Hydro Annual Report 2011b
Hydro Annual Report 2011b
Hydro Annual Report 2011b
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68<br />
vIABIlItY perForMAnCe<br />
Innovation<br />
<strong>Hydro</strong> Recognition Program<br />
The objective of the <strong>Hydro</strong> Recognition Program is to energize all<br />
employees by recognizing excellent work and best-practice sharing.<br />
The winner is an organization or a team that has demonstrated<br />
outstanding effort within the areas of HSE, innovation or<br />
performance. Winners should clearly demonstrate the spirit of The<br />
<strong>Hydro</strong> Way, emphasizing the values of <strong>Hydro</strong> in the way they work.<br />
The first winners of the <strong>Hydro</strong> Recognition Program will be selected<br />
in 2012. The program replaces the President’s HSE Award and<br />
<strong>Hydro</strong> Innovation Award.<br />
We reviewed our R&D organization in 2011. Starting in<br />
2012, all business areas will be responsible for their own technology<br />
development and execution of their respective technology<br />
strategies. As part of the new organizational model, a<br />
corporate technology office has been established to ensure a<br />
holistic and long-term approach to <strong>Hydro</strong>’s technology strategy<br />
and agenda. The technology office will lead an internal<br />
R&D network with representatives from the business areas,<br />
and support the corporate management board in developing<br />
overall research and technology priorities and strategies.<br />
Metal production moving forward<br />
We intend to make production more efficient and to secure the<br />
necessary access to alumina and electrical power. Improvement<br />
efforts revolve around smelter technology and the positioning of<br />
new capacity in locations where there is a surplus of power.<br />
<strong>Hydro</strong>’s proprietary electrolytic process is one of the most efficient<br />
in the world. The primary aluminium plants in Sunndal,<br />
Norway and Qatalum, Qatar are using the newest technology.<br />
Our next-generation technology, HAL4e, is ready for use the<br />
next time we build an aluminium plant, having proven that it<br />
can produce primary aluminium with a specific<br />
Powerhouse alliance<br />
The Powerhouse alliance was founded in 2011. The alliance is<br />
aiming to build the world’s northernmost energy-positive building<br />
– a building that produces more energy than it consumes during<br />
operation – in Norway. In addition to <strong>Hydro</strong>, the alliance includes<br />
the real estate firm Entra Eiendom, the developer Skanska, the<br />
architecture firm Snøhetta and the environmental NGO Zero. The<br />
ambition is to demonstrate that it is possible to develop energypositive<br />
buildings not only in warm climates, but in colder climates<br />
like Norway. Since the alliance was formed, Powerhouse has<br />
started working on two projects in Norway, one rehabilitation project<br />
and one new building. The rehabilitation project is located in the<br />
municipality of Bærum, just outside Oslo, while the new building is<br />
being developed further north, in Trondheim. Eventually, Powerhouse<br />
will build more energy-positive buildings in Norway and abroad.<br />
Powerhouse is therefore interested in establishing contact with<br />
anyone who owns projects or possesses the expertise needed to<br />
expand the development of energy-positive buildings.<br />
The Co-creation Program<br />
In 2011, we established the Co-creation Program, which aims at<br />
securing value creation and the voice of technology throughout<br />
<strong>Hydro</strong>’s value chain. Eleven employees from different parts of <strong>Hydro</strong><br />
are educated to contribute to innovation management competence.<br />
The program includes different tools, with participants trained<br />
to support colleagues working in functions such as technology<br />
development, product development and business development.<br />
The participants represent a diverse professional background and<br />
six nationalities. Two of the participants are female. The Co-creation<br />
Program aims to develop healthy and down-to-earth innovative work<br />
practices that can be utilized across <strong>Hydro</strong>.<br />
energy consumption of 12.5 kWh/kg aluminium. We are now<br />
developing this technology further. HALsee – or HAL super<br />
energy efficient – is targeting a maximum of 12 kWh/kg aluminium.<br />
We are emphasizing cell productivity as well as reduced<br />
energy consumption and climate-gas emissions from the production<br />
process.<br />
R&D in our Primary Metal business is important to strengthening<br />
competitiveness by improving the cost position at our metal<br />
plants. Prioritized tasks are operational support, implementation<br />
of new technology in existing activities and the development<br />
of next-generation electrolysis technology. Because energy<br />
constitutes from one-third to half of total production costs,<br />
energy efficiency is one of the most important ways to reduce<br />
costs, while at the same time reducing the climate footprint.<br />
Our casthouses focus on process efficiency in terms of<br />
improved capacity utilization and process capability. The continuous<br />
improvement of product quality is an important part<br />
of our business concept, and is strongly linked to technical<br />
customer service. We develop our products together with customers,<br />
listening to their needs while improving our own casthouse<br />
processes.<br />
Creating something unique<br />
“The Powerhouse Project is a source of inspiration for us, partly<br />
because the project is unusual and partly because the composition<br />
of partners is unusual. Together we have defined a common goal<br />
and everyone has strived to provide good input at an early stage<br />
of the project. Contact with <strong>Hydro</strong>, even before the project was<br />
established, has also provided inspiration. In Norway we lack<br />
experience from these types of projects, but <strong>Hydro</strong> has been able<br />
to deliver this and in doing so has made everyone more certain that<br />
we will actually succeed.”<br />
Ole Gustavsen,<br />
Partner, Snøhetta<br />
Read full interview at www.hydro.com/reporting2011