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Product Stewardship: Putting It into Practice GCWellon, Manager, Responsible Care Methanex Corporation June 2010
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Product Stewardship:

Putting It into Practice

GCWellon, Manager, Responsible CareMethanex Corporation

June 2010

Product Stewardship Definitions

American Chemistry Council(ACC)

Product Stewardship is the shared responsibility for understanding, managing and communicating the

impacts to human health and the environment through the life cycle of chemical products. This life cycle

involves the development, production, use, distribution and end-of-life management of products.

Product Stewardship Definitions

International Councilof Chemical Associations

(ICCA)

Product Stewardship is the industry’s management of the health, safety and environmental performance of chemical products throughout their entire life cycle.

Product stewardship is a shared responsibility requiring close cooperation with suppliers and downstream users.

Product Stewardship Definitions

Kodak

Product Stewardship is an integrated business process for identifying, managing and minimizing the health, safety

and environmental risks throughout all stages of a product's life in the best interest of society and our key stakeholders; customers, employees and shareholders.

Product Stewardship Practices

• Product Stewardship Code outlines principles that companies should address

• Each company has flexibility to develop and implement practices that fit that company

• PS Code: “Each company must exercise independent judgment and discretion to successfully apply the code to its products, customers and business.”

Product Stewardship Practices

PS Principles Ensure affected people know and understand the

hazards & risks of the company’s products

Methanex Practices Technical Info & Safe Handling Guide, MSDS, MI Safe

Handling Manual, safety videos, & more – developed and available to all stakeholders through Methanex web site

Letter to customers, other stakeholders describing info on web site and how to access

FAQ database including chemical properties developed, on company intranet and shared with all employees

Product Stewardship Practices

PS Principles Prohibit sale of product unless there is reasonable

assurance of customer’s ability to manage it properly

Methanex Practices Assessments of customer’s product handling areas;

improvement opportunities identified; recommendations

Product Stewardship Practices

PS Principles Establish selection criteria for suppliers and evaluate

performance

Methanex Practices Risk-based approach to selection of logistics services

providers; implementation of assessment program; improvement action plans in place; completion of actions

For example, CDI-T inspections of terminals and chemical product storage & handling areas

[Chemical Distribution Institute – Terminals = independent, 3rd-party assessments by trained, certified inspectors]

Product Stewardship Practices

PS Principles Extend Responsible Care ethic to business partners

Provide information to customers / downstream users on safe storage, handling, use & disposal of products

Methanex Practices Responsible Care clauses in all contracts – customers,

logistics services

Outreach to customers and logistics service providers – Safety Seminars & presentations, quarterly newsletter, response to queries

Product Stewardship Practices

PS Principles Understand how customers are managing risks with your

product

Methanex Practices Learn more about downstream users and uses; learn

about downstream management of product storage and handling; learn about downstream selection of carriers

Product Stewardship Practices

PS Principles Seek feedback on customer use or misuse of products

Be alert to customer comments; respond to product-related concerns

Methanex Practices Customers participate in reporting of incidents involving

our product

Methanex process in place for addressing these concerns

Incident management system, Customer Complaint process, root cause analysis, corrective actions

Product Stewardship Practices

PS Principles Product security risk management – security plan to

protect stakeholders from deliberate misuse of products

Methanex Practices Sell only to contracted customers with whom a

relationship has been built, whose business we are familiar with, whose end products we understand

Have a Corporate Crisis Management Plan with regular exercises

Product Stewardship Practices

PS Principles Employee education – trained and knowledgeable on

proper handling, use, recycling and disposal of products

Methanex Practices Employees trained; understand product hazards; know

proper handling procedures; involve customers and suppliers in incident management; established service provider guidelines; respond to customers’ product-related issues / concerns

Product Stewardship Practices

PS Principles Public issues & concerns – involvement in industry

associations (leadership, technical committees) and public forums to give and receive benefits of experience

Methanex Practices Active involvement with:

o American Chemistry Councilo Chemistry Industry Association of Canadao Methanol Instituteo IMPCA Technical Committeeo Formaldehyde Councilo GPCA Product Stewardship Workshop !

Product Stewardship Practices

PS Principles PS Key performance Indicators – tracked on regular basis

Methanex Practices Established for our Supply Chain:

o # of customer complaintso # of customer complaints open > 30 / 60 / 90 dayso # of significant incidents / 100,000 tonnes shippedo # of minor incidents / 100,000 tonnes shippedo closure rate of incidents / completion of corrective actionso # of railcar leaks / 100,000 tonnes shipped by railo # of barge leaks / 100,000 shipped by bargeo % completion of railcar Preventive Maintenance Programo # of Safety Seminars given with breakdown by Industry Sector &

number of participants

Product Stewardship


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