CSSE: HSE Leadership in Action

CSSE: HSE Leadership in
Action
Paul Henning, V.P. Business Development RTA
Sept 2014
Agenda
• Who we are
• Operations, BC and Modernization
• A Personal Journey
• Leadership in action….our journey to Zero
Harm by choice
• Questions
Rio Tinto’s presence in Canada
13,000 total Employee’s
RTA (Saguenay-Lac-Saint-Jean QC)
- Alma
- Arvida
- Dubuc
- Énergie Électrique
- Grande-Baie
- Jonquière
- La Baie
- Laterrière
- Port Alfred
- Railway
- Vaudreuil
DDMI (Lac de Gras NWT)
IOC (Labrador City NL)
RTA (Kemano BC)
RTA (Kitimat BC)
IOC (Sept-Iles QC)
RTA+RTX*
(Vancouver BC)
RTA (Quebec City QC)
RTA (Strathcona AB)
RTA (Shawinigan QC)
RTA:
IOC:
RTFT:
DDMI:
RTX:
Rio Tinto Alcan
Iron Ore Company of Canada
QIT-Fer et Titane
Diavik Diamond Mines Inc.
Rio Tinto Exploration
RTFT (Sorel-Tracy QC)
RTA
(Brockville ON)
(Kingston ON)
Rio Tinto/RTA/IOC (Montreal QC)
Rio Tinto Alcan (Ottawa ON)
Rio Tinto Alcan
•
Approximately 22,000 employees
throughout the world
–
including over 8,000 across
Canada
•
Global headquarters in Montreal
•
Rio Tinto Alcan is one of the world's
largest producers of bauxite, alumina and
aluminium, with an annual production of:

33.443 million tonnes of bauxite

9.089 million tonnes of alumina

3.790 million tonnes of aluminiumm
BC Operations
Kitimat & Kemano
Flashback: sixty years ago
The original aluminium project was
the largest engineering, construction
project ever undertaken by private
enterprise in Canada (at the time)
Key project elements:
• Kenney Dam & Nechako
Reservoir
• 16-km power tunnel through solid
rock
• Kemano powerhouse
• 80-km mountain transmission line
Invited by the BC government to develop
central interior hydroelectric potential in
late 1920s and again in late 1940s.
• Kitimat smelter
• Kitimat and Kemano townsites
The 1950 Agreement gave the
Aluminum Company of Canada the right
to develop its water license up to 1999.
Operational Footprint in B.C.
Our northern BC assets
Kitimat Smelter
Kenney Dam
Transmission Line
Power
Tunnel
Nechako
Reservoir
Power House
Skins Lake Spillway
Health, safety and environment performance
Recordables
First Aid Visits
Summary and highlights
Together as one team, we
will become the best
aluminium smelter in the
world.
By being true to our core
values we will achieve our
mission.
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BC Operations today
• Approximately 1,200 employees
• In transition process to be ready for
operation of new smelter
• 95% of workforce assigned new job
placements
• 220,000 training hours to undertake to be
‘KMP ready’ – 8,374 completed to date
2014 plan is to strategically and sequentially
shutdown existing potlines to free up
employees for training while maximizing
metal production for customers.
• Pot line 5 production scheduled to be
idled on June 15th
Countdown to the new era!
Kitimat Modernization Project
September 26, 2014
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KMP Today
• Approximately 3,400 full time employees
• The project is currently staffed at peak levels and this is expected to hold
until November, then reduce significantly over the following months
• Mobilizing approximately 150 new KMP employees per week, this
counts for trade shift and personnel turn over
• KMP accommodation options are very close to capacity
• Focus of KMP is starting to shift from Construction to Start-up &
Operation
KMP progress update
• 74% complete overall – engineering, procurement & construction
• Construction is 63% complete
• Project cost and schedule has been re-forecast and endorsed by the
business at $4.8bn with “First Hot Metal” in first half 2015.
Our state-of-the-art AP40 technology cells
KMP workforce update
Active Badges – 7 August 2014
KMP Regional Economic Development Contribution
$689.86 million to date…
Committed Value by Zone (C$)
Zone1 – $ 218.12 M
Zone 2 – $ 214.11 M
Zone 3 – $ 257.63 M
Interesting economic facts in BC
Total spend in BC in 2013 = $570 million
(including KMP)
Wages & benefits to permanent RTA
employees in BC = $161 million
Average income = $141 k/yr
1,683 Retirees = $4.5 million
Property taxes = $ 17 million
A Personal Journey
Trainee to compliance to leadership
• 1980 The Journey commences, Alcan UK.
• 1980 – 1990, Trainee, Operator – Technician - Engineer
ZERO HARM BY
CHOICE
• 1990 – 1996, Technical leadership – Team
• 1996 – 1998, Transferred to USA, organisational change
• 1998 – 2003, Site / Plant GM Scotland - Director
Our Journey
• 2003 – 2013, Canada, BC, Kitimat site GM, Regional lead,
operational VP
• 2013 – today, Business Development – concepts – projects growth
September 2014
H.S.E. Leadership in Action…pathway to Zero
harm by choice.
Context: Today and our desired state
• RTA is on a journey to reach Zero Harm by Choice
• The current initiative seeks to improve our leadership commitment and
capability to develop visible changes in HSE performance levels
• Our leadership development strategy is based on a needs analysis with
over 40 Rio Tinto Alcan senior leaders, complemented by the literature
review, to best meet their needs and realities
Our analysis of where we are.
ON RTA’S HSE VISION

Zero Harm by Choice is clearly seen as the expected outcome; GMs generally buy into it and
believe it is achievable. However not all can describe as clear a path in getting to desired results.

Vision for Health and Environment need to be clarified and a stronger commitment should be
demonstrated in those areas.

People feel we have been too focused on statistics and reporting rather than people and the true
meaning behind our actions (i.e: Caring).

Current HSE vision gets distracted by the number of uncoordinated initiatives and GMs need
support to better align those multiple demands.
VALUE & BELIEFS

All GMs see Safety as non-negotiable and a duty. They tend to develop a stronger and intrinsic
motivation towards the Zero Harm by Choice Culture through meaningful personal experience
and/or exposure to it.

Most GMs see a clear business case for HSE as they see a high level of correlation between HSE
performance and overall performance.

At this point, increased pressure to perform will no longer suffice to get to Zero Harm by Choice.
Motivators need to evolve beyond extrinsic or «push» strategies to better develop intrinsic
motivation or «pull» strategies.
Our analysis of where we are.
LEADERSHIP PRACTICES

As leaders, GMs believe they need to master a few key practices and apply them diligently in
order to build their credibility.

They set clear expectations, communicate them with passion and determination, role model the
behaviors and coach their team; they are rigorous, will hold people accountable and will take
action when needed.

GMs also value time spent in meaningful, impactful and caring interaction with their people. They
are visible, demonstrate commitment and strongly value people in a personal and heartfelt way.
SYSTEMS

Strong general feeling that the knowledge of what it takes to get to Zero Harm is within our
existing talent pool . We need to access that knowledge, leverage it and apply it with consistency.

GMs unanimously agreed that we had all of the right systems to support us and need to now
better focus on the relevant “critical few” at each level and increase the quality and impact of the
activities.

Some GMs have evolved in their perception of HSE and have integrated their HSE agenda with
other strategic pillars and ensured alignment with other systems such as Lean.
September 26, 2014
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Clear Vision / Current and Desired State
Number of incidents
We choose as individuals and teams to support each other to create a workplace free of health, safety and
environmental incidents.
Source: RTA ExCo October 2010
• Limited
management
involvement
• Compliance is the
goal
• Delegated to a n
HSE manager
• Safety as a
condition of
employment
• Top-down approach with
supervisory control
• Management commitment
with HSE as a goal
• Enforcement of rules &
procedures
• Role modelling
• Caring or felt leadership
• Personal knowledge, value
& commitment
• Team commitment , goals & performance
• Good personal standards,
practices and care for self
• Open and non judgmental reporting culture
• Genuine trust , concern and care for others
• Individual goal setting and
recognition
• Pride in the organisation
• Use of discipline and fear
• Focus on working conditions
and the environment
• Empowered individuals
• Belief and rituals to support continuous improvement
Source: Dupont’s Bradley Curve
• Teams are empowered and self managed at all levels
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Sustainable Safety Culture Journey to Zero by choice
Each Leader knows his team position on the
cultural curve and has his leadership
development plan to progress – Leaders develop
Leaders
L = Leader
Injury Rates
Kitimat
L
L
L
L
L
L
Leadership development
Leadership
Leadershipdevelopment
development
by
bychoice
choice by choice
Bradley Curve Journey
ELEMENTS
State
DEPENDENT
Zero harm not possible
INDEPENDENT
Zero harm by chance
INTERDEPENDENT
Zero harm by choice
Level of
internalization
Commitment level
HSE is important
HSE is a priority
HSE is a value
Commitment to comply
with requirements
Management
approach
Communication
process
Focus
Top-Down
Personal commitment
(My own safety is
important)
Bottom-Up
Team commitment
(Safety of others and
self)
Empowerment
Via the hierarchy
Unidirectional
Bi-directional
Working conditions &
the environment
Search for noncompliance
"Quick Fix" solution
Behaviours
Environment,
behaviours & systems
Systemic
Dissuasive approach
Recognition for results
Observation
approach
Improvement
approach
Recognition
Search for risks
Possible improvement
Continuous
improvement
Recognition for
behaviours
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Game plan…..Zero Harm
To accelerate the HSE Transformation plantwide by focussing on leaders key competencies
and engagement
To develop an aligned commitment to achieving Zero Harm within the next 2 years
To have a rigorous and consistent Follow-up Strategy
What is Zero Harm?....to RTA anyway
Zero Harm represents our goal to create, collectively, a workplace that is injury, illness and
incident free within the next two years in terms of HSE.
Focus on quality of Felt Leadership – what does it mean at Kitimat and what are we doing to
drive this?
• Have daily interactions with supervisors to assess their competency level and coach them to
reach the level 3
– Effective Pre-shift meetings
– Take 5
– Safety Interactions
• Have leadership coaching 1/1 quarterly
How do we sustain Zero Harm?
Accountability:
– zero tolerance…”I could have saved a life today”
– understanding of why people do what they do..behaviors
Engagement:
– Engage people at the shop floor to review work practices and
procedures, then they are accountable for what they own
– Support, removal of barriers
– One on one annual reviews
– Coaching
Ownership:
– Leaders are developing Leaders…coaching , support, active
engagement.
– Provide Leadership coaching
– Feedback actual performance
Health, safety and environment performance
Recordables
First Aid Visits
Summary and highlights
September 26, 2014
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September 26, 2014
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The journey continues
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