Sustainable Development Strategy
The Company's development strategy, adopted in 2018, is focused on its innovative transformation. Together with an enhanced marketing strategy, customer care programme and internal performance improvement projects, we expect transformation to be a core driver of our efficiency over the next few years. For the first time, Severstal’s strategy directly includes sustainable development issues, including occupational health and safety, society and the environment.
Our vision: Severstal is the leader of the steel industry of the future. Severstal is the first choice for our clients and partners, and is a safe and attractive workplace for our employees.
Severstal's strategic priorities
Outstanding customer experience
- Differentiation from other offerings on the market
- Use of downstream opportunities
- New market business models
- High-quality and reliable deliveries
Maintaining cost base leadership
- Continuous improvement programme
- Investment projects
- Comprehensive hot-end modernisation
- New opportunities
- Becoming the top Russian steelmaker in terms of product quality in 2019
- Identifying and investing in new opportunities before competition
- Developing a system of open innovation
Developing our corporate culture
- Accelerating business processes
- Increasing employee engagement
- Partnering with our customers
- Maintaining a sustainable social and natural environment
Long-term economic success can only be achieved under social stability and through partnerships. We view our Company as an "open system" and our business stability is reliant on cooperating efficiently with business partners, the government, our employees and the public.
Severstal has a significant influence on the economic and social development and the environment in its regions of operation. We consider honest, constructive collaboration with all stakeholders to be a crucial element of our dynamic development as a leader in the international business community and our contribution to sustainable social development.
Being a reliable partner for our stakeholders is a part of Severstal’s social responsibility. We aim to achieve the best possible balance between the strategic priorities of our business development, the needs of individual regions and local communities, and the interests and expectations of a wide range of social groups.
Our Company stakeholders are identified by the Corporate Social Responsibility and Sustainable Development Report working group and a list of stakeholders is reviewed annually.
In 2018, Severstal identified the following key stakeholders:
- Shareholders and investors
- Government authorities
- Customers and consumers
- Suppliers and vendors
- Local communities and general public
Common principles of engagement with key stakeholders are established in several corporate documents, including codes and policies.
Management of Sustainable Development
Severstal’s Corporate Social Responsibility Policy defines a standardised understanding of CSR and the key directions of CSR implementation by all of our corporate businesses and divisions and provides common ground to improve our efficiency. Our social responsibility policy is consistent with our mission, strategy and corporate values. It is also aligned with our CSR principles and the approaches of both the Russian and international business communities. In implementing this policy, Severstal takes stakeholder views, opinions and expectations into account, and works closely with our stakeholders on addressing important social challenges.
The Board of Severstal oversees the delivery of integrated injury prevention, workplace improvement and environmental footprint reduction programmes. In 2018, the Board approved Severstal’s long term оbjectives in occupational health, industrial safety and environmental protection.
Management of Severstal’s activities in the area of sustainable development are distributed between a number of the Company’s functional departments.