GRI Summary
Johnson Matthey continues to develop sustainability metrics and reporting criteria in alignment with those developed by the Global Reporting Initiative (GRI). More information on the GRI Reporting Framework can be found at the GRI’s website http://www.globalreporting.org.
The report has been prepared according to the GRI G3 Sustainability Reporting Guidelines, Application level B+ and has been third party checked by ERM.
A summary of our reporting principles, reporting guidance and standard disclosures (including performance indicators) is given in the following tables.
1. Profile
| Description | Location / Section | |
|---|---|---|
| 1.1 | Statement from the most senior decision maker of the organisation | Annual Report 2009 |
| 1.2 | Description of key impacts, risks and opportunities |
Progress Towards Sustainability 2017 |
2. Organisational Profile
| Description | Location / Section | |
|---|---|---|
| 2.1 | Name of the organisation | Sustainability Report 2008/09 Home  |
| 2.2 | Primary brands, products and / or services | The Group at a Glance |
| 2.3 | Operational structure of the organisation | The Group at a Glance |
| 2.4 | Location of organisation’s headquarters | Annual Report 2009 Company Details |
| 2.5 | Number of countries where the organisation operates | The Group at a Glance
Annual Report 2009  |
| 2.6 | Nature of ownership and legal form | Annual Report 2009 Company Details Annual Report 2009 Principal Subsidiaries and Associates Governance |
| 2.7 | Markets served |
The Group at a Glance
Annual Report 2009 Group Activities Annual Report 2009 Operations
|
| 2.8 | Scale of the reporting organisation | Annual Report 2009 Note 12, Employee and key management personnel costs
Annual Report 2009 Consolidated Income Statement Annual Report 2009 Five Year Record, sales excluding the value of precious metals Annual Report 2009 Note 2, Revenue Annual Report 2009 Consolidated and Parent Company Balance Sheets Annual Report 2009 Other Statutory Information, Major Shareholders Annual Report 2009 Shareholder Information Annual Report 2009 Sustainability, page 33, employees by region
|
| 2.9 | Significant changes during the reporting period regarding size, structure or ownership | Annual Report 2009 Note 40, Acquisitions Annual Report 2009 Note 41, Discontinued operations |
| 2.10 | Awards received in the reporting period | Case Studies – Social, Johnson Matthey – One to Admire Case Studies – Health and Safety, Health and Safety Awards Company Website – Innovation |
3a. Reporting Parameters
| Description | Location / Section | |
|---|---|---|
| 3.1 | Reporting period |
About this Report Performance Summary |
| 3.2 | Date of most recent previous report |
About this Report
|
| 3.3 | Reporting cycle, i.e. annual |
About this Report
|
| 3.4 | Contact point for questions regarding the report or its contents | Contact Us
Feedback
|
3b. Report Scope & Boundary
| Description | Location / Section | |
|---|---|---|
| 3.5 | Process for defining report content, including materiality, prioritising topics, identifying stakeholders | About this Report
Sustainability 2017
Sustainability Planning
Our Stakeholders |
| 3.6 | Boundary of the report |
About this Report
|
| 3.7 | Limitation on the scope or boundary of the report |
About this Report
|
| 3.8 | Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations and other entities that can significantly affect comparability from period to period |
About this Report
|
| 3.9 | Data measurement techniques and the basis of calculations | Annual Report 2009 Accounting Policies Health and Safety – Our Performance and Achievements Performance Summary – Health and Safety Social – Our Performance and Achievements Performance Summary – Social Environment – Our Performance and Achievements About this Report
|
| 3.10 | Explanation of the effect of any restatements of information provided in earlier reports | Environment – Our Performance and Achievements Performance Summary – Environment
Health and Safety – Our Performance and Achievements Performance Summary – Health and Safety |
| 3.11 | Significant changes from previous reporting periods in the scope, boundary or measurement methods applied in the report | About this Report |
| 3.12 | Table identifying the location of the standard disclosures in the report | GRI Summary |
| 3.13 | Policy and current practice with regards to seeking external assurance for the report | Verification and Assurance |
4. Governance, Commitments & Engagement
| Description | Location / Section | |
|---|---|---|
| 4.1 | Governance structure of the organisation, including committees under the highest governance body responsible for specific tasks, such as setting strategy or organisational oversight | Annual Report 2009 Corporate Governance
|
| 4.2 | Indicate whether the Chair of the highest governance body is also an executive officer (and, if so, their function within the organisation’s management and the reasons for this arrangement) | Annual Report 2009 Corporate Governance Annual Report 2009 Board of Directors
|
| 4.3 | For organisations that have a unitary board structure, state the number of members of the highest governance body that are independent and / or non-executive members | Annual Report 2009 Corporate Governance Annual Report 2009 Board of Directors
|
| 4.4 | Mechanisms for shareholders and employees to provide recommendations or direction to the highest governance body | Annual Report 2009 Corporate Governance, Relations with Shareholders Policies and Management Systems – Business Integrity and Ethics |
| 4.5 | Linkage between compensation for members of the highest governance body, senior managers, and executives (including departure arrangements), and the organisation’s performance (including social and environmental performance) | Annual Report 2009 Remuneration Report
|
| 4.6 | Processes in place for the highest governance body to ensure conflicts of interest are avoided | Annual Report 2009 Other Statutory Information, Directors’ Interests
|
| 4.7 | Process for determining the qualifications and expertise of the members of the highest governance body for guiding the organisation’s strategy on economic, environmental, and social topics | Annual Report 2009 Corporate Governance, Directors and the Board Annual Report 2009 Nomination Committee Report
|
| 4.8 | Internally developed statements of mission or values, codes of conduct, and principles relevant to economic, environmental, and social performance and the status of their implementation | Sustainability 2017 Our Vision for Sustainability Progress Towards Sustainability |
| 4.9 | Procedures of the highest governance body for overseeing the organisation’s identification and management of economic, environmental, and social performance, including relevant risks and opportunities, and adherence or compliance with internationally agreed standards, codes of conduct, and principles | Governance Risk Management Performance Management Policies and Management Systems – Environment, Health and Safety Policies and Management Systems – Human Resources Policies and Management Systems – Business Integrity and Ethics |
| 4.10 | Processes for evaluating the highest governance body’s own performance, particularly with respect to economic, environmental, and social performance | Annual Report 2009 Corporate Governance Annual Report 2009 Corporate Governance, Directors and the Board
|
| 4.11 | Explanation of whether and how the precautionary approach or principle is addressed by the organisation |
Risk Management |
| 4.12 | Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organisation subscribes or endorses | Performance Management Policies and Management Systems – Business Integrity and Ethics |
| 4.13 | Memberships in associations | Other Activities in the Year Regulatory Matters Annual Report 2009 Sustainability, Communication with Stakeholders |
| 4.14 | List of stakeholder groups engaged by the organisation | Our Stakeholders Annual Report 2009 Sustainability, Communication with Stakeholders |
| 4.15 | Basis for identification and selection of stakeholders with whom to engage | Our Stakeholders Other Activities in the Year |
| 4.16 | Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group | Our Stakeholders Other Activities in the Year
|
| 4.17 | Key topics and concerns that have been raised through stakeholder engagement, and how the organisation has responded to those key topics and concerns, including through its reporting | Our Stakeholders Other Activities in the Year
|
5. Management Approach and Performance Indicators
ECONOMIC
Management Approach
Financial viability is a key element of sustainability. Continued growth in profit is an important aspiration of our Sustainability 2017 Vision and we have set a target to more than double our earnings per share by 2017.
The two major thrusts of our vision are about being more efficient with the resources we use and designing new products that help our customers to be more sustainable. Using less resources as a business will save us money. It will enable us to maintain or improve our margins and allow us to invest more in R&D and infrastructure. Designing innovative new products for our customers will allow us to maintain or strengthen our competitive position in the markets we serve today and benefit from the growth opportunities in emerging markets within the sustainability sector.
Sound, prudent financial management and consideration and management of risks to the business means that we can ensure a sustainable business delivering benefits to all stakeholders – shareholders, customers, local communities, society and the planet.
Also see Financial section of this report.
| Indicator | Description | Location / Section |
|---|---|---|
| EC1 | Direct economic value generated and distributed, including revenues, operating costs, employee compensation, donations and other community investments, retained earnings, and payments to capital providers and governments | Annual Report 2009 Financial Review Annual Report 2009 Note 11, Earnings per ordinary share Annual Report 2009 Note 12, Employee and key management personnel costs Annual Report 2009 Note 13, Share-based payments Annual Report 2009 Other Statutory Information Financial |
| EC3 | Coverage of the organisation’s defined benefit plan obligations | Annual Report 2009 Note 14, Post-employment benefits Annual Report 2009 Sustainability, Employee Relations and Communication
|
ENVIRONMENTAL
Management Approach
Environmental responsibility is a key element in making Johnson Matthey a more sustainable business. We have an impact on the environment in many ways – through the resources we use, the way we operate our processes and the action of our products and services on enhancing the environment for others.
We take raw materials and apply our knowledge and expertise to turn them into more valuable products. The costs of these raw materials are likely to increase in future as they are depleted or become harder to access. By increasing the efficiency with which we use these valuable resources, we will generate cost savings for our business today and help to conserve resources for the future.
The recycling and reuse of precious metals are a fundamental element of what we do. We shall continue to draw on our expertise in this area to benefit the resource efficiency of our own operations and provide enhanced solutions and services for our customers.
Environmental targets are a key part of our Sustainability 2017 Vision. The group aims to become carbon neutral, achieve zero waste to landfill and to halve the key resources per unit output consumed by 2017. In order to meet these aspirations, long term environmental improvement plans and performance indicators have now been established.
Due consideration is given to the environmental impact of our business in all aspects of our operations. Through management systems and policies, we ensure as far as is possible compliance (as a minimum) with relevant regulation and legislation in order to protect the environment.
Also see Environment section of this report.
| Indicator | Description | Location / Section |
|---|---|---|
| EN3 | Direct energy consumption by primary energy source | Environment – Our Performance and Achievements |
| EN4 | Indirect energy consumption by primary source | Environment – Our Performance and Achievements |
| EN8 | Total water withdrawal by source | Environment – Our Performance and Achievements |
| EN16 | Total direct and indirect greenhouse gas emissions by weight | Environment – Our Performance and Achievements |
| EN17 | Other relevant indirect greenhouse gas emissions by weight | Environment – Our Performance and Achievements |
| EN20 | NOx, SOx, and other significant air emissions by type and weight | Environment – Our Performance and Achievements |
| EN22 | Total weight of waste by type and disposal method | Environment – Our Performance and Achievements |
| EN23 | Total number and volume of significant spills | Environment – Our Performance and Achievements |
| EN24 | Weight of transported, imported, exported, or treated waste deemed hazardous under the terms of the Basel Convention Annex I, II, III, and VIII, and percentage of transported waste shipped internationally | Environment – Our Performance and Achievements |
| EN28 | Monetary value of significant fines and total number of non–monetary sanctions for non–compliance with environmental laws and regulations | Regulatory Matters |
LABOUR PRACTICES AND DECENT WORK
Management Approach
Our people are respected as the company’s most valuable resource and they will continue to play a vital role in the process of building a sustainable business. We are committed to recruiting high calibre employees and providing them with the information, training and working environment they need to perform to the highest standards. We encourage all our people to develop to their maximum potential and support them with human resources policies and practices that are strategically linked to the needs of our business and our customers.
Health and safety is a key element of our sustainability strategy. As a business we are committed to providing our employees with a safe working environment and supporting and enhancing their health and wellbeing. For us, any accident is unacceptable and our target is zero accidents.
Also see Johnson Matthey’s Business Integrity and Ethics Policy and the Social – Our Performance and Achievements and Health and Safety – Our Performance and Achievements sections of this report.
| Indicator | Description | Location / Section |
|---|---|---|
| LA7 | Rates of injury, occupational diseases, lost days, and absenteeism, and number of work related fatalities by region |
Health and Safety – Our Performance and Achievements Performance Summary – Health and Safety
|
| LA8 | Education, training, counselling, prevention, and risk–control programmes in place to assist workforce members, their families, or community members regarding serious diseases | Social, Health and Wellbeing |
HUMAN RIGHTS
Management Approach
The company strives to maintain the highest standards of ethical conduct and corporate responsibility worldwide through the application of the principles within its Business Integrity and Ethics Policy. These issues are further safeguarded through corporate governance processes and monitoring by the board and its sub–committees. All employees have a duty to follow the principles set out in the Business Integrity and Ethics Policy. It is integrated into the Group Control Manual and is available to staff at all sites.
Also see Policies and Management Systems – Business Integrity and Ethics section of this report.
| Indicator | Description | Location / Section |
|---|---|---|
| HR1 | Percentage and total number of significant investment agreements that include human rights clauses or have undergone human rights screening | Annual Report 2009 Policies and Management Systems – Business Integrity and Ethics Policies and Management Systems – Business Integrity and Ethics |
SOCIETY
Management Approach
We have a strong tradition in Johnson Matthey for good community relations – building and maintaining these are an integral part of making ours a more sustainable business. We have an important contribution to make to the economic development of our local communities, not only as an employer but also through collaboration and investment, both financial and in kind.
The company strives to maintain the highest standards of ethical conduct and corporate responsibility worldwide through the application of the principles within its Business Integrity and Ethics Policy. Johnson Matthey’s ethical policy is integrated into the Group Control Manual and is available to employees at all sites. Measures are in place to identify and prevent fraud or money laundering through activities undertaken by Johnson Matthey or on behalf of customers.
Many of Johnson Matthey’s products have a material impact on various areas of government policy. Examples include pollution control from transportation and industrial sources, the use of catalysts in resource efficient processes and the shift to zero emission fuel cell technologies. We are proactive in engaging in public policy debate where we have the skills, experience and resources to make a material contribution.
Also see Our Stakeholders, Social, Governance and Policies and Management Systems – Business Integrity and Ethics (including Ethical Management) sections of this report.
| Indicator | Description | Location / Section |
|---|---|---|
| SO1 | Nature, scope, and effectiveness of any programmes and practices that assess and manage the impacts of operations on communities, including entering, operating, and exiting | Community Investment Case Studies – Social, Investing in the Community Our Stakeholders Annual Report 2009 Sustainability, Community Investment |
| SO5 | Public policy positions and participation in public policy development and lobbying | Other Activities in the Year |
| SO6 | Total value of financial and in kind contributions to political parties, politicians, and related institutions by country | Annual Report 2009 Other Statutory Information, Political Donations and Expenditure |
PRODUCT RESPONSIBILITY
Management Approach
Product stewardship involves an integrated approach to products, materials and services management designed to assess, minimise and eliminate the environmental and health related impacts of products. As part of our commitment to sustainability, we appreciate that all the chemicals we use must be managed responsibly. Our product stewardship systems are aligned to a key goal in the 2002 Johannesburg World Summit on Sustainable Development to ‘use and produce chemicals in ways which will lead to the minimisation of significant adverse effects on human health and the environment’.
A systematic product responsibility reporting scheme conforming to the Global Reporting Initiative Sustainability Reporting Guidelines has been introduced to monitor the performance of Johnson Matthey operations.
Significant attention is given to the impact of our business throughout the supply chain and in particular in those aspects where we are providing products to our customers. Compliance with relevant international laws and standards and the provision of accurate information (e.g. relating to environmental, health and safety matters or product specifications and performance) to accompany our products is critical to ensure that they are provided, fit for purpose.
Also see Product Stewardship section of this report.
| Indicator | Description | Location / Section |
|---|---|---|
| PR4 | Total number of incidents of non–compliance with regulations and voluntary codes concerning product and service information and labelling, by type of outcomes | Product Stewardship |
| PR9 | Monetary value of significant fines for non–compliance with laws and regulations concerning the provision and use of products and services | Product Stewardship |