Methodology, criteria and principles of reporting

Rif. GRI 3.1-3.13

Beginning in 2011, the Group’s sustainability indicators and, more generally, its sustainability performances, have been reported in the form of an Addendum. The Addendum acts as a supplement to the document ‘Saipem Sustainability’, which deals with themes deemed to be ‘material’ for Saipem and its stakeholders and describes the measures and initiatives implemented to achieve the targets set.

Both documents are an integral part of Saipem’s sustainability performance reporting and communication system which consists of a series of tools designed to convey information on sustainability performance to all stakeholders in an exhaustive and efficient way.

Methodology, criteria and principles of reporting

Principles of reporting and results of the materiality analysis

The information and data indicators dealt with herein are compliant with the Guidelines of the Global Reporting Initiative, version G3.0. In order to define the sustainability themes considered most significant, both within the Company and in relation to stakeholders, a materiality analysis was once again carried out in 2013.

The first step entailed identifying the significant aspects which are considered in the analysis in order to pinpoint those that are material. This process is based on the sustainability context and on an analysis of the priorities of Saipem’s stakeholders (Clients and financial stakeholders).

In order to simplify analysis and comparison of results, the 23 themes identified were broken down into 8 macro categories.

The level of internal significance was validated by the Sustainability Committee on a proposal from the Sustainability function, with due regard for the Company’s principles and values, its business strategy and objectives, as well as the skills and distinctive factors for which it stands out in its market segment.

The level of external interest was surveyed by combining (a) a sustainability benchmarking analysis of the Company’s main Clients with (b) the results of the requests and interests that the various stakeholders considered in the analysis submitted to Saipem in the reporting year and (c) the results of a frequency and relevance analysis with which the topics dealt with appear in the questionnaires of financial analysts and rating agencies.

The materiality of topics is given by the nexus of the levels of internal significance and external interest. For the first time, results of this analysis were submitted to a panel of external experts in order to receive preliminary feedback before drafting of the Report.

A more detailed description of this event can be found on page 6 of ‘Saipem Sustainability 2013’.

Selection of the activities and programmes to be reported in detail in relation to themes identified as ‘material’ was carried out with due consideration for the sustainability context, assigning greater weight to those issues and geographical areas in which the Company has a more significant impact and to key initiatives.

Principles of reporting and results of the materiality analysis

Local Employment le  Development & training dev 
Local Procurement lp  Trade Union tu 
Health h  Engagement and community eng 
Safety saf  Community initiatives com 
Contractor Management cm  Approach on Ethics eth 
Asset Integrity and emergency management ai  Human Rights & labor conditions hr 
Energy en  Sustainability Governance gov 
Water wa  Sustainability-linked Remuneration rem 
Biodiversity bio 
Spills spi  Climate Change approach cc 
Waste was  Air Emission emi 
Diversity div  Renewable ren 

Reporting scope

In order to facilitate reader comprehension of performance trends over time, this Addendum contains information on, and a description of, the performance indicators of Saipem SpA and all its subsidiaries, including any companies involved in joint ventures with it, for the period 2011-2013.

As regards financial data, in accordance with the criteria adopted for the drafting of the Annual Report, the reporting scope also includes, on a line-by-line proportional basis, the data of subsidiaries and companies managed under joint operating agreements.

For HSE data, intangible companies and subsidiaries that do not produce significant effects are not included in the reporting perimeter. In some cases, for some HSE indicators deemed particularly important for the Company’s business, subcontractors and vendors working on the Company’s operative projects are included in the Report. Any exceptions are reported in the document with reference to the specific indicator.

As regards other areas, subsidiaries in which Saipem has a less than 100% shareholding are calculated according to the operational criterion, which is to say that Saipem reports all operations in which Saipem SpA or one of its subsidiaries exercises operational control.

Exceptions to the above criteria are expressly indicated in the text, as are any changes to the indicator calculation methodologies, without this in any way affecting the general commitment to maintain consistency in both the information and the data reported in previous editions.

Reporting is subject to limited controls by the same, sole independent auditor used for the Annual Report, in which this Addendum is included, and for the document ‘Saipem Sustainability 2013’.

In relation to the Guidelines of the Global Reporting Initiative (version G3.0), for the present document Saipem declares an application level of B+.

Reporting scope