Managing Risks

Lloydminster Upgrader

Lloydminster Upgrader

Purpose and Progress

Husky builds risk management and mitigation practices into strategic planning and operational processes through policies, standards, processes and best practices for equipment selection and personnel training and competency.

Enterprise Risk Management

The Enterprise Risk Management (ERM) program supports decision making through the comprehensive and systematic identification and assessment of hazards and risks that could impact the health and safety of people, property and the environment.

With ERM, Husky is able to provide greater certainty that risks are well managed, leading to increased confidence in the communities in which it operates, as well as for the Company’s shareholders, customers and suppliers.

Last year, the Corporate Risk Management group initiated a major review of the Company’s risk and mitigation activities, to better identify and manage risk, understand the enterprise’s risk-drivers and promote a culture of risk awareness. It determines who is accountable for managing and mitigating each risk and identifies any emerging issues.

Emergency Preparedness

Response to potential emergencies that have the ability to affect employees, the community, the environment and/or the Company’s assets and reputation are guided by Emergency Response Plans (ERPs).

Activation protocols, organizational structures, processes and plans are designed to guide a consistent and effective response to an event.

The Company’s procedures are based on the Incident Command System (ICS), a standard emergency response model used across Canada and the U.S. to provide an effective response across all operations. The ICS system streamlines the response so that the most important action items are addressed in priority order and under clear accountabilities.

Regular cross-departmental training and consistent, repeatable processes are an integral part of emergency preparation. In 2013, the Company conducted 135 emergency exercises. It is an active member of spill cooperatives and preparedness programs, participating in additional training and groups within these organizations.

ERPs are developed and regularly updated for all areas of operations.

Business Continuity Planning

Husky develops and supports contingency plans and measures to mitigate the impacts of a business-interrupting event.

The Company has completed 73 Business Continuity Plans since the program started in 2008. Exercises are conducted each year to maintain plans and response capabilities.

HSE Policy

Husky is committed to operational integrity. Operational integrity at Husky means conducting all activities safely and reliably so that the public is protected, impact to the environment is minimized, the health and well-being of employees is safeguarded, contractors and customers are safe, and physical assets (such as facilities and equipment) are protected from damage or loss.

The Company conducts its business so as to maximize positive impacts on current and future generations in accordance with Husky's values, while minimizing the use of non-renewable resources. In particular, Husky will:

  • Demonstrate leadership and commitment to operational integrity by providing support to meet this HSE policy, as well as providing a culture where there is recognition for positive performance and disciplinary action, where appropriate, for breaches of this policy.
  • Require every member of staff, and those who work on our behalf: to be a leader in HSE; to exercise personal responsibility in preventing harm to themselves, to others, to the environment and to physical assets; and, to stop any work that is or becomes unsafe.
  • Require every member of staff and those who work on our behalf: to report all incidents regardless of severity. Incidents will be investigated to determine the root cause, lessons learned will be shared, and, corrective actions will be taken. Husky aims to sustain an incident free workplace.
  • Identify and mitigate risk to as low as reasonably practicable during design, construction, commissioning, operation and decommissioning of all assets.
  • Prepare for and respond to emergencies efficiently and effectively.
  • Comply with relevant laws, regulations and industry standards and take any additional measures considered necessary to meet the intent of this policy.
  • Demonstrate continuous improvement by: establishing leading and lagging key performance indicators and measurable performance goals, monitoring and reporting on the progress of our performance, and, conducting risk-based audits.

Code of Business Conduct

In accordance with the Company’s Code of Business Conduct, Husky’s employees are expected to conduct themselves in an ethical manner, with a high degree of personal integrity. Employees take mandatory training so that they are aware of their responsibilities.

The Company has established a confidential and anonymous Ethics Help Line where employees can ask questions or report perceived breaches of the code of conduct.

Delivering Results: The Company conducted more than 130 exercises to better prepare for emergencies and increased the number of business continuity exercises, to provide for safer and more efficient operations.