Big Tick winner

International, Example of Excellence

Anglo American - Supporting development in Africa

Oracle International Award 2005 in association with the International Business Leaders Forum and the Commission for Africa

As a natural resources company Anglo American recognise the importance of minimising any negative impacts and of enhancing the capacities of the communities of which it is a part and, in the countries in which it works, of promoting stability, respect for human rights anti-corruption initiatives.

Processes

Anglo American plc operates in the mining and natural resource sectors and has operations in Africa, Europe, North and South America, Australia and Asia.  Of its 209,000 employees, 149,000 are resident in Africa together with almost 40% of its assets.

Its corporate responsibility programmes are founded not only in a sense of ethics and responsibility – but are also founded in a real 'business case'.  It believes that its businesses are more likely to prosper in stable and peaceful societies if they are seen as dealing fairly and to make a sustainable contribution to the social development of the areas where they work. Moreover, sound environmental practice in areas such as reducing energy and water use also make good business sense.  

Anglo American believe that it is through the responsible and profitable operation of core business activities that they can make the most significant contribution to the Millennium Development Goals MDGs. 

In 2004, for example, they undertook new capital investment of $1.8 billion in Africa, and paid taxes of $670 million.  In particular, through expanding access to economic opportunity, they contribute to the first goal of eradicating extreme poverty and hunger.

The need for clear linkages between sustainable development and business strategy is key to the successful delivery of the Millennium Development Goals.

Within South Africa, Anglo American is actively involved in the Business Trust, which is dedicated to overcoming the legacy of apartheid in relation to education, school quality improvement and enterprise development.

Impact

  • 74% of Anglo’s global social investment total of $48 million was spent in sub-Saharan Africa in 2004 with two thirds of this being dedicated to community development or education.
  • Mondi, Anglo’s paper subsidiary, is the largest operator in the Southern Hemisphere of Forest Stewardship Council certified forests – involving far-reaching environmental and social commitments - and is pursuing a number of ‘best practice’ sustainable livelihoods’ initiatives to uplift the condition of poor rural communities and is a partner with the Gatsby Foundation in a number of reforestation initiatives in East Africa.
  • Some 23% of Anglo’s workforce in Southern Africa is HIV+. Anglo took a leadership role on the provision of anti-retroviral therapies to its employees and is now estimated to have the largest employee treatment scheme in the world. It has some 2,000 employees on ART treatment and some 5,000, in the earlier stages of infection on ‘wellness’ programmes. Anglo’s work has been a catalyst for other businesses to implement policies in this area.
  • Business can only contribute effectively to development if it understands the needs, priorities and concerns of the societies in which it works. To this end Anglo has implemented an ambitious programme of building capacity in the handling of socio-economic issues through its cutting-edge Socio-Economic Assessment Toolbox (SEAT) process. This improves engagement and leads to core business programmes designed to improve sustainable development outcomes.
  • Anglo also operates a significant small business development initiative in South Africa called ‘Zimele’ (Zulu word for ‘to be independent’) which as of the end of 2004 was supporting 27 enterprises employing over 2,000 people.
  • Anglo American is also an active proponent of tri-sector partnerships – in Africa examples of this approach include involvement with the Extractive Industries Transparency Initiative at international level; with other companies through the Global Business Coalition on HIV/AIDS; its partnership with loveLife in South Africa to promote prevention and adolescent friendly clinics; and with the WWF in preserving wetlands.

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