Global Reporting Initiative (GRI) Index 2022

GRI Standard Description Location/Disclosure
 102-1  Name of the organization About Lubrizol, page 2 
 102-2  Activities, brands, products, and services About Lubrizol, page 2
 102-3 Location of headquarters  About Lubrizol, page 2
 102-4 Location of operations  About Lubrizol, pages 2-3
 102-5  Ownership and legal form About Lubrizol, page 2
 102-6 Markets served  About Lubrizol, page 2
 102-7 Scale of the organization  About Lubrizol, pages 2-3 and Sustainability Scorecard
 102-8 Information on employees and other workers 

Of our 8,499 total employees:

  • 98% of our male employees and 97% of our female employees are permanent.
  • 4% of the Europe employees, 2% of Asia Pacific employees and 1% of North America employees are temporary.  Latin America does not have temporary employees.
  • 99% of our male employees and 96% of our female employees are full time.

Also in the report:
     About Lubrizol, page 3
     Social, page 21

 102-9

Supply chain 

Our global supply chain serves all Lubrizol business units. We work with our suppliers to create a supply chain that is built on shared responsibility and trust. We partner with our suppliers, especially our more than 100 Tier I suppliers, on a variety of activities including  transportation and logistics, sustainable sourcing, business continuity and risk management. Supplier selection and engagement are highly dependent on legal and ethical conduct, reliability, and continuous improvement. 

Also in the report:
     Environment, page 15
     Governance, page 29  

 102-10 Significant changes to the organization and its supply chain 

During 2021 and 2022, several changes were made to our Senior Leadership team, including the departure of our former CEO and the appointment of Mary Rhinehart as interim President and CEO, effective March 11, 2022. In September 2022, we announced the appointment of Rebecca Liebert as Lubrizol's incoming President and CEO, effective October 3, 2022. Ms. Rhinehart remains Lubrizol's Advisory Board Chair. 

Lubrizol currently consists of two segments: Lubrizol Additives (LZA) and Lubrizol Advanced Materials (LZAM). During 2021, we dissolved our Corporate Ventures segment, and reassigned its innovation initiatives to the relevant business units. 

Like many global companies that support a variety of industries, Lubrizol continues to be impacted by global supply chain constraints, which are due in part to the ongoing and lingering effects of COVID-19. 

Also in the report
     Company Overview, page 2

 102-11 Precautionary Principle or approach  The Lubrizol Corporation is not currently a signatory to the UN Global Compact and we do not specifically apply the Precautionary Principle or approach as defined by the United Nations. However, we have a strong culture of reporting and transparency, and utilize a conservative, risk-based approach to any decision-making that relates to health, safety and environmental factors. We also aim to comply with all applicable standards and our company has signed on to the American Chemistry Council’s Responsible Care® Global Charter, which affirms our commitment to apply Responsible Care principles and expectations globally. All of these efforts give us a high degree of confidence that we are taking the appropriate precautions in protecting health, safety and the environment. 
 102-12 External initiatives 

Since 1953, Lubrizol has been a member of the leading U.S. chemical manufacturer trade association,  currently known as the American Chemistry Council (and  formerly known as the Manufacturing Chemist Association until 1978 and the Chemical Manufacturers Association until 2000). In 1988, Lubrizol was one of the cofounders of the association's Responsible Care® program, which is the industry's commitment to the health and safety of employees, the communities in which we operate and the environment as a whole. Lubrizol remains an active member of ACC and participant in the Responsible Care® program.  

Also in the report:
    Social, page 16

 102-13 Membership of associations 

Representative list of associations in which Lubrizol is a member:

  • American Chamber of Commerce to the EU 
  • American Chemistry Council
  • Association of International Chemical Manufacturers
  • Chemical Industries Association
  • China Petroleum and Chemical Industry Federation
  • Chlorine Institute, North American Manufacturer’s Association 
  • Confederation of British Industries
  • European Center for Ecotoxicology and Toxicology of Chemicals
  • European Federation for Cosmetic Ingredients
  • European Petrochemical Association
  • European Technology Platform for Sustainable Chemistry
  • Global Automotive Stakeholder Group
  • Independent Commodity Intelligence Services
  • International Association for Soaps, Detergents and Maintenance Products
  • Japan Chemical Industry Association
  • Korea Automobile Manufacturers Association
  • National Fire Protection Association
  • Plastic Pipefitters Association 
  • Singapore Chemical Industry Council Limited
  • The Additive Technical Committee
  • The European Chemical Industry Council
  • Union of the European Lubricants Industry
  • Vinyl Institute
  • VinylPlus
 102-14 Statement from senior decision-maker  Message From the CEO; Message From the CSO, pages 7-8
 102-16 Values, principles, standards, and norms of behavior  Lubrizol's Sustainability Journey, pages 4-5
Message From the CEO; Message From the CSO, pages 7-8
Environment, pages 9-15
Social, pages 16-25
Governance, pages 26-29
 102-17 Mechanism for advice and concerns about ethics

Questions or concerns may be directed to the corporate ethics office at +1 440-347-5000. Questions or concerns can also be submitted through the Navex Global hotline. Navex Global is an independent firm that provides reporting services to Lubrizol.

 102-18  Governance structure

Lubrizol's Executive Council serves as the highest decision making body and is comprised of the company's senior leaders.

During 2021 and 2022, several changes were made to our Senior Leadership team, including the departure of our former CEO and the appointment of Mary Rhinehart as interim President and CEO, effective March 11, 2022. In September 2022, we announced the appointment of Rebecca Liebert as Lubrizol's incoming President and CEO, effective October 3, 2022. Ms. Rhinehart remains Lubrizol's Advisory Board Chair. 

Lubrizol's President and CEO, reports to the company's parent company, Berkshire Hathaway. 

Also in the report:
     Governance, pages 26-29  

 102-20  Executive-level responsibility for economic, environmental, and social topics Elizabeth Grove, Chief Sustainability Officer and President of the Lubrizol Foundation

Also in the report:
     Governance, pages 26-29
 102-23 Chair of the highest governance body

Lubrizol's President and CEO chairs the Lubrizol Executive Council.

Also in the report:
     Governance, page 28

 102-31 Review of economic, environmental, and social topics Ongoing
 102-32  Highest governance body's role in sustainability reporting Lubrizol's Chief Sustainability Officer is responsible for oversight of the sustainability program and reporting.  This role reports into the Senior Vice President Corporate Responsibility and Chief Legal Officer, who serves on the Executive Council.

Also in the report:
     Governance, page 28
 102-40 List of stakeholder groups 

Employees, potential employees, customers, suppliers, partners, communities where we operate, nongovernmental organizations, parent company, regulators, policy makers, peers and industry associations.

Also in the report:
     Our Sustainability Commitments, page 1

 102-41  Collective bargaining agreements As of December 31, 2021, approximately 30% of our global workforce was covered by a collective bargaining agreement.
 102-42 Identifying and selecting stakeholders 

Our sustainability materiality assessment, which included more than 30 internal and external stakeholder interviews, was conducted by a third party in 2018. Our assessment and review process included the following steps:

  1. Identification of stakeholders – to assure we engaged with key stakeholders, identified as our functional leaders, employees, customers, peers, suppliers and industry associations;
  2. Prioritization of topics – based on stakeholder input and analysis of the information collected; and
  3. Validation – of the results with key leaders in the organization.

In 2019, 2020 and 2021, we continued to engage with stakeholders on sustainability-related topics, and further evaluate the significance and impact of our material topics. 

Also in the report:
     Lubrizol's Sustainability Journey, pages 4-5

 102-43  Approach to stakeholder engagement

Our approach to sustainability includes driving engagement with our stakeholders. This includes helping our customers meet their sustainability goals by continuing to provide innovative solutions that enhance performance and minimize environmental impact.

In many of our locations, community outreach efforts revolve around first responders, in line with our commitment to ensure the safety of our facilities and our communities. Our facilities hold regular trainings, drills and plant tours with local fire departments and emergency responders. Additionally, a number of our facilities have established Community Advisory Panels (CAPs) to ensure a pipeline of feedback and opportunities for mutually beneficial engagement.

For information on how we engage with our Employees, see pages 20- 22 in the report. 

For information on how we engage with our Communities, including our Global Goals/Local Actions community investment strategy, our Building Global Bonds day of service and the efforts of The Lubrizol Foundation, see pages 22-25 in the report.

Also in the report:

    Lubrizol's Sustainability Journey, pages 4-5; Environment, page 9

 
 102-44 Key topics and concerns raised 

In 2021, our business and our people continued to face challenges related to COVID-19. We have remained focused on keeping our people and our communities safe. In 2022, we began bringing more employees safely back into the workplace while continuing to manage hybrid work arrangements. In addition, like many global companies that support a variety of industries, Lubrizol continues to be impacted by global supply chain constraints, which are due in part to the ongoing and lingering effects of COVID-19. 

During 2021 and continuing into 2022, we have made concerted efforts to drive continuous improvement in operational efficiency, cybersecurity and health and safety. Unfortunately, our facility in Rockton, Illinois, experienced a fire in June 2021. There were no injuries as a result, and the facility has been closed since the incident. 

Also in the report:
     Lubrizol's Sustainability Journey, pages 4-5 

 102-45 Entities included in the consolidated financial statements  Not applicable
 102-46 Defining report content and topic Boundaries  Sustainability Disclosure Information, page 1
Lubrizol’s Sustainability Journey, pages 4-5
 102-47 List of material topics Lubrizol’s Sustainability Journey, page 5
  102-48  Restatements of information Not applicable
 102-49 Changes in reporting  Given the changes in our Executive Leadership Team and a variety of challenges during the reporting period, we elected to produce this standalone sustainability report in 2022 - instead of a combined Company Report that we published for the previous two years.
 102-50  Reporting period

This report was issued in October 2022 and is primarily focused on activities that occurred in 2021 or ongoing activity from previous years, with updates from 2022 where indicated. 

Also in the report:
     Sustainability Disclosure Information, page 1

 102-51 Date of most recent report 

Our previous report, a Company Report that includes a complete sustainability section, was published in April 2021. In addition, we update our sustainability data online annually in our Sustainability Scorecard.

Also in the report:
     Sustainability Disclosure Information, page 1

 102-52  Reporting cycle

Annual

Also in the report:
     Sustainability Disclosure Information, page 1 

 102-53  Contact point for questions regarding the report

Connect@lubrizol.com

Also in the report:
     Our Sustainability Commitments, page 1

 102-54  Claims of reporting in accordance with the GRI Standards

The sustainability content in this report has been prepared in accordance with the Global Reporting Initiative (GRI) Standards: Core option. We have not sought external assurance for this report. 

Also in the report:
     Sustainability Disclosure Information, page 1

 102-55 GRI content index 

GRI Index

Also in the report:
     GRI Index, pages 30-34

 102-56  External assurance

We have not sought external assurance for this report. 

Also in the report:
     Sustainability Disclosure Information, page 1

 

GRI Standard Description Location/Disclosure
 103-1 Explanation of the material topic and its boundary Sustainability Journey, pages 4-5 
Environmental, pages 9-15
Social, pages 16-25
Governance, pages 26-29
 103-2  The management approach and its components Sustainability Journey, pages 4-5 
Environmental, pages 9-15
Social, pages 16-25
Governance, pages 26-29
 103-3 Evaluation of the management approach Sustainability Journey, pages 4-5 
Environmental, pages 9-15
Social, pages 16-25
Governance, pages 26-29

 

GRI Standard Description Location/Disclosure
 201-1 Direct economic value generated and distributed Social, pages 22-25 and Sustainability Scorecard 
 205-2 Communication and training about anti-corruption policies and procedures Governance, pages 26-27, 29

 

GRI Standard Description Location/Disclosure
 302-1  Energy consumption within the organization Sustainability Scorecard
 305-1 Direct (Scope 1) GHG emissions  Sustainability Scorecard
 305-2 Energy indirect (Scope 2) GHG emissions  Sustainability Scorecard
 306-2  Waste by type and disposal method Sustainability Scorecard

 

GRI Standard Description Location/Disclosure
 401-2 Benefits provided to full-time employees that are not provided to temporary or part-time employees benefits.lubrizol.com 
 401-3 Parental leave https://benefits.lubrizol.com/Leave-Management/Parent-and-Family-Resources
 403-1 Occupational health and safety management system Social, pages 16-19
 403-2 Hazard identification, risk assessment, and incident investigation  Process Safety, page 16
Operational Safety, pages 16-19
Product Health and Safety, page 19
Information Security and Data Privacy, page 27
 403-5 Worker training on occupational health and safety  Operational Safety, pages 16-19
 403-9 Work-related injuries  Sustainability Scorecard 
 404-1  Average hours of training per year per employee Lubrizol tracks employee training hours using digital tools. In 2021, all employees globally received an average of about 17 hours of training. Employees in our chemical operations averaged approximately 23 hours of training. Of those 23 hours, approximately 15 hours were related to health, safety, environment and security. 
 404-2 Programs for upgrading employee skills and transition assistance programs  Social, pages 20-22
 404-3  Percentage of employees receiving regular performance and career development reviews 100% of employees receive regular performance and career development reviews.
 405-1 Diversity of governance bodies and employees 

As of the publication of this report, our Executive Leadership Team, including our CEO, is in transition. Currently, the Executive Leadership team is comprised of 6 men and 2 women. 25% of the Executive Leadership team is between the ages of 30 and 50, with the remaining members over age 50. 

Our employee base is made up of 70% men and 30% women.  11% of employees are under the age of 30, 54% are between the ages of 30 and 50, and 35% are older than 50. 

 410-1 Security personnel trained in human rights policies or procedures  65% of security personnel have been trained in human rights policies or procedures.
 412-2  Employee training on human rights policies or procedures 96% of employees have received training on human rights policies or procedures.
 413-1  Operations with local community engagement, impact assessments, and development programs 100% of our manufacturing facilities have implemented local community engagement programs.