Strategy and the Environment A Sheffield Forgemasters International case study
Page 3: Business Strategy
Steelmaking has the potential to impact significantly on the environment, as indeed it did before the negative effects were fully identified and tighter controls and government regulation were put into place throughout the 1980s and 90s. The bar is now set very high and SFIL is committed to operations that are both environmentally acceptable and sustainable. SFIL’s management has ensured operational control and procedural systems are in place to manage emissions, including monitoring, measuring and auditing of air, water and sewer releases.
SFIL has a large apprenticeship programme and communicating this vision for environmental excellence is vital so that all new and existing employees are in compliance. Use of manuals that detail every aspect of operations makes sure all employees work to the procedures for ensuring environmental governance is sustained. Strategy is derived from the
Greek word for ‘Generalship’.
A simple definition is that strategies: “are general programmes of action involving the deployment of resources to achieve organisational objectives”. In essence, strategies are longterm plans designed to achieve a business’s vision and objectives and can be summed up in three ways. They are:
a means to an end
a long-term plan and
an organisation’s planned response to the environment.
Strategies not only provide plans for management to act upon, but bring many other benefits. These can be clearly understood by reference to different stakeholders. Stakeholders are any individual or group with an influence upon a business or who are affected by the company’s actions. Businesses can choose to take a ‘shareholder approach’ to management and set strategies solely to meet owners and investors’ objectives. However, SFIL have taken the alternative ‘stakeholder approach’ which places emphasis on the need to consult with and meet the objectives of a wider group. All of the following stakeholders were considered when setting its long-term plans for 2011-2016.
Given the large scale of SFIL’s operations, the strategic aims and objectives for 2011-2016 were segmented under the following headings:
Resource management and consumption
Environmental awareness, training and communication
Site landscaping and wildlife
Supply chain management
Commuting and transport
These strategic headings focus the management team on w
The following diagram illustrates the main stages the Company follows in order to successfully implement its environmental strategy and policy.hat areas specifically need to be addressed throughout all areas of the business in order to fulfil its vision and remain competitive. For instance, SFIL aims to meet 100% compliance with all legal and other requirements in respect of such aspects as waste management, operational activities, reporting, and procedures to control, minimise and where possible eliminate emissions to air, land and water. Such a focus also means that it minimises its impact on the local community and neighbouring businesses and builds a better relationship with these key stakeholders. SFIL developed sustainable objectives to reduce its energy use including installing energy efficient equipment and technology, even down to introducing energy-saving lighting across the site. Each year, SFIL generates approximately 14,400 tonnes of waste ranging from plastic and paper, to metallic dusts and steel slag from its processes. In 2010, 10% of this waste was disposed of in landfill sites. SFIL’s waste aim within the strategy is for zero process wastes to be sent to landfill by 2016 through using alternative recovery, reuse and recycling methods; the Company is on target to meet this aim.
The following diagram illustrates the main stages the Company follows in order to successfully implement its environmental strategy and policy.
Having established the overarching strategy and policy and strategic long term aims to be achieved over the 5 year strategy period, the next part of the process is to set short term annual objectives and targets. These must be clear and measureable so that progress can be monitored, reviewed and reported on.
Sheffield Forgemasters International | Strategy and the Environment