Our Investee Companies and their ESG Journey

What are the main issues you face around safety for your employees?

As the Managing Director and CEO of Saunders, my foremost commitment is to the safety of our employees, subcontractors, and the community. Working within various high-risk industries across diverse locations in Australia brings about distinct challenges, especially in standardising safety practices amid varying regional regulations and client demands.

For example, all states and territories now follow the same work, health and safety (WHS) regulations, except for Victoria, which has not implemented them yet. Additionally, we work with clients who have their own company rules based on US or European standards, and these rules vary between different organisations.

Could you provide an overview of Saunders’ approach to ensuring safety across its project sites?

To address these complexities, we prioritise robust planning, proactive execution and effective communication. Our integrated management system ensures consistency in safety and compliance across our diverse operational environments.

Our safety approach centres on “Zero Harm”,  reflecting our highest commitment to safety across all operations; it is our promise to our people and their loved ones. From initial proposals and planning through to construction and ongoing maintenance, we employ a comprehensive safety management system that exceeds regulatory standards. This includes using the Hierarchy of Controls methodology to identify and mitigate hazards at every stage.

Our Health, Safety, Environment and Quality (HSEQ) management systems have been certified to meet the  ISO 45001 standard, and has also been accredited by the Office of Federal Safety Commissioner (OFSC). These achievements highlight our dedication to safety and qualify us for the highest standard under the Australian Government Building and Construction WHS Accreditation Scheme.

Do you have programs in place to mitigate risks?

We have implemented robust programs and initiatives to mitigate risks and foster a strong safety culture across the organisation. One key initiative is Together for Safety, a safety training program aimed at developing safety leadership skills and fostering a safety-oriented culture over the next five years. Additionally, we have recently introduced a company-wide “Two Hours for Safety” session every Thursday for all operational management teams. During this time, all personnel are dedicated solely to safety activities.

We roll out monthly safety themes to address high-risk areas, and our executives and board members conduct regular site visits. These initiatives actively engage our teams and empower our workforce to take ownership of safety at every level.

How do you measure performance in this area? What have you achieved?

Enhancing our safety culture, actively managing operational risks, and consistently reviewing WHS Standards are foundational to our safety performance strategy. We employ key indicators such as safety observations, inspections, and Total Recordable Injury Frequency Rate (TRIFR) to track safety performance, delivering monthly reports to leadership.

In FY24, we achieved a strong safety performance, with a TRIFR12 metric of 1.35 as of June 2024 (based on one million hours worked). This represents an 83.9% decrease from 8.39 in June 2023. This significant decrease demonstrates our tangible progress in improving safety outcomes.

What are Big River Industries’ current initiatives regarding sustainable forestry practices?

At Big River, we are dedicated to ensuring our timber products meet the highest standards of sustainable forestry practices. By partnering with leading global producers and supplier partners who are certified to internationally recognised forestry standards, including the Forest Stewardship Council (FSC), the Australian Forestry Standard (AFS), and the Program for Endorsement of Forest Certification (PEFC), we guarantee responsible tree harvesting with no net forest loss over time; the preservation of forests with irreplaceable values; the protection of plant and animal species; and engagement with local communities, respecting their legal and cultural rights to land and forest resources.

What strategies has Big River Industries implemented to minimise waste and maximise the reuse of timber products throughout their lifecycle?

Our commitment to sustainability is reflected through our ongoing initiatives aimed at enhancing sustainable forestry practices. One notable example is the recent upgrade of our Grafton Plywood facility, which now produces an increased percentage of higher value architectural products with longer product life cycles, contributing to extended carbon sequestration. Furthermore, we are consolidating and standardising our sustainable forestry processes and certifications, to implement best practices across our entire business.

Big River is focused on optimising productivity, enhancing product performance, and reusing materials to minimise environmental impact. In our production facilities, yield management is crucial for productivity, cost control, and waste minimisation. For example, our four frame and truss manufacturing facilities use advanced sawing technology to optimise timber cutting, maximising material usage and reducing waste. Alongside this, product design plays an important role, with our Australian-made formply products (Armourform) designed for maximum reuse, achieving high total-value extraction. We have also established reuse and recycle streams through partnerships with Men’s Shed, school programs, and resource-sharing platforms like CivilShare in New Zealand.

Can you discuss any partnerships or collaborations that Big River Industries has engaged in to enhance sustainability practices within the timber industry?

In line with our recent upgrade at the Grafton site, we collaborated closely with forestry stakeholders to enhance the site’s capability to process lower quality and smaller diameter logs, supporting more sustainable forestry practices. We continue to explore partnerships with industry bodies to investigate alternative sources of fibre and other sustainable substitutes, aiming to reduce reliance on more carbon-intensive options.

Does Big River Industries have key targets or milestones specifically related to renewable forests and recycling?

In 2020, our New Zealand panels business, Plytech, launched “Plytech Green,” an initiative highlighting our commitment to environmental and social sustainability. This initiative introduced a new naturally derived lignin-based glue system, significantly reducing the environmental impact of a third of our products sourced from Europe.

The glue system replaces fossil phenol with bio-based lignin – a recyclable and ecologically friendly product. It is a wood-based, non-toxic material from a managed resource, which can be sustainably sourced. This product reduces the use of volatile organic compounds (VOC) and formaldehyde emissions, from production to end-use.

Big River remains steadfast in our commitment to sustainable practices, continuously striving to balance environmental conservation with responsible forestry management.

Looking ahead, Big River is targeting a reduced carbon footprint by increasing our exposure to environmentally positive products and services. We are committed to sourcing from the most recognised sustainable sources, and promoting timber as a sustainable material capable of removing and storing greenhouse gases.

How does MaxiPARTS prioritise gender DEI within your workforce?

At MaxiPARTS we embrace DEI, recognising the array of differing perspectives and balance this brings to the success of our business. Our diversity enhances our decision-making processes and fosters open, transparent and inclusive communication channels from the warehouse to the boardroom.

In FY22, we established and published three-year targets to increase our company-wide female representation from 15% to 20%, and for our Sales & Distribution division to increase from 7% to 15% by FY25. We are pleased to say we have successfully achieved our company-wide target of 20%, while our Sales & Distribution division currently stands at 14%.

Females make up 40% of our directors and the board is currently led by its first female chair.

What strategies does MaxiPARTS employ to attract and retain diverse talent?

Operating within a traditionally male-dominated industry, we take a proactive approach to our recruitment and hiring practices. This entails adapting our advertising platforms and vacancy adverts to better reflect our job offers, as well as promoting our inclusive culture that values and respects diversity. We also encourage shortlists with a diverse nature of candidates.

As part of our employment offer, we listen to the needs of our people and can provide flexible working arrangements in roles that allow this. This enables our workforce, especially working mothers or family carers, to strike a harmonious balance between their family and professional responsibilities. Our paid parental leave and additional flexibility includes flexible start/finish hours, hybrid work from home/office work patterns, keeping-in-touch days, part time contracts and staged retirements.

How does MaxiPARTS foster a culture of inclusivity and support for DEI in the workplace?

Through our DEI journey, we have established resource groups where women can share experiences and support each other. Two key areas have been our 2023 MaxiPARTS Women’s Forum and our National Association of Women in Operations (NAWO) Annual Mentorship program for our female leaders. For a number of years now we have had female employees participating in the NAWO Mentorship program, which provides external guidance on building a successful career path. We also use our internal succession and development process to aid in individual skill and experience identification and development.

In pursuit of fostering a comprehensive understanding of DEI, our MaxiPARTS managers undertake the SBS Inclusion and Diversity program. This program is designed with a primary emphasis on eliminating unconscious bias, which can affect hiring practices, team dynamics and overall company culture.

How do you measure progress and hold yourselves accountable for achieving these objectives?

We employ a variety of methods to evaluate our progress and ensure accountability. These include regular data analysis and assessment of our established DEI key performance indicators (KPIs). These encompass diversity metrics, feedback received from our engagement and exit surveys, together with direct conversations with our people, monitoring our retention rates and talent acquisition efforts, and monthly reviews of our strategic plan initiatives to ensure alignment with our broader vision.

Looking ahead, what are the goals that MaxiPARTS has set to further advance gender DEI within the organisation and the broader industry?

We are currently focusing on further strategies to foster continuous growth and embrace diversity across the business. Following recent acquisitions, we will conduct training to ensure seamless integration of MaxiPARTS’ established frameworks into our traditional business model. While we have conducted numerous training programs for our staff in the past, this remains an ongoing endeavour, especially concerning recruitment strategies. Additionally, we are steadfast in our commitment to narrowing the gender pay gap, a goal we pursue through regular recruitment efforts and annual salary reviews.

As we near the end of the current timeframe for our diversity targets, the board and executive team will evaluate and define a new set of KPIs to ensure we continue to maintain our momentum and further bolster our overall diversity profile.