our sustainability report

MURPHY SUSTAINABILITY
REPORT 2014
WHO WE ARE
J. Murphy & Sons Limited is a leading multi-disciplined engineering and construction
company with a rich heritage of safe, sustainable, and innovative solutions to the most
complex infrastructure challenges. With over 4,000 employees and offices in the UK,
Ireland, Canada, Australia and the Middle East, Murphy has been helping clients for
more than 60 years.
INTRODUCTION
FROM THE CEO
Murphy’s approach to sustainability has always
been very practical and we are proud of the fact
that we prefer to be judged by our actions. So,
although this is the first time we’ve produced a
stand-alone sustainability report, this doesn’t
mean the subject is new to us.
Whether it’s protecting our staff and the public,
carefully managing carbon emissions, or providing
economic benefits to clients through innovation
and sustainable best practice, we always strive to
be the best.
Where there’s a problem, we solve it. Where
there’s a challenge, we rise to it and where
there’s an opportunity for clients to benefit,
we deliver it. In fact, sustainability is part of
everything we do.
performance, delivering on our strategy and
reporting progress. Each of the three pillars –
People, Planet and Profit – has a dedicated Board
sponsor, thereby ensuring that our actions always
speak louder than words.
Driving sustainability from the top is, in my view,
key to the performance of our business. That’s
how Murphy operates and I invite you to read on
and learn more about what we do.
J. Murphy &
Sons Limited
Murphy
Pipe & Civil
Pty
J.M. Piling
Company
Ltd
Murphy
International
Ltd
(Australia)
(50%
Ownership)
(100%
Ownership)
(Ireland)
(100%
Ownership)
Land and
Marine
Engineering
Ltd
(100%
Ownership)
Pipeline
Testing
Services
(100%
Ownership)
Surerus
Murphy JV
(Canada)
(50%
Ownership)
Steve Hollingshead
Chief Executive Officer,
J. Murphy & Sons Limited
In the following pages, we explain Murphy’s
approach to sustainability, the development and
implementation of our sustainability roadmap and
how we respond to challenges and opportunities
a little differently when compared to other
businesses.
We recognise that sustainability means a lot more
than protecting the environment, so we have
adopted a three pillar approach to measuring
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3
WHAT WE DO
PROCESS
ENERGY
PIPELINES
BUILDING &
PROPERTY
DEVELOPMENT
We provide construction services
for a range of commercial and
residential clients.
TUNNELLING
As a leading tunnelling and
underground construction specialist,
we have the expertise to manage
projects below ground level as well
as above, and across a wide and
diverse range of ground conditions.
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HIGHWAYS &
STREETWORKS
Our highways, public realm and
security business unit specialises in
high-end and high-profile work,
including maintaining, improving
and building infrastructure.
UTILITY
CONNECTIONS
We offer multi-utility connection and
diversion solutions for projects of all
sizes ranging from the installation of
mains and service utility networks
on housing and commercial
developments, to the alteration or
disconnection of services across
water, wastewater, gas, electricity
and telecommunications utilities.
RAIL
Our end-to-end engineering and
construction services in the oil, gas
and water sectors have supported
clients with delivering sustainable
infrastructure for some of the
world’s largest and most challenging
industry projects.
Our extensive rail engineering
experience and expertise supports
the design, construction,
maintenance and renewal of
Britain’s railway services for UK’s
market-leading rail clients.
STORAGE TANKS
Through Land & Marine, our wholly
owned subsidiary, we are renowned
for our experience and capabilities
in landfalls, outfalls and other
marine pipelines and bundles, as
well as a range of specialist marine
operations.
We have expertise in the design,
fabrication, construction, repair and
maintenance of a wide range of
storage tanks and seals, for traditional
oil and chemical storage.
PILING
We provide piling and geotechnical
services with a long track record of
successfully delivering both major
and minor works in some of the
most demanding ground conditions
in Europe.
MARINE
OPERATIONS
WATER &
WASTEWATER
Our in-depth knowledge and
experience in the water and
wastewater sector underpins all our
projects, whether dealing with
treatment plants, lagoons, reservoirs,
pumping stations, tunnelling,
wastewater networks, and water
main construction and renovation.
POWER
Our power and energy engineering
expertise is supplemented by the
latest technology advances, enabling
our highly-qualified engineers to
provide a cost-effective and
end-to-end management, design,
installation and maintenance of
electrical HV/LV solutions in
transmission and distribution.
MARINE
SUPPORT
SERVICES
To complement our pipelines and
marine activities, we own and
operate a wide selection of
specialist equipment including
winches, barges and equipment
for hire.
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OUR STORY SO FAR
1990s
The 1990s saw Murphy take on
some of the most complex building
and engineering projects in the UK
and beyond, including the London
Water Ring Main. Murphy further
developed its existing expertise in gas
pipe-laying in an urban environment
to the wide-scale installation of cable
TV networks throughout the UK for a
variety of cable TV companies.
1950s
John Murphy established J. Murphy & Sons Limited
in 1951, initially working on post-war regeneration
projects. Focus soon switched to helping develop the
UK’s infrastructure including the telephone cable
network, the national electricity grid and supplying
ready-mix concrete for the new motorway network.
Murphy has developed as a leading multi-disciplined
engineering and construction company thanks to its
innovative approach to tackling complex projects whilst
at the same time improving safety, and reducing cost,
delivery times and environmental impact.
1980s
A decade of rapid growth saw the
start of Murphy’s tunnelling work.
2000s
Long-running contracts with the
British Gas regions commenced
in the 80s, for both transmission
around the country and distribution
within urban areas. Murphy’s new
headquarters at Hiview House in
Kentish Town, North London
was opened.
1950s
2010s
2011
2000s
2011
1970s
1960s
6
Murphy built on its success in
major tunnelling projects by
securing involvement in Crossrail.
A framework contract with Thames
Water was signed to work on
infrastructure for clean and waste
water in the Thames Valley and
North London until 2015, including
major replacement of London’s
worn-out Victorian water mains.
1990s
1960s
Murphy delivered
expansion programmes
for roads, water services
and telephone cable
installation, as well as
diversifying into petrol
stations and car show
rooms. In 1965, Murphy
Pipelines was established
to offer design and
construction services for
gas, oil, water and process
industries.
2010s
1980s
1970s
Murphy played a pivotal role in
the introduction of natural gas
pipelines in the UK and Ireland.
The 1970s also saw the start of
Murphy’s involvement in national rail
reconstruction projects, and building
and property development for both
the private and public sectors.
2000s
Another period of high-profile
consolidation of existing Murphy
rail and energy operational skills
included a joint venture with Hochtief
to construct twin tunnels under the
Thames for the Channel Tunnel Rail
Link. In mid-decade, Murphy won its
first major contract award connected
to London’s Olympic
Park and facilities.
2012
Our Culture Development
Programme is launched, which
evolved from its initial focus on
safety to include quality and
environment, thus achieving
an all-inclusive approach to
attaining a ‘never harm culture’.
2012
Murphy Bright Ideas® is
introduced, since when over
900 innovative ideas have been
submitted by our employees and
evaluated by our Murphy Bright
Ideas® Steering Group.
2013
2013
Awarded Superbrand status,
affirming our position as
one of the UK’s strongest
business-to-business brands.
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Murphy’s Sustainability Roadmap is approved and fully supported by the
Murphy Board. Each of the three pillars is sponsored by a board member.
This will help us to ensure that actions surrounding the roadmap are owned,
managed and implemented as part of our core business strategy.
Health &
Safety
Client
Satisfaction
Valuing
Our
Staff
Innovation
Communication
& Advocacy
Leadership
THE SUSTAINABILITY
ROADMAP
At Murphy, sustainability means
ensuring a positive future for
everyone, and this is one of our
key goals.
That is why, during 2014, we developed a
Sustainability Roadmap to drive our sustainability
agenda forward. The roadmap was designed
to help us build our engagement with
stakeholders, inside and outside the company,
plan our sustainability journey, and encourage
participation and change.
The roadmap was developed and populated
collaboratively through workshops and
consultation with staff across Murphy, as well as
drawing on the experience of external specialists,
IMS Consulting.
Our Sustainability Roadmap adopts the widely
recognised “People, Planet, Profit” model, used
by businesses to define sustainability. Across
these three pillars, the roadmap describes 13
focus areas which are aspects of sustainability
that we believe have the most relevance to our
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company, and where our activities and operations
have the largest impact (both positive and
negative).
Each focus area consists of one or more key
topics and targets that will be reviewed and
updated on an annual basis. Monitoring and
reporting our performance against these targets
will indicate our overall progress towards meeting
our sustainability objectives.
Whilst we have already made considerable
progress in some focus areas, we recognise that
others will take longer to achieve. Equally, the
roadmap process has identified some new topics
that will become a greater priority for us in the
years ahead.
PEOPLE
Focus
Areas
Community
Energy &
Carbon
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PROFIT
Supply
Chain
PLANET
Biodiversity
Waste
FOCUS
AREAS
Plant,
Machinery
& Transport
Resource
Efficiency
Our first Sustainability Report
Sustainability has long been an integral part
of our activities. The development of our
Sustainability Roadmap has enabled us to
formalise measurement and management
within our 13 focus areas.
This means that we can now report our
progress in a consistent way, to all our
stakeholders. The result of this work is
what you are reading now: our first annual
Sustainability Report. We have chosen to focus
reporting only on three key topics for each of the
People, Planet and Profit pillars.
These key topics have been selected to both
showcase areas where we believe our approach
sets us apart, and also to highlight areas where
we recognise there is more work to do.
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PEOPLE
We recognise that people are our greatest asset. This is why we continuously seek new and innovative
ways to further improve standards and proactively lead the industry in health & safety, occupational
health and well-being. Going much further than traditional health & safety management systems, our
Never Harm Culture Programme encourages and empowers people to make better health & safety
choices and take ownership of their behaviours. Nurturing and developing our people is crucial to our
business success, and the Murphy Academy ensures we have the right skills and talent to deliver on
our clients’ expectations. We must also ensure that the communities we work in are given a voice and
provided with a positive experience by minimum disruption and maximum future benefits.
James O’Callaghan,
People Pillar Board Sponsor
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PEOPLE
OUR NEVER HARM
CULTURE PROGRAMME
IN NUMBERS
SAFETY OF STAFF
Our Never Harm culture
We believe that achieving a Never Harm culture is
about creating compelling reasons why people
should choose to follow the wide variety of health,
Employees are trained, using coaching techniques
more commonly found in motivational and
personal development courses than in safety
programmes. Conscious and subconscious
decision-making and the attitudes that help shape
behaviour are dealt with during engaging and
informative hub days.
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Over 7,000 people have been through the programme
100
We hold over 100 Never Harm Hub Days a year
68%
68% of Never Harm Hub Day attendees volunteer
to become Never Harm Focus Leaders and
undertake further training
safety, quality and environment (HSQE) systems
and procedures the industry has put in place.
A different approach to safety awareness
Designed, developed and delivered in-house, our
award-winning Never Harm Culture Programme
goes beyond traditional approaches to empower
people to make better choices by positively
encouraging them from the outset to understand
and take ownership of the triggers to their
behaviours. The Programme not only focuses on
promoting safe behaviour but, more critically, on
developing an understanding of why we do what
we do.
7,000
We teach people not only to recognise hazards
but how to make choices. Behavioural change
professionals demonstrate why people think and
behave in certain ways, how this can impact on
safety and how individuals can take control of
their own barriers, limitations and conditioned
behaviour.
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50 ‘Speak up Coaches’ and 6 delivery ‘Organisational
Coaches’ champion the Programme across, and
provide vital feedback from, our workforce
Since the introduction of the Programme in 2011,
we have reduced accident frequency rate (AFR) by
over 30% and lost time frequency rate (LTFR) by
over 45%.
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PEOPLE
PEOPLE
VALUING OUR STAFF
Supporting our people
Our success is shaped by our people, which is why
we aim to provide them with an environment that
nurtures and supports them. Our learning and
development scheme supports our employees
in fulfilling their potential. It provides training
and education opportunities which upgrade our
people’s skills and enhance their career prospects
and employment opportunities. This also ensures
that we have access to the right skills and talent –
now and in the future –necessary to deliver to our
clients’ evolving needs.
Our wide business interests and activities
also enable us to offer a vast range of career
opportunities and development initiatives. There
is also a broader development programme that
encourages employees to create and participate
in community initiatives, undertake external
training courses and aim to develop as much as
possible on an individual basis.
Improving the resilience of our business by
increasing amongst others the gender, ethnicity
and age diversity of our staff is one of our key
focus areas. We are at the beginning of this
journey and currently collecting data to assess
our performance and looking to set new and
challenging targets.
Murphy Academy
The Murphy Academy was established in April
2014, as our flagship learning and development
portfolio which delivers targeted and accredited
programmes that support both personal and
business excellence in management and
leadership across all levels within Murphy.
The Murphy Academy, which covers Level 2
qualifications right through to Level 5 diploma,
ensures we have the right skills and talent to
deliver on our clients’ expectations.
Apprentices at Murphy are given the
opportunity to work on some of the industry’s
most prestigious projects, helping to drive safer,
smarter and greener solutions for clients.
Graduate Programme provides the opportunity
for graduates to be immersed in the construction
and civil engineering world. Providing the
opportunity for an in-depth experience, working
on live projects to ensure the maximum gain by
combining structured learning with support from
Along with an array of internal and external
an experienced mentor to become a successful
courses available across the business, the Murphy professional in the construction industry.
Academy provides the following programmes:
Since its inception, the academy has seen 60
Apprenticeship Scheme, which has supported
Apprentices through the Apprenticeship Scheme
our new talent in developing award-winning
and 50 Graduates through the Graduate
apprentices, is designed to provide a structured
Programme.
and rewarding career path.
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SAFETY OF THE PUBLIC
Influencing the industry
We believe that anyone who comes into contact
with our operations should be given the same
degree of protection from harm as we provide
to our own staff. With a substantial holding and
use of our own plant and transport, we believe
that improving the safety of pedestrians, cyclists
and other vulnerable road users is paramount
and an area in which we really can drive cultural
and behavioural change, as well as have a big
influence on the way the rest of the industry
operates.
Fleet best practices and innovations saw Murphy
achieve a prestigious FORS (Fleet Operator
Recognition Scheme) Gold Accreditation in 2013,
demonstrating our commitment to continuously
improving our practices in order to sustain the
highest standards of freight operations. FORS
is an industry-led voluntary scheme for fleet
operators whose purpose is to raise the level of
quality and performance within fleet operations.
In 2014, Murphy signed up to become a
Construction Logistics and Cyclist Safety (CLOCS)
Champion, committing to and promoting safety
nationally across all our operations and the
wider industry. Over the past year, CLOCS has
contributed to the roll-out and widespread takeup of the CLOCS Manager system – a collision
reporting and management tool for drivers and
operators – and the successful implementation
of the CLOCS Standard within construction sector
supply chains across the UK, with 23 major clients
and projects specifying it in contracts.
A decrease of over 50% in total insurance costs
suggests that our improved safety standards are
having a positive impact.
We now have 7 FORS practitioners ranging
from Plant and Transport administrators and
department managers to our Plant and Transport
Regional Manager. As FORS is now expanding
from London to the rest of the country, we are also
looking to roll out the standards from London to
the rest of our depots in 2015.
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PEOPLE
Cyclist Safety System
In 2013, there were 14 cycling fatalities in
London, nine of which involved heavy goods
vehicles (HGVs). To address this, we worked with
two of our key London clients – Crossrail and
Transport for London – both of whom rely on site
deliveries by our HGVs, to develop a solution to
reduce risks to cyclists and pedestrians from
HGVs in built-up areas.
Our innovative Cyclist Safety System alerts cyclists
or pedestrians when the nearside indicator is
activated and the vehicle is preparing to make a
left hand turn. A display in the cab also signals the
driver to warn them that a cyclist or pedestrian is
within 1.5m of their near left side.
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We also fit side guardrails to our HGVs, providing
further protection to cyclists, as well as
introducing a Safe Urban Driving course for all our
drivers, to provide practical on-road cycle training.
Our 120 HGVs have now all been fitted with
the Cyclist Safety System and guardrails, at a
cost of £1000 per vehicle. Murphy drivers have
responded positively, with feedback showing they
feel much safer and better equipped than they
used to be. It also means our HGV operations
typically exceed the safety standards expected or
required by clients.
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PLANET
We strive to build more resilient infrastructure and more durable, low-carbon assets. As signatories of
the Government’s Infrastructure Carbon Review, we are already committed to using new technologies,
construction techniques and low carbon materials to reduce the carbon emissions associated with
UK infrastructure. We are also working on the reduction of fuel consumption through plant selection,
innovation and enhanced driver training which has demonstrated significant savings in both carbon
emissions and costs so far. Increasing resource efficiency is also crucial – by working with our supply
chain and clients, we are minimising landfill waste, material and water use, while increasing recycling
opportunities and trialling new products with high-recycled content.
Darren Ramsay,
Planet Pillar Board Sponsor
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PLANET
Greenhouse gas emissions
Carbon
emissions
23%
less than in
2009
120
100
80
60
40
20
0
2009
OUR OWN
CARBON EMISSIONS
20% reduction by 2020
We have measured our carbon footprint since
2009, and it is externally verified through Certified
Emissions Measurement And Reduction Scheme
(CEMARS).
The majority of our own carbon emissions result
from our use of plant, transport and machinery,
which accounted for 89% of our carbon footprint
in 2014. Consequently, our use of gas, oil and
diesel has been identified as a key area in which
to prioritise action and set reduction targets.
Emissions from our use of electricity are less
significant, so despite setting similar reduction
targets, we recognise that there is less potential to
make significant cuts.
In 2009 we set ourselves a 5-year 10% reduction
target (measured as tCO2e/ £M turnover).
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2010
Diesel 48%
Gas Oil 41%
Waste 1%
Natural Gas 1%
2011
2012
Electricity 7%
2013
2014
Other 1%
Petrol 1%
Our best ever performance in CDP
As we achieved this in 2013, we increased our
target to reduce our carbon emissions by 30% by
2020 against 2009. Our figures for 2014 show
we are on course to meet this target, with carbon
emissions associated with fuel and electricity
currently 20% less and 23% less respectively
than in 2009. This has been achieved by investing
in more efficient vehicles, plant and equipment,
driver training, vehicle tracker reporting, speed
limiters, eco-cabins and office improvements.
2014 GHG
emissions
Having responded to the CDP Supply Chain
programme since 2009, we voluntarily opted
to participate in the full CDP climate change
programme in 2014. This meant, for the first
time, our disclosure and performance on climate
change was benchmarked against 3,400 other
companies worldwide, and our score was listed
publicly.
participants worldwide – recognising our progress
and achievements in reducing carbon emissions
and mitigating the business risks of climate
change.
Our score of 94A was the highest we have ever
achieved. It also secured us a place on the CDP
Global Supplier Climate Performance Leadership
Index 2014 – a list of the top 4% of supply chain
36,800 tCO2e
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PLANET
DESIGNING OUT
CARBON
Through innovative design, our project team at Deephams Sewage Treatment
Works delivered time savings, carbon savings of 10,000t CO2e and cost
savings of around £2.2m.
EMBODIED CARBON
Cutting the carbon of UK infrastructure
Whilst limiting and reducing our own carbon
emissions is vital, we know that reducing the
embodied carbon associated with our projects
has the potential to have a far greater impact
on carbon emissions of the UK as a whole. As
signatories of the Government’s Infrastructure
Carbon Review, we are committed to using new
technologies, construction techniques and low
carbon materials to reduce the carbon emissions
associated with UK infrastructure. By working
closely with clients and suppliers, we are seeking
to design out unsuitable materials, trial new
products and implement innovative measures and
best practice to reduce the carbon footprint and
the production of waste.
In 2014, we established targets for each of our
business units to measure the embodied carbon
on their projects. While we recognise that we have
much work to do in order to embed processes
and systems to measure, reduce and report
embodied carbon, several successful exemplar
projects demonstrate the potential savings that
can be made.
13%
Design changes meant that 13% less
concrete was required, reducing embodied
carbon by 864t CO2e
50t
A new plastic fibre concrete mix eliminated
50t of steel
8,000 t CO2e
Using sustainable concrete mix designs as
standard realised further carbon reductions
of 8,000t CO2e.
£180,000
Re-use of 2,000 tonnes of recycled materials for
foam-based road foundation was both sustainable
and cost-effective, eliminating 180t CO2e and saving
approximately £180,000.
Carbon neutral aggregate
The design for the A13/A1014 interchange and
the main access to DP World London Gateway,
the UK’s first 21st century deep-water container
port – specified 150,000m³ tonnes of high-quality
base aggregate.
To minimise the environmental impact of quarrying
such a large volume of material, we developed a
50/50 blend of Norwegian granite and recycled
Incinerated Bottom Ash Aggregate (IBAA). IBAA is a
by-product of incinerated domestic waste, and has
historically been regarded as a waste product and
disposed via landfill.
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With the support of the client, the use of IBAA
was successfully trialled as an alternative to
conventional aggregates. It reduced the need for
primary aggregates, was sourced locally and, with
no CO2e generated during its production, IBAA has
been designated as a carbon neutral product.
Use of IBAA gained Environment Agency approval
and has subsequently been highlighted as an
example of best practice in the construction
industry. We have calculated that the use of
IBAA reduced CO2e emissions associated with
our works on the London Gateway project by over
56,000 tonnes.
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PLANET
96%
WASTE
of waste
diverted from
landfill
Reducing and reusing waste
The construction and demolition sector is the
largest generator of waste in the UK. This places
an emphasis on all companies involved in the
infrastructure industry, such as Murphy, to do
more to both reduce the absolute volume of
waste, and ensure a greater proportion is recycled
or reused.
We have a 10-year waste reduction strategy in
place, baselined against 2009, to reduce our
total mixed waste by 20% by 2020. We remain on
target to achieve this and are increasing our focus
on project-level measurement, to keep progress
on track. In 2014, mixed waste per £m turnover
was 12% lower than in 2009.
We have reduced the total quantity of waste
sent to landfill by 91% since 2009. In 2014 we
diverted over 96% of our waste from landfill,
an improvement of 83% compared with 2009
and almost 6% above the UK Contractors Group
(UKCG) average of 91%. In 2014, we made good
use of materials recovery facilities (MRFs) to
improve recycling rates and waste exemptions to
ensure beneficial re-use of excavated material.
Re-use of chalk slurry
Our construction activities typically generate large
quantities of excavated material. Traditionally,
these went to landfill but we are increasingly
finding new and innovative ways in which to reuse
or recycle them.
To build the new Crossrail tunnels between
Plumstead and North Woolwich, we drove boring
machines beneath the River Thames, pumping
out slurry as we progressed. Rather than
disposing of this material as waste, we instead
dried it in a specially-constructed treatment plant
to form a ‘chalk cake’ suitable for reuse.
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To date, almost 200,000 tonnes of this chalk
material has been transported to Pitsea in Essex,
where it is being used to restore an old landfill site
to lowland calcareous grassland habitat.
Lowland calcareous grassland is one of
Western Europe’s most intricately diverse plant
communities, supporting a whole range of wildlife
including wildflowers, insects, mammals and
birds that are not found anywhere else. Formerly
widespread in south and east UK, it is now
identified as a threatened habitat in the UK’s
biodiversity Action Plan.
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PROFIT
We will increase shareholder value through our sector strength and focus on profit contribution through
sustainable efficiencies, value creation and waste elimination. Innovation is the key to delivering safer,
smarter and greener solutions for our clients. This belief is fundamental to the development of Murphy
Bright Ideas® and Innovation Edge™ – the encouragement and capture of innovation taking place
within Murphy. Our supply chain is perhaps the single area where we can have the biggest impact,
and by regularly reviewing suppliers’ standards and sharing innovation and best practice, we are able
to learn from each other in order to continuously improve sustainability performance. As owners of a
substantial fleet of plant and transport equipment, there is also huge potential to realise savings in
fuel, carbon and operating costs through how we manage and operate our fleet.
John B. Murphy,
Profit Pillar Board Sponsor
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PROFIT
PROFIT
Car fleet
emissions are
9%
below UK new
car average
OUR PLANT,
TRANSPORT & MACHINERY
Realising efficiencies
Unlike many other civil engineering and
construction contractors who hire the majority of
their plant, we own a substantial fleet of plant,
machinery and transport. We recognise that this
offers us huge potential to realise savings in
fuel, carbon and operating costs through how we
manage and operate the fleet.
To achieve these savings, we have introduced a
variety of measures to increase its environmental
performance and efficiency. For instance, we
progressively update our fleet to ensure they meet
or exceed the latest emission regulations. The
introduction of Euro VI engines in our vehicles has
delivered reduced levels of emissions and we are
currently upgrading our plant to stage 3B engines
which provide the lowest particulate emissions
of any plant currently available. Older plant in
the fleet are also being retrofitted with diesel
particulate filters (DPFs).
number of vehicles trialling engine management
fuel saving devices, with fuel savings of up to 10%
recorded so far. When procuring new vehicles and
plant, fuel usage is a major factor in our decision
making process.
Changing the habits and behaviours of our
employees is also vital. We have a rolling
programme underway to ensure that our vehicle
technicians are all IRTEC (Institute of Road
Transport Engineers Certificate) approved.
This means we are able to service our fleet at
any time – and typically more regularly than
manufacturers’ recommended service intervals
– ensuring our fleet is operating as efficiently
as possible. In addition, our driver employee
monitoring programme has shown and proven
that safer, slower drivers use less fuel.
Both pure electric and hybrid vehicles have a
presence on the Murphy fleet. We currently have
seven fully-electric vehicles – two Nissan electric
vans, two Nissan Leaf cars and three Vauxhall
Ampera cars – and have a fleet of 17 Toyota Prius
cars. On top of a telematics system, we have a
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PROFIT
SUPPLIER SELECTION
Sharing best practice
Procurement has an important part to play in
delivering sustainable construction. By carefully
monitoring the source of the goods and services
we buy, how we buy them, and who we buy them
from, purchasing decisions can contribute to the
achievement of environmental and social goals.
This means we must engage with our key
suppliers to better understand their sustainability
commitments and achievements and to build
long-term stable relationships that foster
sustainable practices. Given the large number
of suppliers with whom we work, this is not a
straight-forward task or something we can achieve
However, in 2014 alone we put in place various
initiatives that will set us in the right direction.
Initially focussing on our top 200 suppliers,
we began the process of rolling out our Never
Harm Culture Programme as well as requesting
that they complete a detailed Sustainability
Questionnaire. From this, we can identify areas to
encourage innovation and to share best practice.
Supply Chain Innovation Awards
Enigma Telematics System
In 2014, Murphy added the Enigma Telematics
tracker system to our fleet of commercial vehicles
to automatically collect information to help us with
the security and management of our fleet.
contact with the server so that their status is
available to the Murphy Central Control Hub, from
where reports can be obtained on a 24-hour basis
for each individual vehicle.
The system collects a variety of vehicle tracking
information such as journey time, fuel usage,
carbon emissions and general driver behaviour
including if the vehicle goes over the speed limit
and if there are instances of harsh acceleration
or de-acceleration. Each vehicle is in constant
The security aspect of the tracker system
uses GPS position updates from vehicles to
monitor vehicle movements, both authorised
and unauthorised. It also allows us to record
customised status data such as ignition and fuel
status, and battery level and coolant level.
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overnight. Instead, it represents a long-term
ambition that will take several years to realise.
Recognising the important role our supply
chain plays in innovating and helping us deliver
sustainable infrastructure, we launched the
Murphy Supply Chain Innovation Awards in 2014.
The awards, open to all suppliers within the
construction industry, reward innovative supply
chain products and processes which are helping
to drive the industry forward.
Speedy plc were announced as the first inaugural
winners of the award for the Cygnus Hybrid Power
Generator, designed and manufactured in the UK
by Firefly Solar. Cygnus HPG is compatible with
all diesel generators and can provide renewable
electricity by integrating with solar PV and wind
turbines, as well as connecting to the mains grid.
The generator is innovative in that it supplies
base loads using power from its batteries before
automatically switching to diesel as power
requirements increase.
At a recent water treatment works project, the
generator provided 100% power overnight and
during the weekends, powering a fully operational
site and six cabins. After just one week, it had
reduced the diesel generator runtime by over 50%,
saved 557 litres of diesel, and reduced the fuel bill
by £450.
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PROFIT
Over
25
INNOVATION IN ACTION
Our innovation model has helped introduce new solutions that have
tangible economic, environmental and social benefits.
innovations
with tangible
benefits
£8,000
INNOVATION
Eco Cabin
Developed to a bespoke Murphy specification, the EnergySaving Eco Cabin reduces energy and water use, saving
£8,000 per year in electricity and has been adopted as a
minimum standard for all site accommodation
70%
Duct Laying Trailer
The Duct Laying Trailer provides a safer working
environment, enhances production and saves up to 70%
on installation time compared to traditional methods
85%
Flow-Lay® system
This system enables tugs to surface tow and install
offshore pipelines, saving time and money as well as up
to 85% of carbon emissions
120
Cyclist Safety System
A solution that reduces risks to cyclists and
pedestrians from movements of HGVs in built-up
areas, now fitted to all of our 120 fleet
Full of Bright Ideas®
We recognise that innovation is the key to
delivering safer, smarter and greener solutions
for our clients. That is why we have developed
a unique innovation model, comprising Murphy
Bright Ideas® and Innovation Edge™ and the
Murphy Supply Chain Innovation Awards.
Murphy Bright Ideas® were introduced in 2012,
since when over 900 innovative ideas have been
submitted by our employees. After evaluation by
our Murphy Bright Ideas® Steering Group, the best
go on to compete for our Murphy Bright Ideas®
Annual Awards.
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Many of the Murphy Bright Ideas® are moved
to the next phase of our innovation model,
Innovation Edge™, where they are developed
into tangible solutions, and tried and tested on
projects. Crucially, Innovation Edge™ captures
measurable economic, environmental and social
benefits, as well as application and market
potential.
In order to promote value-engineered solutions
for clients and encourage further industry-wide
innovation, in 2014 we developed an Innovation
Microsite (www.murphyinnovation.com) where we
share our Innovation Edge™ successes.
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PLANET
PEOPLE
LOOKING AHEAD
KEY TOPIC
TARGET
Safety of staff
Achieving a never harm culture such that
Accident Frequency Rate = 0
Satety of the public
Reduce own-fault road traffic accidents
by 10% by 2015
Education of staff
Delivering 100% of all training identified
by 2020
Our own carbon
emissions
Reducing fuel and electricity use by 30%
by 2020 compared to 2010
Embodied carbon
Reducing embodied carbon from tender
stage estimate by 10% across all our
projects by 2020 against 2016 baseline
PROFIT
Waste to landfill
Reducing waste to landfill by 80% by
2020 compared to 2010
Environmental
performance of our
plant, transport &
machinery
Monitor environmental performance of
all new plant, transport and machinery by
2018.
Innovation
12 innovations per year
Supplier Selection
Implementing improvement targets
with our Top 200 suppliers for whom
improvement is needed by 2016
Data stated in this report covers only the UK operations and business units of J. Murphy & Sons Limited.
Copywriting, design and production by IMS Consulting.
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London (Head Office)
Hiview House
Highgate Road
London NW5 1TN
T +44 20 7267 4366
F +44 20 7482 3107
North West
Wigan Road
Golborne
Warrington WA3 3UB
T +44 1942 725326
F +44 1942 721530
North East
Rotherham Road
Dinnington
Sheffield S25 3RD
T +44 1909 564911
F +44 1909 565170
North
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Leeds LS9 0NY
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Midlands & South West
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Dubai
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Dubai, United Arab Emirates
T +9714 701 7433
Ireland
Great Connell
Newbridge
Co. Kildare
T +353 454 31384
F +353 454 31635
Australia
Murphy Pipe & Civil Head Office
60 Kingsford Smith Drive
Albion, QLD 4010
T +61 7 3637 0200
F +61 7 3262 6448
www.murphygroup.co.uk
www.murphyinnovation.com