Page 307 - Annual Report 2020

6.6 Sustainability – performance data

Definition and calculation of sustainability performance metrics
We use various sustainability performance metrics (SPMs) to reflect our sustainability performance. Strategic Report
Management uses these SPMs to evaluate BHP’s performance against both positive and negative impacts of operational activities
and our progress against our sustainability commitments and targets.
These SPMs are commonly used measures by many of our stakeholders and most are industry standard. To ensure our sustainability
performance is relevant and considers breadth and depth of reporting, we align our SPMs with credible international standards,
such as the Global Reporting Initiative (GRI) sustainability reporting standards. The standards relevant to each SPM for the year
ended 30 June 2020 are listed in the tables below.
The SPMs are externally audited and a copy of the EY assurance statement is available in section 1.7.11.
This section outlines why we believe the SPMs are useful to the Board, management, investors and other stakeholders, and the methodology
behind the metrics. A detailed definition and explanation is provided in the below methodology tables for each of our most material SPMs. Governance at BHP
Health and Safety – related metrics
Our highest priority is the safety of our people and the communities in which we operate. This is why we focus on identifying safety
risks and implementing controls designed to minimise the likelihood and potential impact of those risks. The health and safety SPMs
allow the Board, management, investors and other stakeholders to measure and track health and safety performance at our operated
assets, including trends related to personal injuries, occupational illness and exposures. We focus on strengthening in-field verification
of material and fatal risks; enhancing our internal investigation process and widely sharing and applying lessons and enabling additional
quality field time to engage our workforce.
Reference and SPM Methodology
Section 1.4.8 Sustainability TRIF (total recordable injury frequency) is an indicator highlighting broad personal injury trends and refers to the
KPIs, section 1.7.3 Safety number of recordable injuries per hours worked during the financial year. TRIF equals the sum of (fatalities + lost-time Remuneration Report
and section 6.6.1 People cases + restricted work cases + medical treatment cases) x 1,000,000 (or 200,000) ÷ actual hours worked. In
– performance data accordance with SASB Metals and Mining Standard we also report TRIF per 200,000 hours worked in section 6.6.1
– TRIF People – performance data FY2020. BHP adopts the US Government Occupational Safety and Health Administration
(OSHA) guidelines for the recording and reporting of occupational injury and illnesses. TRIF statistics exclude
non-operated assets.
Year-on-year improvement of TRIF is one of our five-year sustainability targets and is one of the indicators used to assess
our safety performance.
FY2016 to FY2018 data includes Continuing operations and Discontinued operations (Onshore US assets). FY2019 data
includes Discontinued operations (Onshore US assets) to 28 February 2019 and Continuing operations.
This methodology has been prepared in accordance with GRI standard 403-9 and OSHA guidelines.
Section 1.7.3 Safety and High potential injury (HPI) events refers to the number of recordable injuries and first aid cases where there was the Directors’ Report
section 6.6.1 People – potential for a fatality during the financial year. High potential injury event trends remain a primary focus to assess
performance data progress against our most important safety objective: to eliminate fatalities and provides insight into our performance
– High potential on preventing future fatalities.
injury events The basis of calculation for high potential injuries was revised in FY2020 from event count to injury count as part
of a safety reporting methodology improvement.
FY2016 to FY2018 data includes Continuing operations and Discontinued operations (Onshore US assets). FY2019
data includes Discontinued operations (Onshore US assets) to 28 February 2019 and Continuing operations.
This methodology has been prepared in accordance with GRI standard 403-9.
Section 1.7.4 Health and An occupational illness is an illness that occurs as a consequence of work-related activities or exposure and includes
section 6.6.1 People – acute or chronic illnesses or diseases, which may be caused by inhalation, absorption, ingestion or direct contact.
performance data Illness is determined by reference to the US OSHA Recordkeeping Handbook. Financial Statements
– Occupational illness Occupational illness incidence is a lag indicator highlighting broad occupational illness trends and refers to the number
incidence of employees that suffer from an occupational illness per million hours worked during the financial year.
Incidence of occupational illness is used to identify situations where exposure controls were effective (no illness
occurrence) and where exposure controls were potentially ineffective (illness occurs). It also informs priorities for
exposure reduction projects.
The data for FY2016 to FY2018 includes Continuing operations and Discontinued operations. FY2019 data includes
Discontinued operations (Onshore US assets) to 31 October 2018 and Continuing operations.
This methodology has been prepared in accordance with GRI standard 403-10 and the OSHA Recordkeeping 6
Handbook.
Section 1.4.8 Occupational exposures refers to the number of employees who have potential exposure to an agent in the workplace
Sustainability KPIs that exceeds either regulatory or the sometimes stricter BHP internal occupational exposure limits (OELs). These
and section 1.7.4 Health employees are required to wear personal protective equipment (PPE). Reported occupational exposure data discounts
– Occupational exposures the effect of the PPE worn.
BHP has adopted a five-year sustainability target to reduce by at least 50 per cent (compared to the adjusted FY2017 Additional information
exposure data) the number of employees exposed to diesel exhaust particulate matter, coal mine dust and silica.
An OEL is the level of exposure to an agent to which it is believed nearly all people may be repeatedly exposed
throughout a working life without adverse effect.
The exposure profile is derived through a combination of quantitative exposure measurements and qualitative
assessments undertaken by specialist occupational hygienists consistent with best practice as defined by the American
Industrial Hygiene Association. The 95 per cent upper confidence limit of the mean exposure is compared to our OELs.
Where employees are exposed in excess of an OEL
• exposure controls in accordance with the hierarchy of control must be implemented
• PPE is provided and must be worn Shareholder information
• health surveillance must be undertaken
Quantitative occupational exposure measurements are undertaken to provide assurance that implemented controls
remain effective.

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