetings.
Executive-level HSE matters fall under the remit of the HSE Committee, which has also delegated authority to a vice president responsible for coordinating HSE issues. Every entity in the Group has its own HSE function, which reports to operational management with the oversight of the vice president of HSE. All plant managers are responsible for HSE compliance.
EVRAZ is an active partner in local and international industry organisations, including the World Steel Association’s Environmental Policy (EPCO), Technology Policy (TPCO) and Safety and Health (SHCO) committees, as well as the HSE committees of Russian Steel, a Russia-based non-commercial partnership, and the Russian Union of Industrialists and Entrepreneurs.
The Group adopted its Health, Safety and Environment Policy in March 2011 , updated it in 2016 and reviewed it in February 2018 (no changes were made).
The primary functions of the HSE system include identifying potential environmental pollutants and risks to employees’ health and safety through the entire production cycle, from purchasing raw materials to selling finished products. This also includes planning, distributing resources, collecting, analysing and submitting information, and reflecting emerging trends in indicators.
EVRAZ operates a continuous-cycle HSE management process with the following phases:
- Forecast and assess primary HSE risks
- Develop and implement HSE initiatives to eliminate or reduce risks
- Monitor, review, and investigate incidents to properly learn lessons from them
- Analyse performance, correct and set new strategic HSE goals
For each HSE KPI, EVRAZ sets primary metrics that are then continuously monitored to improve the system using prompt analysis and adjustments as necessary.
EVRAZ main steel mills have been certified under the ISO 14001 and OHSAS 18001 standards.
Some EVRAZ operations, including the mines of the Coal division, have auxiliary mine-rescue teams to act as first responders to incidents and help to evacuate personnel ahead of the arrival of professional rescue teams. Members of the auxiliary teams are specially selected, trained and regularly re-trained.
In the event of an incident, an emergency warning system is activated to inform local residents and authorities. For example, Raspadskaya has a commission to prevent and respond to emergencies and to ensure fire safety. The commission coordinates and warns of natural and technological disasters, manages emergency response assets and works to reduce the damage from incidents.
HSE reporting system
The Group relies on its HSE reporting system to collect and share appropriate data throughout the organisation with an aim to continuously improve the process. The corporate HSE functions monitor subsidiaries using monthly, quarterly and annual HSE performance reporting.
The internal audit function regularly assesses EVRAZ compliance with HSE policies, which is supplemented by external monitoring by government authorities. The Group conducts a detailed analysis of any recommendations resulting from the inspections to ensure that remedial actions can be taken, where needed.
All EVRAZ facilities review lessons learnt to improve their own processes. Line managers form the first level of production control, division and shop managers form the second level and senior managers form the third level. This multi-tiered system helps the Group to ensure strict compliance with HSE requirements.
In 2018, standard incident reporting rules were introduced throughout the organisation, beginning with recording all injuries and incidents entailing lost time and/or fatalities, and immediately issuing a ‘flash report’ to all relevant management. The HSE function then conducts standard ‘lean’ format investigations and promptly disseminates lessons learnt to concerned parties. The HSE Management Committee reviews every case involving a fatality, severe injury or serious incident and follows up to ensure that all remedial action has been implemented in full.
In addition, measures have also been introduced to ensure that injuries and incidents are not hidden to distort the true picture. Accountability for hiding or distorting information is one of the cardinal safety rules that can lead to an employee’s dismissal.
EVRAZ distributes monthly HSE reports to all personnel containing data on any injuries and incidents that have occurred in the past month, as well as updated HSE KPI metrics on the lost-time injury frequency rate, fatalities and cardinal rule violations. The reports also include an analysis of hazards and risks to focus efforts on preventing such incidents in the most critical areas.