1. System-Based SH&E Management Case Study
Mike Henderek,
Manager of Safety, Health & Environment
Exxon Mobil Corporation

2. ExxonMobil’s Approach to SH&E Management
Corporate commitment (Board, Sr Management) to excellence in SH&E performance, essential to business success
Commitment stated clearly and often
Implement policies through structured management systems:
Assign responsibility, resources
Measure performance
Assess systems
Identify and make improvements
Report measurements externally
Hold employees and managers accountable

3. } OIMS Corporate Policies Safety Policy Health Policy
Operations Integrity Management System
Safety Policy
Health Policy
Environmental Policy
Product Safety Policy
Safety, Health, Environmental, and Product Safety Policies are translated into operational practices via OIMS.

4. What is OIMS?
Systematic, structured, disciplined framework for the management and reduction of risk
Corporate-wide commitment with high degree of ownership and involvement.
Complies fully with ISO 14001
Seeks safe and environmentally responsible operations and meeting of all laws and regulations

5. What is OIMS? (con’t.)
Framework comprised of 11 elements and 60 expectations that all operations must fulfill
Facilitated by guidelines and management systems
Management systems must show documented evidence of the following:
Scope is clear and objective fully defines purpose and expected results
Well qualified people are accountable to execute the system
Documented procedures are in place to ensure the system functions properly
Results are measured and verify that the intent of the system is fulfilled
Performance feedback from verification and measurement drives continuous improvement of the system

6. OIMS Elements Driver Operations Evaluation
2. Risk Assessment & Management
3. Facilities Design and Construction
4. Information/Documentation
5. Personnel and Training
6. Operations and Maintenance
7. Management of Change
8. Third Party Services
9. Incident Investigation and Analysis
10. Community Awareness and Emergency Preparedness
11. Operations Integrity Assessment and Improvement
1. Management Leadership, Commitment & Accountability

7. OIMS Summary
ExxonMobil’s structured approach to ensuring safe and environmentally sound operations worldwide
Implementation is a Line Management responsibility
Meets commitments to protect the safety and health of the public, contractors and employees, and to protect physical assets from damage or loss
Compatible with environmental and economic needs
Establishes a common language to promote the sharing of best practices

8. OIMS Summary (contd.)
Requires unwavering compliance with all laws and regulations
Promotes continuous improvement
Establishes expectations for and supports sound SHE performance from contractors
Is at the core of our business -- supported actively and visibly by senior management, line managers, supervisors, staff, and contractors

9. OIMS Summary (contd.)
Meets all requirements of ISO LRQA attested to ExxonMobil compliance in 2001.
“ExxonMobil ... among industry leaders in the extent to which environmental management considerations have been integrated into its ongoing business processes.”

10. Operational Measures Links OIMS to operational RESULTS.
Relates progress to goal of NO incidents, damaging releases, etc.
“Scorecard” developed using simple metrics for quick calculation of how a unit (plant, terminal, production field - as well as entire businesses) is doing.
Annual examination of results and programs included in stewardship by Management Committee and Board.

11. Worldwide S&H Results OSHA Consistent
Lost Time Incident Rate
Total Recordable Incident Rate
 Employees  Contractors -- US Petroleum Industry Benchmark
Injuries and illnesses per 200,000 work hours

12. Environmental Measures
Marine Vessel Spills
ExxonMobil Operated Fleet
Non-Marine Vessel Spills Includes oil, chemical, and drilling fluid spills greater than 1 bbl

13. ExxonMobil Cogeneration Capacity
* Number of typical U.S. residential households that could be served by the additional energy captured through the improved efficiency resulting from our cogeneration assets.

14. SH&E Linkage to Productivity
From Mobil Oil 1993 to 1998

15. Sustained Productivity Improvement Leads to Leadership Returns

16. Sustained Productivity Improvement Leads to Leadership Returns

17. Sustained Productivity Improvement Leads to Leadership Returns

18. Sustained Productivity Improvement Leads to Leadership Returns