We consider the diverse experiences and perspectives of people across our organization to be an extraordinary source of creativity that can drive results for our
businesses. Those experiences have led to improved efficiencies, increased productivity, and safer and more responsible operations. Our focus is to empower our teams—in geographies they understand best, in operations they steward every day—to make the most thoughtful decisions they can make, rooted in the solid foundation of our mission and core values. We recruit with intention to assemble teams that are best equipped to represent our purpose.
That said, we have recognized that this effort is inherently collaborative. That is why we utilize a process and framework that we call “The AC Way” to align leadership and risk management on environmental, social, and governance factors with business performance. The core management factors within the AC Way have been compiled from our evaluation of existing industry performance standards that encapsulate a broad range of actions that cover material aspects of our operations. The framework includes standards in areas as far-reaching as workplace quality, pest control, water stewardship, waste handling and recovery, chemical management, packaging, landscape ecology and habitat quality, energy efficiency, and climate protection.
The AC Way is a tiered system, designed to drive improved performance over time. Our expectation is that every investment we pursue meets a baseline Tier 1, or first stage, performance. That minimum expectation provides assurance across a discrete set of core business indicators that our ability to optimize the asset for efficiency and impact is achievable. From there we work closely with our asset managers to drive performance toward Tier 5, which we believe differentiates our assets significantly from others in the marketplace. In some cases, that high-level performance focuses on improving or refining operational procedures.
In other cases, it involves transformative step changes. In all cases, this program is aligned with our operational planning, progress assessment, and budgeting.
As the program expands, we intend to use it as a goal-setting framework for our asset managers and for our business as a whole. We also expect to further adapt the AC Way to capture evolving factors of particular interest to us in our efforts to make our regenerative management efforts increasingly concrete and effective.