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Safety1

At Outotec, safety covers both product safety and the occupational


health and safety of employees and subcontractors

SAFETY COMES FIRST

Outotec has a Product Compliance Management process (preciously called Technology and
Plant Safety Management) that is mandatory in all Outotec entities to ensure that all products
engineered and delivered by the company meet the applied safety standards during each phase
of their life cycle. By following the process, including HAZOP and SIL methods internationally
known methods to analyze risks for personnel and environment within process plants we
ensure that we deliver a safe product. We measure our performance with the percentage of
products and services assessed for which health and safety impacts are assessed for
improvement.
The company enables all employees and subcontractors working under our responsibility to
work safety and provides the relevant procedures, instruction and training. Outotecs managers
and leaders demonstrate clear commitment to the continuous development of our safety
performance. Outotecs occupation at health and safety principles are defined in the Code of
Conduct and QEHS policy.
Since 2010 our personnel have been working persistently to develop and implement and
harmonized QEHS management system.in 2013, we received global multi-site matrix
certification for a total of 27 locations. At the end of 2014 Outotec certification covered 34
locations. This QEHS management system defines procedures, work instructions and form
templates to be used in global business processes in our daily work. The main aspects of the
management system relate to compliance with legislation. ISO 9001, ISO 14001 and
BS:OHSAS 18001, identifying and minimizing health and safety risks, preventing incidents,
recording and investigating occurred incidents, personnel training, and the continuous
improvement of quality, environment and occupational health and safety performance.
Safety rose as the most material theme in 2014 materiality analysis, partly as a result of deeper
stakeholder dialogue and analysis, and partially because the top management saw the need to
improve our safety performance and culture. Outotec will develop a new long-term target and
road map for safety during 2015. There is also an obvious need for people to change their safety
behavior, act according to global procedures, and use the Outotec health and safety templates.
The training of employees is in focus in 2015, and our target is to increase the awareness of
Outotec Health and Safety Management System and processes. The progress is be measured by
the number of completed EHS e-learning courses. In order to monitor our safety performance,
we also measure the Lost Time Injury Rate.
IMPROVING PRODUCT SAFETY AND COMPLIANCE

Compliance with legal requirements for the safe of products is the main aspect in Outotecs
product compliance management. In 2014, Outotec put a new database into use to gain a better
visibility into the product compliance procedures and documents during the business process,
e.g. product development as well as selling and delivery of products and services.
A product at Outotec may be in the form of equipment, a process, plant or service. Equipment
delivery by Outotec fulfills safety-related industrial standards such as ISO 12100, IEC 62061
for the safety of machinery and all required by European directives such as 1997/23/EG, and
2009/105/ EG, 2006/42/EG, 94/9/EG [ATEX], 2004/108/EG, 2006/95/EG, and IEC 61511 for
process plants. Detection of hazards such as explosion, fire and lightning followed by
examination of HAZOP according to IEC 61882 and SIL-Allocation Assessments are

1 From MAXIMIZING OUR HANDPRINT, document of OUTOTEC


mandatory at Outotec. There were no fines for non-compliance with laws and regulations
regarding the use of Outotec products in 2014.
We provide information to our customers about the impact of our products and services
including the energy consumption, emissions, metal recovery, and water usage, as well as safety
information according to industry standards. In industrial processes safety is an integrated part
of our operation manuals. Outotec manuals cover the entire life cycle of the delivery, follow the
IEC82079-1 standard, and contain information on transport, installation, operation, maintenance
and decommissioning. In addition, we offer maintenance as a service package to our customers.
During 2014, the training and implementation program, started in 2013, was continued. By the
end of 2014, more than 90 percent of Outotecs managers were involved in the program. We
also provided training services to our customers, included safety training. The usage of our
safety software improved at all locations with engineering activities and project implementation.
SAFETY OR OUR EMPLOYEES AND CONTRACTORS

Safety is an important aspect of Outotecs field operations at customer sites. Outotecs project
manager is responsible for the companys and its sub-contractors site activities and the
management of the environmental issues, safely systematic practices, and cleanliness. All
Outotecs project and service specialists follow the customers safety regulations on site. From
the occupational safely standpoint, the greatest risks are associated with work assignments in
countries that have little awareness of safely issues and a weak occupational safety culture. In
these countries, Outotec employees are instructed to follow the companys own occupational
safely principles.
In 2014, our Lost Time Injury Rate was 1.5 per one million hour worked, which was lower than
the previous years level [2013: 1.9]. The accidents were caused by a number of different
reasons, both in project sites with subcontractors and in Outotecs own manufacturing facilities
in all geographic regions. There were four lost time injuries with absence from work exceeding
30 days. The manufacturing units in Lapeenranta, Turku, Turula, and Suzhou improved their
safety performance significantly. Local health and safety procedures were harmonized with the
global procedures in Canada, Finland, Germany, Russia and Sweden. Sixteen EHS e-learning
courses were developed to enable easy delivery of EHS training in our QEHS Management
System.
Employees, whose work involves installation, commissioning, maintenance, or general site
operations related to plants, equipment, or services delivered by Outotec to its customers, are
trained regularly in health and safety matters including the use of protective equipment. The
objective of the training is to induct employees in hazard identification, risk assessment and
required control actions to prevent any harm and to improve practical collaboration between the
customer and supplier organizations on shared sites.
Outotec has a medical and security services agreement with the global services provider
International SOS to ensure the security and well-being of its employees. This 24/7 service
covers all Outotec employees and service providers for emergencies that occur during business
trips. Through its Medical Alerts and Travel Security Online services, our employees are also
informed about diseases and other health, safety and security issues.

IImprovement in health and safety reporting


To improve health and safety reporting, a global EHS dashboard was created in 2014 using
Outotecs enterprise resource planning system for reporting. This dashboard enables the follow-
up of incidents, safety training, near misses and lost time injury rates of Outotec locations and
large projects. A new database was also created to follow-up incident reporting and incident
investigations. All lost times injures were investigated and actions completed. In 82 percent of
the cases actions were completed within two months of the incident. In addition, eleven large
projects were followed up monthly, with a separate reporting for each project.
Our South East Asia Pacific [SEAP] market area achieved 12 lost time incident free months in
2014. The achievement reflects the efforts that all employees and contractors have undertaken to
ensure safety at work.
AWARDS IN CUSTOMER WORK

We received several safety recognitions from our customers in 2014. Outotecs QEHS
performance sends a strong message to the customers and the resources industry about our
commitment to developing safety performance and culture.
The most extensive safety achievement in 2014 was the milestone of eight million accident-free
working hours at the Cristal ilmenite smelter in Saudi Arabia.
We also awarded the Samarco Excellence Award for the work in the Samarco pelletizing plant
in Brazil. The evaluation criteria for the award were punctuality, cost, environmental and social
responsibility, quality of service and safety.
Codelcos Andina division in Chile recognizing Outotec with the award for Safety Management
2014 as a recognition of our commitment and achievement in controlling hazards and
preventing accidents.
This was the third consecutive year Outotec receive the award. Outotec was also recognized for
eight years with no lost time accidents at the Codelco Andina plant.
The largest phosphate supplier in the world OCP awarded Outotec for the second consecutive
year for health, safety and environmental work at the Salt Chemical, Jorf Lastar and Imacid sites
in Morocco.

Annex
HEALTH AND SAFETY PERFORMANCE

Outotec has one harmonized QEHS management system including QEHS policy, procedures,
work instructions and training material aligned with the One Outotec approach. The multi-site
matrix certification includes ISO 9001 [Quality management], ISO 1401 [Environmental
management], BHS OHSAS [Occupational Health and Safety Construction management] and
Safety Construction Certificate [SCC] for all our main locations.

Health and safety 2014 2013 2012 GRI


indicator
Non-fatal injury arising from or in the course of work 33 54 26 G4-LA6
Fatal injury arising from or in the course of work 0 2 0 G4-LA6
Lost time injury rate [LTIR] (number/1 million working 1.5 1.9 1.9 G4-LA6
hours)
Occupational diseases 0 1 0 G4-LA6
Occupational disease rate (number/1 million working 0 0.03 0 G4-LA6
hours)
Lost days because of an occupational accident or 173 307 285 G4-LA6
disease
Lost day rate (number/1 million working hours) 7.6 10.6 21.8 G4-LA6
Absentee rate, % 0.9 0.8 1.3 G4-LA6
Total workforce represented in health and safety 98 NA NA G4-LA5
committees, %

n = 9,789 including our own employees and subcontractors on project sites


We also collect data from near-miss cases and continue to further develop our Health and Safety
Management System to prevent any accident
The health and safety committees monitor and collect feedback and discuss health and safety related
issues
They typically operate on location and project level at Outotec.

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