PPG Industries Corporate Sustainability Report
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Sustainability at PPG

Governance

SUSTAINABILITY GOVERNANCE

In 2010, PPG's Board of Directors approved the establishment of the Sustainability Committee. This committee’s work is reviewed by the board's Technology and Environment Committee. The Sustainability Committee establishes policies, programs and procedures, including metrics, to help the company better understand and address sustainability in its business practices in order to remain a leader in the business segments in which it participates.

The Sustainability Committee is comprised of two co-chairs and nine members, eight of whom are PPG officer-level employees. The company defines sustainability broadly to encompass environmental, social and economic performance measures. To that end, the concepts of sustainability that the committee addresses—and that were approved by PPG’s Board of Directors—include:

  • Providing employees with a safe, healthy and fulfilling workplace
  • Partnering with employees and their families to improve their health and well-being
  • Delivering a superior return on investment to shareholders
  • Minimizing the impact of the company’s operations on the environment
  • Furnishing goods and services that meet the needs of customers and society
  • Being a good corporate citizen in each nation and community in which the company operates

Overview of subcommittees and missions:

PPG’s Sustainability Committee maintains six standing subcommittees, each chaired by and comprised of PPG employees. Their missions are as follows:
Environment, Health & Safety
PPG will market, distribute and manufacture products in a responsible manner that protects employees, neighbors, customers and the environment. To meet this objective, the PPG Environment, Health and Safety (EHS) management system is integrated into each of PPG’s businesses. PPG’s policy incorporates elements of Responsible Care® and Coatings Care®, global voluntary initiatives by which companies work together to improve environment, health and safety within the industry; and it emphasizes the company’s commitment to continuous improvement, sustainability and protecting shareholders’ interests.

Natural Resources & Climate Change
PPG will continue its efforts to conserve natural resources. This includes defining and driving efficient energy and greenhouse gas (GHG) emissions management, reducing the company's carbon footprint, and continuing to seek ways to utilize alternative resources, such as renewable energy and recycled water.

Product Innovation & Marketing
PPG will continue to enhance its product offerings to provide its customers with solutions to their most serious sustainability issues. An objective of many of PPG’s businesses is to develop and market breakthrough, leading-edge products that benefit the environment and conserve energy.

Community Engagement & Social Performance
Following the principles of Responsible Care and Coatings Care, PPG will continue to develop and maintain processes to ensure that the company’s presence enhances the communities in which it operates. It will work to build two-way communications with key community constituents, governmental agencies and appropriate nongovernmental organizations (NGOs). PPG will strive to enhance its corporate citizenship and maintain philanthropic efforts in its communities.

Global Advocacy
PPG will work with other interested parties to develop fair and effective global policies regarding energy security, climate change and sustainability. The company will work to understand the sustainability drivers in the key regions in which it operates and will develop strategic partnerships with industry, government and NGOs that share PPG’s vision. In addition, PPG will work to proactively influence legislation and regulation.

Sustainability Communications
PPG will develop and implement plans to communicate with key stakeholders its positions and efforts regarding sustainability. The company will strive to enhance its reputation among opinion leaders, business partners, the financial community and residents of communities where PPG has operations by positioning itself as a leader and innovator in matters related to sustainability. In addition, PPG will continue to develop sustainability reporting and transparency initiatives on a global basis.

Annual incentive compensation of the company’s executives and senior managers is partially (30 percent) based on personal goals that tie to overall corporate business goals, with the remainder based on company and business financial performance. PPG does not require that its executives have personal goals linked to social or environmental performance, although some executives, by virtue of their responsibilities, may have goals related to those issues. PPG’s Directors receive an annual retainer, half of which is paid in cash and half of which is paid is restricted stock units that vest on the third anniversary of the date of grant.

Responsible Care is a registered trademark of American Chemistry Council, Inc.  Coatings Care is a registered trademark of American Coatings Association, Inc.