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Baker Hughes 2012 Health, Safety, Environment and Security Annual Report

Health, Safety, Environment and Security at Baker Hughes

Baker Hughes has a proud history of maintaining the highest standard of care for the health and safety of our employees and contractors, protection of the environment, and support for the communities where we work around the globe. This is reflected in the quality work that is done by the Health, Safety, Environment, and Security (HSE&S) team members, the support provided by Baker Hughes leadership, and the engagement and commitment of our employees. Safety and care for the environment truly are paramount to all aspects of our business.

As displayed in this report, the improvement in our HSE&S programs, the continued maturity of our safety culture as an enterprise, and our top-tier HSE&S performance are reflected in the accolades received by customers, regulators, and the industry. Of significance is the fact that our safety culture continues to evolve from focusing largely on behavioral safety to a more balanced emphasis on safety systems.

During the past three years, we have shifted our safety approach to encompass three key areas of safety: behavioral safety; safer design and use of tools and products; and process safety. We have achieved this by establishing a robust process that consists of a comprehensive analysis of HSE engineering risks and creation of an advanced process safety campaign.

The progress made through our environmental stewardship and corporate social responsibility (CSR) initiatives has been noteworthy. In 2012, we reduced our use of water and energy, reduced greenhouse gases emissions by 11% while saving USD 18 million in operating costs. We continue to receive recognition for our CSR leadership, including acknowledgment on the Dow Jones Sustainability Index, Bloomberg’s Civic 50, CR Magazine’s Top 100 Corporate Citizens, and Newsweek’s Green Rankings. Additionally, our Enterprise Security and Crisis Management program was ranked No. 1 in the energy sector by Security Magazine, a leading publication in security thought leadership.

For the past four years, it has been my privilege to lead the HSE&S mission. As I prepare to turn the helm of the organization over to my successors, I want to recognize the outstanding men and women who contribute to our HSE&S achievements. Their commitment and personal concern for ensuring we have the proper programs in place to help protect our employees from a myriad of risks has been exceptional. The support we have received from the company leadership has been unprecedented, and the commitment to safety that our workforce displays every day is commendable. The engagement, teamwork, and mutual respect we share with our customers also have made this job a pleasure. To all of you, I extend my thanks and everlasting appreciation.

Sincerely,

Russell J. Cancilla

Vice President and Chief Security Officer
Health, Safety, Environment and Security
Baker Hughes Incorporated

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