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Sustainability

Report 2012
Thiess published its first Sustainability
Report in 2002/03. Since then, it has
been published annually with this
report covering a 12 month period from
1January31 December 2012, bringing us
into line with the end-of-year reporting
system set down by our parent Company
Leighton Holdings Limited. To preserve
resources, we encourage our readers to
access this report via our website at
www.thiess.com
Your feedback is encouraged and can be
sent to feedback@thiess.com.au

Contents
Managing Directors Message

Performance Summary

10

People

12

Safety

22

Environment

32

Community

50

Performance

60

Governance

64

GRI Index

68

Directory

70

Leadership in todays business climate demands


flexibility. The right policies, priorities and
practices enable effective management of
competing interests, whether its work/life
balance at the individual level, or collaboration
versus competition at the industry level.

BRUCE MUNRO

Thiess sustainability framework


guides, governs and strengthens
our capacity to negotiate these
challenges and opportunities.
We take a holistic view of
sustainability. It includes our people,
everyones safety, the environment,
our communities and our financial
performance to drive long-term value.
These five areas are interdependent
each able to influence Thiess business
today and our legacy tomorrow.
Continuous improvement and ongoing
investment ensure Thiess achieves
step changes in our daily practices to
realise a more sustainable future.
People
Our Employee Value Proposition defines
the rewards, opportunities, culture

and expertise which ensure Thiess


continues to attract and retain the
right people in the right roles. We are
building on our existing work, such as our
leadership development programs, while
implementing new initiatives, such as our
Reconciliation Action Plan. Together, they
provide tangible benefits that support
our long-term people agenda and
encourage a diverse and inclusive culture.
Safety
We are working at every level of
our business to drive a safety-first
culture. Im particularly proud of the
positive outcomes from our inaugural
Safety Summit, which connected
150 senior leaders of Thiess with our
partners and clients. We recognise
that safety leadership is critical.
Leading by example, every manager
across Thiess must step up when it

comes to monitoring and controlling


our safety performance. The effort
is paying dividends with Thiess
achieving its lowest Recordable
Injury Frequency Rate (RIFR) ever.
Environment
Our projects and offices provide
opportunities for Thiess to contribute
to best-practice environmental
management. We are now collecting
company-wide data on resource use
and providing our business units
with new tools to improve results
on the ground. We are embedding
sustainability workshops in our tender
processes so we can incorporate
environmental best-practice at the
earliest stages of a project. Our green
buildings, such as King George Central,
continue to set industry benchmarks
in environmental leadership.

Community
From cities to regional and remote
towns, the communities in which we
work are unique. Our team develops
tailored strategies to maximise
employment opportunities and
proactively support local community
groups, while minimising the negative
impact of our activities. In 2012 alone,
we created thousands of local jobs
and our people, project teams and
company contributed more than
$900,000 in donations, sponsorships
and community grants nationally.
Financial performance
We set an ambitious goal to return
to profitability in 2012 which we
achieved, closing out the year with
a turnover of $7.5 billion, $22 billion
work-in-hand and $455 million profit

before tax. We focused on disciplined


and controlled growth, strict risk
management, core competencies
and a targeted market strategy. This
bolstered our capacity to respond to
market opportunities with stronger
operational rigour, delivering value for
shareholders and a platform for growth.
In 2012, we launched a new vision
Creating a brighter future, together
and this complements our values
of trust, innovation, passion and
excellence. These values underpin
our sustainability ethos and the
pursuit of industry-leadership across
our multi-disciplinary business.
I believe our commitment to investing in
sustainability will see Thiess contribute to
positive transformation of our industries,
our people and our communities.

Who
WE are
As a leading construction, mining and services contractor,
Thiessexpert team delivers certainty and excellence through
innovation and partnerships. Operating across Australia, Indonesia,
India and New Zealand, we are committed to achievingsustainable
and profitable growth, delivering better outcomes for our clients
and creating valuable careeropportunities for our people.

CONSTRUCTION
We have established a reputation for delivering high-quality, large
scale and technically-complex infrastructure projects. Our capabilities
span highways and railways; airports, dams and ports; hospitals and
commercial buildings; through to mine and energyinfrastructure.

MINING
As a world-renowned mining contractor, we offer specialist expertise
across all stages of mining, including mine planning and engineering,
operations and maintenance, and rehabilitation and remediation.
Our operations are supported by one of the largest mining fleets
inthe world, with a replacement value of more than $3 billion.

SERVICES
For more than 25 years, we have provided operations, maintenance,
facilities and asset management services to industrial and
commercial clients and government agencies across the water,
energy, telecommunications, infrastructure and remediation sectors.
Our asset management solutions optimise service reliability and
leverage world-class technologies to deliver greater efficiencies
andimprove asset value.

Darwin

AUSTRALIA
Cairns

Mackay

Brisbane

Perth
Adelaide

Sydney

Canberra

Melbourne

Hobart

119 projects

across four countries

INDIA

NEW ZEALAND
Auckland
New Delhi

Kolkata

Wellington

Christchurch

INDONESIA

Balikpapan

Jakarta

ALMOST 20,000

Lowest EVER

$7.5 BILLION

79 CONSTRUCTIOn

23 SERVICES

17 MINING

Reconciliation

66% OF WASTE

$260,000+

employeES

PROJECTS

ACTION PLAN LAUNCHED

Injury Frequency Rate

CONTRACTS

Recycled

TURNOVER

Projects

Donated to charities

Thiess pursues the higheststandards


of excellence. This provides our
clients with superior results and
ourpeople with opportunities to
extend their skills.

Ground Engineering
Award for Technical
Excellence

Construction Skills
Queensland (CSQ)
Excellence Award

Airport Link Projects


Toombul jacked box operation

Construction Professional of the


Year Senior Project Engineer
Damon McLean

Engineering
Excellence Award

Queensland
Engineering
Excellence Award

Toowoomba Range rail recovery


works following the devastating
2011 Queensland floods

The Hinze Dam Alliance

Crane Industry
Council of Australia
Lift Award

NAWIC Achievement
in Construction
award

The VEC Thiess Joint Venture,


Category A Lift (over 130 tonnes)

The Contracts Administrator on the


Lotus Glen Redevelopment Project
Sandra Troughton

for more on awards, refer to page 66

10

Performance
Summary
People

Ongoing

Achieved

Performance

Driving a values-based organisational culture

We launched Thiess new vision and values through an internal


communications road show known as Talking Thiess and have made
significant headway in ensuring our values are reflected in our systems
and processes

Developing and implementing a leadership


development framework from graduate
employment through to executive development

Existing leadership development frameworks were reviewed with the


aim of developing a single framework across Thiess construction,
mining and services businesses. Graduate and senior leadership
programs were revised as part of an ongoing review process, to
ensure they reflect current and forecast business requirements

Developed Thiess Employee Value Proposition


(EVP) to underpin recruitment and differentiate
Thiess as an employer of choice in our sectors

Initial rollout of the new EVP included the first phase of extended
employee benefits designed to support employee retention as well as
attraction, particularly of experienced personnel

Highlights

Safety

Thiess Reconciliation Action Plan (RAP) developed


Pay equity review completed
Major upgrade to data management systems underway
Thiess Excellence Awards program created and launched
Blue Blood series of leadership programs implemented in our
mining business

Performance

To achieve consistency in language and curriculum


through a standardised safety leadership program

Frontline safety leadership is being addressed through the rollout of our


Leading Safety at Thiess program with 732 managers and supervisors
completing the two-day training in 2012

Review and revise Thiess group-level systems


and procedures to address the requirements of
the model Work, Health & Safety Regulations

A gap analysis of group-level documentation identified the


procedures needing review in order to address the new requirements
of the model Work, Health & Safety Regulations. Those procedures
were reviewed and updated and more than 150 project managers and
safety managers were trained across the organisation to ensure the
new requirements were understood and implemented

Identify, select and implement an integrated health,


safety and environment (HSE) database solution

An integrated HSE database solution called Synergy was identified


and selected with detailed design workshops completed in early 2012.
Phase 1 of the project has now been built with user acceptance testing
well underway and members of pilot projects trained on the system.
Aprogressive implementation of Phase 1 will take place in the first half
of 2013

Improve incident investigation by developing


and implementing an Incident Cause Analysis
Methodology (ICAM) training program for line
managers, supervisors and safety personnel

The ICAM model was selected as the Thiess tool for significant
incident investigations and training was provided to 212 supervisors,
managers and safety professionals. This equates to 35 per cent of the
target audience that are now trained in this model

Drive leadership accountability for safety through


leading H&S indicators such as H&S systems
audits, critical safety control audits, corrective
action management, critical risk improvement
plans and targeted improvement initiatives

Leadership accountability for leading H&S indicators is now monitored


and controlled by the Managing Director through quarterly safety
contract valuations and lead indicators are a key part of group and
business unit monthly H&S reports

Highlights

Recordable Injury Frequency Rates (RIFR) reduced by 34percent


the lowest rate in Thiess history
Inaugural Safety Summit hosted with more than 150 senior
managers participating
Everyone Safe Everyday Awards program launched across all
business units. This process will culminate with the Thiess Safety
Performance Award which will be presented as part of the Thiess
Excellence Awards
Work commenced on a Just and Fair training program
Critical Safety Controls completed for traffic control and
liftingoperations

11

Environment

Performance

Maintain the certification of our


Environmental Management Systems to
the international standard ISO14001

All business streams maintained their certification and, during


the year, we integrated our construction businesses under
onecertification

Forge a partnership with an environmental charity


that raises awareness of important environmental
issues among employees and provides an opportunity
to contribute and become involved in activities

In July 2012, Thiess signed a three-year partnership with International


RiverFoundation (IRF), involving them in a major Queensland-based
community event, a Christmas stakeholder campaign and work on
Thiess Indonesias Toll Roads Project

Implement a strategy for the commencement of a


carbon price in Australia, including each project
preparing an Energy Efficiency Action Plan which details
opportunities within the project to improve energy
efficiency and reduce GHG emissions on theproject

During the year, 39 of Thiess projects prepared an Energy


Efficiency Action Plan

Collect water use, recycling and discharge data and


waste generation and recycling data across the group

Thiess commenced collecting this data with the results detailed in


the water and waste sections of this report

Conduct sustainability workshops for large tenders


and projects to identify sustainability initiatives for
integration into the design and construction of the
project at the earliest stages of the development

Several projects conducted sustainability workshops in 2012 and


we began developing a group-wide process to conduct these
workshops at the tender stage

Strengthen our governance monitoring


through the introduction of an environmental
compliance management system

Substantial development work was undertaken for this system in


preparation for its launch in 2013

Implement inter-business unit environmental audits to


assist in the transfer of best-practice between projects

A trial inter-business unit environmental audit between our


construction and services businesses was completed and
considered a success

Highlights

Community

Work began on a new integrated HSE database solution, Synergy


Achieved zero Class 1 incidents and 56% fewer Class 2
environmental incidents compared to 2011
Recycled more than 108,000 tonnes of waste or 66 per cent of
all waste
Recycled or re-used approximately 5.78 million kilolitres or
55percent of all water used
1,273 hectares of land was reshaped as part of our site
rehabilitation programs

Performance

Introduce three corporate charity partnerships aligned


with our focus areas the International RiverFoundation
(Environment), Royal Flying Doctor Service (Health)
and the Engineering Link Group (Education)

Thiess signed agreements with all three charities and


actively involved them in headline community and industry
engagementinitiatives

Introduce a workplace giving program where staff


can donate to a charity of their choice, which Thiess
will match dollar-for-dollar up to a capped amount

A company-wide internal campaign was delivered to launch the


initiative and ensure that staff were familiar with the process

Introduce volunteer leave so staff can take


one day a year to volunteer at a not-for-profit
organisation or charity of their choice

A Care program booklet was made available to all staff and


the opportunity was promoted in the companys internal staff
magazineConnections

Embed a grants program to provide vital funding for


community organisations in key regions around Australia

Grant funding totalling $42,000 was delivered to seven community


groups in the New South Wales Hunter Valley

Introduce company donations to disaster relief appeals,


when and where appropriate, as well as provide
opportunities for our staff to donate to these appeals

This was launched within the broader Care program established


in 2012

Develop an Indigenous Engagement Program to


develop partnerships in key regions where we can
provide meaningful and long-term support

The program expands on Thiess Indigenous training programs,


which provide training and upskilling opportunities for
Indigenousemployees

Highlights

$123,000 donated through a workplace giving program (staff and


Thiess contributions combined)
$391,000 donated to corporate partners: Royal Flying Doctor
Service, International RiverFoundation and Engineering Link Group
$139,000 raised for charities including Humpty Dumpty
Foundation and Hear and Say
24,282 local jobs created on 25 major projects across
construction, mining and services
Gap analysis of current community engagement activity and
practices undertaken by our mining business

This summary reports on our performance in line with objectives stated in our 2010-11 Sustainability Report.

12

People

13

In 2012, Thiess reset its vision


Creating a brighter future, together

togive our people a reinvigorated


sense of purpose.
We deliver our vision through our four
values of trust, innovation, passion and
excellence which guide our behaviour,
support our decision making and
underpin exceptional business outcomes.
The Thiess team, worldwide, represents
almost 20,000 people each individual
contributing essential skills, knowledge,
experience and a passion to succeed.
Our team spans borders, cultures and
countries, and while projects are as
diverse as languages, they operate
with the same spirit of collaboration,
cooperation and care.
Our Employee Value Proposition (EVP)
establishes a measurable framework for
the rewards, opportunities, culture and
expertise that enables us to attract, retain
and develop the best in the business.
This employee offering lies at the core
of Thiess sustainability and capacity to

meet the current and future needs of our


company, and in turn, our clients. That is
why we continue to invest in a stimulating
and invigorating work environment with
career paths, learning opportunities
and reward structures that are market
competitive and reflect the skills,
experience and efforts of our people.
We are implementing comprehensive
learning programs, alongside our global
people management system, to guide
how we lead and support our team.
Our goal is to empower a diverse
workforce and inclusive work environment
that fosters innovation and the delivery
of world-class projects. This goes beyond
championing the diversity of people.
Its about investing in people initiatives
and creating a culture which embraces
diverse ideas, experiences and skills, and
celebrates every individuals contribution
to our success.

PEOPLE HIGHLIGHTS

185 Indigenous

Australians employed

26.75% female
STAFF participation

14

EMPLOYEE VALUE PROPOSITION


Rewards and recognition

Thiess is committed to all employees and


aims to create a world of opportunities to
grow and succeed. This is our EVP which
was redefined in 2012 and encompasses:

A primary feature of our EVP and


strategic plan is ensuring Thiess offers a
comprehensive and market competitive
employee benefits package. In 2012,
we began to implement changes to our
remuneration and benefits offering to
make it more structured and transparent.
Throughout 2013, we will continue to
enhance our reward systems to maintain
a competitive edge in our market.

Rewards Thiess rewards commitment


and performance, and we share success
with our employees by providing extra
benefits that add value to their lives

Opportunities we offer exciting,


challenging and large-scale
opportunities to fast-track careers
across industries, sectors and borders

Culture we have a long and proud


heritage with strong values, built
through hard work, mateship and a
commitment to delivering great projects

People we value and celebrate a diverse


workforce, which includes industry
leading professionals who motivate,
mentor and support their colleagues.

Continued delivery of our EVP will


differentiate Thiess in the employment
market and position the company
as an employer of choice. In 2012,
Thiesssaw a drop in turnover from 14
to 13 per cent apositive result that
we anticipate will further improve in
2013, as we continue to embed practical
initiatives anchored in our EVP.

Satisfied, dependable and productive


employees influence our success, with
morale being the driver behind a healthy
and successful workforce. How our
employees feel about their job, manager,
team and company, and how they are
treated, respected and valued, directly
impacts their effort, commitment and
contribution. In 2012, we were proud to
launch the Thiess Excellence Awards,
recognising achievement across the
organisation and positioning Thiess as
a performance-driven company that
celebrates excellence. Award categories
include leadership, projectsand tenders,
safety, innovation, sustainability,
culture and future leaders.

Thiess Pty ltd STAFF turnover

18

16.55%

14%

16

13%

14

14%

12
%

10

9.60%

8
6
4
2
0
2008

2009

EMPLOYEE RELATIONS
Promoting an open and productive
employee relations environment remains
a priority for Thiess. The key ingredient
to successful employee relations is
a collaborative working relationship
between our line managers, employees
and their representatives at a local level.
This principle of proactive employee

2010

2011

2012

engagement will continue to drive our


employee relations philosophy.
Some 30 individual enterprise agreements
were successfully negotiated across
the group in 2012 evidence of Thiess
growing business. Each contained
conditions and arrangements that were
specific to individual business outcomes
and provided fair reward for employees.

15

A world of
EMPLOYEE VALUE PROPOSITION

opportunities

to grow and
succeed.

16

WORKFORCE
DIVERSITY

Initiatives contributing to this


achievement include:

Our goal is to create an environment


of fairness and equity that leverages
the unique skills and abilities of every
employee, irrespective of their age,
background or beliefs.
While diversity goes beyond gender and
culture, Thiess is driving a clear focus
on gender diversity and our Indigenous
policies and programs. Our commitment
to increasing female participation at
Thiess is seeing positive results. We
have witnessed an increase in female
participation from 14.3 per cent in 2011
to 15.2 per cent in 2012. This has moved
us closer to our target of 20 per cent by
2015 and we have strong momentum to
continue this positive trend.

Senior Management

89.2%

Thiess Women in Leadership


Program 15 participants

Australian Applied Management


Colloquium Advanced Leadership
Program for Women three participants

Implementing a pay equity gender


review and commencing delivery
of itsrecommendations

Establishing gender diversity


working groups within each part of
our business eg Australian Women
in Mining Group and a Diversity
Council in our servicesbusiness

Currently, Thiess employs more than


185 Indigenous Australians. In 2012, 15
participants completed our 20-week
award winning Pre-employment Program
which has been in existence since 2010.

Offering training programs that focus on


workplace behaviours and conduct.

In 2013, we will further embed our diversity


programs as they relate to women and
Indigenous employees, while broadening
our focus to further promote and
encourage diversity in our workforce.

Another major achievement in 2012 was the


development of a Thiess-wide Reconciliation
Action Plan (RAP). This commits Thiess to

93.45%

functional & specialist

63.25%

Operational/Engineering

10.8%

36.75%

a series of initiatives from 2013 onward,


designed to support the growth and
development of Indigenous employees
within our organisation. Education remains
critical to culture change and our landmark
cultural awareness programs and training
continue to run across the organisation.
These remind our employees of the
richness and uniqueness of our Indigenous
heritage and arguably all cultures
represented in our broader workforce.

Finance/commerce

6.55%

49.1%

Trade

94.1%

50.9%

Graduate

5.9%

70.5%

29.5%

Administration

33.3%

66.7%

Apprentice

85.1%

Staff and Wages Breakdown


STAFF

WAGES

SENIOR MANAGEMENT AT THIESS

INDIGENOUS PARTICIPATION

MALE 73.25%
FEMALE 26.75%
MALE 89%
FEMALE 11%

MALE 91.38%
FEMALE 8.62%
MALE 1.47%
FEMALE 35%

TOTAL WORFORCE 1.82%

TOTAL POSITIONS AT THIESS

MALE 84.62%
FEMALE 15.38%

14.9%

17

Council
champions
change
Diversity Council

The services business Diversity Council


comprises a rotating membership of
nine volunteers representing each area
of the business. It was established to
support the development of a diverse
and inclusive workforce. The Councils
initial objective is to target an increase in
gender diversity across services entire
employee base with an aspirational goal
of 30 per cent females by 2015.

The Council has set in motion a


number of initiatives to help advance
the diversity agenda. These include
reviewing recruitment processes,
preparing to implement a leadership
capability framework and reviewing
exit interview processes to better
understand why people leave
thebusiness.

ABOVE Anne Marsh from services Diversity Council with General Manager Strategy, Development and Engineering Pat Burke.

Diversity makes business sense


New manager on board
Thiess business case for diversity
is about having the right people
in the right jobs, and fostering
an environment that encourages
and values different perspectives
andbackgrounds.
Thats the view of Lisa Morgan, who
joined Thiess in 2012 as the new Group
Manager, Diversity.
Lisa brings more than 20 years
of experience leading diversity
and organisational transformation
programs for numerous public and
private sector organisations in Canada
and Australia, and joined Thiess from

her most recent role as a Director at


Deloitte Consulting.
Leveraging the unique styles and
abilities of our employees makes
business sense, and its a socially
responsible way of operating in our
communities, she says.
Lisa believes organisations that value
and leverage the diverse backgrounds,
perspectives and contributions of
their employees are better placed
to deliver increased profits. This
is due to improved client service
through greater operational efficiency
andinnovation.

18

PEOPLE SYSTEMS AND


PROCESS OPTIMISATION
Capturing and analysing essential data
ensures informed decisions so that we
can continue to develop our people
and deliver our business strategies.
In 2012, we began the first phase of
implementing a group-wide solution to
capture and manage our people data
in a central system. Once complete,
this will improve the way we allocate
resources and better support our offer
to the market. This system spans:

Recruitment management
Learning management
Development and capability growth
Performance management
Remuneration and benefits.

The ability to capture and accurately


report employee lifecycle data,
from commencement through to
retirement, is vital to ensuring that
future people strategies meet the
needs of the business and our people.
The new system, which will become
operational during 2013, will improve
the scope, analysis and effectiveness
of HR and statutory reporting while
ensuring robustgovernance.

BUILDING AND ALIGNING


CAPABILITY
Learning and development are essential
to building future-focused capability
within Thiess. We continue to offer
aclear pathway for people motivated
to acquire and use new skills in our
businesses to progress their careers
while bolstering our performance.
Our customised frontline leadership
and technical training, tailored to
each of our sectors, remains as strong
as ever. For example, the Blue Blood
suite of training programs supports
our mining employees at all levels as
they continue to develop their careers.
Each program isdesigned to build
on previous programs. If participants
attend Discovering Blue, the next
program will be Building Blue and
so on until they complete True Blue.

Thisisan important element of the suite


of programs as itcreates a common
language, systemsand expectations
of our leaders, whichall form part of
the way we do things atThiess.
All of our frontline leadership and
technical training programs operate
alongside our robust graduate program
and our commitment to pre-employment
and apprenticeship programs.
From a next generation perspective,
ourapprenticeship program maintains
ahigh focus on attracting candidates
from local communities to ensure
employment opportunities are first
offered to the most suitable candidates
in the regions closest to our projects.
In Indonesia, the Balikpapan Support
Facility in East Kalimantan delivers
qualifications in heavy diesel fitting,
auto-electrical and heavy fabrication
through a four-year program which
is fully audited and certified by
Central Queensland Institute of
TAFE. In 2012 thefacility celebrated
20 years of producing highly skilled
graduates forthe mining industry.
Our education strategy supports
students at all levels in the development
of technical skills. In 2012, Thiess
provided nine scholarships for students
to study at leading universities
including Queensland, New South
Wales, Monash, Adelaide and
Newcastle. Beyondscholarships, Thiess
awarded $30,000 in prizes to Griffith
University engineering students, as
well as sponsoring an undergraduate
course forthird year students.
We will continue to expand and adapt
our training programs to reflect the
current and forecast commercial and
technical requirements of our business.

19

Women in engineering
scholarship winner
South Australian student Kira Evans was the 2012 winner
of the Thiess Minerals Council of Australia Women in
Engineering Scholarship. A Bachelor of Engineering
student, Kira is very active at the University of Adelaide
and has an excellent academic record. Kira will undertake
vacation work with the Thiess Australian Mining team and
the $8,000 scholarship will ease any financial pressures
allowing her to focus more on her studies. She is eager to
give back to other female students who are considering
engineering as a career option and will be an excellent
ambassador for the Women in Engineering Scholarship.

Employment programs
Program

Thiess Indonesia Two-Year


Graduate Program
Thiess Indonesia Five-Year
Apprenticeship Program
Thiess Indonesia
UndergraduateProgram
Thiess Indonesia 12 month
WorkExperience Program
Thiess Indonesia Trades
Streaming Program
Thiess Two-Year Graduate
Program
Thiess Vacation Program
Thiess Plant Apprenticeship
Program
Services Cert III Civil
Construction (Plant Ops)
Services Energy Apprentices

ABOVE Kira was presented her award by Thiess mining


Executive Manager Matthew Langmaid and Federal
Opposition Leader Tony Abbott.

Experience brings
textbook learnings
to life

Services Diploma of
WaterOperations

to a mine site near Emerald in Central Queensland to


work on a civil construction project for BHP Billiton
anexperience that taught him more than he could ever
learn from a textbook. The placement led to him being
employed as a graduate engineer on the Airport Link
Project and subsequently the Caval Ridge Project in
Central Queensland.

64
407
25
40
1,000
112
35
27
5
49
22

Professional development
programs
Program

Leighton Masters Program


(fouryears)
Business Management Program

Working on a civil engineering project at a Central


Queensland mine was a stark contrast to sitting in a
Gold Coast lecture theatre, yet it proved to be a great
career move for Omid Partopour. During the final year
of his civil engineering degree, Omid took part in Griffith
Universitys Industry Affiliates Program, which places
students with industry partners to gain on-the-job
experience. His placement with Thiess saw him relocate

Participants

Mining Blue Blood series of


programs
Thiess Community
StakeholderWorkshop
Services Frontline
LeadershipProgram
Services Operational
ManagersProgram
Services Leading
HandProgram
Services Mentoring Program

Participants

10
20
111
25
18
24
10
16

20

Indigenous
Pre-employment Program
Just one example of our practical,
proven programs, is the award-winning
Thiess Pre-employment Program,
boasting an innovative model that seeks
to improve a number of outcomes for
participants from 17 years of age.
The 20-week program is built on a
foundation of collaboration between
partners, including employers, training
and service providers, mentors, and
state and federal agencies. The program
aims to equip participants with the
technical, work and life skills to take on
an apprenticeship or other employment.
In partnership with Hastings Deering,
the program is delivered to 12-14
participants over 20 weeks. Piloted
in 2010, the program is now into its
fourth year and has evolved to be a
very popular pathway option for those
seeking apprenticeships or employment
in construction and mining.

During the program participants undertake:

One-week induction plus six weekly


visits to Salvation Army Canaan
Training and Development Centre
(Riverview Farm), undertaking
Skills for Life training

Cert II Work Preparedness


(TAFE, sixweeks)

Cert II Infrastructure and


Resources (HDIT, 10 weeks)

Ticket training including First Aid,


Working at Heights, Forklift, EWP

Mentoring and coaching from the


Former Origin Greats (FOGs) and
Brisbane Broncos mentors, the livein Aunty and Uncle, Thiess staff

Participants also receive other


ad-hoc support as required,
and accommodation and livein support for participants from
other parts of QLD/Australia.

Originally targeting apprenticeships,


the program is now delivered to
suit candidates seeking any type of
employment. While employment is not
necessarily a guarantee to participants, all
graduates to date have been offered fulltime roles with Thiess or Hastings Deering.

21

The program has had


outstanding results in
increasing Indigenous
participation at Thiess,
particularly for the
plant apprenticeship
program.

Thiess priority is market differentiation. We must continue to


create a distinct, positive reputation in the marketplace and
develop and retain key talent so we can deliver excellence for
clients and realise our vision.

Our focus will be on:

Increased visibility,
through greater insight
into our people capability
and improved access to
workforce metrics and
analysis

Process optimisation,
with more standardisation
of systems to support
increased capacity

Alignment, including
ensuring we have the right
people in the right jobs
and matching performance
management to broader
business performance

Capability, through
strengthening the way we
build project teams and
assisting our succession
planning

Data security and


governance through
ensuring compliance with
statutory obligations and
maintaining data privacy
and security.

During 2013, we will continue to work toward:

Providing easy-to-use
systems and processes,
underpinned by technology,
to deliver essential data
for the management and
development of people
across the business and to
meet the groups corporate
governance requirements
Growing our diversity
competence with
employees through respect
and understanding so they
can contribute as part of
their respective teams and
support the success of
others in the business
Enhancing our leadership
capability through targeted
business and leadership
development programs

Delivering training
programs across
key commercial and
governance areas to drive
business performance
andcompliance

Working across the group


to ensure a structured
approach to learning and
skill acquisition exists
across all divisions

Continuing to develop
reward and recognition
programs that differentiate
Thiess

Promoting direct
employee engagement
as a central pillar of
our employee relations
philosophy.

22

safety

23

In 2012, we built on key systems to


further embed the vital cultural change
necessary to achieve our objective of
everyone safe, every day.
In March, more than 150 senior operational
and safety managers, including clients
and industry experts, came together for
our inaugural two-day Safety Summit
to review our safety performance and
identify the critical drivers to enable
our next step change in performance.
Five focus areas emerged:
Ensuring visible and effective
leadership at all levels
Our goal is to make safety leadership
personal. We are doing this by providing
training, mentoring and coaching to
leaders at all levels of the business so they
have the competencies and motivation to
be effective and visible safety leaders.
setting expectations with
clear accountabilities
Our safety objective is unwavering.
To get there, we will hold our people
accountable to live up to the standard
we set in the delivery of our safety
programs and business plans.
Empowering greater engagement
with the workforce
We are creating more opportunities to
listen to what our workforce is saying
about safety, understand the risks they
are exposed to and demonstrate that
we care. Our monthly Everyone Safe,
Everyday Awards encourage everyone
to get involved in efforts to take our
safety performance to another level.

Embedding the Our HSE


Culture framework
We have joined some 40 leading
companies from around the world as a
signatory to an internationally validated
HSE culture framework. The framework
provides guidance on the behaviours we
expect to see across our entire workforce
and the added leadership behaviours
required of supervisors and managers.
Simplifying our systems,
processes, practices
and measurements
We are making a significant investment
in the technology supporting our safety
management system. The Synergy system
(an integrated database that captures
and classifies HSE events and tasks with
workflow functionality and the ability
to track actions to completion) will
streamline compliance and record keeping
while improving communication. It offers
a sophisticated workflow, tracking and
data analysis capability. Thiswill help
drive accountability for our lead safety
indicators and ensure we deliver on
our commitments. It will also make it
easier to identify trends and emerging
issues before they become problems.
Our focus on these areas is already
paying dividends. Compliance with our
lead safety indicators has improved
significantly and we are on the way to
achieving a measurable and sustainable
step change in our safety performance.

SAFETY HIGHLIGHTS

LOWEST EVER
RIFR 4.6

ZERO

FATALITIES

24

SAFETY PERFORMANCE

During 2012, we continued to focus on


measuring and monitoring lead safety
indicators across Thiess. This improves
our ability to maintain accountability.
The lead indicators for 2012 included:

H&S systems audits


Critical Safety Control (CSC) audits
Effective management of
action items raised in incident
investigations, audits, inspections
and behavioural observations
Quality of actions.

350
300
No. Of OVERDUE ACTIONS

Overdue Actions by Quarter

Similarly, performance in corrective


action management has also shown
significant improvement. During 2012,
more than 20,000 corrective and
preventative actions were managed
through the HSE Reporting System.
Atthe end of December, 105 actions
were recorded as overdue. However,
thisis a 75 per cent improvement across
the business compared to 2011 results.

200
150
100
50

In terms of actions, specifically


increasing the ratio of hard to soft
controls is important because hard
controls reduce risk by providing
physical solutions, such as elimination,
substitution or engineering controls,
making them generally more effective.
In comparison, soft controls rely on
administrative measures such as
procedures, training and personal
protective equipment.

0
Q1 2012

Q2 2012

Q3 2012

Q4 2012

Overdue Actions by Quarter breakdown


200
180
160
No. Of OVERDUE ACTIONS

Performance against these measures


demonstrated significant improvement
compared to 2011. For example, all
business units, with the exception of
construction, maintained a combined
100 per cent completion rate for
H&S and CSC audits for the year.
Construction achieved 92 per cent
anexcellent result when compared
tothe 2011 result of 49 per cent.

250

140
120
100
80
60
40
20
0
Q1 2012
Mining

Q2 2012

Q3 2012

THIESS CONTRACTORS

Q4 2012
SERVICES

INDONESIA
Construction

Major projects

THIESS GROUP

25

No. Of recordable injuries

600

10

500

400
6
300
4
200
2

100
0

0
2008

2009

Australia

2010

2011

Recordable injury frequency rate (RIFR)

Total number of recordable injuries & group RIFR

2012

International

GROUP RIFR

No. Of lost time injuries

100

80
2
60

40
1
20
0

0
2008

Australia

2009

2010

2011

2012

GROUP LTIFR

International

Measure per million work hours

2011

2012

HPI

212

157

HPIFR

2.9

2.2

RIFR

7.0

4.6

LTIFR

0.9

0.9

LTISR

15.5

9.1

ALT

16.6

9.6

lost time injury frequency rate (lTiFR)

Total number of LOST TIME injuries & group LTIFR

We have delivered
tangible results
in the reduction
of incidents.
This focus on audits, systems
performance and corrective
actions required a relentless drive
from senior management and our
operational teams on every project.
Importantly, it has led to a renewed
focus on understanding our systems
and working to deliver improvements
before incidents occur.
This effort has delivered tangible
results in the reduction of incidents.
Thiess recorded a RIFR of 4.6 the
lowest in its history representing
an impressive 34 per cent reduction
in the RIFR and overall RIs. This is a
huge step toward our objective of
everyone safe, every day.

26

Injuries
2012 Recordable injuries by body location

Body location

COUNT

80

120

13

BACK

43

Neck

120

13

Trunk incl. Internal Organs

30

Shoulders & Arms

110

12

Hands & Fingers

230

24

Hips & Legs

108

11

Feet & Toes

62

Other

42

Total

942

100

Eye
Head Incl. Face, Ear

FATALITIES

Remote tyre
monitoring
fast-tracks
safety response

There were no fatalities during the reporting period, which


is a credit to the vigilance of our teams.

BREACHES AND PROSECUTIONS


Safety regulators issue prohibition, infringement and improvement
notices to address minor breaches, unsafe activities or conditions,
or to initiate improvement in safety standards. While a number of
prohibition and improvement notices were received, there were no
prosecutions against Thiess during 2012.

Legal Issues Information


Prohibition
Notices

Infringement
Notices

Improvement
Notices

Airport Link

Victorian
desalination
project

Services

NSW/ACT

VIC/SA/TAS/NZ

NOTE: JV% HAS BEEN APPLIED TO THIS DATA

Thiess use of the technology solution


known as Tyre Sense enabled one of our
mine sites to avert a major safety incident
through remote monitoring of specific
aspects of tyre condition. Live data is
captured for aspects such as inflation
pressure and chamber temperature
right through to tracking a vehicles
GPS position and speed over ground. It
gives our team the ability to monitor tyre
conditions at any project, anywhere in the
world, as showcased on our Wilpinjong
Coal Mine in New South Wales. Our head
office team received a minimum pressure
email alert on an operating truck, assessed
the situation, notified the site, relayed a
message to the operator, and continued
monitoring the situation including whether
the truck was moving to the workshop for
repair. Under normal circumstances the
operator would have remained unaware
ofthe tyre condition, proving the dramatic
improvements to response times available
through the technology investment.

27

ENFORCEABLE
UNDERTAKINGS
Enforceable undertakings are available
to organisations as an alternative to
prosecution for breaches of safety
regulations. Thiess entered into two
enforceable undertakings in 2012.
The first relates to two similar safety
incidents that occurred in October
2006 on the EastLink Project. These
involved precast noise walls falling from
a delivery truck when the load restraint
system failed. The undertaking with
WorkSafe Victoria requires Thiess and
our joint venture partner John Holland to
carry out research on the selection and
management of specialist contractors,
review and revise our contractor selection
and management processes, and
distribute guidance and training materials
produced as a result of the research.
The second undertaking was entered
into with Workplace Health and Safety
Queensland as a result of an Airport Link
incident in March 2011. This involved a
subcontractor traffic controller being run
over by a truck, resulting in serious injuries.
This undertaking requires Thiess to:

Produce educational materials for


traffic controllers

Field test traffic control technology

Fund a university scholarship in the


field of workplace H&S.

Develop contractual requirements


aimed at improving safety compliance
by traffic control providers

Enforceable undertakings are a positive


alternative to regulatory action as
they potentially benefit the wider
industry through the development of
safety controls, educational materials
and a greater understanding of risk
management relating to specific hazards.
During 2012, Thiess also received
notice that Workplace Health & Safety
Queensland had commenced proceedings
in relation to alleged breaches of the
Workplace Health & Safety Act 1995 for
two separate incidents on Airport Link.
The first of these incidents occurred
in June 2011 and involved a worker
suffering injuries as a result of falling from
height through a smoke duct opening.
An application for an enforceable
undertaking is under review. The second
incident, in September 2011, was in
response to a fatality on Airport Link
where a worker became trapped under
redundant steelwork.

LEADERSHIP
Navigating the complexities of safety
management systems and safety
performance reporting takes time and
practice, but these are essential skills
for leaders to excel in safety. We are
investing in safety leadership by building
capability at all levels of management and
supervision. Through the Leading Safety at
Thiess program, managers and supervisors
spend two days examining their safety
accountabilities and personal behaviours.
This expands their safety knowledge
and assists in developing effective
communication skills to boost their
leadership capacity. It is a prerequisite for
operational leadership roles within Thiess.
The emphasis is heavily geared toward
communication and reinforces the
importance of equipping our safety
leaders with the techniques and
confidence to constructively engage with
their teams. The program also provides
our safety leaders with the skills needed to
intervene in, and resolve, unsafe situations,
recognise and reward positive safety
behaviours, and motivate teams to stay
involved in our safety efforts.
Targets for individual managers and
supervisors emphasise expected
behaviours and aspirations rather
than simply counting failures via the
measurement of incidents. We are leading
this endeavour from the top. Members of
the Executive Team have adopted personal
targets for the completion of safety
critical activities such as system audits,
Critical Risk Control audits, and the timely
close-out of incident investigations and
corrective actions. In addition, they make
regular, scheduled visits to our worksites to
listen and understand the safety concerns
of our workforce and to recognise and
celebrate their safety initiatives.

EXPECTATIONS AND
ACCOUNTABILITIES
Quarterly in-depth reviews of safety
performance in our businesses
are proving invaluable in setting
clear expectations and clarifying
accountabilities for safety management.
These safety contract valuations (CVs)
are run by our Managing Director and
involve the Executive General Manager
ofeach business.
During the executive safety reviews,
performance against agreed lead safety
indicators are examined to ensure
our safety management processes

are operating effectively. Progress


against safety business plans, and
the management of critical risks and
control strategies, is reviewed to ensure
the best efforts to protect our people.
RIsare monitored closely as indicators
ofprogress.
Our safety CVs are an important forum
for confirming that our strategies
are working, as well as providing an
opportunity to examine accountabilities
and define escalation procedures for
significant risk control decisions.
Building safety accountability also
requires a system of fair treatment
for individuals whose accountabilities
are under review. To this end, Thiess
began developing a just and fair
model to provide guidance for
our leaders on assessing whether
accountabilities have been met and
applying appropriate consequences to
reinforce the behavioursthat strengthen
our safety culture. Ourapproach to
achieving ajustand fairculture is a work
inprogress. However, itaddresses a range
of factors including:

Recognising and rewarding good


safety performance and actions

Identifying human error and, more


importantly, its underlying causes

Understanding the motivations and


actions of all contributing players
when it appears that our rules and
procedures were not followed.

28

We empower our people to act responsibly,


contribute proactively and demonstrate their
commitment to everyone safe, every day.

WORKFORCE ENGAGEMENT
Developing effective safety leaders is critical
to engaging with our workforce. The simple
techniques we promote, based on a culture
of openness, create opportunities for our
leaders to listen to our workers concerns
and their ideas for improving safety.
In 2012, our construction, mining and
services businesses established Everyone
Safe, Everyday Awards, recognising
positive contributions to building our
safety culture through risk management,
compliance, speaking up about safety
and getting involved. The awards carry
significant prizes for individuals as
well as charity donations to motivate
individuals and teams to participate.
The monthly project-based awards build
toward wider recognition within each
of our three businesses (construction,
mining and services). An annual wholeof-company award is then drawn from the
pool of monthly winners to highlight the
most significant contribution in the year.

CULTURE
Throughout 2012, our team has reviewed
the strategies and benefits of more than
40companies who have, like Thiess, adopted
the United Kingdoms Keil Centre safety
culture framework. Companies making
the most progress in terms of behavioural
change and RI reductions have a highly
disciplined approach to regularly assessing
gaps in expected behaviours and developing
action plans to close those gaps. Most
importantly, they are regularly measuring
their performance in line with these plans.

We commenced work on our own


implementation strategy following a more
disciplined approach to gap analysis, action
planning and performance measurement.
It is a simple approach that increases
engagement by integrating the gap analysis
into existing safety management processes.

SYSTEMS AND PROCESSES


The first module of our new safety
information management system, Synergy,
will streamline our management of safety
incidents. It will improve our classification
of incident severity and determine
automated notifications and the level
of investigation required. Investigation
outcomes will then be classified using the
ICAM root cause and contributing factor
coding, which will improve our ability
to identify trends and, ultimately, target
specific issues with prevention strategies.
The second module, to be launched
in 2013, will help demonstrate
compliance to external stakeholders.
Workflow functionality will better
assign actions and track completion,
and assist in clarifying expectations
and driving safety accountabilities.
The ongoing development of our CSCs
is also driving the simplification of
our systems and processes. We have
launched CSCs for traffic control and
lifting operations and commenced a
process around working at heights.
The reduction of safety procedures
and protocols for lifting operations
from 33 to five is a good example of
system simplification that will give users
greater clarity to manage this hazard.

29

Going from 'green' to


safe at Prominent Hill
Thiess Prominent Hill Mine in remote
South Australia redesigned its training
program for new employees to meet
the increased production required
under an extended contract. With a
shortage of skilled haul truck operators
in the Australian market, Thiess had
to mobilise a higher quotient of new
green employees. Rigorous training
was vital to ensuring continued safety

performance. The team delivered a


range of initiatives including extended
inductions, presentations on haul truck
equipment, training in a 793D simulator,
an extended requirement of 55 hours
combined haul truck observation
from inside a truck cabin, 70 hours of
supervised 793D haul truck operation
and special training for wet weather
and night conditions. Supervisor and

employee interviews looking at attitudes


to safety and work guided a tailored
approach to the training program for
each new starter. This new approach has
ensured sufficient personnel without
compromising to safety standards.

Safety support
strengthens tunnel
The City East Cable Tunnel team in
New South Wales took an innovative
step to increase the safety of working
underground. A Temporary Roof Support
(TRS) was created to remove the risk
of personnel entering areas beneath
unsupported ground otherwise a
no-entry situation. The nature of
tunnelling means that team members
need to change drill rods and position

rock bolts at the front of drill rigs


underground. The TRS connects with the
main boom of the drill rig, creating a safe
zone between the crown and the tunnel
floor so that team members can continue
their work safely. The TRS has the added
advantage of easy installation, quick
repositioning and rapid removal, as well
as mechanical controls that eliminate
manual handlingrisks.

30

Tuning into safety


inIndonesia
Thiess Indonesia created a network
of radio stations to deliver an
innovative and engaging safety
campaign with its at-risk workforce.

Creativity, repeater stations and hundreds


of audio devices installed in mobile
plant, make the broadcasts accessible
to an 11,000-strong workforce.

First piloted in 2008, it has seen


safety incidents drop dramatically,
with RIFRs down from 1.9 in 2009
to0.6 in 2012 on average despite
the workforce having grown by more
than 50 per cent over that time.

The stations bring to life the work


environment through role plays
that simulate safety incidents, daily
toolbox talks, incident trends, safety
messages from family members,
health information and financial tips.

Several challenges led to the initiative


communicating consistent safety
messages, combating fatigue among
plant operators who are often alone and
addressing a cultural lack of familiarity
with the disciplines of shift work.

They even include an anti-fatigue


program, run during high-risk periods,
featuring engaging communication,
up-beat music and variety talk shows
to keep focus and energy high.

Based at mine sites including Melak,


Sangatta, Satui and Senakin, the four
community FM radio stations (CFMRs)
tackle the safety challenge of routine
and repetitive work head on.

Professional on-site, local DJs,


supported by the Jakarta head
office team, keep content fresh and
professional. Broadcasts attract
listeners from neighbouring mine
sites and the local community.

Importantly, the unique initiative is a


sustainable solution that has created
a forum for building an entrenched
safetyculture.

Safety incidents have


dropped dramatically
in Indonesia, with
RIFRs down from
1.9 in 2009 to 0.6

on average
despitea50% growth
in the workforce.

in2012

31

We will continue our drive to achieve a step change in safety


performance, embedding the processes and behaviours
that have already begun to deliver improvements. We will
maintain our focus on developing our safety leaders, clarifying
expectations and holding people to account, engaging with our
workforce, embedding our HSE cultural framework across our
operations, and simplifying our management systems.

During 2013, we will:

Create an executive level


safety development
program to increase our
senior management teams'
ability to interpret safety
performance reports,
askthe right questions
andassess whether
safety is being effectively
managed in their business

Complete the rollout


ofourLeading Safety
atThiess program

Cascade the Safety


Contract Valuations
initiative through all
management teams
inThiess

Launch the processes


thatsupport a just
andfairculture
includingtraining for
managers andsupervisors

Rollout team based


self-assessments and
action plans linked
to theHSE cultural
frameworkto ensure
theframework
becomesamore
central part of safety
conversations

Complete the second


module of development
and implementation
oftheSynergy system.

32

environment
Rehabilitation efforts at Mt Owen go beyond
growing vegetation to assessing how endangered
wildlife usethe environment as a habitat.

33

We're going beyond compliance to create


a smaller footprint and a bigger future.
Thiess has embarked on a journey
to raise the profile of environmental
management so that policy becomes
reality and our people are empowered to
achieve our objective smaller footprint,
bigger future a core driver in every part
of ourbusiness.
We believe that going beyond compliance
and achieving environmentally-sustainable
outcomes on our projects will deliver
better results for our projects, clients,
communities and the environment.
We are focused on four key areas of
improvement reducing greenhouse gas
emissions, increasing energy efficiency,
minimising waste to landfill and increasing
waterefficiency.
Environmental awareness and education,
and their supporting management systems,
combine to help us reduce ourfootprint.

Our strategy is to:

Provide visible leadership to


promote environmental best practice
and empower employees to lead
environmental initiatives

Drive a beyond compliance culture


where everyone plays an active role
and takes personal responsibility to
minimise our environmental impact

Improve our environmental


performance on a continual basis

Engage with our employees, clients


and other stakeholders to produce
mutually beneficial and sustainable
outcomes

Use best-practice environmental


management systems that deliver
good governance and are certified to
the international standard ISO 14001.

ENVIRONMENT HIGHLIGHTS

1,273

HECTARES RESHAPED

113

INTERNAL AUDITS

34

ENVIRONMENT
PERFORMANCE

INCIDENTS
Thiess has adopted a three-class incident
classification system based on the degree
of harm from major harm (Class 1) to
minor harm (Class 3) and acknowledges
near hits (potentialincidents with no
actual harm).

Sustainable Development Department


ofthe Australian Capital Territory for
failure to comply with an approved
management plan at the Mugga Lane
Waste Handling Facility then managed
by Thiess.

In 2012, we achieved our target of


zero Class 1 incidents for the second
consecutive year. We had set a maximum
of 26 Class 2 incidents (a 20 per cent
reduction on 2011 results) in our planning
and only 15 were recorded a 56 per cent
reduction on 2011 results. The majority
related to sediment controls, sediment
impacts on water, and exceeded
discharge limits. No major or persistent
harm to the environment occurred in
anyinstance.

In addition to the PINs, APLNB


received two Show Cause notices
inrelation to identified water and dust
managementissues.

A total of 632 Class 3 incidents


werereported in 2012 a decrease of92
incidents compared to 2011. Thereduction
is due to two major projects reaching
completion. However,Thiess continues
to emphasisethe importance of
reporting minor incidents. In fact, the
continual drive to avoid significant
incidents by proactively reporting and
implementing controls for minor events
is best demonstrated by the ongoing
proactive reporting of near hits, with 251
reported in 2012 compared to 247 in 2011.
These minor events are dominated by
incidents related to land contamination
through small diesel or oil spills
associated with Thiess large plant fleet
(71percent of incidents). In every case,
contaminatedsoil material was removed
and/orremediated.

REGULATORY NOTICES
Thiess targets zero regulatory
enforcement notices. Unfortunately,
eight Penalty Infringement Notices (PINs)
were issued to Thiess-related projects
during 2012. Six PINs, with a total value
of $12,000, were issued to the Airport
Link/Northern Busway (APLNB) Project
for sediment discharge to the stormwater
system, while an additional PIN, for
$2,000, was issued for dirt spillage
on a public road. One PIN, for $5,000,
was issued by the Environment and

There were no prosecutions for breaches


of environmental legislation in 2012.

GOVERNANCE AND AUDITS


To improve our capture, analysis
and reporting, Thiess purchased the
Enablon software solution in 2012 and
completed all preliminary work ready
fordeployment in 2013.
Thiess uses internal project audits
to ensure ongoing compliance with
our management systems, which, in
turn, are used to identify and manage
environmental risks, comply with
legislation and client requirements,
and ensure consistent environmental
performance. Thiess environmental
management system is certified under
the international standard ISO 14001,
and our businesses and selected projects
are audited annually by the external
certifying body. All businesses achieved
recertification in 2012.

During 2012, 113


internal environmental
audits were conducted.
Non-compliances are addressed
through action plans that are monitored
byseniormanagement. In addition
toThiess audits, many projects are
alsosubject to independent audits
conducted by clients, client appointed
independent verifiers and regulators.
These further ensure compliance and
support continual improvement.

35

Environmental incident trend 2008-12

Class 1
4
3
2
1
0

2008

2009

2010

2011

2012

22

24

17

34

15

2008

2009

2010

2011

2012

356

395

566

724

632

2008

2009

2010

2011

2012

Class 2
40
30
20
10
0

Class 3
800
600
400
200
0

2012 Environmental incidents Classified by impact type

other

Impacts on water

2
1

waste management
noise vibration light

legal issue

71

land contamination

Impacts on heritage
and culture
impacts on flora
and fauna

8
2

emissions to air

20

40
%

60

80

36

ENERGY USE AND GREENHOUSE GAS EMISSIONS


Thiess is a large energy user and emitter
of greenhouse gases (GHGs). Through
our parent company, Leighton Holdings
Limited, we are registered to report
under the National Greenhouse and
Energy Reporting (NGER) Act 2008 and
Energy Efficiencies Opportunities (EEO)
Act 2006. Systems are in place to track
and report our energy use and calculate
our GHG emissions.
Thiess energy use in Australia increased
from approximately 16.5 petajoules (PJ)
to 17.5 PJ per annum between 2011 and
2012. This was primarily the result of a
number of large infrastructure projects
reaching their energy intensive period
and some of our mining operations
increasing production. A substantial
reduction is expected in 2013 due to
completion of several large projects.
Energy use in Indonesia dropped slightly
from 13.9 to 13.3 PJ.
Diesel is our most common fuel consumed,
representing 97 per cent of energy used in
2012. Electricity represents a much smaller
component of energy use between 1 and
2 per cent. Other sources of energy, such
as petrol, Liquefied Petroleum Gas (LPG)
and other gases are only used in minor
quantities. In Indonesia, mining represents

99 per cent of energy consumed. Mining


is also the largest energy user in Thiess
Australian operations, at approximately
84per cent.
GHG emissions from fuel combustion and
the use of electricity in Thiess Australian
operations remained constant at 1250kt
carbon dioxide equivalents (CO2-e) in 2012.
GHG emissions in Indonesia fell from 968kt
to 922kt CO2-e.
Thiess also produced 168kt CO2-e
fugitive GHG emissions through its
owner-operated and contract-operated
landfills in 2012. Emissions were offset
by the capture of methane gas for
flaring or transfer for power at the
Swanbank Renewable Energy and Waste
Management Facility until this process
ceased operation part-way through
2012. Fugitive emissions data was only
available for landfill sites where we
had operational control as defined by
the NGER Act. Thiess sold the waste
management division of its services
business in September 2012 and, as
such, 2012 data for this division spans
January to September only.

ENERGY USE

35

30

25

PJ

20

15

10

0
2009

2010

2011

2012

37

NGER
Energy use and emissions data is
collected for all company projects and
sites irrespective of the operational
control status. Thiess reports annually
under the NGER Act through Leighton
Holdings. In the 2011-2012 NGER reporting
period, Thiess had operational control
over 85 of its 167 operating facilities.

EEO
The EEO Act requires large energy
users to identify, assess and report on
energy saving opportunities. Thiess
triggered the reporting threshold
on the basis of its energy use in the
20052006 baseline year. Further
information on the first EEO assessment
cycle is available from the Thiess EEO
Public Report available at http://
www.thiess.com.au/environmentalreports/energy-efficiency-reports.
Thiess EEO Assessment Plan for the
second EEO Cycle (July 2011 to June
2016) was submitted to the Department
of Resources, Energy and Tourism in
2012. This plan covers projects over
which Thiess has operational control,
as required by the EEO Regulation.
In 2012, Thiess also introduced an internal
requirement for projects to have an

Energy Efficiency Action Plan (EEAP),


above and beyond the EEO requirements.
The objectives of the EEAPs are to:

Provide a focus for efficiency


opportunities available to the project

Reduce the energy use intensity of


Thiess activities

Reduce the GHG emissions from


Thiess activities

Achieve project energy savings


targets

Assist in achieving Thiess


sustainability objectives.

A wide range of operational and


technology-based efficiency
opportunities have been
identified across our projects
to date. Examples include:

Use of cost-effective electronic


ballast type tunnel lighting

Use of a hybrid (diesel/electric)


excavator as pilot initiative to inform
the increased use of more energy
efficient equipment

Upgrade of office facilities including


new sensor-activated energy
efficient lighting and a computer
server room that uses more energy
efficient equipment and a smarter
configuration of cooling systems.

Greenhouse Gas Emissions

Footnotes to GHG and


energycharts:
1. Data provided is the total GHG and
energy footprint for all Thiess projects
that have data available. It has not been
adjusted to account for operational
control as defined in the NGER Act,
including Thiess share of joint ventures.
Where fuel is provided by the client
and Thiess does not have operational
control, energy and GHG data may not
be available.

3,000

'000 Tonnes C0 2-e

2,500

2,000

1,500

2. Data for 2012 is provisional as the NGER


reporting year is July to June, and July
to December 2012 data has not been
verified at time of publication.

1,000

3. Data for 2009 excludes January to June


data from Indonesian operations.

500

WASTE

Electricity

GAS

Petrol

DIESEL
2009

2010

2011

2012

38

MINIMISING WASTE
In 2012, Thiess recycled more than
108,000 tonnes of waste (66 per cent
of total waste) and 10 of our projects
recycled more than 90 per cent.

or re-used is disposed in a safe and


environmentally responsible manner.
To ensure continual improvement,
ouremployees receive regular training
and awareness in waste management.

Recycling and re-using waste materials


has become business-as-usual at Thiess
to reduce costs, divert waste from
landfill and minimise our environmental
footprint. Waste that cannot be recycled

waste minimisation. During the year,


Thiessprojects produced approximately
164,000 tonnes of waste, with 66
per cent being recycled, re-used or
otherwise diverted from landfill.

In 2012, Thiess began collecting


waste statistics across our projects
to better assess our performance
and develop strategies for improving

2012 WASTE DISPOSAL BY TYPE

LANDFILL

RECYCLED

120,000

66%

100,000

TONNES

80,000

77%

60,000

40,000

20,000
0

46%

54%

34%

23%
Non-hazardous

A number of our projects have


demonstrated industry-leading
waste management practices,
achieving greater than 90 per
cent recycling and/or re-use of
waste materials, resulting in the
recycling of more than 60,000
tonnes of waste from these
projects alone.

*Recycled refers to the waste that

hazardous

TOTAL

Per cent
recycled*

Recycled*
(tonnes)

Botany Remediation (NSW)

99

31,700

South Melbourne (VIC)

99

4,200

City East Cable Tunnel (NSW)

98

500

TrackStar Alliance (QLD)

97

3,340

Shortland to Sandgate (NSW)

97

370

Tulla Sydney Alliance (VIC)

96

18,180

Seaford Rail Extension (SA)

96

2,070

Prominent Hill Mine (SA)

96

1,480

Goodna Sewage Treatment Plant (QLD)

94

640

Gorgon Village (WA)

93

1,260

PROJECT HIGHLIGHT

is recycled or re-used and includes


waste that would otherwise go to an
off-site landfill. It excludes sewage,
vehicle batteries and tyres.

39

2012 key materials used


Thiess consumes large quantities of materials through
our construction, mining and services operations
that are largely purchased from external suppliers.
Thetable below highlights the five most used
materials based on dollar value.
MATERIALS
Concrete*
Explosives
Fuel
Steel (estimate)
Tyres
*Excludes joint ventures

Approximate quantities

380,000m3
94,000t
786,000,000L
53,000t
2,100 tyres (6,000t)

40

BIODIVERISTY

Rehabilitation

Our projects span urban centres to


the outback, with vastly different
biodiversity values and varying degrees
of ecological sensitivity. Thiess seeks
to avoid or, where this is not practical,
minimise the environmental impact
of our projects on native flora and
fauna. The disturbance footprint for a
project is kept to the minimum required
to efficiently, effectively and safely
complete work.

Rehabilitation of disturbed areas of vegetation remains an integral


part of our construction and mining projects. Thistypically
involves reshaping disturbed areas, establishing erosion control
structures, and topsoiling and seeding areas with agreed
vegetation species. Rehabilitation aims to ensure areas are
stable and suitable for productive land uses, such as agriculture,
grazing, native bushland or natural habitats, as soon as practical
on completion of construction or mining activities. In 2012, Thiess
reshaped 1,273 hectares of land as part of this rehabilitation process.

The nature of our construction,


mining and services projects often
requires that native vegetation be
cleared to allow activities to occur.
In areas considered to have sensitive
ecological communities, Thiess employs
a number of measures to manage
potential impacts. Central to this work
is the establishment of a management
plan that considers the local context,
baseline surveys, monitoring results
and the advice of specialists to avoid,
manage and/or mitigate flora and
faunaimpacts.

2012 rehabilitation of land (hectares)


Reshape

Seed

Australia

758

736

Indonesia

515

282

1,273

1,018

Total

In specific circumstances, mitigation strategies are adopted to


encourage the reintroduction of native fauna into areas that
have been rehabilitated. For example, rope or net bridges can
be installed across roads and highways to encourage the safe
crossing of native fauna into previously disturbed areas.

41

Taking the high road


Hunter Expressway

In alliance, Thiess is building the eastern section


of the Hunter Expressway which travels through
the environmentally-sensitive Sugarloaf Range in
the NSW Hunter Region.
Large bridge structures called
viaducts are being used to carry the
expressway over three deep valleys.
The viaducts have lengths of
approximately 330, 255 and 200 metres
and span lengths of up to 75 metres.
There are twin viaducts at each site
making a total of six structures.
The viaducts have concrete box girder
superstructures supported on hollow
concrete piers. The decks are 11.5 metres
between kerbs. The depth of the box
girders varies from three to 4.2 metres,

which provides for two lanes of traffic


in each direction and shoulders.
The height of the decks above ground at
the piers varies from 34 to 42 metres.
Precast concrete elements, or segments,
are used to minimise on-site construction
activities and the projects environmental
footprint. This reduces the risks of
work at heights and of damaging the
environment through spills and additional
clearing. The time for construction
on site is also greatly reduced.

42

WATER MANAGEMENT

More than 56 per


cent of our water
needs were met
through recycling
or re-using water.

Thiess projects rely on water for activities


such as dust suppression, compaction
of construction materials, processing
ofminerals and employee facilities.
The availability of water can vary
significantly depending on a projects
location. Each project develops a water
management plan to effectively manage
its specific conditions. Whenever practical
and cost-effective, particularly in areas
where water is scarce, we identify
opportunities for fresh or potable water
to be more efficiently used, recycled or
re-used to reduce our consumption.

In specific circumstances, we may use


poorer quality water from other sources
to meet our needs.
During 2012, Thiess started to collect
andanalyse water data from our projects,
which used 10.25 million kilolitres of
water through the year. Approximately
4.47 million kilolitres of this water
was sourced from potable, surface,
groundwater and marine sources.
Ofour total water demand 5.78 million
kilolitres was met through recycling
orre-using water.

2012 Water Use by Source

KilolItres (Million)

2.5M

2.0M

1.5M

1.0M

0.5M

0
Potable

surface

2012 Thiess water use (%)


60.0

50.0

40.0

30.0

20.0

10.0
0.0
Recycled

Other Sources

groundwater

Marine

43

CASE STUDY

AIR, NOISE AND VIBRATION


The nature of Thiess projects means
there is the potential to adversely
impact local communities through air
quality, noise and vibration. These can,
understandably, be significant issues
for neighbours of our projects. Thiess
is committed to minimising potential
impacts and managing its operations
within the limits established in
environmental licences and approvals.
We implement controls on our projects
that minimise dust and odour emissions,
noise and vibration. These controls may
include the use of dust suppressants,
noise attenuation of equipment and
work sites, and low vibration equipment
and practices when available. Controls
on emissions are supported by intensive
monitoring, which may include real-time
monitoring, to ensure compliance and
the utmost responsiveness.
Communication with local stakeholders
is crucial and Thiess environmental
and community specialists work closely
to ensure the communities in which
we work are kept informed and their
concerns are addressed.

Heritage church protected


during construction
KING GEORGE CENTRAL
King George Central, a 29-storey
high rise in Brisbanes CBD, was
successfully constructed while
protecting the neighbouring
heritage listed Ann Street
Presbyterian Church.
First constructed in 1854, the
church is one of Queenslands
oldest churches and a significant
part of the States history.
To protect its condition, Thiess
implemented several innovative
measures including vibration
monitors around the church,

with flashing hazard lights that


were set off if strict vibration
limits were exceeded. The system
ensured a rapid stop-work for
the construction team to allow
further investigation and alter
construction methodology
ifrequired.
A tilt sensor and alarm, as well
as glass slide crack detectors,
were also used to monitor the
church during construction, with
no structural damage recorded to
the building during the project.

44

REMEDIATION

Thiess has successfully


remediated more than
100 contaminated sites
throughout Australia
and the Asia Pacific
region since 1984.
The success of Thiess' remediation
projects stems from comprehensive
occupational health and environmental
management programs that address
critical issues, from human exposure,
to hazards, to environmental impacts
such as air emissions, odour and noise.
These programs enable us to undertake
complex projects in hazardous, denselypopulated and remote environments.
We work with communities to minimise
disruption and support education by
presenting complex environmental and
health-related information in simple and
accessible terms.

Hot idea supports


remediation project
Orica Waste Encapsulation
Remediation Project

Thiess services business, a


world-leader in remediation,
used Directly-heated Thermal
Desorption (DTD) remediation
technology on the Orica Waste
Encapsulation Remediation Project
in New South Wales.
The complex project drew on the
team's world-leading expertise to
process 53,000m3 of contaminated
material all within an excavation
soil building. The DTD process
heated soil in a rotary drum up to
450C, forcing organic compound
contaminants to separate from

the soil as gas. The gas was then


heated to around 1,000C in a
thermal oxidiser and converted
into carbon dioxide and water and
treated to prevent contaminants
from reforming.
Tailored health and hygiene
monitoring ensured the most
rigorous standards were
maintained alongside positive
community relations. The overall
project has created valuable
land suited to commercial and
industrial uses from a once
degraded site.

45

GREEN DESIGN
Thiess has a proven track record in the
delivery of Green Star rated commercial
developments. Design ratings are held
right through to the achievement of
asbuilt ratings as a result of smart
andefficient construction management.

Cogen plant powers RNSH


On the $721 million Royal North
Shore Hospital (RNSH) and
Community Health Services
Redevelopment Project, Thiess
implemented a cogeneration
plant the first-of-its-kind in a New
South Wales hospital. The two
2MW cogeneration facilities meet
the baseload energy demand of
the Acute Services Building (the
hospital), in addition to two 2MW

diesel generators for emergency


purposes. The natural gas-fired
facility generates electricity and
heat for the hospital, supporting
more than 6,000 rooms. On average
it operates 12 hours per day, and
reduces the purchase of electricity
off-the-grid, saving more than
$1.1million per annum. It is expected
to save 15,000 tonnes in carbon
emissions produced per annum.

Green building sets


new benchmark
Our work on King George Central,
a landmark Brisbane CBD
project, has set a new benchmark
in environmental leadership.
Theproject has attained a Green
Star Office Design rating,
andistargeting a 6 Star Green Star
AsBuilt rating from the Green
Building Council of Australia, a
4Star NABERS water rating and a
5 Star NABERS energy rating.

Thiess was a founding member


of the austalian Green
Infrastructure COUNCIL

Its the first project in Australia


to be publicly supported by the
Heart Foundation and showcases
the latest in environmentally
sustainable design. Initiatives
include facade shading to reduce
heating and cooling loads,
rainwater collection and re-use,
on-site cogeneration to reduce
emissions and interior finishes
thatreduce toxicity.

Skills and experience are provided


by our team of Green Star associates
and accredited professionals who are
supported by an internal knowledge
sharing network dedicated to
greenbuildings.
Thiess is also a foundation member and
active supporter of the Australian Green
Infrastructure Council (to be renamed
Infrastructure Sustainability Council
of Australia). Since the launch of the
Infrastructure Sustainability (IS) rating
scheme in February 2012, Thiess has
incorporated IS concepts and elements
within its design and construction
management practices in tenders and
projects to recognise and enable more
sustainable outcomes.

46

CASE STUDY

VDP sets new


benchmark
Victorian Desalination Project

The Victorian Desalination Project (VDP) completed


in December 2012 has set a new benchmark for
the ecologicalintegration of a water treatment
facility, deliveringsubstantial innovation in
renewable technologies and best-practices to
mitigate potential environmental impacts.
It is the most technically advanced, environmentally
sensitiveand energy efficient desalination facility
inAustralia. All energy used is 100 per cent offset through
renewable energy credits. A significant green roof featuring
100,000 indigenous plants the largest living green roof
in the southern hemisphere complemented by a 225ha
ecological reserve with millions of indigenous trees and
shrubs, provide a biodiversity bank for local flora species.

The plant is one of the worlds


largest yet has a very small
footprint, taking only 38ha
(14per cent) of the 263ha site.

47

48

Rehabilitation sees
quoll return home
MOUNT OWEN MINE

A Thiess-funded industry-first
study tracking the movement of the
Spotted Tail (Tiger) Quoll is showing
promising evidence that fauna can
re-colonise rehabilitated mine sites.

Specific data from the study, which uses


GPS tracking and monitoring to identify
the location and nature of den sites and
daytime resting sites, will inform future
mine rehabilitation programs at Thiess.

Launched at the Mount Owen Mine in


the New South Wales Hunter Valley
in 2012, the study is testing anecdotal
evidence that the Tiger Quoll is returning
home to the 350-hectare rehabilitated
area where mine activity has ceased.

The work is already giving the team


a better understanding of the quolls
movements in and around the
rehabilitated area, helping Thiess
provide long-term, sustainable
solutions such as artificial habitat
structures and feeding sites.

The research is supported by mine


owner Xstrata and goes beyond the
mines regulatory requirements to
support best-practice rehabilitation.

It also delves into an under-researched


area of the ecology and behaviour of
native fauna in post-mine environments.

The research program exemplifies the


innovative methods used by industry to
ensure strong environmental outcomes
following mining or construction activities.
It also responds to the expectations
of community stakeholders who
want evidence that corporations
are committed to sustainability and
returning land to productive uses.
Results from the study are expected to be
presented to the wider industry in 2013.

49

The quoll study


at MtOwen Mine
showcases Thiess
commitment to
sustainability.

We will continue to build on our commitment to the environment,


ensuring that environmental risks and opportunities are
identified and proactively managed across all projects. We will
continue to drive a culture that goes beyond compliance to
achieve environmentally sustainable outcomes that add value
to our projects and produce mutually-beneficial outcomes for
our clients, the environment and the communities in which
weoperate.

In 2013, we will:

Drive a consistent
environmental agenda
across the business by
raising awareness and
application of Our HSE
Culture Framework

Maintain the certification


of our environmental
management systems to
the international standard
ISO 14001

Rollout Synergy, Thiess


new integrated HSE
database solution,
acrossthe business

Embed the use of cross


functional business
environmental audits

Continue to work with


our major environmental
charity, the IRF, to achieve
improved environmental
outcomes on our projects

Strengthen our
governance monitoring
through thelaunch of an
environmental compliance
management system

Identify, select and


implement an integrated
group-wide environmental
monitoring database for
storing and analysing
environmental data
across our operations
andprojects.

50

community
Thiess services business marked its 25th anniversary
by planting 2,000 trees in one of Australias largest
conservation projects. The trees started their journey
at schools as seedlings, an initiative sponsored through
Greening Australias mobile nursery program.

51

New infrastructure projects, industry


operations and ongoing service
provision can place significant social,
economic and environmental strain
oncommunities.
Impacts such as increased noise
and dust, repurposed land, pressure
on existing community facilities,
and transient labour forces, draw
attention from a range of stakeholders.
Increasingly, developers, owners and
operators are required to demonstrate
a proactive approach to minimising
impacts and contributing to the
sustainability of communities.
Thiess works with a broad range of clients
to support successful project outcomes
which includes understanding a projects
potential to impact the local community.
Discussions from the earliest stages
enable us to identify mitigation measures
to minimise and even eliminate disruption
during works. Beyond this aspect of
project design, our proactive, dedicated
community engagement specialists

maintain open lines of communication


with local community members and
stakeholders. This includes providing
project updates and facilitating responses
to concerns and questions. Whether a
short or long-term project, we strive to
beapositive part of the wider community.
Across our projects, we are providing
thousands of jobs for Australians,
helping drive down the unemployment
rate and boosting economic prosperity.
We understand the standard of living
enjoyed by individuals and families can
only be guaranteed by job opportunities
and security. As a leading employer and
major purchaser of goods and services,
we will continue to play our part in
helping people and local businesses
reap the benefits of economic and
employment growth.

COMMUNITY HIGHLIGHTS

$125,000

WORKPLACE GIVING DONATIONS

24,282

LOCAL JOBS CREATED

52

Creating
sustainable
communities
Our business contributes to the
social and educational fabric of local
communities through direct investment
in community initiatives. Introducing
Care a Thiess-wide social responsibility
program has further harnessed the
generosity and passion of our people
to support numerous not-for-profit
organisations across thecountry.
We engage our communities with:
Honesty we communicate openly and
transparently with a genuine intent to
ensure an understanding of project
scopes and potential impacts

Effective communication we develop


project-specific plans aimed at actively
engaging with stakeholders to ensure
meaningful two-way communication
Accessibility and visibility we create
an environment that nurtures productive
and respectful relationships to achieve
suitable outcomes for all parties
Best-practice systems we review and
improve our community and stakeholder
management plan in line with industry bestpractice and lessons learned, and undertake
audits to measure performance and
maintain accountability for minimising risk.

53

Grassroots support makes


adifference
Thiess QCLNG Upstream Works Project
donated $5,000 worth of new broadcasting
equipment to community radio station
4DDD, enabling the station to expand its
network service. The project team has also
committed support to BUSHkids, a vital
child health charity, via a $5,000 donation
and ongoing community fundraising events
for the life of the project.

Blue miners fight cancer

Supporting neonatal care

The Thiess team at Mt Owen Coal Mine in


the Hunter Valley decked out their team,
and even a giant haul truck, in blue in
an effort to raise awareness and much
needed cash in the battle against prostate
cancer. Their bright blue efforts, financially
supported by Xstrata Mt Owen, were
a standout in the mining industry and
netted $18,500 for the Prostate Cancer
Foundation of Australia.

The Townsville Hospital redevelopment


team, their subcontractors and suppliers,
have donated $20,000 to the Townsville
Hospital Foundation to purchase a
Neonatal Defibrillator a vital piece of
equipment for newborns. It will be the
first time Townsville Hospital has been
equipped with this potentially lifesavingdevice.

Connecting with our communities

Engaging proactively

Remediation project on show

PROMOTING ENGINEERING CAREERS

A crucial feature of the landmark $3.5


billion Victorian Desalination Project,
delivered by the Thiess Degrmont
Joint Venture, was proactive community
engagement. The size and scale of the
undertaking required support from a team
of 21 on and off-site community relations
practitioners. The two-and-a-half year
Inform-Involve-Integrate community
engagement program resulted in more
than $400,000 being invested locally,
more than 15,000 visitors through the
Community Information Centre and nearly
200 presentations to community groups
and schools.

More than 300 local residents and visitors


joined in the community engagement
open day in December 2012 as part of the
HMAS Platypus Remediation Project led
by our services business. Representatives
from the Sydney Harbour Federation
Trust were ket participants in the open
day. The team conducted site tours
every 30 minutes, which included four
information stations focusing on different
aspects of the project. Theinitiative
showcased the extensive controls inplace
to protect workers, thecommunity
and the environment during the
remediationprocess.

As a fun and educational way of getting


maths and science students to learn
what engineering is all about, in 2012
Thiess ran its first Spaghetti Bridge
competition. Thechallenge was promoted
to South East Queensland high schools
and budding engineers were asked to
construct bridges from no more than
300grams of spaghetti and 125 millilitres
of PVA glue. The bridges were subjected
to load testing during the 2012 RNA Ekka
and the spaghetti creation that withstood
the greatest load was declared the winner.
Thirty-seven teams from 20 schools
entered the competition and students
from the Gold Coasts All Saints Anglican
School took out thecompetition.

54

COMMUNITY CONSULTATION AND ENGAGEMENT


We pride ourselves on the depth of
industry knowledge and experience
held by our community engagement
practitioners. Their ability to identify
andmanage competing priorities and
theperspectives of multiple stakeholders
and community groups supports
successful project delivery.
In our construction business, we were
responsible for community engagement
on projects such as the Hunter Expressway
in New South Wales, theM80 Ring Road
in Victoria, the Seaford Rail Extension in
South Australia and the TrackStar Alliance
in Queensland. Core responsibilities
included consulting with residents, local
businesses and elected representatives;
providing advanced notice of upcoming
construction activities; and assisting
construction teams with stakeholderrelated activities including precondition
surveys and accessagreements.
The recently-completed Airport Link
Project was on the doorstep of more
than 8,000 properties, making extensive
stakeholder engagement vital to project
delivery. This included the distribution
of 1 million community notices; more
than 13,000 calls to the Community
Hotline; nearly 11,000 visitors to the
Visitor Information Centre; and more than
200Community Liaison Group meetings.
On projects where clients assume full
responsibility for community engagement,
Thiess supports their objectives by
avoiding or minimising negative impacts
associated with work activities. For
example, on the QCLNG Upstream
Works Project in south-west Queensland,
traffic management plans minimised
traffic movement in local towns and
satellite-guided In Vehicle Monitoring
Systems (IVMS) fitted to all project

vehicles helped track and manage driver


behaviour and safety. The workforce used
villageaccommodation facilities such
as gyms, recreation areas and laundries
to alleviate pressure on local facilities.
Other initiatives included employing
threeparamedics toundertake first
assessments on sick or injured workers
to ease the burden on already-stretched
regional health services, and developing
a workers code of conduct to manage
workforce behaviour.
In 2012, Thiess mining business
undertook a gap analysis of its community
engagement activity and alignment with
the companys overarching community
and stakeholder managementsystem.
This included surveying employees,
with results highlighting that while
employees perceived the mining
business to be performing adequately
in community engagement, there was
room for improvement in sourcing
employees locally, increasing
regional investment andproactively
communicatingcommunity engagement
initiatives internally.
In the remediation sector of our services
business, our specialist knowledge of
risk communication ensures our public
education programs present complex
technical, medical and health-related
information simply and effectively.
Attherecently completed Orica Carpark
Waste Encapsulation (CPWE) remediation
project in Botanys Industrial Park, Sydney,
our community relations manager worked
with Orica to deliver the community
relations plan. Key stakeholders included
the immediate residential and industrial
community, users of the adjacent
athleticsfield, the projects community
information group and the wider
regionalcommunity.

Our practitioners have opportunities for regular professional development,


knowledge sharing and support from the wider team to ensure Thiess
continues to offer a best-practice approach to stakeholder and
communityengagement. Thiess is a member of IAP2 an international
association of members which seeks to promote and improve the practice
ofpublicparticipation.

55

Construction

Local Jobs

Local Investment

Queensland
Airport Link

4,500*

$2.25b

Townsville Hospital Redevelopment

320

$205m

Lotus Glen Correctional Centre

800

$200m

King George Central

300

$125m

251

$73.8m

298

$475m

Curtis Island (QCLNG Early Works and QCLNG


Upstream Early Works and 6+1 Package)
TrackStar Alliance (Richlands to Springfield)

New south wales


Royal North Shore Hospital
Hunter Expressway

5,292*

$721m *

900

$54.5m

671

$335m

5,000*

$780m *

246

$795m *

1,287*

$780m *

victoria
M80 Ring Road Upgrade
Victorian Desalination Project
Regional Rail Link Footscray to Deer Park

South Australia
Seaford Rail Extension

Western Australia
Gorgon Project Construction
Village and Site Preparation
Wheatstone Project Site Preparation; MF (BESTJV);
LNG Tanks (EVT JV); Shore Line Crossing Tunnel

1,516

$21.2m

73

$8m

41

$11.6m

Tasmania
Brighton Bypass

MIning

Local Jobs**

Burton Coal Operations

Local Investment**

59

$22.85m

297

$38.5m

Curragh North Extension

75

$4.8m

Lake Vermont Coal Project

33

$7.7m

514

$18.4m

43

$4.2m

317

$8.8m

284

$23.5m

Collinsville Coal Operations

Mt Owen Complex
South Walker Creek Project
Tarong Coal Project
Wilpinjong Coal Project

Services
NBN (NSW and QLD)

Local Jobs

268 employees
897 sub-contractor employees

* Project life ** in local government area

Local Investment

$90m

COMMUNITY
EMPLOYMENT AND
INVESTMENT
Addressing community and
stakeholder expectations is an
integral part of our organisational
capability and social licence
to operate. Weare committed
to the industries and regions
in which we liveand work, and
believe corporations should
seek to be trusted and valued
communitycontributors.
We operate via a local-first
employment policy that, in turn,
supports communities. Offering
opportunities for local people
toacquire the necessary skills to
build a strong and stable career
inconstruction, mining or services,
further strengthens our bonds with
local communities.
In circumstances where our
remote projects require a fly-in/
fly-out workforce, we continue to
target employment opportunities
within thestate. At our successful
ProminentHill operation, 91 per
cent of our employees live in
SouthAustralia.
Across our projects in 2012,
wecreated thousands of jobs
andsupported local economies
through procuring services and
supplies from local contractors
andbusinesses.

56

CARE PROGRAM
In April 2012, Thiess launched its new
social responsibility program Care.
This program builds on the companys
already strong and generous culture
of giving back. It encompasses six
programs: charity partnerships,
fundraising and donations; workplace
giving; volunteer leave; community
grants; disaster relief funding;
andIndigenous engagement.
Care provides a framework
for company-wide community
investment, and bolsters governance
and guidelines around our
partnerships, charitable donations,
in-kind support and other types of
assistance. Company-wide efforts are
focused on the areas of education,
environment and health, in addition
toensuring that our communities
receive lasting value from our support
and contribution.
In line with our three focus areas,
Thiess announced its support of three
corporate charities the Royal Flying
Doctor Service (health), International
RiverFoundation (environment)
and The Engineering Link Group
(education). These corporate
charities are in addition to long-term
partnerships the companys business
units have with community groups in
their local regions.

Giving Back

Program

Description

Financial

Highlights

Charity
Partnerships

Royal Flying Doctor


Service (RFDS)

$170,000

In addition to our corporate


donation, Thiess stand at the Royal
Queensland Show (the Ekka), raised
an extra $20,000 for the RFDS
through the sale of showbags

International
RiverFoundation (IRF)

$171,000

In addition to our corporate


donation, an extra $1,000 was
raised at the Ekka and $20,000
through our client Christmas
campaign

Engineering Link Group

$50,000

Funding has allowed the


organisation, which provides
workshops for senior schools
and teachers interested in an
engineering career, to expand its
services

Humpty Dumpty
Foundation
Hear and Say
Kaleidoscope

$87,000

Thiess business units raised


thousands of dollars to enable
charities to purchase vital medical
equipment for childrens hospitals
and health centres throughout
Australia

Commercial
Sponsorships

Funding to various
organisations, schools
and charities including
the Thiess River to Reef
Ride, Mackay North
State School, Relay for
Life, Ride to Conquer
Cancer etc

$143,692

Thiess services business


sponsored the Brisbane Green
Heart City Smart campaign to the
tune of $5,500

Community
Grants

Our community grants


provide financial
support above
and beyond existing
business unit or project
level contributions
forcommunity
initiatives that have
long-lasting benefits

$42,000

In 2012, charities in the Hunter


Valley were recipients of Thiess
Community Grants program.

Fundraising
and donations

$52,000
$62,000

They included:
Hunter Life Education
Camp Quality Newcastle
Greta Public School
Muswellbrook Carelink
Wanaruah Local Aboriginal
Land Council
Bellbird Community Playgroup
Toy Box

Workplace
Giving

Our Workplace Giving


Program allows our
staff to donate a
nominated amount
from their pre-pay tax
which Thiess matches
to a capped amount

Staff $72,703
Thiess
$50,502

127 Thiess employees participated


in the Workplace Giving program
contributing to charities ranging
from Amnesty International
Australia to Make-A-Wish
Foundation of Australia, World
Vision and Youngcare just to
namea few

57

Partnerships
Care Program

Thiess is committed to building


strong relationships in both the
education and environment sectors,
and with industry partners at a
local, state and national level.
At a national level Thiess partners
with industry and community
organisations including:

Australian Green Infrastructure


Council (founding member)

Australian Industry Group

Minerals Council of Australia

Australian Institute of
Mine Surveyors

Master Builders Association

National Association of
Women in Construction

Crane Industry Association

Australian Chamber of
Commerce and Industry

Chamber of Minerals and Energy

Green Building Council of Australia


Australasian Railway Association
Infrastructure Partnerships
Australia

Australian Mines and


Metals Association

Civil Contractors Federation


Construction Contractors
Association

Elevating Work Platform


Association

International RiverFoundation.

58

Mine project boosts health and


economic development in India
Pakri Barwadih Coal Mine project

The greenfield Pakri Barwadih Coal


Mine Project in the eastern state of
Jharkhand is a watershed not only for
Thiess India, but also Thiess approach
to community engagement in one of
the poorest states in the country.
Despite being a mineral rich state,
the people of Jharkhand remain in
poverty due to minimal employment
opportunities theres little scope for
large-scale economic development and in
particular, its the women who suffer. The
community also lacks good health care.
Taking this all into account, Thiess
India instigated two major activities
focusing on health care and empowering
women in affected areas. The residents
of 14 villages have been positively
impacted by this program.
Health care
Thiess India set up a health clinic at
Chandantila, Barkagaon, using a

Non-Government Organisation (NGO)


Nav Bharat Jagriti Kendra to deliver
services. The clinic provides free
access to doctors, medicine, pathology
testing and a 24/7 ambulance facility.
Eight health camps are also organised
every month to reach patients in remote
locations. To date 9,020 patients have
benefited from the health program.
Eye Care
There are many elderly people who
have cataract problems and cant
afford the cost of surgery. Eye camps
were established and so far more
than 215 patients have been screened
and 69 treated successfully at the
Jai Prakash Narayan Eye Hospital.
Empowering Women
A program was initiated through Jharcraft
(a wing of the Government of Jharkand)
to train women in handicrafts. During

the two-month training program, a


payment of Rs100 per day is paid to 65
women who are taught zardozi stitching,
a kind of handicraft which has a market
potential. The raw material is provided
by Jharcraft free of cost and the finished
products are marketed by Jharcraft.
The women earn up to Rs1500-Rs2500
per month, which has the potential to
increase. A third group of 30 women
are now being trained on another
handicraft called, kantha stitching.
These groups are now self-sustaining.
Local women are looking for opportunities
for individual and collective growth that
will help improve their livelihoods, fulfil
their personal and collective objectives,
and contribute to society. These women
now feel empowered and history shows
that empowered women are crucial
to improving society in all cultures.

59

Thiess India has


instigated two major
activities focusing
on health care and
empowering women.

We will continue to invest in community and stakeholder


engagement training for our people to ensure that projects
and contracts are underpinned by best-practice work in
the communities in which we operate. We will continue
to emphasise our local-first employment policy and seek
subcontracts that deliver the greatest value to clients and
projects, and support local economies where possible.
Furthermore, we will build on the successful launch of Care
and empower our projects to expand their support programs.

During 2013, we will:

Deliver professional
development to our
primary community
engagement specialists

Ensure community and


stakeholder engagement
plans are developed
for all major projects

Define our Indigenous


engagement approach
in line with Thiess
Reconciliation Action Plan

Explore a consolidated
approach across the
company to measure
community support
via employment and
financial injection into
local economies

Seek new initiatives


with ourthree
corporate charities

Deliver two new rounds of


community grant funding.

60

PERFORMANCE
The redevelopment of the Royal North Shore Hospital
in NSW showcases complex brownfieldhealth project
delivery. The on budget, ahead-of-time achievement
is testament to Thiess expert planning and delivery.

61

Thiess creates shareholder value


through the performance of its three
operating businesses: construction,
mining and services.
We achieved our goals to improve safety,
strengthen processes and return to
profitability in less than a year, following
a financially disappointing result in
FY 2011. Our success has come from
renewing our commitment to disciplined
and controlled growth, streamlining our
organisation structure, driving a culture
of risk and balance sheet management.

Strategically, we are focused


onbuildingon our core
competencies,strengthening
clientrelationships, refining our
sector strategies and positioning the
business for emerging opportunities.
This will enable us to offer unique
client value propositions and
manage market risk and volatility.

2012 HIGHLIGHTS

$7.5 Billion
TURNOVER

$22 Billion
Work-IN-HAND

62

A year of achievement
PERFORMANCE SUMMARY
2012 has been a watershed year for
Thiess. We stabilised our balance sheet
and closed out the year with turnover
of $7.5 billion, $22 billion work-in-hand
and $455 million profit before tax.
This performance demonstrates the
underlying strength of our business.

of contracts underway in 2012. Key to our


success has been investing in specialist
resources to grow our capability and
partnering with international experts
to meet the growing demands of
this multi-disciplinary sector.
The impact of global demand and
increased competition in the resources
sector means that Australia needs
toensure its ongoing competitiveness
on the international stage.
Inresponse, we have consolidated
and integrated our mining offer,
and continue to advance smart
strategies and invest in technologies
that increase productivity safely.

Our multi-disciplined capability


enables us to operate across diverse
sectors with an equally diverse client
base. Throughout the year, we worked
on 119 construction, mining and
services contracts across Australia,
Indonesia, India and NewZealand.
2012 also marked the completion of
two of Australias largest infrastructure
projects Airport Link and Victorian
Desalination Project. Despite many
challenges, these projects stand
as a testament to our ability to
deliver large-scale, technicallycomplex infrastructure projects.
Our move to position early in the LNG
sector paid off, with more than $4billion

This year our services business marked


its 25th anniversary. With the sale of
the waste division and the adoption
of the new Thiess logo, the services
team will work more closely with our
construction and mining businesses to
provide specialist engineering-related
services and integrated offerings in a
One Thiess seamless delivery model.

OPERATING REVENUE $'000

2012

JUL-DEC 2011

FY2011

FY2010

2,534,600

1,372,966

2,094,051

2,323,816

3,891,441

2,096,547

3,530,286

3,166,231

Services

858,618

446,026

1,019,098

992,796

Other

258,715

4,239

56,714

269,605

Total

7,543,374

3,979,788

6,700,149

6,752,448

2012

JUL-DEC 2011

FY2011

FY2010

Mining

16,683,631

17,018,459

14,183,191

8,953,578

Construction

3,396,793

3,493,174

4,594,524

5,282,635

1,946,712

3,142,893

3,448,500

3,493,369

Other

136,065

Total

22,027,136

23,790,591

22,226,215

17,951,128

Mining
Construction

*Thiess moved to calender year reporting in 2011

WORK-IN-HAND $'000

Services

63

Joint Ventures,
Partnerships
and Alliances
Thiess holds some of the longest
running contracts in Australian
business history. We are proud of
our track record in creating enduring
client relationships andpartnerships.

To remain relevant and successful in the construction,


miningand services sectors, Thiess must continue to adapt
andrespond to new opportunities. With a strong order book
across our sectors, we will continue to deliver positive financial
results through:

Thiess is a significant partner in


anumber of respected companies
and alliancesincluding:
1. Sedgman a leading provider of
minerals processing and associated
infrastructure solutions to the
global resources industry
2. Silcar jointly owned by Siemens
Limited and Thiess Services Pty
Limited, Silcars services include
asset management, design,
construction, operations and
maintenance, with operations
across a range of industries
and essential services including
telecommunications
3. Marine and Civil a Perth-based
firm which specialises in marine
infrastructure construction
4. RTL Mining and Earthworks
a significant provider of mining,
civil construction, heavy
earthmoving plant hire services
and general and over dimensional
transport services in the Latrobe
Valley and South-East Victoria
5. ProMet Engineers
provides project management,
project development and
feasibility study work, process
plant design, engineering
services and metallurgical
consultancy services to minerals
and metals industry clients
6. us Utility Services Alliance was
formed with South East Water
(SEWL) in Victoria in 2005.

Building valuable trustbased client partnerships


and remaining focused
in our business
development effort
Driving a culture of risk
management beginning
with rigorous tender
management and robust
project controls during
the execution phase

Challenging our cost


management and
reducing overheads

Remaining focused on
core competencies,
key clients and winning
the right business

Positioning for emerging


opportunities in our
select market sectors
and geographies.

64

Corporate governance is a critical pillar


of Thiess operations. We pair a lean and
flexible structure with strategic rigour to
ensure responsible, sustainable growth.
Crucial to 2012 has been maintaining
a focus on our core competencies and
driving a culture of risk management.
Our three businesses construction,
mining and services all work to deliver
our strategic vision encompassed in the
Thiess Business Plan. Our governance
framework creates the structure
needed to provide accountability,
aswell as oversight and guidance.

stakeholder management, diversity, trade


practices, risk and injurymanagement.

Thiess is a wholly-owned subsidiary


of strategic management company
Leighton Holdings Limited (LHL),
oneof the worlds leading international
contractors that operates in more
than25 countries. Withinthis structure,
Thiess has a mandated responsibility
for developing independent market
and client relationship strategies.

We uphold the ISO 31000:200 risk


management standard, however, weare
going beyond compliance to drive a
culture of proactive risk management
at all levels of the organisation. We see
this as a vital part of ensuring certainty
of successful outcomes in our business.

Policies
In 2012, we launched a new vision
Creating a brighter future, together
and four statements defining our
values of trust, passion, innovation
and excellence. Our Thiess policies
have been refined to better align with
our reinvigorated vision and values.
These include our Code of Ethics and
standards regarding health and safety,
environment, quality, community and

We highlighted to staff our responsibility


to abide by LHLs Business Code of
Conduct, which guides the behaviours
expected of Thiess employees. In
2013, Thiess will provide employees
with an abbreviated, user-friendly
version of the full Code as well as
training to better ensure thorough
understanding of itsimportance.

and new Risk Management Standard


and Procedure aspart of our Thiess
Management System (TMS); improved
risk communication and interface
within the Enterprise Risk Management
Information System (ERMIS Cura);
streamlined configuration of ERMIS;
new training; and mandatory reporting
and recording requirements across
the business in relation to risk policy
and procedures. A project board
isdirecting the initiative to ensure a
sustainable, whole-of-Thiess approach.

Risk

Championed by our Chief Financial


Officer, in 2012 we launched the
Evolving Enterprise Risk Management
at Thiess project. The initiative
isheaded up by the Group Manager
Risk and Assurance. It focuses on
ensuring consistent approaches to the
assessment and approval of risks in our
strategic planning and pre-contract
activities, and greater accuracy and
transparency in risk reporting processes
across our contract-delivery activities.
Due for completion in early 2013,
this includes: a revised Risk Policy

Knowledge sharing
The Thiess Management System (TMS)
contains the policies, procedures
and supporting information required
to manage the business and deliver
all aspects of a project. The system
is designed around the functional
areas ofthe business and each area is
managed by Executive Team champions.
The Thiess Intranet redevelopment
project was a major project
undertakenthroughout 2012 and
isexpected to be launched in early
2013. This project is designed to
create a dramatically-improved space
for knowledge sharing, collaboration
andcommunication. Itwill provide, for
the first time at Thiess, aconsolidated
platform that meets the needs of both
corporate and site-based employees
and complements the TMS.

65

Organisational management
Executive Management Team
Our Executive Management Team
(EMT) sets our strategic direction and
provides leadership across operational
and functional areas of the business.
The EMT is responsible for driving a
clear agenda to safeguard the business
in terms of compliance and regulatory
standards; advancing innovation;
protecting and building our reputation;
enhancing stakeholder relationships;
and at its core, delivering a stronger
business in line with the companys
core competencies. They also drive
our overarching sustainability agenda
spanning people, safety, environment,
community and performance.

reviews and updates. They meet on a


monthly basis, in addition to divisional
meetings with General Managers.
Thiess Board
Following a Leighton Holdings review in
2012, a decision was made to restructure
all operating company Statutory Boards.
As a result, Thiess farewelled long-serving
chairman Wayne Osborn and two
non-executive directors, Ros Kelly and
GraemeMcOrist.

The EMT manages all facets of Thiess


Business Plan, including its annual

The role of the new Thiess Board is


limited to governance and statutory
responsibilities. In 2012, the Board
met on a quarterly basis to review the
companys financial, human resources,
health and safety, environmental and
communityperformance.

Thiess Statutory Board

Executive Management Team

Bruce Munro
Chairman
Thiess Managing Director

Bruce Munro
Managing Director

Hamish Tyrwhitt
Director
LHL Chief Executive Officer
Peter Gregg
Non-Executive Director
LHL Chief Financial Officer
Sue Palmer
Executive Director
Thiess Chief Financial Officer

Ric Buratto
Executive General Manager
Construction

Three distinct senior


bodies create a robust
mechanism to ensure
Thiess adheres to a
disciplined strategic plan,
and clear accountability
and responsibilities are
established.

Michael Wright
Executive General Manager
Mining
Sue Palmer
Chief Financial Officer

John Barraclough
Executive General Manager
Construction

Peter Olsen
Executive General Manager
People, Safety & Environment

Richard Kelleway
Executive General Manager
Thiess Services

Mark Lynch
Executive General Manager
Strategy & Development

Roy Olsen
Executive General Manager
Asia

Mary-Jane Bellotti
Executive General Manager
Strategic Communication

Thiess Advisory Board


Thiess has established an Advisory Board,
including senior business and industry
representatives, who mentor and provide
strategic advice to the Executive Team
and report directly to Leighton Holdings.
This will provide further depth to the
companys networks, relationships and
industry insight.

LEFT The Thiess Advisory Board includes


from left Managing Director BruceMunro,
Chair Kirstin Ferguson, Marcelino
Fernndez Verdes, the Honourable Shane
Stone and Professor Mark Dodgson.

66

AWARDS
Thiess pursues best-practice
outcomes and where possible
contributes to setting even

higher standards of excellence.

This provides our clients with


superior results and our people
with opportunities to extend
their skills.

67

International acclaim for


jacked box operation

Senior Project Engineer


takes top prize

The Airport Link Projects Toombul


jacked box operation won the
international 2012 Ground Engineering
Award for Technical Excellence.
Thisprestigious honour wasannounced
in London. The operation allowed
construction to proceed under
Queenslands busiest rail line without
disrupting train services. The Toombul
jacked box also received the Excellence
Award for research and development in
the Engineers Australia 2012 Queensland
Engineering Excellence Awards.

The QCLNG Upstream 4+1 Project's


Senior Project Engineer Damon McLean
scooped the winners pool - taking out
the award for Construction Professional
of the Year at the Construction Skills
Queensland (CSQ) Excellence Awards.
Damon won the award as a result of his
work in building the profile ofengineering
in the local community, demonstrating
leadership in establishing a highperforming team, and his commitment
to continuous, professionaldevelopment
and improvement.

Dam excellence recognised


The Hinze Dam Alliance received
a High Commendation for project
infrastructure over $50 million in the
Engineers Australia 2012 Queensland
Engineering Excellence Awards.

National honour for


Thiess rail capability
Thiess won a national Engineering
Excellence Award from Engineers
Australia for the Toowoomba Range
rail recovery works following the
devastating 2011 Queensland floods.
Theteam effort, together with
Queensland Rail and Golder Associates,
was also recognised with a Queensland
Engineering Excellence Award.

Award for Brighton crane lift


The VEC Thiess Joint Venture working on
the Brighton Bypass Project in Tasmania
was awarded the Peoples Choice Award
and received a Highly Commended
award at the 2012 Crane Industry Council
of Australia Lift Awards in Category
A Lift (over 130 tonnes) section.
NAWIC award for
ContractsAdministrator
The Contracts Administrator on the Lotus
Glen Redevelopment Project, Sandra
Troughton, won the National Association
of Women in Construction (NAWIC)
2012Achievement in Construction Award
(general building). The judging panel
recognised Sandra for her leadership
in exceeding the companys workforce
training obligations, and helping many
local subcontractors compliance with
security and operational processes.
She also mentored young female staff
members, championed community
events and completed a Certificate
IV in Building and Construction
all while working full-time.

Closing the gap


Our innovative Indigenous Preemployment Program received a
highly commended business award
at the Queensland Governments
Queensland Reconciliation Awards.

68

We apply the GRI G3.1 reporting framework to application level C

GRI CONTENT INDEX

1 STRATEGY AND ANALYSIS


1.1

Statement from the most


senior decision-maker

1.2

Key impacts, risks and opportunities

4-5

3.12

Strategy and Analysis 1.1-1.2


13, 14, 18, 21, 23,
24-25, 26-27, 28,
31, 34-35, 36-37,
49,51, 54-55,56,
59, 61,62,64-65

Organisational Profile 2.1-2.10


Report Parameters 3.1-3.13
Governance, Commitments and Engagement
4.1-4.4, 4.7-4.9

2 ORGANISATIONAL PROFILE
2.1

Name of organisation

2.2

Primary brands, products and services

2.3

Operational structure

2.4

Location of headquarters

2.5

Countries of operation

2.6

Nature of ownership and legal form

2.7

Markets served

2.8

Scale of organisation

2.9

Significant changes during the


reporting period regarding size,
structure or ownership (Board and
Executive Management Team)

2.10

Awards received in the reporting period

Cover, 4, 6 and
subsequently
throughout
report
6

Core Performance Indicators EC1-EC2, EC6-EC8,


EN1-EN6, EN8, EN10, EN12-EN14, EN16, EN18, EN22,
EN23, EN26, EN28, LA1, LA7, LA11, SO1, SO9, SO8
Assurance
3.13

6, 64-65
71
7
64-65
6-7, 62
6-9, 62-65, 71
36, 65

9, 67

GOVERNANCE

Reporting period

3.2

Date of our most recent previous


report (Our most recent report
was published in 2010-11)

11

3.3

Reporting Cycle

3.4

Contact point for questions regarding


the report or its contents

3.5

Process for defining report content

3.6

Boundary of the report

3.7

Specific limitations on the scope


or boundary of the report

36-37

3.8

Basis for reporting on joint ventures,


subsidiaries, leased facilities, outsourced
operations, and other entities

41, 62

3.9

Data measurement techniques


and the bases of calculations

3.11

Significant changes from previous reporting


periods in the scope, boundary, or
measurement methods applied in the report

64-65

4.1

Governance structure of the organisation

4.2

Indicate whether the Chair of the


highest governance body is
also an executive officer

4.3

For organisations that have a unitary


board structure, state the number and
gender of members of the highest
governance body that are independent
and/or non-executive members

64-65

4.4

Mechanisms for shareholders and


employees to provide recommendations or
direction to the highest governance body

64-65

4.7

Process for determining the composition,


qualifications, and expertise of the
members of the highest governance
body and its committees

64-65

4.8

Internally developed statements of


mission or values, codes of conduct,
and principles relevant to economic,
environmental, and social performance
and the status of their implementation

4.9

Procedures of the highest governance


body for overseeing the organisations
identification and management of
economic, environmental, and social
performance. Leighton Holdings assesses
Thiess' sustainability processes annually

65

3, 8

3.1

Explanation of the effect of any restatements of information provided


in earlier reports (There are no
re-statements of information)

No external assurance has been provided for this


report. This report has been self-assessed according
to the G3.1 reporting framework and advice has
been sought from Professor Andrew Griffiths, Chair
in Business Sustainability and Strategy and Dean of
the University of Queensland Business School

4 GOVERNANCE, COMMITMENTS AND ENGAGEMENT

3 REPORT PARAMETERS

3.10

Table identifying the location of the


Standard Disclosures in the report

4-5, 64-65
4-7, 64 (partial)

23, 28, 34, 36-37,


38-39, 42

5, 13, 14-15, 23,


33, 64

64-65

COMMITMENTS TO EXTERNAL INITIATIVES

N/A

4.12

Externally-developed economic,
environmental, and social charters,
principles, or other initiatives to which
the organisation subscribes or endorses

4.13

Memberships in associations
and/or national/international
advocacy organisations

10-11,14, 23,
28, 33, 34, 3637,49,54, 64-65

11, 18-19,45,54,
56-57

69

Biodiversity

STAKEHOLDER ENGAGEMENT
4.14

List of stakeholder groups


engaged by the organisation

4-5, 13-21, 23,


34,44-45,48,
51-59, 61-63,
64-65

EN12

Description of significant impacts of activities,


products, and services on biodiversity
in protected areas and areas of high
biodiversity value outside protected areas

40-41

4.15

Basis for identification and selection of


stakeholders with whom to engage

4-5, 13-21, 23,


37, 43, 44-45,
49, 51-59,
64-65

EN13

Habitats protected or restored

46-48

EN14

Strategies, current actions, and future plans


for managing impacts on biodiversity

4.16

Approaches to stakeholder engagement

14, 51-59

4.17

Key topics and concerns that have been


raised through stakeholder engagement,
and how the organisation has responded
to those key topics and concerns

16-17, 23,
27-31, 54-55,
61-63, 64-65

40

Emissions, effluents and waste


EN16

Total direct and indirect greenhouse


gas emissions by weight

36-37

EN18

Initiatives to reduce greenhouse gas


emissions and reductions achieved

37

5 MANAGEMENT APPROACH AND


PERFORMANCE INDICATORS

EN22

Total weight of waste by type and disposal method

39

EN23

Total number and volume of significant spills

34

Economic performance

Products and services

EC1

Direct economic value


generated and distributed

EC2

Financial implications and other risks


and opportunities for the organisations
activities due to climate change

53-56, 61-62

36-37,
45-47, 49

EN26

EN28

Policy, practices, and proportion of


spending on locally-based suppliers
at significant locations of operation

EC7

Procedures for local hiring and proportion


of senior management hired from the
local community at locations of significant
operation

51, 54-55

Development and impact of infrastructure


investments and services provided primarily
for public benefit through commercial, inkind, or pro bono engagement.

Monetary value of significant fines and total number


of non-monetary sanctions for non-compliance
with environmental laws and regulations

34

LABOuR PRACTICES AND DECENT WORK


Employment

4-5, 54-55

LA1

Total workforce by employment type, employment


contract, and region, broken down by gender

LA7

Rates of injury, occupational diseases, lost


days, and absenteeism, and number of work
related fatalities by region and by gender

Indirect economic impacts


EC8

(partial)
37-49

Compliance

Market presence
EC6

Initiatives to mitigate environmental impacts


of products and services, and extent of impact
mitigation

11, 52-53,
56, 58

(partial)
25, 26

Training and education


LA11

ENVIRONMENTAL
Materials

8, 13, 16

Programs for skills management and


lifelong learning that support the continued
employability of employees and assist
them in managing career endings

(partial)
18-19

SOCIETY

EN1

Materials used by weight or volume

39

Local community

EN2

Percentage of materials used that


are recycled input materials

38

SO1

Percentage of operations with implemented


local community engagement, impact
assessments, and development programs

54-55

SO9

Operations with significant potential or actual


negative impacts on local communities

(partial)
54

SO10

Prevention and mitigation measures implemented


in operations with significant potential or actual
negative impacts on local communities

Energy
EN3

Direct energy consumption by


primary energy source

36, 37

EN4

Indirect energy consumption


by primary source

36, 37

EN5

Energy saved due to conservation


and efficiency improvements

EN6

Initiatives to provide energy-efficient


or renewable energy based products
and services, and reductions in energy
requirements as a result of these initiatives

45

Total water withdrawal by source

42

(partial)
37, 45

Water
EN8

54

Compliance
SO8

Monetary value of significant fines and total


number of non-monetary sanctions for noncompliance with laws and regulations

27

Report Contents

EN10 Percentage and total volume of


water recycled and re-used

42

The content of this report is based on information provided by


Thiess business units and companies. The information has been
checked by the staff responsible for those particular areas.
Disclaimer
The information contained in this report has been collected and
processed with the greatest possible care, however due to its complexity,
errors may occur and therefore any information should be checked
with the relevant business unit or company before being taken as fact.

Australia

CORPORATE OFFICE
Level 5, 179 Grey Street
South Bank QLD 4101
Tel: +61 7 3002 9000

Industrial Projects
The Precinct 2, Level 1
10 Browning Street
West End QLD 4101
Tel: +61 7 3169 8400
Fax: +61 7 3169 8444

Services Head Office


The Precinct 2, Level 1
10 Browning Street
West End QLD 4101
Tel: +61 7 3169 8300
Fax: +61 7 3846 0678

New South Wales /


Australian Capital Territory
Level 5, 26 College Street
Sydney NSW 2000
Tel: +61 2 9332 9444
Fax: +61 2 9331 4264

Rail
Level 7, 189 Grey Street
South Bank QLD 4101
Tel: +61 7 3121 8500
Fax: +61 7 3121 8710

Parramatta
Level 3, 88 Phillip Street
Parramatta NSW 2150
Tel: +61 2 8892 5900
Fax: +61 2 8892 5901

Queensland
Level 7, 189 Grey Street
South Bank QLD 4101
Tel: +61 7 3121 8500
Fax: +61 7 3121 8710

Tunnelling
Level 5, 26 College Street
Sydney NSW 2000
Tel: +61 2 9332 9444
Fax: +61 2 9331 4264

South Melbourne
Level 4, 15-17 Park Street
South Melbourne VIC 3205
Tel: +61 3 9684 3333
Fax: +61 3 9684 3344

Victoria / South Australia /


Tasmania / New Zealand
Level 9, 417 St Kilda Road
Melbourne VIC 3004
Tel: +61 3 9864 8888
Fax:+61 3 9864 8811

Mining HEAD OFFICE


Thiess Place (Head Office)
Level 5, 143 Coronation Drive
Milton QLD 4064
Tel: +61 7 3037 5000
Fax: +61 7 3037 5001

Sydney
Level 5, 26 College Street
Sydney NSW 2000
Tel: +61 2 9332 9444
Fax: +61 2 8669 9262

Level 2, 101 Flinders Street


Adelaide SA 5000
Tel: +61 8 8274 5200
Fax: +61 8 8274 5231

Northern Region
2 Interlink Court
Paget QLD 4740
Tel: +61 7 4944 4500
Fax: +61 7 4944 4550

Western Region
503 Abernethy Road
Kewdale WA 6105
Tel: +61 8 9441 3000
Fax: +61 8 9353 6479

Western Australia /
Northern Territory
Level 19, The Forest Centre
221 St Georges Terrace
Perth WA 6000
Tel: +61 8 9214 4200
Fax: +61 8 9214 4244

Southern Region
125 Racecourse Road
Rutherford NSW 2320
Tel: +61 2 4931 4900
Fax: +61 8 4932 4311

NEW ZEALAND

INDIA

INDONESIA

Thiess Services
New Zealand Pty Ltd
69B Portage Road, Otahuhu
Auckland 1062
New Zealand
Tel: +64 9 525 7000
Fax: +64 9 525 7002

Thiess India Pvt Ltd


5B RDB Boulevard
Block EP & GP
Sector V, Salt Lake
Kolkata 700091
West Bengal India
Tel: +91 33 4010 5300

Thiess Contractors
Indonesia Jakarta
Head Office
Ratu Prabu 2
Jl. TB. Simatupang Kav. 1B
Jakarta 12560
Indonesia
Tel: +62 21 2754 9999

Balikpapan Support Facility


Jl. Mulawarman No. 1
Batakan Kecil, Manggar
Balikpapan 76115
Indonesia
Tel: +62 542 520 000

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