We take great pride in being part of an industry that for generations has contributed to some of the greatest advancements in economic and human development. BHGE’s heritage dates back more than 100 years, founded by industry pioneers who conceived ground-breaking inventions that revolutionized the oil and gas industry. The company has been innovating ever since.
While the oil and gas industry will remain an important part of the energy landscape, global priorities are changing faster than ever. Climate change is one of the most significant challenges facing the world. It requires meaningful action by all of us to mitigate adverse impacts on the environment and society. As populations grow and progress, they will continue to need access to all forms of energy delivered safely, at lower costs and with greater efficiency to reduce carbon emissions.
Technology and digitalization are also disrupting how the world will respond to these shifting global priorities. This will not only transform what we make and how we make it, but also transform the future of work. Building and nurturing a diverse and entrepreneurial workforce must be a priority in order to respond to these forces of change with speed and agility.
As a global provider of energy services, equipment and digital solutions across the full energy value chain, we are prepared and positioned to take energy forward. We drive and support a more sustainable future by inventing innovative low-carbon technologies and by building a diverse workforce that collaborates without boundaries. Our work, in partnership with others, is accelerating solutions for future generations. This includes progressing disruptive technology and innovation to increase the competitiveness of diverse global energy markets. And we give back by supporting and contributing to efforts that make our communities safer, cleaner and better places to live and work.
We are a technology company that touches nearly every corner of the world. Our focus remains on inventing and adopting more efficient and sustainable technologies that will help bring energy to the world. This is how we will take energy forward.”
People, Planet and Principles
We take our responsibility as an energy solutions provider seriously. We hold ourselves and each other accountable to do the right thing, always. Our commitments, activities and investments are prioritized around People, Planet and Principles.
We value an inclusive culture that supports people and communities.
We foster a diverse and inclusive culture that enables collaboration and innovation. We invest in the health and well-being of our workforce, train and reward talent, and equip and empower the next generation of energy leaders. We also support the communities where we live and work and help create opportunities for others.
We join the global community in addressing climate risks
We are stewards of the environment. We focus on energy efficiency and reducing our carbon footprint globally across our operations and with our employees. We support customers with low-carbon solutions to help them meet their environmental goals.
We operate with sound governance and ethical and responsible business practices
Our non-negotiables include protecting people and the environment by operating safely and in compliance with all laws and regulations. We maintain ethical supply chains to safeguard human rights. We are guided by our code of conduct, detailed in The Spirit and The Letter, and the company’s comprehensive set of policies.
This 2018 Corporate Responsibility Report covers more fully our progress in these environmental, social and governance priority areas.
2018 Progress on Our Priorities
Reduced our environmental footprint on road to net-zero carbon emissions:
Since 2012, we have reduced our combined scope 1 and scope 2 emissions by 34%. At the beginning of 2019, we made a commitment to further reduce our CO2 equivalent emissions by 50% by 2030, and to achieve net-zero CO2 equivalent emissions by 2050. We are helping our customers reduce their carbon footprint by expanding our low-carbon technology solutions offering.
Path to Net Zero CO2 Equivalent Emissions
Aligned our teams and focused on diversity and inclusion:
We are committed to building a culture that is a competitive advantage. In 2018, we focused on more fully integrating our teams, fostering an inclusive environment and strengthening our learning and development programs. We established clear criteria within our executive incentive compensation plan for how
we measure and assess our leaders on performance, culture, and diversity and inclusion. We also launched recruiting campaigns to attract a more diverse workforce.
Achieved 153 Perfect HSE Days:
Our culture is built on safety, compliance, integrity and quality. We believe in doing the right thing always. And our teams strive to make every day one with no injuries, accidents or harm to the environment. We call it our Perfect HSE Day.1 In 2018, we achieved 153 Perfect HSE Days and a 20% improvement compared to 2017.
Perfect HSE Days
20% improvement compared to 2017
Invested in global communities
Whether it’s supporting neighbors in times of disaster, giving time to teach the next generation of leaders or raising money to help support cancer or multiple sclerosis research, our employees around the world have been making an impact in causes close to home for decades.
In 2018, we established new partnerships that help to accelerate solutions to some of the world’s biggest challenges. Through charitable grants, local investments and community service, we focused on supporting inclusive education and training, sustainability in communities, and public health and safety. The Baker Hughes Foundation advanced progress in communities with support to nonprofit organizations with global impact, such as FIRST Global (180+ countries) and The Nature Conservancy (70+ countries).
I believe that business can advance societies and be profitable by delivering results that create shared value. Inventing smarter ways to bring energy to the world is why we work. There is still more to do as we continue on this journey. In 2019, we remain committed to delivering on our commitments to support our customers, employees and communities in taking energy forward.
I want to thank our employees and our customers for a successful 2018 and to all of those invested in our future.
Chairman, President and Chief Executive Officer