McDermott International, Inc. – Batam, Indonesia IPLOCA Corporate

McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
Introduction
As a leading company in the Batam region, established over 39 years ago, McDermott International has
a commitment in addressing social issues such as poverty, exclusion, education, protecting the
environment and to provide sustainable benefits to the communities in which the company operates.
Through its CSR program initiated in November 2008, McDermott’s Batam Fabrication Yard plays part in
its responsibility to the community and environment and have executed projects fully funded by the
company. Prior to its formal CSR, McDermott supported various programs for the betterment of the
local community.
The responsibility to the community and environment is not only done through the CSR program but
also through the Batam International Charity (BIC), a registered charity managed by a committee of
employees and senior management of McDermott. BIC provides assistance in the areas greatest needs
in the local community of Batam. Basic necessities item including but not limited to school support,
orphanage buildings for the many impoverished orphan children, medical support to the poor and
support in disaster relief are all part of BIC’s mission statement. BIC projects are funded through an
annual golf tournament event organized by McDermott staff. Through the generous donations via
corporate and individuals sponsorship, BIC celebrated its “10 Years of Giving” in 2011 and since its
inception has raised approximately USD $2 million. The success of the charity is recognized locally and
has encouraged others to take an active interest in social work to support those in need in the region.
For more information on BIC, please visit our website at http://bataminternationalcharity.org/
CSR Projects
1. EDUCATION
1.1 SCHOLARSHIP
Since 2001, McDermott has been providing scholarships to students from various
universities in Indonesia with professional placement upon graduation. On the island of
Java, McDermott has provided scholarships to three universities and since December 2010,
a total of 71 recipients have benefitted from the scholarship program with many of them
occupying key positions within our company.
One example is Asep Nurul Haq. Asep is now an Asst. Division Engineer
and is currently on temporary assignment in our Singapore Engineering
office.
In 2008, McDermott continued the scholarship program on the island of
Sumatra to five universities with a total of 20 recipients by the end of
December 2010.
The scholarship covers the schools’ tuition fees, living allowance along with Java and
Sumatra thesis and attachment universities programs.
1
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
1.2 APPRENTICESHIP PROGRAM
McDermott accommodates students from both universities and high schools for
apprenticeship. This is to enable students to increase and develop their knowledge by
providing on the job training, related classroom instruction, as well as incentives to attract
them to improve their job skills. The length of apprenticeship program varies from one to
four months dependent on curriculum requirements. The majority of apprentices train in
electricity, engineering, plumbing, pipefitting, mechanics, information technology,
accounting and administration. Below is a table explanation of the McDermott
apprenticeship program through March 2011.
Level
High School
College / Universities
Total
2006
70
2007
102
2008
88
2009
80
2010
46
2011
38
61
79
63
55
19
4
131
181
151
135
65
42
1.3 EXCURSION PROGRAM
The company accommodates excursion programs for students and teachers from all
universities in Indonesia in order to give them access to on the job work experiences.
Picture Above: ITB Students on Excursion Program
Picture Above: Indonesian Universities Lecturers on Excursion Program
2
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
1.4. PARTNERSHIP PROGRAM WITH LOCAL TECHNICAL HIGH SCHOOL
In 2009, McDermott began supporting the Government Technical High School – SMKN 1
Batam to establish a Welding Industrial Class by developing curriculum, learning modules
and subject matter experts to teach. The first group of 22 students is scheduled to complete
by June 2011 with the second group of 24 students scheduled to start the next class by July
2011.
Picture Above: SMKN 1 briefing
1.5 SUPPORT FOR INTERNATIONAL SCHOOL
McDermott has continuously supported one of the local international schools in Batam,
Global Indo Asia School, by providing IT equipment for the early childhood in addition to the
higher grades. The effort is done to help the local community offset tuition costs and allow
students to access state of the art computer laboratories for studies.
3
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
Picture Above: Early Childhood Centre with new PC
Picture Above: Higher Grade Computer Lab
1.6 WOMEN WELDER PROGRAM
McDermott is the first private enterprise in Batam that has trained women welders and
offered them employment once they complete training and are qualified. It is the
company’s desire that this initiative set the benchmark for all major industries in Batam to
allow opportunities for women to enter and contribute in a predominantly male workforce.
4
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
1.7 SKILL TRAINING PROGRAM FOR PEOPLE WITH SPECIAL NEED
Another skill training program provided for the local community of Batam is to the people
with special needs to help assist them by improving their ability to survive on their own. To
date, two different training programs have been developed, welding for home industry and
culinary training.
1.8 SKILLS TRAINING FOR STREET TEENAGERS
Batam has a high number of teenagers that live on the streets. These teens beg and sing to
earn a meager living. McDermott developed a basic mechanic training course for 16 of
these teenagers. To enhance their reading skills, McDermott also provided used books
collected from its employees.
5
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
2. ENVIRONMENT
The company’s commitment to a green environment is not only carried out within the business
but also outside in the community.
2.1 PLANTING MANGROVE TREES
Since 2009, eight hectares of destroyed sea terrain area has been reconstructed by planting
approximately 13,600 mangroves seedlings in two areas, Blonkeng Island and Patam Lestari.
This process helps the community protect the shorelines from erosion.
Picture Above: Destructed sea terrain at Blonkeng Island
Picture Above: Re-planted sea terrain at Patam Lestari
6
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
2.2 COMPOSTING PROGRAM
Since November 2008, McDermott has provided a composting plant facility for a
neighboring community at Tanjung Sengkuang, Batu Ampar, Batam and Kampung Melayu
Batu Besar, Batam. With this program, the community has managed to process their
garbage to become compost and organic fertilizer which reduces the volume of garbage that
is thrown to the final dumping area. At the same time, this program helps in developing an
environmental and financial stewardship among the community members as the fertilizer is
recycling waste and has an economic value.
McDermott is proud that this program had been recognized by others companies in
Indonesia and has become a success example of the CSR program. One company, PT. Astra
Otoparts Tbk, visited the composting site to see firsthand and benchmark the program on
6th April 2011. A total of 23 branch managers of the joint venture company reviewed the
small facility and witnessed how the machine works.
7
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
2.3 GARBAGE FACILITY & ROAD BEAUTIFICATION
In the local village of Batu Merah, McDermott provided a motor cart for transporting and
built a proper waste bin to sort waste for recycling. Prior conditions were unhealthy and
difficult to manage.
8
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
In conjunction with a government program to beautify Batam, McDermott chose an area of
roadway along Kerapu Road and Batu Ampar to clean and plant small trees and greenery. In
addition, McDermott sponsors a quarterly roadside cleaning program which began in the
summer of 2010. Employees and clients work together to clean the roadside of rubbish to
promote our clean program with the motto “Batam Clean, It’s What We Have”!
Before
After
Photos of Batam Clean Up Day Program
3. OTHERS CSR PROGRAM
3.1 KIDS HELMET PROGRAM
With the intention of protecting employees’ children from potential injury and raising
general road safety awareness, the management of three McDermott facility projects
(Chevron Platong Gas II, Woodside North Rankin B and Esso Kipper Tuna Turrum) funded
standard (SNI) children’s’ size motorcycle helmets for all local employees. The symbolic
handover was held on 30 November 2010 and attended by representatives of each project
and McDermott management in Batam. The helmets were distributed in November 2010.
9
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
3.2 SAFETY AWARD LUCKY DRAW
To increase awareness and promote our facility free from hand injury, employees, Martua
Ganda Simanjuntak and Faber Hutapea were chosen during the safety award lucky draw.
Both employees were awarded a 32 inch LCD TV.
10
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
Batam International Charity Fund Raising Events at a Glance
The Batam International Charity (BIC) is totally funded by money raised through an annual event
organized by McDermott staff. The event, previously known as the Batam Charity Bash, includes an
evening cocktail party, a golf tournament and an awards’ dinner. Funds are raised via corporate and
individuals sponsorship. The event celebrated its 10 Years of Giving in March 2011.
11
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
Batam International Charity Projects
1. SCHOOL SUPPORT
BIC started the charity program in 2002. As of June 2010 (school fees paid in the month of June
every year), there have been 3,065 children supported through the school fee and uniform
program.
Year of Donation
2002
2003
2004
2005
2006
2007
2008
2009
2010
Total
No of School
8
4
5
17
8
5
10
13
47
117
No of Children
268
331
204
508
359
201
397
313
484
3065
2. ORPHANAGE SUPPORT
2.1 FOOD SUPPORT
BIC provides a bi-monthly food support program for the orphans and the destitute.
12
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
2.2 ORPHANAGE EQUIPMENT SUPPORT
In addition to food support, orphanages whose facilities’ equipment and supplies are no
longer suitable, BIC has provided new replacements.
Before
After
2.3 ORPHANAGE CARING PROGRAM
BIC schedules a bi-monthly caring program for the children of the orphanages to allow them
a fun and enjoyable day with food and games.
13
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
3. GENERAL SUPPORT
3.1 HOUSEKEEPING PROGRAM
The quarterly housekeeping program provides a team of volunteers that work with an
orphanage for a day of cleaning. The program teaches the orphans how to live take care of
their dormitories and to live within a healthy and clean environment.
14
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
3.2 SUPPORT FOR DESTITUTE
Newborn & Pregnancy Program
Elderly Program
3.3 USED COMPUTER DONATION
15
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
4. BUILDING SUPPORT
Since its beginning in 2002, BIC has constructed 49 orphanages and schools in Batam. The
construction projects vary between the roof repairs, ceiling and toilet renovation, kitchen
renovation, fencing and handrails installation, new water storage tanks and new build
orphanages.
RESTU ILAHI ORPHANAGE – WATER STORAGE TANK
Before
After
BETHESDA ORPHANAGE - FENCING
Before
After
16
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
ANNUR ORPHANAGE – WATER STORAGE TANKS
Before
After
RIZKY KHOIRUNNISA ORPHANAGE – STAIR HANDRAILS
Before
After
ALBARKAH ORPHANAGE – NEW CONSTRUCTION SPONSORED BY EXXON MOBIL
Before
After
17
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
RIYADHUS SALIHIN ORPHANAGE – NEW CONSTRUCTION BY BIC
Before
After
5. MEDICAL SUPPORT
Various degrees of support have been given in surgeries of hydrocephalus, colostomy and
herniated children.
18
McDermott International, Inc. – Batam, Indonesia
IPLOCA Corporate Social Responsibility
6. HINTERLAND SUPPORT
BIC supports are also given to provide toilet construction and school support for SDN 003 and
basic necessities support for the island communities.
-END19