At Hankook Tire, we host company-wide CSR activities to achieve sustainable growth with all stakeholders. In particular, we have formed the CSR Strategy Committee under the leadership of our CEO, as well as the CSR Steering Committee, which consists of nine subcommittees, to fulfill our responsibility as a global corporate citizen.
CSR Governance (CSR Committee)
To ensure that our CSR initiatives are undertaken in an integrated manner across the board, we operate the CSR Strategy Committee and seven CSR Steering Committees under the supervision of our CEO. Through regular reporting and review, we strive to make achievements in accordance with the established plan.
Our CSR committees ensure that our CSR initiatives are seamlessly incorporated into the daily operations of our employees and are systematically undertaken. CSR Strategy Committee meetings are hosted every February to place on the agenda critical issues discussed by the CSR committees the previous year and to make decisions on how to address these issues. Each responsible team of the CSR Steering Committee is then notified of such decisions and adjustments made and is requested to undertake initiatives accordingly. To increase the efficiency of our CSR operation, committee-specific CSR initiatives are selected out of the key managerial issues and their implementation plans are developed through consultations with the CSR Team. These Steering Committees meet individually on a quarterly basis so that relevant departments can discuss the issues newly identified in undertaking CSR initiatives while consulting on the action targets and directions for the following year. The CSR Team attends such meetings to check on the progress made and offer advice on key issues by analyzing internal·external stakeholder survey results and outcomes of the evaluations performed by external professional organizations, and by benchmarking industry leaders.
Operation of the Chinese CSR Committee
Hankook Tire operates the Chinese CSR Committee under the China Headquarters. The COO of the China Headquarters hosts the CSR Strategy Meeting every year and disseminates CSR establishment and operation in the Chinese market.
Our China Headquarters became the first among our overseas headquarters to establish its own CSR Committee in March 2012, and has since been engaged in a wide array of CSR initiatives. The Chinese CSR Committee consists of five committees around the five areas: Environment and Safety, Employees, Corporate Philanthropy, Ethics Management and Risk Management. Each committee meeting is supervised by the CHN) Corporate Strategy Team. Every year, the CSR Strategy Meeting is held to share CSR achievements and issues of each committee and to set the direction of CSR initiatives for the following year. Furthermore, our China Headquarters has published its own independent CSR Reports: internal reports were issued in 2013 and 2014 while external reports were officially disclosed in 2015 and 2016 as a way to broaden its communication with external stakeholders. To promote an even closer communication between employees and the top management, the China Headquarters interviewed its executives and shared the outcomes with all its employees in 2016. It also made on-the-job training a standard component of its training curriculum in key areas while developing advanced training courses and fostering lecturers. Furthermore, Proactive Leadership courses were provided to all employees to help them learn the core values of Hankook Tire. Meanwhile, a whistle-blower reward program was created to promote ethics management at the China Headquarters, and a total of nine reports were submitted and handled in 2016. Regarding risk management, the scope of risk management was extended in its daily operations, and information sharing and teambased risk management was reinforced.
Operation of the CSR Committee in Europe
Our Europe Headquarters established a CSR operational system that spans the Hungary Plant and Marketing & Sales operations in Europe, and is engaged in broad-ranging CSR initiatives in six areas in consideration of its own local conditions and environment.
The CSR operation system of our Europe Headquarters, established in November 2013 to promote its integrated CSR management, consists of the six areas of EHS, Energy & EHS, Employees, Ethics Management, Corporate Philanthropy and Risk Management in consideration of its local conditions and environment. Its CSR operations are managed on a team level in respective work areas to ensure its operational efficiency, and CSR outcomes are reported quarterly to the Hungary Plant Manager. Furthermore, annual CSR achievements and plans for the following year are reported each year to the COO of the Europe Headquarters, who then approves the directions to undertake CSR initiatives in the upcoming years. In 2016, the CSR Team at the Korean Head Office developed the strategic guides developed by surveying internal·external stakeholders and benchmarking advanced businesses as well as on the outcomes of the evaluation performed by external professional organizations, and distributed them to assist the Hungary Plant in setting its own CSR plans and assuming follow up action accordingly. Furthermore, the team reviewed the plant for its CSR achievements through quarterly monitoring and discussed relevant issues. Such endeavors enabled us to launch effective CSR initiatives that reflected both our global CSR strategy and the local specificities of our Hungarian operations. Notably, the CSR initiatives undertaken by the Marketing & Sales Department of the Europe Headquarters were also added to the scope of our management at the Head Office to further boosted these initiatives.
Facilitating CSR Operations at the Indonesia Plant and in the A.P.A.M Region
We established a CSR operational system at our Indonesia Plant and in the A.P.A.M1), region to undertake broad-ranging CSR initiatives in the areas of environment, health and safety, corporate philanthropy, employees, and ethics management in consideration of local specificities and conditions.
We have gradually established and disseminated the CSR operational system at the Indonesia Plant and in the A.P.A.M region since 2014. By taking into account local specificities and needs, the Indonesia Plant has undertaken CSR initiatives in the four managerial areas of EHS-e2), corporate philanthropy, employees and ethics management while CSR management was initiated in 2016 primarily in the areas of corporate philanthropy and ethics management in the A.P.A.M region. Our Indonesia Plant was OHSAS 18001- certified for the first time in February 2017 following its establishment of the OHSAS 18001 (health and safety management system) in 2016 and successfully renewed its ISO 14001 certification, which recognizes its continuous management and improvement in the areas of health & safety and environmental management. Furthermore, the plant achieved zero accidents in 2016 thanks to its firm commitment to put safety first and prevent occupational accidents. The plant has also maintained Blue Grade for two consecutive years in a row under the Indonesian PROPER3) program which aims to evaluate and report zero accidents the environmental management performance of businesses.
1) A.P.A.M: Asia, Pacific, Africa, Middle East
2) EHS-e: The EHS-e committee is dedicated to the management of the workplace environment, the health and safety of employees and the management of energy & GHG.
3) PROPER: PROPER represents Indonesia’s initiative to rate and report company's environmental management performance, which provides grades, Gold (highest) - Green - Blue - Red - Black (lowest), in accordance with its evaluation outcomes. To be graded Green or Gold, a company is required to maintain its Blue Grade for three consecutive years.