Baxter International Inc'

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EHS Performance Auditing - A Company Perspective
Baxter International Mike Cycyota 3 May 2006
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Quick Profile of Baxter

• 9.8 Billion
• 73 Manufacturing and RD Facilities
• 20 Warehouse and Distribution
• 15 Offices
• 30 Different Countries
• Bottom Line Thats a lot of data to track!

Our challenge is to verify this data every year
and do it economically!
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Why involve the EHS Audit Program?

• Physically visits a lot of facilities every year
• Facilities selected are a good cross section of
  the entire Company
• Objective No managerial ties to the operations
  being audited
• Established level of trust with certification
  firm
• Working with ERM CVS since 96
• Began the data-verification system in 05

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Selection of Facilities and Data Streams

• Mathematically sound
• Representative of the entire operation
• Determine the EHS data streams that get reported
  in the annual report
• List all the facilities and facility groups
• Lets look at the method

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The steps in our method

• Identify the 10 largest contributors in every
  data stream (H)
• Identify those operations with the 10 largest
  changes from the previous year (C)
• The amount varies
• Differences could be high or low
• Randomly select 20-30 of the remaining facilities
  that report data
• Determine how the selected facilities get
  reviewed
• Throw it all into an Excel spreadsheet and add
  some color coding to make it look cool

- Lets take a look -
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Protocols

• Why have detailed and specific protocols?
• Consistency in how data is evaluated
• Be able to record a lot of information about the
  data reviewed in a manner that makes it easy to
  comprehend at the end of the year
• Lets look a typical set of instructions in the
  protocols

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1. 1. Energy, Water, and Material Use
 
Guide Note   Interview the EHS and utility
managers who prepare the data for the ERS report.
Determine what data was used to generate
reported usage of gas, oil, and/or electricity.
   Select a sample of at least three months
from the covered period. Review the following
original records, as appropriate -      Gas use
bills or gas meter readings -      Electric use
bills or electricity use readings -      Oil
delivery data or oil use data    Try to obtain
original invoices or bills rather than
spreadsheets which summarize the data. If you
cannot obtain original information, document that
fact and obtain information as close to the
original source as possible.    If several
pieces of information are manipulated to produce
a final results, perform the manipulation
yourself (including converting measurement units,
where necessary) to ensure that it is done
correctly.    Compare the results you obtain
with the results entered by the site.    If
the results do not match, discuss the differences
with the site and determine why they do not
match. Document the results in the supplied
table, following the instructions.
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Appendix A Example
Reporting Table Site Site Guayama Date of
Review Date of Review February 25,
2005 Reviewer(s) Reviewer(s) Randy Roig,
ERM-CVS (overview), Bill Withrow, Baxter Regional
EHS (air toxics), Jose Torres, Jayuya EHS
(lost time and work hours), Dave Bueche
(regulated waste)
84805-v1/CYCYOTM/CORPORATEENV.HS-LEGAL-BX20000010
7/09-21-2005
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Explanation of Accuracy For items such as toxics
emissions and solid waste, the results will often
be estimated. In those cases, evaluate the
methods that are used and attach an estimated
accuracy to the figure   A better than
1 B between 1 and 5 C between 5 and
10 D between 10 and 20 E greater and
20
84805-v1/CYCYOTM/CORPORATEENV.HS-LEGAL-BX20000010
7/09-21-2005
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84805-v1/CYCYOTM/CORPORATEENV.HS-LEGAL-BX20000010
7/09-21-2005
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Benefits of this approach

• Must quantify the benefits in business terms
  MONEY
• What does it cost to verify our data if we use a
  3rd party entirely and use the traditional
  approach?
• We spend about 20,000 to 30,000 a year.

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Thank you for your attention. Are there any
questions?
Danke für Ihre Aufmerksamkeit. Gibt es
irgendwelche Fragen?
Gracias por su atención. Hay preguntas?
Merci de votre attention. Y a-t-il des questions?
Grazie per la vostra attenzione. È ci delle
domande?