TEP BELGRUZAVTOTRANS SUSTEINABILITY REPORT

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1 TEP BELGRUZAVTOTRANS SUSTEINABILITY REPORT 2011

2 Statement of TEP Belgruzavtotrans General Director to support Global Compact TEP BELGRUZAVTOTRANS is a Company which has been operating on international freight forwarding and shipping market for almost 18 years. During the period its activities (starting from the date of establishment in 1994) our Company has obtained reputation of highly qualified and secure partner. Today TEP BELGRUZAVTOTRANS holds notable place among leading transport companies. Our enterprise has been developed dynamically. We constantly renovate the fleet of own trucks, use innovative solutions in logistics systems, develop professional skills of our specialists. It supports in increasing efficiency and optimization of business processes, terms of delivery, while excluding any intermediaries. Each our day is providing services and optimal solutions of transporting cargoes for companies operating in different spheres and industries. TEP BELGRUZAVTOTRANS develops and realizes multitask transport solutions for delivery of cargoes using automobile, sea, railroad and air transportation. We forward different types of products, such as chemical, metallurgical, wooden, fabric and other goods. One of the main areas of our activity is transportation of dangerous (ADR) cargoes. For completing this mission we possess all required permissions and licenses, well trained personnel and required devices. Performing multimodal shipments our company provides high level of service to all our clients. Recognition of Company s professionalism confirmed by membership in such associations as International Federation of Freight Forwarders Associations (FIATA), Belarusian Association of International Road Carriers (BAIRC), Belarusian Association of International Forwarders (BAIF) and Belarusian Chamber of Commerce.

3 Our company bases its activity on client-oriented principles. It is vitally important for us to conquer and preserve clients trust. Understanding of customers demands and competent reaction on their requests in modern conditions can be reached only by highly effective processes of operation. Staffing Policy of the Company has been made to provide social security and maintaining safe working conditions. Safe work, health and environmental protection are basic principles for reaching main targets of the enterprise. Since 2011 in our Company has been applied and active Quality Management ISO In 2001 our Company was first to get SQAS certificate among transport enterprises in Belarus, which confirmed matching all demands of European chemical enterprises CEFIC and allowing carrying dangerous cargoes. We are purchasing Euro-5 standard trucks with low rate of air pollution. All the trucks are equipped with devices for transporting dangerous cargoes for cargoes secure fixing inside trailers. All the drivers have been specially trained regularly. The enterprise conducts purposeful policy of accident decreasing of and diminishing number of malfunctioning of the fleet along with excluding cases o traumatism. The Company have developed and applied effective payment system which stimulates employees for effective performance, comprising on unity of each employee s interests and the Company in whole, which constantly have been upgraded and is up to date. There is a number of Clauses, which aim efficiency of production, liquidate shortages, and support in reaching final results with minimum expenses.

4 Our Company has constantly active educational system and system of professional skills improvements. Each year we establish a plan of educational processes for employees. All financial expenses are covered by the Company. Preparation and education of the personnel have been conducted during the whole period of work to all employees of the Company. TEP BELGRUZAVTOTRANS organizes and covers expenses for medical treatment to all personnel and pays all health insurance fees, which are stipulated by the rules of voluntary insurance of medical expenses. Employees of the Company get financial help, anniversary rewards; children of the employees get NewYear gifts. We organize annual competition among drivers, and winners have been rewarded. It is stipulated rewards for personnel which maintained and adopted rationalization proposals, fuel economy and so on. Our Company on voluntary basis regularly provides material assistance to Belarusian Society of Disable People (annual help before Victory Day), deliver charitable support to Minsk Eparchy. TEP BELGRUZAVTOTRANS participates in Best Forwarder of the Year and Best Transporter of the Year in the Republic of Belarus contest and has become a winner many times in Belarus and in CIS and awarded by IRU and BAIRC. In 2012 our company took part in the transport exhibition TransRussia As a result of this exhibition we gained the opportunity to find new business partners as well as to promote the services of our company on the market of international transportations. General Director of TEP BELGRUZAVTOTRANS M.Ioda

5 Principle 1: Businesses should support and respect the protection of internationally proclaimed human rights. Rules of corporate policy Rules of corporate management Quality policy Regulation in recruitment and resignation. In casual work TEP Belgruzavtotrans is driven by rules of Corporate policy and by principles, that are fixed by Constitution of Belarus and labor Code of the country. TEP Belgruzavtotrans follows, protects and supports human rights, providing the right to labor by creating working places. Individual contract is concluded with each employee it includes all right and responsibilities of parties and also working, leisure and salary conditions and other things. TEP Belgruzavtotrans provides it s employees health protection under legislation of Belarus, providing the possibility of privileged medical insurance. Annual voluntary vaccination against flu is also prescribed. In TEP Belgruzavtotrans took active part in realization of publicly important projects, directed on human s health protection. TEP Belgruzavtotrans has set integrated management quality system, responding with ISO

6 9001:2009.Accepted standards promote the organization of effective client-oriented management, reduction of nonproductive cost, providing and following the obligatory norms and requirements to quality of service, improvement of cooperation with regulating and inspecting authorities and also improvement of working conditions and safety at a working place. The accomplishment of the main duty in quality area is provided by: setting up-to-date logistics technologies; renewal of automobile fleet and keeping its technical condition in accordance with requirements of UNECE; professional training and retraining of employees and improvement of employee motivation methods ; improvement of planning processes, reporting and analyses as a basis of making an effective managing decisions; setting in production and management IT technologies, software, modern means of communication ; improvement of companies actual quality system, constant search and setting of up-to-date technologies and managing decisions that provide the reduction of negative responses and possible noncompliance in organization of carriage and forwarding process. The main motivation in accomplishment of these duties are employees of our company. They make their work skillfully, responsible and perfect. They show the initiative for the good of development of the company. It is the guarantee of carrying out and functioning of the companies quality policy. Safe labor, health and maintenance of environment are basic principals in realization of main goals of the 141 company. Constant development and prosperity of the company- is the basis of individual well-being of each employee. In TEP Belgruzavtotrans has recruited new employees.

7 Principle 2: Make sure that they are not complicit in human rights abuses. Rules of corporate behavior Rules of corporate managing Initiate steps TEP Belgruzavtotrans strictly follows the constitution of The Republic of Belarus and the labor legislation, providing the realization of basic human rights, right to work and right to rest. Fair payment system is set in the company. Each employee has the possibility to improve his/her well-being constantly, through improving his/her effectiveness. Administration of the company rapidly reacts on all remarks and requests of the employees, concerning working conditions. Communicating system is set and successfully works in our company, which makes affairs between employers/ shareholders and recruited personnel absolutely transparent.

8 Principle 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining. Rules of corporate managing Recruitment and dismissal statement Individual contract is concluded with each employee it includes all right and responsibilities of parties and also working, leisure and salary conditions and other things. TEP Belgruzavtotrans fully provides the support of associations that protect rights of vulnerable society groups. Our company supports such public associations as Belarussian association of invalids (annual transfers dedicated to Victory day) makes charity help to Minsk eparchy.

9 Principle 4: The elimination of all forms of forced and compulsory labor. Rules of corporate managing of labor contracts and titular instructions is set in TEP Belgruzavtotrans, where basic rights, duties and functions of employees are spelled out. Any initiative that is outside of role duties and which is making extra value to the company is favored. Also the company follows the rules of labor schedule and extra-time working is paid in accordance with rates, that are set up buy Belarusian legislation

10 Principle 5: The effective abolition of child labor. Rules of corporate behavior Rules of corporate managing Individual labor contract between employees and TEP Belgruzavtotrans While making a labor contract with employee the company sets minimal age - 18 years. TEP Belgruzavtotrans doesn t create commerce and partner affairs with organizations that break the constitution and labor legislation of the Republic of Belarus in area of usage child and teen labor.

11 Principle 6: The elimination of discrimination in respect of employment and occupation. Quality management system Principles of corporate behavior TEP Belgruzavtotrans does not have any internal laws, which discriminate personnel in racial, national, gender, social, religious, language or any other signs. Representatives of different nationalities and religions completely freely work in our company. In effective motivation (payment) system, which puts all employees in even Conditions was applied and material rewards completely depend on results and efficiency of each member of the Company. Besides that the company has the statement about one-time payments and material aid. According to it in the aim of social protection of employees, the system of extra payments in case of marriage, birth of achild, death of close relatives, long-term illness and in case of ecological disaster, fire or mutilation is set in our company. Besides one-time payments to employees are made in case of anniversary, retirement and dedicated to the day of transport workers.

12 Principle 7: Businesses should support a precautionary approach to environmental challenges. Quality management system Principles of corporate behavior TEP Belgruzavtotrans strictly complies all demands of lean attitude towards to environment and provides working conditions matching international ecological standards. Taking into account, that one of the main areas of our activity is transporting dangerous cargoes, we emphasize, that all the drivers in our company as well as managing personnel have regular education and trainings regarding specificity of carrying dangerous goods. Also our enterprise purchases the newest devices for fixing the cargoes, in order to minimize probability of causing any harm to ecology. TEP Belgruzautotrans has SQAS certificate on compliance of demands and restrictions of European chemical enterprises CEFIC on shipping and handling of dangerous cargoes. Besides, our company follows declared by the state policy of lean energy and electricity consumption. It has become possible due to: internal temperature regulation depending on external temperature applying highly effective energy saving lamps heat energy economy by using systems of property management

13 Principle 8: Undertake initiatives to promote greater environmental responsibility Quality management system Principles of corporate behavior TEP Belgruzavtotrans undertakes measures in promotion basic principles of careful nature treatment, participating in realization of different social projects, such as Let s save Yelnya together (measures to restore meliorated swamps of Belarus). In the company constantly has been conducted informational and agitation work directed to nature protection. We also have measures of responsibilities for any deeds, causing harm to ecology. Encourage the development and diffusion of environmentally friendly technologies. Quality management system Due to specific character of transport-expedition enterprise, all our activities in this issue are aimed on purchasing modern vehicles with the engines Euro-4, Euro-5 ecological standards, which deliver minimum harmful substances in the air. In the Company had widened its automobile fleet on 10 such trucks.

14 Principle 9: Businesses should work against corruption in all its forms, including extortion and bribery. Principles of corporate behavior Employees of the Company are informed in written and verbal form regarding the policy of the enterprise in the sphere of financial policy and responsibility for violating basic transparency principles, as well as creating precedents of unfair rivalry. In TEP BELGRUZAVTOTRANS is made a multilevel harmonization system according to each agreement, which allows excluding any forms of corruption and bribery. Besides, the company has own system of internal audit, which has a mission to reveal any cases alike. We have to stress out, that in according to BAIRC s report, the level of official prices was one of the highest on the market, what means, that our Company does not hide its real earnings.

15 Conclusion TEP Belgruzavtotrans has been constantly developing its business processes taking into account the above mentioned Ten Principles of the Global Compact They are very necessary guidelines to build any business in right form. This approach not only helps to maintain better relations inside and outside the Company, but also strengthen competitive advantages of the company, and secure the business in whole. Besides, see, that following the basic principles of the Global Compact is a great example for other companies dealing with us. That is why we consider our membership in UN Global Compact as valuable resource, empowering our activities in very right direction TEP BELGRUZAVTOTRANS TRANSPORT & LOGISTICS COMPANY Contact information Babushkin str, 33 Minsk Republic of Belarus Tel: Fax:

16 Annual quantity of shipments

17 Dynamics of automobile fleet development

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