Abstract

Introduction

Baiada Poultry Pty Limited is a fully integrated Australian-owned family business. The third largest processor in Australia, it has recently expanded into the states of Victoria and South Australia through the acquisition of several businesses - Marven and Eatmore Poultry, Pridham Rendering Plant and Adelaide Poultry processing plant. The company now employs over 2500 people and holds approximately 19 percent market share in Australia.

As an integral part of the expansion in operations at Baiada Poultry Pty Limited, it has long been recognised that good environmental management is fundamental to the long-term prospects and integrity of the business. The company pledged a commitment to achieve this through the issue of its first Environmental Policy in February 2001 which has since been reviewed, and consequently through the establishment of a certified Environmental Management System that would meet the requirements of International Standard / Australian Standard/ New Zealand Standard 14001 (hereafter referred to as AS/NZS ISO 14001) to be applied across all elements of the Baiada Group. This would not only demonstrate a systematic and proactive approach to environmental management, but would also publicly proclaim the company’s environmental program.

Due to the diverse nature of the operations, it was decided that a pilot program targeting one of the local Sydney sites would form the basis for development and implementation of such a system. Then following successful Certification, the system would be then taken across the remaining sites in a planned, strategic manner. The site chosen for this program was the hatchery at Marsden Park, producing approximately 600,000 day-old broiler chickens per week. This site was chosen for its relative simplicity of the process and its location in Sydney which facilitated contact with personnel at the Head Office at Pendle Hill.

Methods

The approach

In 1997, Baiada achieved Quality System certification to AS/NZS ISO 9002:1994 which was in time applied across all its operations. This was driven by the need to consolidate the existing procedures, focus more on a systematic approach to food safety and demonstrate a firm commitment to our customers in regards to quality.

During development of this Quality System, it was recognised that there had been not only insufficient ownership and consultation with the key supervisors and managers, but also that the system had been introduced to many sites concurrently which was not conducive to a streamlined adoption of the new procedures and manuals. The approach to the EMS has been much improved in that a single site was selected as a pilot study to develop the System and then successful Certification would enable it to be carried across the remaining business entities, tailoring the procedures accordingly and involving relevant management.

Consequently an EMS Development Team was established, comprising of the then Divisional Manager, the Hatchery Manager, the Special Projects Co-ordinator and the now National Environmental Risk Manager. The process began with a detailed presentation given to the Team and to key personnel employed at the Hatchery to outline the proposed methodology and the reasons why the Company felt that this was important not only to the future viability of the business, but to also contribute to the protection and sustainability of the environment.

Environmental review

The initial step was to conduct a full environmental review, examining the current aspects (causes) and impacts (effects) of

• the process
• the capital equipment in use and
• the legislative requirements pertaining to the site.

The review considered what was already in place and previous environmental

performance, both positive and negative, including conditions previously imposed on the site under an EPA licence and any audits performed in the past. Other considerations were prior complaints, prosecutions and / or fines.

This review was facilitated by development of a flow chart outlining the steps in the hatchery operation (“the process”) and this was used in a brainstorming session to identify the inputs and outputs in each of those steps. The aspects and impacts of capital equipment used in the hatchery were identified through the Assets Register while legislative requirements entailed a search of relevant legislation facilitated though use of the Internet. This legislation search covered a wide area and was perhaps the most time-consuming part of the review and considered the following:

• Discussion with relevant regulators concerning the legislation which may be applicable to the site in question.
• Regular (six monthly) search of the Internet to access the laws and regulations ensuring any relevant Amendments are applied.
• Liaison with environmental consultants where technological expertise was required.
• Copies of Development Approval (s) for the sites.
• Reference to any Environmental Impact Statement (EIS) or Statement of Environmental Effects (SEE).
• Information taken from the appropriate State poultry industry guidelines or Codes of Practice.

Identification of aspects and impacts and their significance

Through this, the environmental aspects and impacts were identified and listed on a Register, which then was subject to a risk assessment by the Team (using Tables 1 and 2). Table 1 assesses each aspect and impact that was deemed to pose a risk to the environment. Table 2 assesses the risk taking the legislative requirements into consideration.

Table 1. Environmental effect assessment using risk

Likelihood of occurrence	Risk score	Likelihood of detection	Risk score	Severity of consequence	Risk score
Criteria	Rank	Criteria	Rank	Criteria	Rank
Very High	6	Certain	1	None	1
High	5	Very High	2	Minor	2
Moderate	4	High	3	Low	3
Low	3	Moderate	4	Moderate	4
Very Low	2	Low	5	High	5
None	1	Very Low	6	Very High	6

Table 2. Legislative effect assessment significance scale

Scale	Description	Criteria
1	No Legislative Effect
2	Negligible	Very small effect with low probability of occurrence
3	Minor	Abnormal conditions would cause a breach of statutory regulations. Effect and probability of occurrence are both small
4	Significant	The activity has an effect under normal operating conditions and results in a breach of statutory regulations under abnormal conditions. Effect and probability of occurrence are moderate
5	Major	The activity under abnormal conditions is a major breach of statutory regulations. Effect, as a result of quantity and type of material, is extensive.

(Hillary)

Example of diesel storage at Marsden Park Hatchery

Activity/Product/Service	Aspect	Impact
Storage of diesel fuel in tank.	Risk of leak	Potential contamination of or spill land,stormwater/ waterways

Points to consider:

Tank is located in a bunded area. If the tank bursts, the bund wall would hold the fuel unless there was heavy rain that could cause overflow. Tank was second-hand, so possibility of rupture would be greater than if it were a brand new tank.

Example : diesel storage using Tables 1 and 2

Likelihood of Occurrence:	4 (Moderate)
Likelihood of Detection:	2 (Very High)
Severity of Consequence:	5 (High)
Legislative Effect:	3 (Minor)
TOTAL SCORE:	120

Where the multiplied risk scores totalled 100 or more, the impact was then deemed to be SIGNIFICANT. A Register of Significant Impacts was compiled listing the greatest risk to the least and the Team collectively chose those Impacts that they should manage first.

Table 3 was developed to establish the use of natural resources (such as water, wood) and non-renewable resources such as electricity, fuels and the like. The risk assessment was completed in the same manner as that described above and again Table 2 was referred to for any legal requirements for that aspect.

Table 3 Environmental Assessment of Natural / Non-Renewable Resources

Level of, or effect of use	Rank	Recycling or Steps for Improvement	Rank	Monitoring & / or Maintenance	Rank
Very High	6	None	6	6 Monthly +	6
High	5		5	3 Monthly	5
Medium	4		4	Monthly	4
Low	3	Moderate	3	Weekly	3
Very Low	2		2	Daily	2
None	1	All	1	N/A or evaluated	1

Setting of objectives and targets and development of the Environmental Management Program

In doing so, it enabled the setting of objectives (environmental goals) and targets (measurable performance requirements arising from the objectives). This decision was based on two criteria:

• those impacts that would be most easily managed at the outset and
• availability of capital as well as the current activities occurring at the hatchery.

This was then translated into an Environmental Management Plan (EMP) with the

designation of responsibility for actions to be taken and time frames for completion.

The cut-off point at a score of 100 was a Team decision based on the number of impacts that were risk assessed, comparing the highest and lowest scores and examining where the significance was deemed to be of lesser importance. These impacts scoring below 100 were left on the Aspects and Impacts Register and will be dealt with when the Significant Impacts are controlled and risk assessed to no longer be in that category.

Over time, changes to systems, procedures and procurement of capital items will affect inputs and outputs of the processes as well as the environmental aspects. Discussion and details of system changes have now been included on the agenda for environmental system review meetings so that such events are immediately included in the overall EMS as soon as they are planned to occur, so that all possible environmental impacts can be considered in addition to relevant quality and Occupational Health and Safety issues. Any such changes which score above 100 using the Risk Assessment Tables are then reviewed thoroughly prior to proceeding to ensure that they are the best possible alternatives available. If this is so, then any significant impact(s) will be added to the list and embodied into the EMS in this manner.

As various significant impacts are managed or controlled, they then become an integral part of the way in which the site is managed. Such management and control is detailed in the procedures either through monitoring forms, Standard Operating Procedures or if the risk has had an engineering solution, a reference in the Operational Control Manual would suffice with relevant maintenance procedures to support this equipment. The risk assessment process is then reapplied obviously showing a lower score, and therefore the Significant Impact Register will change.

Supplementary Documentation

As environmental management systems and procedures evolved, so did the Operations Manual detailing how each type of aspect was to be managed supported by the Standard Operating Procedures. It covered current handling of solid and liquid waste, discharges to air and water, prevention of pollution to waters, waste water and soil management, noise pollution, management of air quality, recycling programs, handling of environmental complaints and emergency preparedness and response. This Manual as well as the overall EMS proved to be invaluable in assisting the site to obtain Development Approval through Council for an urgent extension and was so able to demonstrate an obvious on-going commitment to diligent environmental management.

The existence of the certified Quality System to AS/NZS ISO 9002 was of immense help as it provided the basis for those concurrent requirements in the AS/NZS ISO 14001 Standard. Minor amendments needed to be made to those clauses in the Quality System that dealt with Management Review, Training, Structure and Responsibility, Document Control, Checking and Corrective Action, Records and Systems Audits to enable compliance with the EMS Standard, in turn seizing the opportunity to incorporate the amended AS/NZS ISO 9001 (2000) version. Over time, the EMS has been upgraded to meet the more recent ISO 14001:2004 Standard for Environmental Systems.

Personnel involvement

The EMS Development Team initially met once a month in order to maintain the momentum and to endeavour to achieve Certification by the end of the calendar year and now, post-Certification, bi-monthly meetings occur to ensure that the Program is maintained with regard to timeframes and overall targets. As EMS evolves on each site the experience has been that once potential pollution issues have been controlled, the focus shifts to more sustainability matters that will also improve the bottom line. The Team has been restructured due to management changes and involves personnel on site now having full responsibility to carry through the Environmental Management Program to meet their targets and objectives. These reviews provide the basis for the continual improvement, checking on progress and amending processes where necessary to meet and even exceed the desired outcome, where possible. The Team-based approach has undoubtedly contributed to the way in which the EMS has become integrated into the normal everyday management of the hatchery.

Decisions that are required which lie outside the scope of responsibility for this Team are referred to their most Senior Manager. Guidance is still provided when required by the National Environmental Risk Manager assisted by environmental consultants, where necessary. A monthly report is also prepared for Senior Management to assist in their Management Review of the system as well as six monthly updates after each round of external and internal audits.

As objectives and targets are met, regular updates are provided to site staff to explain the achievements and to highlight the changes that have taken place and those that are due to take place. Their involvement has been critical in the aims to meet certain goals, such as reduction of water use on site. Prior to the granting of the previously mentioned Consent for the extension, the hatchery waste water was irrigated over the adjoining land. Major works needed to be undertaken for this to continue and as time was pressing, the decision was made to remove the waste water from site in the short term to allow either the works on the land to be carried out or to investigate the possibility of a connection to sewer. The contribution of the staff both in behavioural changes and contribution of ideas for saving water have been fundamental towards meeting the reduction targets that have been set.

It should be noted that the various Monitoring and Measurement that is required by the EMS and is a result of the drive for improvements has resulted in establishment of some Key Performance Indicators that are tools for tracking the reduction waste and so contributing to lower production costs. These KPI’s are displayed throughout the hatchery in graph format to provide feedback to staff and so encourage further progress towards meeting the set goals.

Certification

In September 2001, it was decided that a preliminary assessment should be carried out by the third party assessors in preparation for the final Certification audit. This was a valuable tool in correcting any errors and streamlining the System. Once Certification was granted in January 2002, the way was clear to then commence bringing other sites on board. A number of different activities will be further certified by the end of this calendar year.

Benefits of the EMS to Baiada Poultry

The benefits have been many, but the most significant ones have been:

• the ability to demonstrate due diligence when issues have arisen
• much improved compliance with legal requirements – this benefit cannot be underestimated
• a significant shift in relationships with regulatory authorities – the company has now established credibility in its environmental management and is now seen as an industry leader. Two recent audits of high risk DEC licensed premises in NSW resulted in only one minor non-conformance
• ability to easily identify required information in relation to its environmental aspects – which has been fundamental for involvement in government-funded projects such as the Sydney Water “Every Drop Counts”, project, the NSW EPA’s “Cleaner Production Project” and voluntary obligations such as being a signatory to the National Packaging Covenant.

Conclusion

The whole exercise has been a tremendous learning curve for all involved, most of whom have had limited environmental experience. The EMS has been established without large resourcing, so making the achievement even more significant. The structure of the System is sound, and the identification of environmental aspects has proved robust. Additionally, involvement of a range of people has made for a broader understanding and ownership of the principles and has made operation of the system much more likely within the Company. The challenge in carrying its implementation across the rest of the Baiada Group is now almost complete with the high risk sites, and demonstrates a serious and committed effort to improve upon current activities, products and services to strive to achieve and maintain excellence in environmental management.

References

Hillary, R. (1995) The Eco-Management and Audit Scheme: A Practical Guide. Technical Communications Publishing Limited, England