Case Studies
Transparency International
Stemcor has been an Associate Member of Transparency International for several years and, given our opposition to bribery and corruption, opted to become a full corporate member in March 2010.
As an international trading Group, we face the challenge of applying consistent standards while respecting the culture and varying business practices of the countries in which we work. Employees, customers, suppliers, bankers, insurers and others place their trust and confidence in us. We aim to repay that trust and confidence by assessing what is right and fair in the market and acting in accordance with the highest commercial and ethical standards.
Now in its second decade, Transparency International (TI) is a global network of more than 90 locally established national chapters leading the fight against corruption. TI brings together relevant players from government, civil society, business and the media to promote transparency in elections, in public administration, in procurement and in business. It plays an increasingly important role in raising awareness, lobbying and diminishing apathy and tolerance of corruption.
Sustainability of steel
Steel can be recycled indefinitely without loss of property or performance and is the most recycled material in the world. Ferrous scrap, which accounts for around 20% of Stemcor’s raw materials trading business, always has a value so recycling is a self-sustaining system, saving the earth’s natural resources (iron ore, coal, water and limestone) as well as saving energy through electric arc furnace production technology.
There is not enough scrap to meet the world’s ongoing need for steel, so the balance of production will continue to come from traditional methods using iron ore, which are dependent on carbon both as a raw material and as a fuel. Although Stemcor does not control any steel manufacturing plants and has no direct impact on the industry’s carbon footprint, the Group relies on the production of steel for our business. While many of the world’s leading steelmakers are collaborating in the development of new technologies, Stemcor is sponsoring a PhD study - directed by Tata Steel - at the University of the West of Scotland to help address some of the environmental consequences of the steel production process. The subject of the research is: ‘Assessing the impact of metal speciation on the recovery, re-use and disposal of steel process by-products’.
Steel is critical in enabling man to move towards a more sustainable future. It is an important component in the structures that generate renewable energy, such as solar panels and hydro-electric, wind or tidal turbines. In the automotive industry, high strength lightweight steels enable manufacturers to improve fuel efficiency and reduce emissions, without compromising safety.
The future of packaged food
As the world’s population grows and urbanisation increases, access to fresh food will become a challenge. This places greater emphasis on reliable packaging, storage and distribution systems. Food safety, nutritional value and environmental impact will become even more important than they are today.
The humble tin can is made from tinplated steel sheet, a product currently sourced by Stemcor from Brazil, the Netherlands and the UK and sold into Bangladesh, Egypt, Pakistan and India (where Stemcor has a 10% stake in the largest tin can manufacturer). It locks in nutritional value, is easy to transport and allows seasonal fruits and vegetables to be consumed at any time of year, anywhere in the world. A recent study by the Institute of Environmental Research and Education using life cycle assessment showed that canned food has a lower overall environmental impact than frozen food. Each additional tonne of steel that goes into food cans, displacing a frozen product, saves 6.5 tonnes of greenhouse gas emissions. Each year this translates into a total saving of 68 million tonnes of CO2.
The steel can is the world’s most recycled container. Each can recycled saves about twice its weight of CO2. This recycling effort, compared with new steel production, is estimated to save 26 billion kW hours of electricity, or the electricity needs of 2.5 million households per year.
Source: World Steel Association
Working with charitable organisations
It is the Group’s policy to set aside a percentage of its profits for charitable and social investment purposes. Education, health, community support, disaster relief and the environment are the Group’s key charitable objectives. During 2011 the Group allocated approximately £905,000 (2010: £900,000) to carefully selected charitable partners. Major funding went to the following initiatives:
- Sponsorship of a maternal literacy and early childhood development programme in Cairo, Egypt.
- A Literacy Boost programme in Timor, Indonesia, focused on assessments, teacher training and community action to significantly improve children’s core reading skills.
- The first year of a three year commitment to an Early Steps to School Success (ESSS) programme in poor rural communities in southern states of the USA. ESSS provides education services to children from birth to age five, support to parents and ongoing training to community educators.
- Sponsorship of science students from low-income families in the UK, via the Ironmongers’ Foundation.
- A Girls Education project in Odisha, India, sponsored by CARE. The Group’s three years of past support has established a solid level of sustainability, allowing for an expansion of this initiative for which the Group is providing two more years of major funding.
- The second year of a three year commitment to an education programme titled Leaders for Tomorrow, sponsored by CARE. The programme is reaching about 4,500 girls aged 10 to 14 from marginalized communities, in 45 special single-sex residential schools in the Mayurbhanj district of Odisha, India. The specific objectives of this three-year initiative are to increase the number of girls completing primary school by ensuring equal access to schools and quality education, promote girls’ leadership and extend health education among them and to advocate and protect the rights of girls.
- Support for Magic Bus in creating equal opportunities for children and youth living in some of the most vulnerable circumstances in India.
- Ongoing operational funding for three Citizens Foundation schools in Pakistan, the construction of which the Group has previously funded. Almost 400 students benefited, creating opportunities to improve quality of life in areas where education is often neglected.
- Emergency relief funding for the outstanding work that Medecins Sans Frontieres does, often in hazardous areas of the world.
- Many smaller donations were also made globally and matching grants were provided to staff members’ fundraising efforts for the benefit of various well-recognised charities.