The Companies EHS program continued its evolution in Fiscal Year 2006. Organizational highlights include the continued formalization of the EHS program in areas outside of manufacturing and distribution operations particularly in the North American retail and packaging divisions.
Energy costs per million dollar sales skyrocketed in FY06 due to the rise in global prices for electricity, oil and natural gas. Work-related workers compensation payments and waste costs remained relatively constant in comparison to FY05. Compared to FY05, the FY06 costs in $ / $1Million sales had the following changes:
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The table below reviews the Company’s performance against the Corporate EHS objectives that were set in Fiscal Year 2006. This is coupled with highlights of our program’s performance over the years in other areas.
More detailed information on particular programs EHS Performance in 2004 can be found throughout this website.
Employee Safety
We have reduced our accident frequency rate by 73% since 1995 at our global operations facilities; although in Fiscal Year 2006 we had a slight rise in our accident indicators. |
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| Category | Objective | FY06 Performance |
Total Incident Rate |
Decrease the Total Incident Rate to 3.05. |
The global objective of 3.05 was not met for total incident rate. The year end result was 3% higher than FY05, but 11.8% lower than FY04, which was the first year EL started recording the rate. To further our commitment to workplace safety, we have implemented a corporate goal to reduce our TIR (total incident rate) to 1.0 within the next five years. We will reach this by reviewing our current safety programs and implementing detailed action plans. These steps will lead us to our ultimate goal: an accident-free workplace. |
Lost Time and Total |
Reduction of these rates 20% in comparison to the previous Fiscal Year |
Lost Time Severity Rate increased by 46% over the previous Fiscal Year and Total Severity Rate increased by 44%. However in Fiscal Year 2004 the Company switched from recording accidents in business days to calendar days which led to a large percentage of the increase. |
| Environmental Performance | ||
| Category | Objective | FY06 Performance |
Management System |
Maintain ISO 14001 Certifications. |
Objective met |
Pollution Prevention |
Enhance Energy Conservation Programs to further optimize energy performance |
Ongoing. Global Operations facilities enacted five year energy conservation plans for their locations and examined one process to enhance its efficiency to reduce energy usage and waste. |
Expand Pollution Prevention activities in existing operations |
Completed. Each facility documented a formal process improvement that examines one program at the facility and finds a measurable way to enhance the process efficiency therefore reducing waste. |
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Minimize incoming waste into our buildings. |
Ongoing: Each facility is examining where re-usable shippers and packaging materials could be utilized and perform a cost/benefit analysis to determine if current materials should be substituted. | |
Divert waste materials |
Ongoing. Each facility focused on one waste stream and set local objectives to increase the recycling/reuse percentage by a defined measurable quantity of that stream. |
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