Metalloinvest
Annual Report 2019

UN Sustainable Development Goals

UN SDG FORMAL INCLUSION INTO INTERNAL DOCUMENTS PLANS AND RESULTS SECTION OF THE REPORT DESCRIBING THE COMPANY'S CONTRIBUTION
Relevant tasks:
1.2
1.3
1.5
CSR and charity policy

HR policy

2019 results:

  • Average salary is above the market value
  • 5.9 billion roubles
  • total amount of investments in external social programmes in 2019
  • Implementation of social and economic partnership programmes with the regions of presence
  • Implementation of charity programmes

Plans for 2020:

  • Analysis of the possibilities of the supply chain localisation
  • Implementation of social and economic partnership programmes with the regions of presence
  • Continued Implementation of charity programmes
External programmes and charity

Responsibility to employees
Relevant tasks:
3.4
3.8
Human Rights Policy

2019 results:

  • Approval of Human Rights Policy

Plans for 2020:

  • Development of activities on the protection of human rights for safe labour, favourable environment, right to rest and fair wages
Human Rights

External programmes and charity

Employee health
Relevant tasks:
4.3
4.4
CSR and charity policy

Stakeholder Engagement policy

2019 results:

  • 1,755 employees are trained to use Business System tools
  • The average number of staff training hours increased by 37.5%
  • Metalloinvest’s Corporate University has been established
  • The social and economic partnership programme was implemented in the regions of presence
  • Programme of cooperation with higher and secondary education institutions

Plans for 2020:

  • Development of corporate charity programme “Our Future”
  • Development of internal education culture
  • Further cooperation with educational institutions
Responsibility to employees

Development of the regions of operations
Relevant tasks:
6.3
6.5
Comprehensive environmental programme

2019 results:

  • The total volume of reusable water in the water supply systems of the Company’s enterprises amounted to 2,656.4 million m3 in the reporting period
  • 1.2% less compared to 2018

Plans for 2020:

  • Modernisation and development of water recycling systems at LGOK, MGOK and OEMK
Water consumption and protection of water resources
Relevant tasks:
7.3
7.b
A comprehensive production energy efficiency improvement programme

2019 results:

  • A comprehensive production energy efficiency improvement programme developed and approved
  • Centre for energy efficient technologies and energy audit was created
  • Metalloinvest reduced its energy consumption by 0.7% compared to 2018

Plans for 2020:

  • Implementation of the energy efficiency improvement programme measures
  • Implementation of projects for the transfer of the Company’s vehicles and open mine machinery of LGOK and MGOK to natural gas motor fuel
Energy consumption and efficiency
Relevant tasks:
8.2
8.3
8.4
8.5
8.6
Human Rights Policy

The Company’s development strategy for 2025

2019 results:

  • 43,453 people are employed
  • A payroll fund increase by 10%
  • Metalloinvest received the Platinum SAP Value Award in the category “People are the most valuable capital”
  • 1.5 billion roubles were invested in OHS activity

Plans for 2020:

  • Improvement of the regulatory framework on OHS management
  • Launch of the programme to improve social and living conditions in the companies
  • Launch of the project-based bonus programme to motivate employees engaged in project teams
Responsibility to employees

Occupational health and safety
Relevant tasks:
9.1
9.2
9.4
9.5
A comprehensive production energy efficiency improvement programme

Implementation of the Industry 4.0 digital transformation programme

2019 results:

  • Launch of the business process management platform
  • The second wave of Industry 4.0 at OEMK and Ural Steel has been completed
  • Implementation of major investment projects
  • Implementation of an automated system of medical check ups
  • Implementation of the project on the transition to electronic document management with suppliers and contractors
  • Automation of personnel management function
  • Implementation of the SAP system

Plans for 2020:

  • Pilot projects for the transfer of the Company’s vehicles and open mine machinery of LGOK and MGOK to LNG
  • Automation of the process of setting goals and key performance indicators for employees
  • Development of the distance learning system, its consistent centralisation, updating and strengthening of the existing distance learning culture. Development of electronic courses
About the Company

Responsibility to employees

Responsibility to customers and suppliers

Occupational health and safety
Relevant tasks:
11.3
11.7
Sustainable development policy

2019 results:

  • Launch of a project to implement the public space strategy in Gubkin
  • Reconstruction of the central city embankment in Stary Oskol
  • Reconstruction of a municipal park in Zheleznogorsk
  • Implementation of corporate charity programmes
  • Implementation of social and economic development of territories

Plans for 2020:

  • Implementation of a long-term sustainable infrastructure development programme in all cities of presence
  • Further implementation of urban space development programmes
  • Further implementation of social and economic partnership programmes with territories
External programmes and charity
Relevant tasks:
12.4
12.5
12.6
Sustainable development policy

2019 results:

  • Iron ore production amount is 40,2 million tonnes
  • A special centre for energy efficient technologies and energy audit was created

Plans for 2020:

  • Creation of the energy management
About the Company, Financial and operating results, Use of material resources, Energy consumption and efficiency
Relevant tasks:
13.1
13.3
Environmental policy

2019 results:

  • The total environmental costs in 2019 amounted to 7.60 billion roubles, which is 5.1% more compared to 2018

Plans for 2020:

  • Ongoing confirmation of compliance of the environmental management system with the standard requirements
  • Completion of GHG emission inventory
  • Development of measures to reduce GHG emissions
Environmental responsibility
Relevant tasks:
15.1
15.3
15.5
Environmental policy

2019 results:

  • Reclamation was performed in the area of 6.5 hectares

Plans for 2020:

  • Acquisition of moveable environmental laboratories
  • Reclamation of decommissioned waste disposal facilities
Экологическая ответственность
Relevant tasks:
16.3
16.5
Stakeholder engagement policy

Code of corporate ethics

Anti-corruption policy

2019 results:

  • Anti-corruption policy update
  • Training in anti-corruption policy for employees

Plans for 2020:

  • Development of compliance control system
Sustainable development management
Relevant tasks:
17.14
17.16
17.17
Stakeholder engagement policy

2019 results:

  • Joining the United Nations Global Compact
  • Participation in external initiatives and business events

Plans for 2020:

  • Participation in projects and initiatives of the United Nations Global Compact
  • Participation in external initiatives and business events
Responsibility to society

Appendix. Participation in associations