Sustainable Management

We will make ceaseless effort to make innovations for better quality and establish safety, environment,
and health(SHEC) management system, envisioning more inclusive and better tomorrow.

SHEC Management

SHEC Vision

Safe and Healthy Life to Everyone, Everywhere!

Beneficial to our Environment and the Community!

SHEC Policy

Hanwha Corporation/Global is committed to creating a sustainable future through the establishment,
implementation, and continuous effort to improve our SHEC management policy.

  • 1. Prioritize safety, health, environment We prioritize the safety, health, and the environment of our employees, suppliers, customers, visitors,
    and communities and will not undertake a task unless its safety is ensured.
  • 2. Comply with the law and establish a preemptive and preventive safety culture For all organizational activities including production, trade, research and construction will perform in law
    and establish a preemptive and preventive safety culture.
  • 3. Minimize pollutants and realize low carbon, green growth We will minimize greenhouse gas emissions and pollutants by using resources and energy efficiently
    and use eco-friendly alternative energy etc.
  • 4. Secure SHEC capability and strengthen communication/participation We ensure all our employees have the necessary capabilities for SHEC management
    and actively promotes two-way communication as well as voluntary participation.
  • 5. Achieve social responsibility and ensure transparency We transparently disclose our SHEC Management performance
    and strive to continually improve our SHEC management policy.

Yang ki wonyang ki won

Hanwha Corporation/Global CEO
2022.09.28

SHEC Management
System

Hanwha Corporation/Global runs a global SHEC management system applicable to all its business sites at home and abroad. Our SHEC management system incorporates our contributions to the environment and communities as well as safety and health of our employees and suppliers into our key considerations for business decisions.

안전(SAFETY), 보건(HEALTH), 환경(ENVIRONMENT), 지역사회(COMMUNITY)
SHEC Management System
Structure

Hanwha Corporation/Global structures our SHEC management system based on Hanwha Group’s Core Values of Challenge, Dedication and Integrity for a successful undertaking of our business.

Hanwha SHEC
Management
Standards

1. Leadership and Accountability Hanwha managers, employees and contractors are trained to understand and implement their responsibilities, demonstrate leadership and commitment to sustainable development through effective management and communication.

2. Hazards and Risks Hazards that have potential impacts on safety, health, environment and communities and associated risks are assessed and managed.

3. Environment Environmental impacts of Hanwha activities are identified, quantified and assessed to minimize adverse impacts and improve environmental performance.

4. Community Effective, open and transparent communication and consultation will be maintained with stakeholders to ensure sustainability of Hanwha operations and contribute to the communities where we operate.

5. Health Hanwha personnel are assessed for their fitness to work and are protected from negative health effects associated with any activities during engagement with the company.

6. SHEC Objectives Hanwha SHEC objectives and targets are established as an integral part of the business planning process and are set to drive continual improvement in performance.

7. Training Hanwha employees, suppliers and visitors are aware of relevant SHEC requirements, hazards, risks and controls. They are trained and competent to conduct their assigned activities and behave in a safe and responsible manner.

8.Process Design and Integrity Hanwha designs, engineers, implements and operates all plants and equipment to ensure that all hazards are known and shall be eliminated or the consequent risks reduced as far as is reasonably practicable.

9. Management of Changes All expected and un-expected changes are identified and managed.

10. Operations and Maintenance All plants and equipment are operated, maintained, inspected and tested using systems and procedures that manage risks.

11. Suppliers and Contractors The contracting of services and the purchase, hire or lease of equipment and materials are carried out so as to minimize the introduction of any potential risks.

12. SHEC Incidents All SHEC incidents, including near misses, are to be reported, investigated, contributory factors identified and corrective actions implemented. Lessons learned are to be shared to prevent a reoccurrence.

13. Emergency and Crisis In order to minimize the impact on people, community and environment, Hanwha will develop emergency response plans and provide training and resources to respond appropriately to an emergency.

14. Documentation, Monitoring and Reviews SHEC assurance is achieved by structured systems supported by controlled documentation, monitoring and reviewing performance and systems to identify trends, measure progress, assess compliance and drive continual improvement.

SHEC Management Goals
SHEC GOAL: Safety(Safety Incidents 'Zero'), Health(Occupational Diseases 'Zero'), Environment(Environmental Accidents 'Zero'), Community(Hanwha, together with you)
  • SAFETY-"Zero" Safety Incidents

    1. Consistent Action Plan Implementation and Maintenance for Safety Elements We ensure effective safety management by defining the elements of our safety management system and by establishing, implementing, and continuously updating an action plan for each of these safety elements

    2. Action-Oriented Safety Management We endeavor to prevent on-site accidents through early identification and correction of unsafe behaviors that cause worksite accidents and injuries and through open communication on safety.

    3.Strong Awareness of Worksite hazards We strive to enhance our employee’s awareness of potential worksite hazards by providing the Hazard Identification & Removal Program

    4.Strong Safety Management Capacity We encourage our employees to maintain and promote their safety knowledge, attitudes, and behaviors, laying the foundation for a safe workplace with no accident.

  • HEALTH –“Zero” Occupational Disease

    1. Our efforts to keep our workplace clean and pleasant. To this end, we have continuously improved our workplaces and implemented a systemized healthcare system.

    2. Occupational Illness Prevention We have built an occupational illness prevention and management system that allows us to take preemptive measures such as assigning employees potentially at risk of occupational illnesses to new or different tasks or jobs.

    3. Employee Health Promotion Program We offer health promotions for our employees.

  • ENVIRONMENT – “Zero” Environmental Accidents

    1.Strict Environmental Management System We operate systematic audit process to assess and measure our environmental footprint and incorporate eco-friendliness throughout our entire business activities.

    2.Environmental Protection and Pollution Prevention We are working to reduce and effectively reduce emissions in production and other management activities

    3.Resources and Energy Sources Management We assess the appropriateness of the materials we use and recover, recycle, and reuse as much of these materials as possible.

  • COMMUNITY – Hanwha, together with you

    1.We are committed to creating shared values for our local communities through our new local jobs and business and investment opportunities as well as through ethical procurement practices.

    2.Our friendly, mutually-beneficial relationship with local communities We respect the cultures, values, traditions, beliefs and rights of our local communities

SHEC Main
Activities

Monthly 'Environment and Safety Day' On the Environment and Safety Day each month, our employees check their surroundings to identify potential risks, maintain their tools and equipment, receive related training, and undertake corrective activities in lieu of their daily production routines. This represents the strong commitment of Hanwha and the CEO to strengthening the alignment between management and production activities and preventing accidents despite production losses worth tens of millions of dollars..

Environment and Safety Committee Our Environment and Safety Committee meets twice each year to discuss issues concerning the environment, safety, and health and establish an enterprise-wide strategy. The issues discussed are reported to the CEO and reflected in our management strategy.

Environment, Safety, and Health Training Every day, we conduct an environment, safety, and health training five minutes before the start of our daily work. This daily training helps our employees better understand the work to be performed and related risk factors, integrating environment and safety awareness into their daily production routines.

Environment, Safety, and Health Performance Management Twice a year, we evaluate and analyze our performance in protecting the environment and promoting safety in terms of environmental cost, waste emissions, and energy consumption. The results are reflected in our management plan for the next period.

Preliminary Environment Impact and Safety Review System We conduct preliminary environment impact and safety reviews for our investment and procurement activities. In the final review phase for construction investment and facilities procurement, a preliminary environmental and safety review is required, while work permits are required for on-site work or maintenance work that involves excavation, welding, high working conditions, working with fire, and other dangerous work. A risk assessment is necessary for any work change, whereas an environment and safety checklist needs to be prepared and approved for any facility change.

Voluntary Environmental Management Agreement Signed By executing and implementing the Voluntary Environmental Management Agreement that sets our environmental improvement goals and outlines our action plans, we take the leader in our emissions reduction efforts.

Environmental Impact Assessment System We carry out environmental impact assessment to estimate and assess the degree or extent of the impact of our business and manufacturing operations on the environment and to plan countermeasures in order to prevent environmental pollution.

Line Responsibility Under our 'Line Responsibility' policy, we hold the responsible unit or department accountable for their work, giving them a sense of ownership of their work and worksite.

ESH Audit/ Patrol System Regular, ad-hoc, internal, and external ESH audits and inspections allow us to monitor our ECO-YHES operations.

Doctor Designated for Each Workplace To protect employee health and safety, we offer regular health checkups, working condition assessments, physical fitness measurement programs, and a doctor designated for each workplace.

Emergency Response Exercises and System We have established a comprehensive system of countermeasures against environmental, safety, and health incidents. Through emergency response exercises and training, we work to cultivate enhance our capability to respond to unexpected incidents in a swift, safe, and systematic manner.

Energy Conservation and Response to Climate Change Commitment To reduce our energy consumption, we have established a master plan for energy conservation and have made detailed energy-saving changes to our workplaces such as improving work processes, changing energy sources, recovering waste heat, and streamlining management. Our Onsan Plant has installed an N2O0 reduction facility and has shown remarkable progress in reducing its greenhouse gas emissions, actively participating in the Clean Development Mechanism and emissions trading with its emissions allowance.

  • Green Hanwha Manufacturing
    Facilities in Harmony
    with the Environment

    Two-thirds of our manufacturing facilities are green areas filled with rows of trees shielding them from the outside. Their ecosystems remain well preserved with a total of 1.4 million trees and rare plants and animals. This represents eco-friendly Hanwha, where our employees have made sustained efforts to keep things green through tree-planting events and other environmentally-oriented activities.

  • Ecological Survey and
    Wild Animal Feeding
    at our business locations

    Based on our ecological surveys, we identify the habitats of animal and plant species living around our business locations. In winter, we provide feed for wild animals and migratory birds at our business and manufacturing locations and check the growth status of trees and plants. Our worksites are home to red squirrels, moles, snakes including Asian tiger snakes, doves including the oriental turtle dove, great tits, centipedes, freshwater fish, and a host of other animals and wild plants.

  • Forest Bathing
    in Boeun Plant

    In our Boeun Plant, plenty of old and giant trees provide employees with resting areas and walking trails where they can enjoy health benefits of forest therapy.

Communities Engaged in Environment Preservation Effort

Active Participation in Local
Environment Protection Events

As the Environment Day falls in June, we have designated June as 'Environment Month' and carry out a wide range of green activities. As part of our efforts to raise children's awareness of the importance of the environment, we hold a kids' painting contest, a UNEP children's painting contest, and a kid's' camp for the environment.

One Company Cares for One Mountain
and One Stream

Each of our business operations chooses one mountain and one stream, picking up trash, cleaning their surroundings, planting trees, cutting weeds, and cleaning nearby sewage systems for the protection of the environment.

Green Company Council

The Green Company Council is a consultative body with representatives from businesses across the nation. As a member of the council, we have actively participated in council activities and implemented its Green Company Policy. We are also an active member of an environmental management pilot project led by the Ministry of Environment.

Key Performance in Climate Change Commitment

  • 아이콘 이미지
    Declared Hanwha
    Carbon Neutral 2040
  • 아이콘 이미지
    Submitted the first CDP
    Climate Report
  • 아이콘 이미지
    Reduced 2.4 million
    tCO2-eq under the CDM

Key Performance in SHEC Management

  • 아이콘 이미지
    received A grade (Environment area)
    in the ESG rating by KCGS
  • 아이콘 이미지
    All worksites of
    defense equipment division
    received S grade in Process Safety Management
  • 아이콘 이미지
    Developed a safety culture
    assessment tool and conducted an assessment

ESH and Response to Climate Change

Environment
1) Greenhouse Gas
unit 2019 2020 2021
Total GHG Emission
(Scope1+Scope2)
tCO₂-eq 180,086 95,602 99,788
Scope 1 127,765 39,079 43,345
Scope 2 52,333 56,534 56,443
Scope 3 - 984,497 1,634,667
Emission Reduction 344,250 288,038 240,906
2) Energy
unit 2019 2020 2021
Total Energy Consumption TJ 1,773 1,781 1,721
Direct Energy Consumption 696 617 542
Indirect Energy Consumption 1,077 1,164 1,179
Total Energy Cost 100 million Won 238 236 202
Consumption Reduction GJ 3,110 3,014 3,158
Renewable Energy Usage
for Operation
MWh 324 314 329
3) Air Pollutant
unit 2019 2020 2021
NOx emission ton 32 41 37
SOx emission 1 1 4
Dust Emission 6 9 3
4) Harmful Chemical
unit 2019 2020 2021
Harmful Chemical Usage ton 389,117 278,341 235,134
5) Water Usage and Waste Water
unit 2019 2020 2021
Water Usage ton 1,857,542 2,045,577 1,913,759
Water Supply 79,132 62,856 67,025
Ground Water 366,160 595,126 506,110
Industrial Water 1,412,250 1,387,595 1,340,624
Annual Waste Water Generation(domestic) 589,711 566,952 520,893
6) Water Pollutant
unit 2019 2020 2021
COD ton 16 37 27
BOD 10 20 15
SS 15 44 30
TN 3 4 16
N-H - - -
T-P - - 1
7) Waste
unit 2019 2020 2021
Total Waste Generation ton 10,910 12,198 13,233
General Waste 9,990 11,417 12,601
Designated Waste 920 781 632
Waste Reuse(General+Designated) 3,265 1,962 2,205
Waste Disposal Cost 100 million Won 11 9 8
8) Environmental Education
unit 2019 2020 2021
Education Time hour 9,272 20,722 6,982
The number of employees who participated in the education person 3,461 3,561 2,503
9) Environmental Investment and expense
unit 2020 2021
Environmental Investment Million Won 2,179 2,728
10) Environmental Regulation
unit 2019 2020 2021
The number of violations case 1 5 5
Total Fine Won 480,000 4,200,000 4,760,000
Safety and Health Management
Industrial Accident
unit 2019 2020 2021
Serious Accident Employee case 1 - -
Contractor - - -
Industrial Accident Rate
(the number of casualty/ total employees) * 100
Employee % 0.04% 0.10% 0.11%
Contractor 0.15% 0.55% 0.25%
LTIR(Lost Time Injured Rate)
(the number of lost time incidents / total working hours) * 1,000,000
Employee - 0.74 0.46 0.52
Contractor 1.78 2.61 1.18
OIFR(Occupational Illness Frequency Rate)
(the number of employees who developed occupational illness / total working hours) * 1,000,000
Employee 0.00 0.00 0.00
Contractor 0.00 0.00 0.00
TRIR(Total Recordable Incident Rate)
(the number of recordable incidents / Total working hours) * 1,000,000
Employee 0.74 0.46 0.52
Contractor 1.78 2.61 1.18
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