Cop
yri
gh
t: S
hell
Exp
lora
tion
& P
rod
uct
ion
Ltd
.
Creating Business Value Through Strong Product Stewardship
Sam Smolik
Vice President HSSE/SD
Shell Downstream Inc
9th Asia Pacific Responsible Care Conference
Manila, Philippines, 16 Nov 2005
2
Today’s objectives
1. The Shell Group’s foundations for Product Stewardship
2. Product Stewardship contributions to business success
3. HSSE issues in the rapidly growing Asia Pacific region
4. Challenges – for all of us
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The bedrock of the Shell Group’s approach to HSSE
We are committed to:
• no harm to people
• protect the environment
• use material and energy efficiently
• publicly report performance
• promote best practices
• manage HSSE like any other critical business activity
• strong culture
Every Shell Company:
• has a systematic approach to HSSE management
• sets targets for improvement
• has requirements for contractors
• has requirements for joint ventures
• includes HSSE performance in personnel appraisals
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Product Stewardship principles
1. Structured approach
2. Compliance with internal,
regulatory and customer
requirements
3. Reduce product risks
4. Reduce life cycle risks
5. Perform risk assessments
6. Consider economic,
environmental and social
risks
7. MSDS availability
8. Product HSSE information
9. Packaging and labeling
10. Emergency response
support
11. Managed use of products
12. External engagement
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From principles to performance
Principles
Business: HSSEpartnerships
Business success
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Our principles in action ……
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Principles in action: Isocyanate policy for polyol customers
Principle applied:Reduce product risks
• Supports industry goals - safe and responsible use
of toluene diisocyanate (TDI)
• Extends engagement on TDI Product Stewardship
to polyol-only customers
• Helps to jointly assure the safety and sustainability
of our industries
Business benefit:Reduction of business risks – safe handling of products
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Principles in action: Life cycle analysis of biofuels
Principle applied:Consider economic, environmental and social risks
• Research into life cycles of alternative fuels
• Impact of different agricultural practices and
transport requirements on the greenhouse gas
balance
• Improved understanding - biofuels contribution to
climate change challenge
Business benefit:Richer dialogue with key stakeholders on potential for biofuels
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Principles in action: Solvents customer appraisals in the Philippines
Principle applied:Reduce life cycle risks
• 10-20 appraisals carried out each year
• Customers value:
• being alerted to unsafe practices
• attention drawn to regular maintenance checks
• focus on benefits of clean, safe premises
Business benefit:Strengthens customer relationships, business risks reduced
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Principles in action: Product Stewardship Management System
Principle applied:Structured approach
• Business-owned systems: define management of
product-specific HSSE risks
• Ensures HSSE accountabilities at all levels are clear
and adequate resources are available
• Evergreen systems
Business benefit:Reduction of HSSE risks of products
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Issues faced in Asia Pacific
On-going rapid market growth
Large number of start-up and smaller businesses
Varying safety cultures across the region
Ever-expanding need to provide product support
and to manage regulatory issues
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Five simple challenges – Product Stewardship in Asia Pacific
1. Set clear and high expectations
2. Walk the talk
3. Collaborate
4. Set the right example
5. Show strong leadership
Cop
yri
gh
t: S
hell
Exp
lora
tion
& P
rod
uct
ion
Ltd
.
Creating Business Value Through Strong Product Stewardship
Sam Smolik
Vice President HSSE/SD
Shell Downstream Inc
More information at www.shell.com/sustain
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