OneSteel Annual Report 2011Sustainability CONTINUEDPeople & COMMUNITY34OneSteel directly employs approximately 9,500 people across morethan 300 sites around Australia, and a further 1,500 employeesin our operations in New Zealand, Asia, North America and SouthAmerica. OneSteel recognises that superior business performanceand continued organisational growth require capable and engagedpeople, combined with the appropriate organisational design andprocesses to deliver business outcomes.OneSteel adopts a largely decentralised model for deliveringHuman Resources support, embedding key resources in its variousoperations to work alongside business leaders and teams to facilitatebusiness improvement and growth initiatives as well as to implementworkplace change. The other key planks of the People and CapabilityPlan relate to effective attraction, engagement and retention ofemployees and driving organisational capability through effectivetalent development and succession management.DiversityOneSteel values diversity and has a strong culture of inclusion. In thelast 12 months, the OneSteel Board implemented a diversity policyand established a number of specific targets with respect to diversity.Within OneSteel, the key indicators of diversity are age profiles,including by gender; gender profiles by employment category;gender diversity of talent management and development programparticipants; and proportion of male/female recruits and internalappointments. Within an extensive policy framework in relation toequity, the company provides employees with access to flexible workarrangements including part-time and job share arrangements, inaddition to competitive leave arrangements to support it’s diversityobjectives.OneSteel currently has one female Non-Executive Director. Femaleemployees represent just under ten percent of senior executives,who are defined as reporting no more than two levels below the CEO.Diversity of employees * Male FemaleAward employees 98.4% 1.6%Staff 61.3% 38.7%Senior staff 84.7% 15.3%Managers 87.2% 12.8%Senior managers 87.8% 12.2%Executives 90.5% 9.5%Non-Executive Directors 85.7% 14.3%Overall 88.7% 11.3%Business improvement and growth initiativesWith an improved Australian domestic job market, employee initiatedturnover increased by approximately 3% to 10.7% for the year ended30 June 2011. This remains lower than the industry benchmark rateof 12.3%.During the 2011 financial year, there was continued focus on achievinglabour cost efficiencies. Work has focused on effective organisationdesign and role clarity following the significant changes of theprevious year, redeployment of employees into vacant roles wheretheir previous positions were no longer required, and working withemployees at site level to enhance labour flexibility and efficiencies.Work has also focused on a number of exciting growth initiativesincluding the engagement and development of employees to supportmining growth plans in Whyalla and on-boarding 997 employees inNorth and South America who joined OneSteel when the Moly-CopGroup was acquired in December 2010.Driving succession, talent and development outcomesOneSteel has continued to invest in developing the organisationalcapability required for the future. The company currently employs136 trade apprentices (six of which are adult apprentices), 60 cadets(primarily in engineering and metallurgy) and 60 recent universitygraduates across all disciplines. The company has also invested insummer vacation work students and university scholarship programsto bring new talent into the organisation.Leaders at OneSteel continue to focus on ensuring high calibresuccessors are available for leadership roles in the future. Over thepast 12 months, approximately 90% of senior management roleshave been filled through internal succession. Leadership capabilityhas also been extended through some targeted external recruitment,particularly into some key executive roles. In addition, employeescontinue to be developed through coaching programs, targeteddevelopment interventions and development assignments to buildthe capability of our future leaders.OneSteel’s current key development programs are shown inthe diagram below. Both General Development Programs andAccelerated Development Programs are supported by a combinationof in-business Human Resources professionals and the corporateTalent and Leadership Development function.*OneSteel Australian operations.General Development Programsfocused on developing people both in their current rolesand to be ready for "next level" rolesAGSM Executive ConsortiumSenior Manager Development Program— Executing StrategyVarious e.g. Managing for Performance;Change Management; ProjectManagement; Building CapabilityChiefExecutiveManaging a DivisionGeneral ManagerManaging a Business/FunctionSenior ManagerManaging ManagersSupervisor/ManagerManaging OthersIndividual ContributorManaging SelfAccelerated Development Programs (ADPs)focused on developing people for "next level" rolesADP for Senior ManagersBranch ManagerDevelopment ProgramADP for Managers ADP forCommercial ManagersYoungSteelers
SustainabilityCommunity investment and engagementOneSteel recognises the importance of local communities and thevalue that they contribute to our business operations. Engaging insustainable long-term relationships with local communities is vitalto the ongoing success of OneSteel as an organisation. OneSteel’smanagement have focused on demonstrating social responsibility bypromoting values and initiatives that show respect for the peopleand communities in which we operate.OneSteel’s approach to community support is largely based on theneeds of local communities in which OneSteel operates. In addition,OneSteel and its employees pride themselves on physically andmonetarily supporting regional and local activities — from providingeducation and training, donations and sponsorships through tocharity fundraising events, all of which require personal commitmentand dedication.35Employees by countryNumberOneSteel’s OneCommunity workplace giving program supports 12charities. OneSteel matches employee contributions up to $250,000per annum.Over the past financial year, OneSteel and its employees have assistedthese charities by donating approximately $215,000. OneSteel iscurrently engaging employees in order to better understand howwe can increase employee participation and ultimately impactcommunities more positively.Australia 9,436Canada 552Chile 232China 2Fiji 13Hong Kong 46Indonesia 53Malaysia 27Mexico 88New Zealand* 12Philippines 65Peru 96South Africa 2Thailand 64UK 4USA 236Vietnam 1Total 10,929Overseas 1,49213.7%*Excludes approximately 700 employees of Steel & Tube HoldingsLimited, of which OneSteel holds a 50.3% shareholding.Since the OneCommunity program was established in December2003, OneSteel and its employees have donated over $1.5 millionthrough the program, and the company wishes to thank all employeeswho have contributed.Since 2001, community investments outside the program haveexceeded $2.9 million.In response to the Queensland floods that occurred early in 2011,OneSteel embarked on two major programs to support affectedcommunities. The first of these was a company wide fund raisingappeal. OneSteel employees generously donated over $85,000 tothis appeal. OneSteel matched this amount, with funds directedtowards the appeal and specific community-based support in theregions where our employees live and work. In addition to thisfinancial assistance, OneSteel also supported the “Get the kidsback to school” program. As the floods occurred just before thebeginning of a new school year, many families and schools did nothave the school essentials for their children. OneSteel worked withthe Queensland Department of Education and Training to coordinateand collect donations of new and used equipment for school agedchildren. The program was a great success, supplying approximately50 schools with urgently needed school equipment, includingstationery items, backpacks, school clothing and undergarments,shoes and sporting equipment, teacher’s aids and resource materialsas well as CD-ROMs, DVDs, memory sticks and $900,000 worth ofsoftware to be installed in donated computers. OneSteel would like tothank all the employees that generously donated to these programs.OneSteel’s Comsteel in Indonesia is based in a tropical environmentand unfortunately people living in these regions have a higherexposure to diseases like Dengue Fever and Typhus. Working closelywith Krakatau Hospital as a training partner, the business conductedan information session during the year which consisted of anintensive seminar on Dengue Fever and the various types, symptomsand warning signs for all of its employees and continues to conductroutine annual medical examinations for all employees. This renewedawareness and health education will benefit not only employees buttheir families as well.OneSteel continues its long standing relationship with the Whyallinaindigenous group in the Middleback Ranges in South Australia,through supporting cultural and sporting activities and throughinviting tenders from Walga Mining.The Walga Indigenous Mining Business operates a crushing andscreening plant at Iron Knight for OneSteel, employing approximately25 people.