Excellence Refined - 30 Years - Valero

commitments to safety, stakeholders, employees, the
environment and the community. Its internal mission: To
encourage employees to take these five essential principles
and put them into practice each and every day. Valero’s
Commitment to Excellence became a visual reminder of
expectations at every level, and provided the framework
for a new management system that emphasized safety
and stability at every turn. It also fueled the company’s
first-ever Social Responsibility Report, which highlighted
Valero’s accomplishments and activities in health
and safety, and efforts to protect the environment,
communities, employees and corporate ethics. “It’s not
enough for us to be a better refiner and marketer,” Klesse
states in the report. “We strive to be a better employer
and neighbor, too.” As a result, Valero consistently is
recognized as one of the world’s most-admired energy
companies, one of the best big companies to work for and
one of the best corporate citizens in the energy industry.
Looking Inward
In 2006, Valero financial results were still strong, posting
quarterly profits far and above the previous year. Third
quarter 2006 operating income was $2.3 billion,
compared to $1.9 billion achieved in the same period the
previous year. The company returned more cash than ever
to shareholders. After a decade of rapid growth through
acquisitions, Valero was naturally shifting its strategy to
achieve higher returns from existing assets.
In 2007, Valero’s management instituted a sweeping
set of guiding principles for the organization to achieve
excellence in business, industry and relationships with
employees and the community. Valero’s Commitment
to Excellence program highlighted the company’s
Unquestionably in 2007, volatility in the industry began
to swell. An economic downturn challenged even
the strongest of companies. But Valero’s leadership
empowered employees, encouraging improvements in
process safety and reliability, environmental stewardship,
operational and energy efficiency and community
response. Valero took home honors as Downstream
Business of the Year at the 2007 Platts Global Energy
Awards. The company’s employee injury rate consistently
beat Bureau of Labor Statistics averages, achieving
record results in 2008. Ten of Valero’s 14 U.S. refineries
carried “Star Site” status, reflecting the government’s
highest honors within OSHA’s Voluntary Protection
Program (VPP). Refinery environmental performance
vastly improved, and to date, more than $100 million in
annualized savings was achieved under Valero’s energy
stewardship program.
The company’s Commitment to Excellence campaign was
now a visible, audible call to arms for Valero employees.
To be successful in the industry, employees must do
their best every day, in everything they do, and show the
world where the real muscle of the company lives – in
its dedicated, unshakeable work force. “Our employees
drive all of our initiatives, the success of our company
Strategy for Success
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