Our approach

Trust depends on relationships. And relationships are only built over time: by listening to the many different points of view in a community; by responding to the concerns that matter to our neighbours; by delivering on what we promise; and by working with communities to create local benefits.

We take a systematic approach to working with our neigbours, using a number of standard tools and processes. These include:

• Impact assessments
• Social performance plans and reviews
• Social performance professionals
• Local employment
• Social investment

Impact assessments

It is critical to identify and manage potential impacts on communities from the very start of a project - when the earliest plans and designs are being made. Before new projects and significant modification at existing facilities, we require an integrated environmental, social and health impact assessment to be done. These impact assessments require project teams to seek out and listen to their external stakeholders, including local communities. They look ahead, in a structured way, at the potential positive and negative impacts over the project's life. The results help us to increase benefits and minimise negative impacts, for instance by making changes to the technical or commercial design of the project.

• Read more about the impact assessment process in Shell

Social performance plans and reviews

All our refineries and chemicals facilities as well as all upstream operations where impacts on the community could be high, have social performance plans in place. These plans are drawn up using information from impact assessments, community surveys and from ongoing dialogue with local stakeholders. They are implemented by staff in these facilities who work with their local stakeholders to implement these plans. The plans help us to reduce any disruptive social impacts and generate benefits for the communities where we operate in a structured and consistent way. Implementation of these plans is reviewed every three to four years by experienced social performance staff from other locations.

We also do social performance reviews at depots in our distribution business (where petrol, diesel or other products are stored before being delivered to customers). These reviews help us to assess our effectiveness in managing our impacts, to check that we are addressing the right issues, and to take corrective actions as needed. To do this, we identify key stakeholders and assess responses to social impacts. By sharing what we learn from these reviews, we are also able to provide guidance on how to improve and manage the key social issues across our operations more consistently.

Social performance professionals

Social performance professionals in our central Social Performance Management Unit and in our businesses support people in critical positions, like refinery managers or major project leaders. Between 2006 and 2008 management teams at all but three of the refineries and chemicals plant we operate received coaching from social performance professionals through our social performance plan and review process. Social performance has also been given a more prominent role in our Project Academy.

Strategic collaborations

We also work closely with external experts, through a series of strategic collaborations. In Alaska, for example, Living Earth Foundation, a non-governmental organisation (NGO) we have worked with for many years, is setting up a community-based dialogue network called “the big conversation”. It is a way for communities near our planned exploration activities in the Beaufort Sea to discuss amongst themselves their concerns about oil and gas development, their priorities and the way forward. Read more about working in collaborative partnerships.

Buying and hiring locally

Using local contractors and suppliers, and hiring local staff are particularly important ways to create local benefits and build trust. Employment and economic development related to our operations can be a major source of benefits for local communities. We follow government regulations on local employment and aim to maximise opportunities by taking a strategic approach to hiring local people and local businesses. Read more about buying and hiring locally.

Social investment

Social investment is a further, indirect way in which local communities and society can benefit from Shell’s presence. We support community development projects, indirectly, through the independent Shell Foundation and directly, in programmes run by Shell operations in individual countries. In these country programmes we aim to work with the community on projects that address issues directly linked to our business, like access to energy or education. We also seek to give local people control of the project, and wherever possible, to involve development experts from NGOs. Read more about social investment.