Slide 1: Measuring South Deep's impact on communities
Measuring South Deep’s impact on communities ALLISON BURGER AND SVEN LUNSCHE September 2018
Slide 2: Agenda
Agenda • Group positioning • Key findings of baseline study • Implications for South Deep including changes at South Deep and its socio-economic context • Key findings of SROI assessment • Strategic recommendations for South Deep’s Social Licence to Operate • Key findings of relationship assessment
Slide 3: Group Societal Acceptance Charter 2020
Group Societal Acceptance Charter 2020 Our Commitment to Society and Gold Fields’ Host Communities Build strong relationships and We have developed stronger relationships with key stakeholders, based on trust and open, honest trust and frequent engagement at all our operations Create and share value
Slide 4: Social and Community Affairs Measures
Social and Community Affairs Measures To build strong Company-Community relationships Grievances Community Priorities Relations and trust To create and share value To measure our actions and impact Host Community Host Community SED Spend Employment Procurement To deliver against our commitment Socia
Slide 5: Location of South Deep Mine
Location of South Deep Mine South Deep Impact Measurement | ICMM | September 2018 5
Slide 6: Socio-economic baseline study
Socio-economic baseline study Relevance: Understanding our people and their/our communities 2011 2016 2017 - Employee - Community - Employee - Community - Procurement • ERM commissioned to undertake socio-economic baseline and SROI studies • Study completed mid 2017 ahead of restructuring of South D
Slide 7: Socio-economic baseline - employees
Socio-economic baseline-employees Change in South Deep Employee Demographics South Deep Impact Measurement | ICMM | September 2018 7
Slide 8: Socio-economic baseline - employees
Socio-economic baseline - employees Residential status of workforce South Deep employment within Westonaria South Deep Impact Measurement | ICMM | September 2018 8
Slide 9: Socio-economic baseline - employees
Socio-economic baseline - employees Employment and Income comparison Highest education level comparison South Deep Baseline and SROI | July 2018 9
Slide 10: Socio-economic baseline – employees and community
Socio-economic baseline – employees and community South Deep Impact Measurement | ICMM | September 2018 10
Slide 11: Socio-economic baseline - community
Socio-economic baseline - community South Deep Baseline and SROI | July 2018 11
Slide 12: Socio-economic baseline - community
Socio-economic baseline - community South Deep Impact Measurement | ICMM | September 2018 12
Slide 13: Socio-economic baseline - procurement
Socio-economic baseline - procurement South Deep Impact Measurement | ICMM | September 2018 13
Slide 14: Implications on the business
Implications on the business South Deep Impact Measurement | ICMM | September 2018 14
Slide 15: Implications on the business
Implications on the business South Deep Impact Measurement | ICMM | September 2018 15
Slide 16: Social Return on Investment Study
Social Return on Investment Study
Slide 17: Social Return on Investment (SROI)
Social Return on Investment (SROI) Relevance: Understanding our social investments 2012 to 2017 Community Trusts SLP (LED and HRD community) Mine Gold Alliance • Selected 15 of 40 social investments using specific criteria: • Different investment sources • Various project stages • Host and LSA • Cur
Slide 18: Social investment by South Deep
Social investment by South Deep South Deep Impact Measurement | ICMM | September 2018 18
Slide 19: TVET Westcol
TVET Westcol Theory of change: Gold Fields through the Westonaria Community Trust initially SROI 1.24 GF only (Total est. 27) funded 100 learners to do vocational training at Sedibeng College. To meet the Met ToC Yes needs of the local community, a more local host community option for vocational tra
Slide 20: Calculated SROIs
Calculated SROIs South Deep Impact Measurement | ICMM | September 2018 20
Slide 21: SROI by thematic areas
SROI by thematic areas South Deep Impact Measurement | ICMM | September 2018 21
Slide 22: Moving forward and priorities for 2018
Moving forward and priorities for 2018 Recommendations based on study – • Bring in lessons from Westcol temporary to permanent facility • Review all ED business plans to make viable • Drive efficiencies in the delivery of the SLP projects, e.g. budgets for MMS/ AET • Use points of contact in communi
Slide 23: Company-Community Relationship Assessment
Company-Community Relationship Assessment
Slide 24: Measuring our Relationships with our host communities
Measuring our Relationships with our host communities Results of independent assessments show a positive upward trend at our operations Community support rose from 33% in 2015 to 52% in 2017 Community acceptance improved from 5% in 2012, to 7% in 2014, and to 32% in 2016 Strong community support wit
Slide 25: About the ICMM UCCR Relationship Assessment Toolkit
About the ICMM UCCR Relationship Assessment Toolkit Key indicators of community support The four key indicators according to the toolkit, are: Reputational context • Respect • Trust • Legitimacy • Compatibility of interests Respect These indicators are within the control of mining companies. Trust C
Slide 26: Research methodology
Research methodology Data-collection: Extending the relationship assessment to seven other communities • Learnings from the 2016 pilot study applied • Data-collection from 12 – 26 June by a supervised team of eight survey officials recruited from the seven communities • Interviewed random community
Slide 27: Community support indicators
Community support indicators Overall scores for community support indicators Composite -2 -1 0 1 2 rating score Very poor to poor performance by Poor to moderate performance by Moderate to good performance by Good to very good performance Indicator South Deep. Community support is South Deep. Commun
Slide 28: Progress since 2014
Progress since 2014 Comparison between survey results of 2014/2015 and 2015/2016 • Gold Fields commissioned a Relationship Proximity Assessment (RPA) in 2014/2015. • Relationships with all communities have improved over the last 2 years, except with Westonaria and Venterspost. South Deep Impact Meas
Slide 29: Mining impacts
Mining impacts We added questions on perceived mining impacts to the UCCR tool ● Six groups of mining impacts were measured: ̵ Three potential negative: (1) Social wellbeing, (2) Environment, (3) Housing & accommodation ̵ Three potential positive: (4) Employment & training, (5) Opportunities for loc
Slide 30: Conclusions and Recommendations
Conclusions and Recommendations
Slide 31: Value proposition
Value proposition Value of Socio-economic Baseline, Relationship Assessment & SROI We now understand the changes / context better Gold Fields Commitments in the community, the value / return on our projects, relationship status and areas to improve. Gold Fields Actions To build strong This gives us
Slide 32: Key learnings
Key learnings What our work has shown: ● If you want to maximise your impact then systematically use socio-economic data to identify, define and manage social and sustainability programmes towards shared value ● You have to design and implement programmes / projects to maximise social change and NOT
Slide 33: Thank you
Thank you