Our Responsibility Towards Our Employees

Borusan Goup Human Resources Policy

Our employees are the most valuable corporate asset of the Borusan Group. The human resource initiatives play an important role in the long-term success of the Borusan Group. Compliance with legal requirements pertaining to employee rights, privacy, equal employment opportunity, safety, security and health are considered as hygiene factors of Borusan Group human resource policy. The primary principles of our human resource policies include; the recruitment of employees that have high potential, maintaining employee dedication to the Group, and ensuring the continuity of their career development. With this goal in mind a dynamic performance management system is utilized to provide a just and competitive compensation package.

Employee Recruitment and Evaluation System

The Recruitment and Evaluation System for employees being utilized at the Borusan Group is based on the strategy of the “Right Person for the Right Job.” All potential candidates interested in fulltime, part-time or internship positions at any of the Borusan Group companies can visit our website for further information, as well as to submit an application.

In the employee selection process at the Borusan Group we utilize modern recruitment and evaluation techniques which enable us to select among professionals who are able to create a difference as a result of their performance. This system also helps us fi nd persons who are a perfect match in terms of the competencies required for the job as well as the values of the institution. Depending on the specifi c requirements of the position, Borusan may also request candidates to take a foreign language exam, go through competency based interviews, a profi le analysis.

The Borusan Group’s goal is to become the employer of choice. In an atmosphere of increasing competition for qualifi ed employees the Group has adopted an effective recruitment process.

In order to develop talented future managers Borusan has been implementing the Development Personnel Project in cooperation with various universities. This program calls for studies conducted with university students on a project basis. New graduates are offered job prospects while undergraduates are given the opportunity of internships.

Borusan provides a modern, dynamic and transparent environment where all the employees are able to develop themselves to their fullest potential. As such, they can quickly access any information they need

Performance Management System

Since the employees play the most important role in the attainment of the Company’s vision-driven strategic targets, the primary purpose of the Performance Management System is to provide an objective assessment of each employee’s performance in order to elicit their potential. We conduct performance appraisals on an annual basis. The business performance objectives of each Borusan Group employee are linked to the departments and Company’s Balanced Scorecard. Individual developmental targets are based on the results of the 360 Degree Competency Evaluation System which is also conducted on a yearly basis.

360 Degree Competency Evaluation System

The competency evaluation allows the assessment of the capabilities of all Borusan Group employees by utilizing a 360 degree approach that takes into account the opinions of subordinates, managers and peers, plus the person’s opinion of themselves. With the help of this system the differences between the required job competencies and the individual’s abilities are determined in order to determine areas that need further development. We do performance appraisals so as to examine and explore the individual’s effort and success in accomplishing tasks, responsibilities and objectives. The 360 Degree Competency Evaluation System is designed to evaluate the competencies of employees in an analytical manner. Simultaneously, the performance evaluation process guides us in the formation of career development areas and our reward system.

Career Management

At Borusan, we believe that career management is the basis of our human resources practices. All of our recruitment processes, the delineation of organizational needs and training and development opportunities, as well as career planning needs, are determined through this methodology. In our annual Management Review meetings detailed assessments are provided for employees at all levels. We endeavor to develop employees who consistently meet or surpass their targets, develop their competencies, prepare themselves for the responsibilities of a higher post, take on diffi cult assignments without prompting and create a discernible difference with their attitude and personal qualities.

There are two primary aims of the Management Review process. The fi rst is to identify the Borusan employees who demonstrate the highest potential. Along these lines, vertical and horizontal career plans are prepared for employees to determine the ways in which they can advance in their future careers. As a fi nal step the employees’ areas for development are defi ned and specifi c progress plans are prepared. Our second aim is to devise an effective career plan, especially for our key positions. During this process the appropriate employees are identifi ed, their personal and professional development plans are prepared, training is initiated and job rotation is put into operation.

The Borusan Academy

The Borusan Academy was established in March of 2006 with the vision of “fostering (or developing) business leaders who create value.” The Academy was designed as a tool for strategic information management, leadership development, performance management and employee development. After the Borusan Academy was established, we began to create programs which are designed to ensure continued development in accordance with the present Group and company strategies, targets and priorities, as well as their needs and resources.

The Primary Objectives of the Borusan Academy are:

  1. To centrally manage all training and development programs
  2. To provide all the necessary training and development opportunities necessary for employees to perform their duties more effi ciently and effectively.
  3. Developing a joint standard for the training and development needs of the whole group while effectively managing the differences between companies.
  4. To assure the continuity of training and development processes
  5. To give precedence to training and development programs that will create a difference in terms of the strategic priorities which have been determined in order for the Group to reach its 2010 targets

The Borusan Academy Training and Development Programs

The Borusan Academy is a continual development platform for all Borusan employees. The training and development programs offered by the Academy are multidimensional:

  • In addition to joint training programs designed to improve the common competencies and business processes of all Group workers, product and service oriented training that is company-specifi c is also given.
  • The development programs consist of two basic areas. First, Group-specifi c programs focus on leadership forums and internal training program Secondly, company-specifi c development programs concentrate on such topics as project management, job rotation and critical job tasks.

The fi rst step of Borusan Academy’s training and development process for all new employees is known as “The Borusan Group Orientation Program.” This program was designed as an e-training module, but it also includes company visits. The purpose of this training is to provide all employees with a general background concerning the Borusan Group. All new employees are required to complete this unit within the fi rst three months of their employment.

In keeping with the vision of the Borusan Group that all employees embrace its corporate culture, a second module was developed, namely the “Borusan Citizenship Training Program.” This course consists of six completely different units and lasts for 14 days. All employees are required to fi nish this program within two years from the date of their employment. In addition to these programs there is also personal development training for all Group employees. Every individual can participate in these programs either for personal development or to fulfi ll the requirements of their present position. Finally, the Academy also offers faculty equipping programs, such as Leaders Faculty, Sales Faculty and 6 Sigma Faculty. The fi rst two of these are permanent and certifi cation based training programs for Borusan employees.

Participation in these types of programs requires the fulfi llment of certain criteria and courses are open to Borusan employees who meet specifi c conditions. The leadership and sales faculty programs are offered in conjunction with Sabancı University. All Lean 6 Sigma training is provided within the framework of 6 Sigma Faculty by internal trainers. The Lean 6 Sigma Faculty aims to convey the 6 Sigma methodology to all Borusan employees and provide for their development in this system.

Through the Borusan Academy the Group is making an important investment for the equipping and growth of its employees. In line with our 2010 Group vision, we have nearly doubled our training and development budget. Besides a nearly $ 8 million budget allotment for the Leaders and Sales Faculty Program through the end of 2010, the Group has budgeted $ 3.5 million annually for other joint training programs.

Employee Satisfaction Survey

Our human resources system has been designed not only to recruit the best talent but also to foster mutual satisfaction. At the Borusan Group we believe that satisfi ed employees create better business results, ensure higher customer loyalty and obtain better fi nancial performance results. An employee satisfaction survey is implemented annually and the results are shared with the members of the organization. The insights gleaned from this study are used to form the basis of developmental action plans the progress of which is closely monitored.

Compensation Management

The compensation management system at the Borusan Group is both satisfactory and competitive. A job evaluation methodology is developed for each position to formulate a consistent and objective framework. The primary aim of this system involves matching the right people with the right roles, defi ning their career progression and developing target oriented award programs.

Employee Suggestion System

At the Borusan Group every idea put forth by employees is evaluated as a suggestion. These concern such areas as employee and customer satisfaction, increasing effi ciency and quality, decreasing costs, the improvement of processes and safety, as well as environmental and social responsibilities. Procedures have been prepared to defi ne the basis of the suggestion system and its implementation methods. These include details about suggestions covering everything from collection and classifi cation to evaluation and rewards for positive contributions. The success of our suggestion system can be seen in the fact that has been a substantial increase in employee participation each year. With this valuable input from our people, the Company aims to increase both employee satisfaction and business success.

Health and Safety The Group companies with the OHSAS 18001 Occupational Health and Safety Management Systems Certifi cates are:

Borçelik
Borusan Mannesman Boru
Kerim Çelik
Borusan Lojistik

Occupational Health and Safety at Borçelik

The concept of occupational health and safety has always been a priority at Borçelik. As the Company considers its employees to be its most valuable asset, the management gives great importance to providing a safe and healthy working environment. In order to prevent possible injuries and potential job loss it is vitally important for employees to fully adhere to occupational safety regulations. After assessing potential risks pertaining to the working environment at Borçelik certain employee related preventative measures are regularly implemented. These include hearing and eye exams, lung x-rays and general health checkups. Borçelik attempts to create further awareness among its employees at its Annual Occupational Health and Safety Day activities. During this special day in 2007 all the Company’s divisions viewed an educational video on occupational safety and earthquake emergency training. Employees participated in discussions afterwards to share possible methods of preventing accidents. Borçelik currently implements the Safety Training Observation Program (STOP) which was developed by Dupont. One of the objectives of the STOP individual job safety inspection system involves informing employees about the impact injuries have on the injured parties, colleagues, family members, supervisors and the organization as a whole, making them aware of why it is important to prevent injuries and occupational illnesses. Furthermore, it aims to inform workers of their individual responsibilities regarding job safety, teaching them how safety can become a part of their everyday activities. Consequently, the STOP program has been effective in reducing injuries, providing an opportunity to work safely and eliminating risky behavior. It also decreases expenses related to accidents and injuries. In addition, the STOP program has been credited with helping to improve competency in observation, communication and leadership while creating more awareness about the importance of job safety. Especially benefi cial is its clear defi nition of safe and unsafe acts and working conditions. The management of the Borçelik Cold Rolling and Galvanizing Facility has prepared a written policy pertaining to occupational health and safety and shared it with all of its employees. As a part of its philosophy of continual improvement Borçelik has made a commitment to:

  • Setting up an effective system that will prevent all accidents and occupation related illnesses
  • Determining occupational health and safety risks, as well as managing risks by resolving weak areas while maintaining and developing strengths
  • Establishing a supportive culture which requires visible leadership and clear responsibility
  • Offering an effective training which allows everyone to safely perform their job
  • Researching the reason for all accidents and harmful events to prevent their reoccurrence
  • Creating a culture where unsafe jobs are eliminated
  • Establishing measurable performance indicators to monitor our development in health and safety at work through regular inspections and reports
  • Adhering to all applicable laws and other related regulations
  • Taking all the necessary precautions to ensure the safety of all subcontractors, visitors and others who have access to our place of business
  • Fully encouraging the attainment of “Zero Job Accidents” goal and providing all the necessary support for its achievement

Occupational Health and Safety at Borusan Mannesmann Boru

In Europe, Borusan Mannesmann Boru (BMB) has become an model in the steel pipe sector which is its primary area of business. All employees and management personnel comply with all applicable laws and regulations pertaining to job health and safety in order to attain the target of “Zero Job Accidents” and provide a healthier and safer working environment for all employees, customers and suppliers.

Based on its ideals of constant improvement, BMB’s health and safety management system continually assesses all potential risks brought about by its activities and implements all necessary measures to bring these risks under acceptable levels. The Company constantly monitors the system and activities that have been established and is open to external inspections by concerned parties or organizations. BMB utilizes a scoring system designed to minimize all elements of risk in its work. Following any mishaps a risk score is assigned for each accident and corrective measures are taken to immediately eliminate the conditions leading to the incident. In addition, employees are encouraged to provide input concerning risk assessment before a job is performed and preventive measures are implemented to thwart any potential accidents.

Occupational Health and Safety at Kerim Çelik

From the day it was founded Kerim Çelik has always given top priority to the concept of “job safety” in terms of its services and the upgrading of the technological innovations it utilizes. In 2007 the Company obtained its OHSAS 18001 certifi cation and successfully passed all inspections. As per requirements set forth in the OHSAS 18001 Quality Management Systems certifi cation process, Kerim Çelik has made a commitment of full compliance with all legal regulations. All of the monitoring and inspection of job safety regulations is handled through its quality system.

In keeping with its job safety policies and philosophy of continual improvement training, drills and risk analyses are systematically conducted every year at Kerim Çelik. With the help of the 6 Sigma methodology implemented throughout the Borusan Group of companies, Kerim Çelik aims to attain its goal of “Zero Job Accidents” by establishing job safety management systems which will ensure compliance to all job safety regulations.

Occupational Health and Safety at Borusan Lojistik

Since 2003 Borusan Lojistik has been actively involved in various activities pertaining to occupational health and safety. Initially, the Company received consultation with regard to occupational health and safety at its port facilities and later, in 2004, it was awarded the OHSAS 18001 Quality Management Systems Certifi cate. In 2006 fi eld applications of 5S were started, emergency situation training was conducted and a class “C” job safety authority was appointed for the port facilities. Meanwhile, in 2007 Borusan Lojistik began a risk management project, conducted research on accidents and implemented training for root cause analysis. In 2008 the Company selected and secured special protective equipment for fi eld and work areas.

Occupational Health and Safety at Borusan Makina

In order to emphasize the importance of occupational health and safety at Borusan Makina, the Company designed a specifi c procedure and began a 6 Sigma Project for this purpose. The primary aims of the project are:

  • Reducing job related accidents to the lowest number possible
  • Eliminating absences due to work related illnesses
  • Reducing the number of workdays missed
  • Creating a healthy and safe working environment
  • Preparing for legal inspections
  • Establishing absolute control over OHS expenditures
  • The occupational health and safety procedures established at Borusan Makina are based on compliance with all legal regulations. Within this framework Occupational Health and Safety Authorities were established covering the regions of Çayırova and Merkez. The purpose of these authorities are:
  • Occupational Health and Safety – the organization and management of the environment program
  • The establishment of security procedures, as well as risk and duty analyses
  • The employee orientation and awareness programs
  • Danger assessment and reporting
  • Job accident management and corrective activities programs
  • Emergency situation plans and equipment (or “equipping”?) program
  • The Health check up program
  • Design, control and purchasing of safety systems
  • The control and improvement of physical conditions
  • The periodic reporting of current conditions

During 2008 the authorities provided training for their employees on the following topics:

  • OHS Entry - Legal Regulations
  • Job accidents - Occupational Illnesses
  • Labeling - Locking - Marking - Pictograms
  • Working in limited (restricted?) areas
  • Ergonomics - Hygiene
  • Personal protective equipment - Machine protectors
  • Risks and risk analysis