LINKING CSR TO THE BOTTOM LINE Shipping & Offshore CSR Forum
Ulla E. Nielsen Director, CSR, NORDEN London 27 October 2011 Linking CSR to the bottom line
Our business is global tramp shipping
NORDEN AT A GLANCE Dry cargo - 80% of revenue
Capesize
Post-Panamax
MR
Handysize
Panamax
Handymax
Handysize
Tanker - 20% of revenue
f
Founded and listed in 1871 – headquartered in Hellerup, global network of offices, in total 1,084 employees on shore and at sea
f
M j it off business Majority b i in i markets k t with ith GDP growth th rates t close l to t 10%
f
NORDEN operates in total 147 dry cargo vessels and 40 tanker vessels
f
One of the most modern fleets in our industry
f
Pools in dry cargo (Handysize & Post-Panamax) and tankers (MR & Handysize)
f
Within the last ten years: Operated fleet tripled, tripled equity increased twenty fold
Linking CSR to the bottom line
Our business is global tramp shipping
A SYSTEMATIC APPROACH CORE TARGETS OF STRATEGY
UN GLOBAL COMPACT
f Grow
Dry Cargo volumes and book by 15% p p.a. f Critical mass in Tankers: 25+ owned vessels
Human rights g Labour Environment
f Considered
preferred employer within shipping community globally f The ability to attract, retain and develop talent
Anti-corruption Anti corruption
f Beat
peers’ total return to shareholders value creation from new business
f Additional
BUSINESS STRATEGY
Flexibility | Reliability | Empathy p y | Ambition
Linking CSR to the bottom line
NORDEN
VISION MISSION VALUES
CSR
The preferred partner in global tramp shipping. Unique people. Open minded team spirit. spirit Number one one.
Our business is global tramp shipping
WHY CSR? OUR OVERALL MOTIVATION f
We simply think it is good business: f We can save Money on fuel f We sharpen our technical Skills
and thereby eliminate dangers and manage our Risks better
f We see a match with – and get
an extra chance to practice – our Vision, Mission & Values and thereby differentiate our Product offering
f On top of that: f
f
We are – hopefully – perceived a reliable Corporate Citizen We attract Better People
Linking CSR to the bottom line
Our business is global tramp shipping
WE CAN SAVE MONEY ON FUEL Sailed miles per MT IFO
Launch of MOEPS (Masters
Distribution of client
O Operating ti Environmental Performance System)
13
Right steaming
Ice sailing g
12 Start slow steaming
11
10
9
8
7 Q1
Q2
Q3
2007
Linking CSR to the bottom line
Q4
Q1
Q2
Q3
2008
Q4
Q1
Q2
Q3
2009
Q4
Q1
Q2
Q3
2010
Q4
Q1
Q2
2011
Our business is global tramp shipping
SHARPEN OUR TECHNICAL SKILLS… f
Optimisation on existing fleet f Nord Neptune, change of T/C to
VTA model in order to ”slow steam”
f
New buildings – Eco vessels f Handysize vessels f
Larger main engine & propeller f
f
R d ti Reduction 11%
Action plan f Slide Valves, Propeller Cleaning,
etc… f
f
2010 Fuel oil savings 6,2 %
Ready to meet demands when Read hen tanker vetting is expanded to include dry cargo vessels.
Linking CSR to the bottom line
Our business is global tramp shipping
CSR MATCHES VISION, MISSION & VALUES f
Seem soft, but is cool business
f
Price parameter often to be supplemented by CSR parameters
f
f
Environment – fuel consumption & emission reduction
f
Business ethics – transparency, reliability etc.
f
Human rights, labour etc.
E E.g. coall contract on Svalbard: S lb d f
During the selection process Store Norske in particular had focus on f
Cost competitive
f
Environmental aspects
f
Company’s CSR politics
f
Environmental aspects for the transport
Linking CSR to the bottom line
Our business is global tramp shipping
THE GOLDEN RULES OF CSR To add value to the bottomline all CSR initiatives must be:
f
TANGIBLE f If not tangible, little/no content
f
POSSIBLE TO COMMUNICATE f If it cannot be communicated, no
buy y in from the organisation g
f
MEASURABLE f If not measurable, impact on
bottomline diffuse
Linking CSR to the bottom line
Our business is global tramp shipping
THE NORDEN SUMMARY
”We know that we are not world champions, but we are on our way and we are moving in th right the i ht direction” di ti ”
Linking CSR to the bottom line
Our business is global tramp shipping
THANK YOU OU FOR O YOUR OU ATTENTION O QUESTIONS ?
Ulla E. Nielsen, Director, CSR Email:
[email protected]
Dampskibsselskabet NORDEN A/S 52, Strandvejen DK-2900 Hellerup Denmark Phone: +45 3315 0451 www ds norden com www.ds-norden.com
Linking CSR to the bottom line
Our business is global tramp shipping
