Context
These trends exist globally (UN initiatives, tightening of environmental legislation
all over the world), locally and individually (responsible consumption), as well
as in various industries, from traditional (agriculture and mining) to breakthrough ones (medicine, biotech, etc.). A special focus here should be placed on developing responsible financing.
As a company with more than 80 years
of history and a strong social and environmental commitment, Nornickel strives to keep abreast of the current global agenda for sustainable development. By accumulating substantial production, financial,
human, and intellectual resources,
the Company makes significant contribution to achieving sustainable development goals.
Russia and other nations have come up with a number of initiatives set to join forces of responsible companies in delivering on the said goals. These initiative enjoy active support from Nornickel, which became one of the first Russian companies to sign up, in 2005,
to the Social Charter of the of the Russian Business adopted by the Russian Union of Industrialists and Entrepreneurs (RSPP). In response to requests from the community, investors and shareholders, the Company holds dedicated sustainable development meetings
and consistently increases disclosures
on its respective strategy, policies, performance and plans. In 2016,
the Company joined the UN Global Compact, which marked the transition
to a new strategic development cycle. We support the UN 2030 Agenda
for Sustainable Development signed
by Russia, and the relevant sustainable development goals.
Mission and values 102-16
The Company focuses on developing
a universal group-wide corporate culture shared by all employees in which mutual respect, trust and openness are of central importance. The corporate culture seeks to ensure effective implementation of the Company’s strategy based on sustainable development principles.
Since 2017, the Company has been running the corporate culture development programme. The programme's key principles include:
- supporting transformation within the Company by promoting efficiency and responsibility;
- pursuing units' objectives by motivating to continuous process improvement and initiative implementation;
- changing employees’ approach and attitude to work by communicating and reinforcing ethical standards.
The Company leverages a wide range of advanced tools to develop its corporate culture. The projects implemented in 2017 include:
- release of the White Paper, a guide to value-based management co-authored by more than 300 Group’s managers;
- Symbols of Our Values, a contest to create an icon set for corporate values that engaged over 75’000 of the Company’s employees;
- a series of training videos on values;
- working groups established to roll out improvements to systems and processes;
- sessions and forums on corporate culture development involving over 3,500 managers, specialists, and workers from the Group's 60 facilities.
To boost the efficiency of HR management, corporate culture objectives have been integrated into the HR policy as follows:
- value-based recruitment (we developed a job interviewing handbook for management and HR staff);
- value-based assessment (we launched a 360-degree review for top executives);
- value-based staff development (we held a series of business games and hands-on training to embed our values using the toolkit offered by the White Paper);
- value-based talent pool selection and training.
Our mission
Through the efficient use of natural resources and equity, we supply mankind with non-ferrous metals, which make
the world a more reliable place to live and help people realise their aspirations for development and technological progress.
Corporate strategy
Approved in 2013, the Company’s new corporate strategy primarily aims to unlock the potential of the Taimyr and Kola Peninsulas’ resource base, improve operating efficiency and raise the quality of investment and capital management.
In line with our new strategy, we prioritise projects with a good safety buffer in terms of performance, securing robust returns on investments and located
in the high-potential regions where
the Company has a competitive edge.
By focusing on the development of its Tier-1 assets, the Company will be able
to make better use of the existing infrastructure and fully unlock its geological and technological potential
to deliver the highest margins and
fulfil its obligations in the area
of sustainable development.
In 2017, Nornickel completed the first stage of the production chain upgrade and development and implemented key projects approved as part of its corporate strategy launched in 2013. The effects include:
- reduction of atmospheric emissions from the sources of the shut down Nickel Plant by some 370 ktpa;
- infrastructure upgrades (renovation of worn out gas transportation, heat and hydropower facilities, reconstruction
of critical logistic infrastructure);
- pilot launch of Bystrinsky GOK with
a 10 mtpa capacity.
В конце 2017 года компания представила обновленные стратегические приоритеты на следующие пять лет.
Согласно им в период до 2023 года компания «Норникель» реализует беспрецедентную экологическую программу,
направленную на улучшение экологической ситуации
в России, вступит в новый инвестиционный цикл для обеспечения устойчивого развития и формирования платформы
для роста и продолжит создавать долгосрочную акционерную стоимость.
In late 2017, the Company presented its updated strategic priorities for the next five years.
In line with those, Nornickel will be running a unique programme to improve environmental conditions in Russia and commence a new investment cycle to secure sustainable development and build a platform for future growth. It will also continue generating long-term value for its shareholders.
In 2017, the Company kept implementing the New Norilsk concept, a vision of Norilsk as a city of sustainable development, introduced in 2015. It prioritises:
- environmental protection, occupational safety, and better working and living standards for the Company's employees;
- target investments in social programmes;
- enhancing the region’s openness and providing incentives for new businesses.
These corporate priorities are viewed as a foundation to achieve the following targets:
- Promoting innovation and professional incentives by:
- transformation of its corporate culture;
- creating innovative jobs;
- introducing young talent development and retention programmes.
- Breaking the island mentality by:
- improving the region’s environment for new businesses to emerge;
- building a fibre optic communication line (completed in 2017);
- upgrading Norilsk (Alykel) Airport’s runway.
- Improving local infrastructure by:
- building convenient social, sporting and transport infrastructure;
- supporting public initiatives to develop urban infrastructure jointly with the regional authorities.
In 2017, the Company selected the technology to implement the Sulphur Project, its key environmental initiative. Following its completion in 2023, Polar Division expects to significantly reduce its sulphur dioxide emissions that currently account for around 98% of total atmospheric emissions in Norilsk.
Nadezhda Metallurgical Plant will construct a facility to produce and neutralise sulphuric acid using natural limestone, with gypsum obtained as
a by-product. Copper Plant will launch additional elemental sulphur capacities.
Investments in the Sulphur Project
are estimated at up to RUB 150 bn.
In 2017, Sustainalytics upgraded Nornickel’s score to 58 against 49 in 2016; as a result, the Company moved
up from the last year’s 56th to the 35th position in the ESG rating of global metals and mining companies.
