Sustainable Development in Umicore

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Sustainable Development in Umicore
Mark Dolfyn 2007, April 19
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From Mining Base Metals toMaterials technology
1906 Union Minière du Haut Katanga Copper and
Cobalt mining (nationalised in 1967) 1989 Union
Minière merger with Metallurgie Hoboken and
Vieille MontagneBase metals refining and some
specialty materials 2001 Name changed to
UmicoreFocus on building specialty materials
business 2003 Acquisition of former Degussa
precious metals products and catalyst
business (PMG) 2005 Umicore (materials
technology) spins off Cumerio (copper) 2006 Carve
-out Zinc Smelting/Alloys business with planned
JV with Zinifex
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Committed to Leadership
1 World Cobalt Germanium based
materials 1 World Rechargeable Battery Materials
Advanced Materials

• 3 World Automotive catalysts 1 World Diesel
  catalysts

Precious Metals Products Catalysts
1 World Precious metals recycling 4 World PGM
Refiner
Precious Metals Services
1 World Zinc specialty products
1 World Zinc recycling
Zinc Specialties
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17,000 people in more than 50 industrial
locations around the world
Headcount numbers
Associates
Consolidated
Total
Europe
7,383
1,804
9,187
Africa
202
1,310
1,512
Asia-Pacific
2,343
2,396
4,739
Australia
60
0
60
N-America
581
29
610
S-America
644
426
1,070
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Sustainability definition
Sustainability may be best defined as the
capacity for continuance into the long term
future. Anything that can go on being done on an
indefinite basis is sustainable. Anything that
cannot go on being done on an indefinite basis is
unsustainable. In that respect, sustainability is
the end goal or desired destination for the human
species. By contrast, sustainable development is
the process by which we move towards
sustainability (Jonathan Porrit Capitalism as
if the world matters)
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The World is full of unsustainable trends

• climate change,
• reduction of biodiversity,
• deterioration of ecosystems,
• resource depletion,
• excessive income disparity, ...
• Need to correct the course sooner rather than
  later
• Business cannot be the only driver, and not even
  the prime driver, but should be part of the
  process - and part of the solution

Business cannot succeed in societies that fail
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Umicore can not ignore these issues
Because of the constraints it will create better
to understand and anticipate than to
react Because of the opportunities it may
create better to integrate it early in the
strategic thinking and innovation
efforts Because of our reputation better to
build credibility than to engage in damage control
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2000-2005 Focus on Environment Safety5-year
target setting (quantified targets)Yearly
environmental report2006-2010 Including
CSR5-year target setting (management
objectives)Yearly SD reported (integrated in
Annual report)Reporting of Key Performance
indicatorsStakeholder dialogue
A Journey towards Sustainable Development
Picture of clean room with wafer
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All sites must develop and implement a local
plan for1) Accountability for local
community2) Preferred employer3) Constructive
dialogue and open communication4) Learning
Development5) Human Rights and Equal Opportunity
Management Objectives on Environment (5) Health
Safety (1) and Social (5)
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2006 introduction of new objectives at site
level2010 100 of sites are expected to have
implemented their plansAdditional social
KPIs- Gender ratio- Absenteeism- Voluntary
leavers- Training hours- Strike days
Progress Monitoring and External Reporting
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2006 Baseline measurement
Progress Monitoring and External Reporting
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KPI reporting, Regional differences
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Depends on the maturity of own (Umicore)
organisationDepends on the role of local
authoritiesDepends on local cultural practices
in CSRImportant to stress the use of ethical
business practices
CSR in an international perspective
Picture of zinc sheets in rolls
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• The Umicore Way sets out the Groups basic
  philosophy
• Umicores inclusion in numerous indices for
  Socially Responsible Investments underscores its
  commitment to Sustainable Development