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at Maxxam things are black or white

500 – 1919 Minnesota Court Mississauga, ON L5N 0C9 Tel. 905.288.2150 Toll Free 866.611.1118 Fax 905.288.2169 communications@maxxam.ca maxxam.ca

2012 Corporate Responsibility Report


MAXXAM 2012 SNAPSHOT

Maxxam is the market leader in analytical services and solutions to the energy, environmental, food and DNA industries. We combine efficiency and customer service with rigorous science and uncompromising quality management. Maxxam is committed to success with responsibility — to its stakeholders, to its communities, and to the environment. in

2012

2,400 40

2,400 employees

at 40 locations in Canada and the United States

ACROSS OUR

4

2.3M processed 2.3 million samples

MAXXAM

Total recordable injury rate (TRIR) Work site observation tours Tailgate meetings Department safety meetings

41M generated 41 million results

LINES OF BUSINESS

0.490 231 2,205 347

AND DRIVE US TO DELIVER ACCURATE, RELIABLE AND DEFENSIBLE RESULTS Internal audits External audits

2 Corporate governance and leadership 4 supporting customers’ success 6 Advancing science andEnvironmental industry 16Science & Petroleum Food Forensic/DNA Safety Services & Product Scientific leaders Comprehensive Customer education and training programs 18 in oil and gas analysis environmental analysis Testing Services Analytical services to verify and oil sands solutions. for soil, water and the quality, safety, reputation Health and Safety 20 The leading private air contaminants. and regulatory compliance forensic lab in Canada. of food Quality Assurance 21operations. Caring about our communities 22 OUR CORE VALUES ARE THE FOUNDATION OF EVERYTHING WE DO Commitment to the environment 24 Engaging and inspiring employees Integrity Collaboration 25Innovation Performance Work as a team. Do the right thing, always. Results matter. 2012 Maxxam snapshot 28Make it better. Message from the CEO

THEY GUIDE OUR COMMITMENT TO HEALTH & SAFETY

Trained internal auditors Dedicated QA staff Combined years of QA experience

2,201 72 205 43 332

THEY INSPIRE US TO WORK TOGETHER FOR OUR CUSTOMERS

87%

employee participation in our recognition and rewards program

6,060 3,039

everyday peer-to-peer recognitions

AND WE ARE GRATEFUL FOR THIRD-PARTY RECOGNITIONS RECEIVED THIS YEAR

WE CARE ABOUT OUR COMMUNITIES

2,500 hours

$90,000

of volunteer work

raised for charitable causes

AND RESPECT THE ENVIRONMENT Bike shelters Composting facilities Donation of computer equipment A more sustainable vehicle fleet

Spot awards

OUR

No.1

COMMITMENT

Recycling programs

APPLYING OUR KNOWLEDGE AND EXPERTISE TO HELP OUR CUSTOMERS BE SUCCESSFUL In 2012, we hosted education and training sessions for over 4,300 customers. Shared our latest R&D findings at 7 Maxxam Science Summits and workshops. Created a series of "how-to" training videos for customers.

Delivering on the Maxxam promise. Success Through Science. CORPORATE RESPONSIBILITY REPORT


At Maxxam, we believe unquestioningly in our results. We are impartial. There is no bias, no grey zone. Our customers are looking for black and white answers and we deliver. The results generated for our customers are far more than mere sets of data: their analysis and interpretation allow our customers to answer highly critical questions. Does a company need to walk away from a business deal because the land is contaminated? What is the value of a company’s oil and gas reserves? Are food products about to leave the warehouse safe for consumption?

Our results are black or white. They are accurate, reliable and defensible. Getting to these results in an ethical and responsible manner and leading the industry in terms of innovative solutions means we focus not just on the “what” but also on the “how”. This report is an account of our corporate responsibility promise and the steps we take each day to contribute to the success of our customers and ensure accountability to all of our stakeholders.

yes or no

CORPORATE RESPONSIBILITY REPORT

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This is Maxxam Analytics’ second annual Corporate Responsibility Report. Last year, we set out to share with our customers, employees and other stakeholders our commitment to transparency and the highest standards of governance, to demonstrate our accountability to our corporate responsibility promise. We set high expectations for ourselves to continue to improve as a company, and on balance, we are pleased with our progress in 2012. At Maxxam, corporate responsibility is based on six guiding principles:

“ Setting ourselves apart by continually contributing to our customers’ success through the application of our knowledge and expertise.”

• Corporate leadership and governance • Value creation for customers • Advancing science and industry • Contributing to our communities • Respect for the environment • Fairness and opportunities for employees While these principles determine how we run our business, in this year’s report we wanted to look at them from our customers’ perspective. Everything we do behind the scenes – from supporting innovation in method development and staying abreast of regulatory changes to being accountable for meeting aggressive health and safety targets – serves a key purpose: setting ourselves apart by contributing to our customers’ success through our knowledge and expertise. We do our best work when our customers challenge us to do even better and when we collaborate with customers and experts to help find solutions to industry changes and challenges. We help customers ask the right questions, and ultimately, help them find the answers they are looking for to make decisions that are critical for their business, the environment, and the health and well-being of Canadians. At Maxxam, we are proud of our people and proud of our science. How we harness both to ensure our customers’ success and do so in a responsible manner is both the essence of our 2012 Corporate Responsibility Report and our compass for the years ahead.

Jon Hantho

President & CEO

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commitment leadership governance innovation

customers’ success

CORPORATE RESPONSIBILITY REPORT

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accountable

ethical experienced

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Corporate Governance and Leadership Maxxam is a private, Canadian-owned company with a demonstrated commitment to the highest standards of governance, to which our Board of Directors holds the company accountable. Their constant oversight and support ensures that we conduct business in a highly ethical manner and that all stakeholder needs are addressed to standards at or above regulatory compliance. The Board meets quarterly on a formal basis, but management maintains constant communication with the directors throughout the year. Board of Directors

Roger Thomas Chairman, Independent Director Luis Fonseca Director, OMERS Private Equity Jon Hantho President & CEO, Maxxam Analytics Philip Mauchel Senior Managing Director, OMERS Private Equity Don Morrison Senior Managing Director and Country Head – Canada, OMERS Private Equity Maxxam’s financial statements are audited annually by Deloitte & Touche LLP and reviewed by the audit committee of the Board of Directors. Our experienced senior leadership team, comprised of the top 30 senior staff, has remained consistent for many years, adding an important element of stability to the performance of the organization. This leadership team meets formally twice a year to share best practices across our lines of business, discuss and evaluate current opportunities, and develop innovative ideas based on our customers’ requirements.

Jon Hantho, Maxxam’s President & CEO, was a 2012 recipient at the Ernst & Young Entrepreneur Of The Year® Awards in Ontario, celebrating his contributions in building a truly value-based organizational culture and driving Maxxam’s ability to differentiate itself in a highly competitive industry. The award is a reflection of the dedication and teamwork of all Maxxam employees in establishing a world-class entrepreneurial company. In addition to the award, Jon also received a Special Citation for Entrepreneurial Leadership at the National Entrepreneur Of The Year® Awards ceremony, recognizing his success in various leadership roles over the course of his career.

Our Board and our senior leadership team drive and guide Maxxam’s culture and values, forming the strong foundation on which Maxxam is managed.

Opposite, left to right: Jon Hantho – President and CEO, Chris Jeppesen – CFO, Barb Budarick – VP Communications, Steve Quon – VP Corporate Development.

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FORENSIC DNA testing “Police agencies use forensic DNA results produced by Maxxam to help identify and arrest perpetrators. Maxxam is the only private laboratory authorized by the RCMP to submit DNA profiles for upload to the National DNA Data Bank – allowing police investigators to search for matches against DNA profiles from convicted offenders and those obtained from other crime scenes to aid in the investigation of unsolved cases. Whether the police are looking for a sexual predator or a serial thief, Maxxam’s prompt and defensible DNA analysis helps police agencies ensure the right suspects are identified and public safety is increased.” Randy Leavitt, Ph.D., VP and General Manager – Pharmaceutical, Forensic and DNA Services

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match or

no match?

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more or less?

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oil and gas “In recent years, Maxxam has developed a proprietary technique that allows our oil and gas customers to obtain precise measurements of the higher value components in their natural gas. Our approach uses innovative and advanced techniques to improve the overall accuracy and reliability of the compositional analysis, allowing customers to generate more precise and defensible valuations of their product streams. As a result, our customers can run their businesses in a sustainable manner – without worry of undercharging for their product – and they can continue to provide jobs for thousands of employees in Alberta’s oil and gas industry.” Fred Hutchings, B.Sc., Senior VP – Petroleum Services

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Environmental services “Many of our customers are environmental consultants hired to conduct site investigations for commercial real estate investments. Should a site be contaminated, consultants provide a cost estimate of the remediation of the property for its intended use. The analysis of soil, sediment, air and water samples provided by Maxxam is not only critical in ensuring consultants and their customers comply with regulatory guidelines, it can also influence the decision whether a deal should be completed, and at what price. Our laboratories operate under a single quality system in a tight, cross-Canada network, and our Research and Development group is committed to investigating innovative opportunities for enhancing sampling and analysis technologies.� Valerie Geldart, B.Sc., VP, National Accounts – Environmental Services

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buy or

walk away?

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optimized or

inefficient?

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oil sands “Some of our petroleum-producing customers have 24/7 operational demands in hard-to-access locations and cannot afford to wait for samples to be taken off-site for analysis. To support these large oil sands and petroleum operations, Maxxam has pioneered the Distributed Laboratory Outsourced Service Model. These on-site labs conduct rapid analytical testing as an integrated part of the operation, ensuring customers receive fast, accurate and reliable results needed to optimize production. On-site laboratories also work closely with our centralized petroleum laboratories in Edmonton and Calgary, guaranteeing customers immediate access to the comprehensive array of expertise, testing, and analysis they require.� Phil Heaton, B.Sc., P.Chem., General Manager, Oils Sands and Upgrading

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FOOD science and SAFETY services “Maxxam’s food laboratories operate on a 24/7 schedule, 365 days a year, conducting rapid-screening tests to detect the presence of pathogens, such as Listeria, Salmonella or E. coli, in our customers’ food products. Reliable results and quick turnaround times are of the essence; shipments held up due to a positive result can cost food companies thousands of dollars. In the rare case when those positive results are not “false positives” but in fact real, stopping a shipment can prevent illness and allows our customers to take corrective and preventative actions. By managing our processes tightly and focussing on staff training and technology techniques, Maxxam consistently delivers a substantially lower false positive rate for rapid screening than expected by industry standards.” Robert Wiebe, M.Sc., VP and General Manager – Food Science and Safety Services

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hold or

release?

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ADVANCING SCIENCE AND INDUSTRY

“We are a science company that is passionately committed to delivering good science through exceptional service.” Delivering good science is much more than following the rigorous guidelines that we have put in place to ensure the data we give to our customers is 100% defensible and accurate. It means leading the industry, exploring new territory and providing opportunities for young scientists to make sure they are successful in their chosen field. It is about working closely with all industry stakeholders, including customers, experts and regulators on the application of new scientific approaches and methods. Through all our business lines we are dedicated to being at the forefront of the industries that we serve and that sets us apart and ensures that our customers are always first to benefit from new developments. Dedicated Research and Development

Once each R&D project is complete, the group will present their research and method development results to employees, customers and regulators through technical bulletins; research reports and publications; and presentations at technical conferences. Maxxam also hosts regional Science Summits to share findings and provide networking opportunities for industry experts. Supporting advancement and education in chemistry

Individual employees, as well as Maxxam as an organization, are dedicated to continuously exploring the chemical and biological sciences and understanding the impact these sciences have on our customers and every facet of our lives.

Research and development in support of analytical science is an integral part of Maxxam’s activities, as demonstrated by our dedicated Environmental R&D Group.

It is with this commitment to advancing our industry that Maxxam signed a multi-year sponsorship agreement with the Chemical Institute of Canada (CIC), an organization committed to advancing the principles and practices of the chemical sciences.

This group of experienced scientists works closely with industry stakeholders to address the technical challenges, developments and opportunities that our customers face. In partnership with customers, universities and Provincial and Federal Regulators, our R&D group is currently working on projects that span from advanced water analysis for emerging critical needs in the water monitoring industry; to the determination of polyacrylamide in water, soil and other complex sample matrices; and the effect of removal of Biogenic Organic Compounds on F2 and F3 Petroleum Hydrocarbon concentrations.

At the CSC’s 95th Annual Canadian Chemistry Conference and Exhibition in May 2012, Maxxam organized a career meet-up for hundreds of students and graduates; handed out the 13th Annual Maxxam Award to Dr. Pierre Thibault (Canada Research Chair in Proteomics and Bioanalytical Spectrometry at the University of Montreal); and proudly supported our General Manager of Oil Sands and Upgrading, Phil Heaton, who presented a session titled “The chemistry and character of Athabasca bitumen and its products”.

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Some of the bright minds working for our customers and industry 1. Branko Banjac, B.Sc.

As Senior Manager of Maxxam’s Petroleum Properties Laboratory, Branko delivered technical presentations on Crude Oil Product Quality and Measurement at the Canadian School of Hydrocarbon Measurement and the joint Canadian and American Crude Oil Technical Association Conference – two of the most prestigious petroleum industry events in North America. 1 2. Terry Obal, Ph.D., MCIC, C.Chem.

Terry provides strategic oversight of all Maxxam’s Environmental Research & Development projects. In June of 2012, he was elected for a two-year term as President of the Association of the Chemical Profession of Ontario. In this capacity, he will focus on maintaining the highest standard of practice among professional chemists in Ontario. 2

3. Heather Lord, Ph.D.

Heather joined Maxxam in September of 2012 as Manager, Environmental Research & Development. Heather has co-authored a technology patent, edited two books on Sample Preparation, has delivered more than 30 conference lectures and has published 50+ peer-reviewed papers in scientific journals. 4. Murray Hartwell, B.Sc., M.Sc.

3

4

As Maxxam’s VP of Environmental Operations, Murray has earned a reputation for leadership in the environmental analytical testing industry since joining the company almost 20 years ago. In October, Murray was selected as the Carl C. Coffin Lecture Series Speaker, hosted by Dalhousie University. His presentation described the journey of scientific evolution and innovation that has shaped the industry and challenged listeners to pursue future innovations. 5. Terry Jacula, C.E.T.

Maxxam’s General Manager of Petroleum Operations is an active member of the Chemical Technology Steering Committee at the Northern Alberta Institute of Technology. The Committee represents Alberta’s largest employers of chemical technologists. Through committee discussions of emerging technologies, required skills and qualifications for chemists and general hiring trends, they help set the direction for chemistry training and education. 5

6

6. Steve Simpson, B.Sc., MBA

Steve is the Director, Radiological and Neutron Activation Analysis with Becquerel Laboratories, a company acquired by Maxxam in June 2012. As global leaders in neutron activation analysis and radiological testing, Steve and his team of highly experienced scientists further increase the level of technical expertise Maxxam’s customers have access to and put the company at the leading edge of customers’ emerging needs in terms of future changes to environmental regulations.

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Customer education and training programs

We believe in the value of customer education and invest heavily in training as part of the services we offer. In 2012, over 4,300 of our customers took advantage of education and training sessions organized by Maxxam.

3

new “how-to” videos Our “How-To” videos are part of a series that can be integrated in our customers’ training activities to help their new employees learn and follow best practices for sample integrity, safety and quality. Topics range from “How to collect soil vapour using a summa can” to “How to collect soil samples for VOC and BTEX/F1 Testing”.

7

470 attendees at Lab Ops Boot camps

Intensive workshops designed for new field technicians, Maxxam’s Lab Ops Boot Camps are an essential primer on how to collect environmental samples to meet regulatory requirements.

over

3,600

Science Summits and workshops

attendees at TechTalks and presentations

Maxxam Science Summits and Workshops provide our customers with a unique opportunity to find out about the latest developments in the industry and to network with peers and scientific experts.

Our scientific experts lead customer TechTalks and deliver technical presentations throughout the year. Topics include Polycyclic Aromatic Hydrocarbons, Legal Protocols, Crude Oil Quality and Measurement, and LPG Technology Leap.

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Health and Safety

Making sure that each one of our 2,400 employees goes home safely at the end of every day is our number one priority. “It starts with me” is Maxxam’s health and safety tagline, and it represents a set of beliefs, principles and guidelines that speaks to the importance of management and employees sharing responsibility for safety. Our health and safety system provides continuous guidance and support through equipment, training and regular awareness campaigns.

2012 National Safety Pyramid

Still reaching for zero

Our health and safety goals are ambitious. We continue to make progress on many fronts and our 2012 health and safety results were within target, but we seek perfection: an injury rate of zero. With this being a goal shared by everyone, we expect all employees, supported by the company, to renew their commitment to strive for it in 2013.

LTA Modified work

Medical

Recognizing safety performance

To further encourage safety in the workplace, Maxxam created the “It Starts With Me” Safety Recognition Award in 2012. This annual award recognizes five Maxxam employees across the country for their exceptional contributions to workplace safety, be it through raising health and safety awareness in their departments; identifying, evaluating and controlling hazards; enhancing communication between employees and our safety professionals; and ultimately making sure that employees and visitors go home safely every day.

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First aid

Near misses

4 0 7 152 1,917

Total recordable injury rate (TRIR)=0.490 Lost time injury rate (LTIR) = 0.178


Quality Assurance Maxxam’s 2,400 dedicated employees proudly lead the industry in technical and scientific expertise and serve customers through the only national network of laboratories. In processing 2.3 million samples and generating in excess of 41 million results annually, Maxxam skillfully combines efficiency and customer service with uncompromising quality management. Maxxam is the only laboratory in Canada whose Quality Assurance group is accountable to the President & CEO, thus ensuring 100% integrity in the group’s dealings with operational departments. 2012 Internal audits completed 2,201 External audits completed 72 Trained Internal Auditors 205 Proficiency testing parameters analyzed annually 19,234 Dedicated QA staff 43 Combined years of QA experience 332 Combined years of lab experience for QA staff 371 The double-blind program

Maxxam’s double-blind program was implemented to measure the quality of data and service provided to customers. Proficiency testing samples (single blinds) are required as part of standard accreditation programs (ISO 17025). However, they do not adequately simulate laboratory performance for customer samples, since the lab knows it is being tested. The double-blind program involves using a sample from a recognized proficiency-testing provider and having the sample “disguised” as a customer sample, so the lab is completely unaware that its performance is being evaluated. The sample is sent to Maxxam as a regular sample, and, upon completion of testing, is assessed by Maxxam’s Quality Assurance department for turnaround time, data accuracy and traceability. This program provides the best insight into the laboratory’s performance for real customer samples.

In 2012, Maxxam completed four rounds of double blinds across our network. In total, 6,127 parameters were analyzed and the overall success rate exceeded the industry average performance on single-blind samples. In other words, Maxxam performed better on simulated customer samples than the industry performed on proficiency samples – on which they knew they were being evaluated. The results of our double-blind program are carefully reviewed by senior management, shared with staff and analyzed to identify opportunities for improvement. Double blinds are the ultimate test of performance and a good example of how Maxxam operates beyond regular accreditation requirements, to ensure that our customers can have complete confidence in their results. Internal training program

At Maxxam, training our staff is a critical step in developing the best employees in our industry. Well-trained employees produce the high-quality results our customers have come to rely on from Maxxam. In the past year, extra focus was given to internal classroom training. Our Quality Assurance team members across the country were busy leading these face-to-face training sessions. In 2012, employees participated in over 420 classroom sessions facilitated by the QA group. Topics covered in these sessions included: • Customer

project management charting • Temperature monitoring • Reagent and standard labeling • Standards traceability • QC requirements and calculations • Bench-level non-conformances • Internal auditor training • Spreadsheet validation • Control

Extensive employee training is one more thing we do to ensure we keep our quality promise to customers and to stay at the forefront of our industry.

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Caring about Our Communities

Maxxam is a collection of businesses and scientific specializations. The glue that holds us together is our culture. Giving back to the communities in which we live and work has always been part of Maxxam’s culture, with many initiatives being carried out locally and driven by dedicated employees. In 2012, Maxxam and its employees raised over $90,000 for groups across the country and contributed over 2,500 hours to community service. Now in its 11th year, Maxxam’s annual Food

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Drive was the biggest contributor to these efforts. Employees across the country rallied to raise over $30,000 for local Food Banks, which was matched by the company for a total of over $65,000.


Day of Caring

Our Day of Caring program encourages every full-time employee to take one paid day each year to volunteer at a charity of their choice, individually or as teams. Since the launch of the program, employees have registered more than 3,600 hours of volunteer work. Here are some examples of the inspiring and moving stories volunteers shared with their peers on Maxxam’s internal “Success with Responsibility” blog.

in

2012 Maxxam employees

Sorted 15 shopping carts filled with groceries for the Mississauga Food Bank. Adopted 5 kilometres of highway near their laboratory, and as a team of 16 gathered 46 bags of garbage in 3 hours. Handed out water, bagels, bananas and granola bars to 10,000 participants in Edmonton’s Run for the Cure as a team of 6. Led 20 adults and children in collecting and analyzing water samples in a local bay during Whatcom Water Week. Organized a team of 6 to help remove 10,000 kilograms of invasive plant species from local parks as part of the national Weedbuster program. Collected over 50 kilograms of garbage in a Coquitlam, BC park as part of the Great Canadian Shoreline Cleanup. Helped rebuild a 50-metre section of boardwalk through Preservation Park, a local conservation area in Guelph, ON. Organized a team to restore one entire playground for children in a residential neighbourhood of Calgary, AB.

15 46 10K 20 10K 50 50 1

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Commitment to the Environment

Maxxam is proud to lead the laboratory services industry with our commitment to sustainability and operating in a way that is environmentally responsible. This is important to us, to our customers and our staff. With more than 20 Site Sustainability Volunteers in our laboratories across the country, we raise awareness of sustainable practices, lead by example and promote awareness. Jerome Laroulandie, Site Sustainability

Feda Hajjir, our Site Sustainability Volunteer in

Volunteer in Burnaby, BC, accomplished two of his goals for 2012: Create a recycling program and have a bike shelter built:

Mississauga, spearheaded the collective donation of used computer equipment:

“We set up recycling bins and composting containers in lunchrooms and continually educate staff about the proper disposal of materials. It has resulted in a significant decrease in waste generated in the kitchens, laboratories and even at social events. As well, we built a secure bike shelter in our parking lot, making it easier for people to bike to work instead of driving.” Jennifer Dohmen, Site Sustainability Volunteer

in Guelph, speaks about the recycling program coordinated by staff in Guelph:

“We teamed up with the Community Environment Alliance to assist in their SHARE-IT program. SHARE-IT collects used computers, refurbishes them, then distributes them to disadvantaged and underprivileged families in the community. Our two Mississauga locations collected more than 400 kilograms of used electronics.” Rowena Geron, Site Sustainability Volunteer in Edmonton, speaks about the conversion to a more sustainable vehicle fleet in Alberta:

“Our Petroleum Field Services team provides sample collection services at many remote locations throughout “We donate our used toner and ink cartridges to Alberta, logging more than 3.5 million kilometres Central Public School, which participates in the Think per year. In 2012, we converted one-third of our Recycle Cartridge Collection Program. The program fleet’s engines to economical and environmentally gives the school $5 per used cartridge, which they then conscious Ford V6 EcoBoost engines. This reduced fuel put toward school programs and initiatives.” consumption by 40,000 litres per year and decreased oil changes by one-third.”

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Engaging and Inspiring employees

The secret of our success has been and will continue to be our focus on developing a strong, positive culture at Maxxam and ultimately, the ability to translate this culture into performance for our customers. The responsibility for the quality of Maxxam’s work and customer satisfaction falls to each and every employee, so attracting and retaining talented employees who embrace our culture is essential. From the introduction of a new recognition and rewards program to the company-wide celebrations of our 2012 Values Award winners, engaging and inspiring our employees to do their very best continues to be a primary commitment. Branding our commitment to employees

weeks on the job) to regular “lunch and learns” and providing supervisory skills courses for managers and supervisors, offering learning opportunities for all employees is an important part of the corporate culture and allows each Maxxam employee to contribute to our customers’ success.

In 2012, we committed to making Maxxam the first “Checking in” — Maxxam’s Employee choice – the clear choice – for the best and brightest. Engagement Survey In 2012, Maxxam conducted its annual companyWe are carrying out this commitment through our wide employee survey to actively solicit feedback employer brand, which shines a light on the and track employee engagement. Twelve key drivers collaborative, innovative spirit within Maxxam and of engagement were identified and tracked against on the breadth of knowledge individuals can gain external benchmarks for companies of similar size. while working here. The concept is summarized in the tagline “Learn from the Best. Be the Best.”, Participation rate this year was 75%. Overall the which emphasizes the opportunities for learning results were very positive with all metrics at par or and professional development. significantly above benchmark. Customer focus, Giving employees a strong start communication and innovation scored better than benchmark, and professional growth was identified Last year also marked the rebuilding of our New as the number one driver of engagement for Maxxam Employee Orientation Program. By giving all our employees and an area that we will focus on in the new employees a strong start, we ensure customers coming year. The data was further analyzed to identify receive a consistent level of service excellence and localized and business-specific opportunities for quality results from every Maxxam location. From the improvement. Action plans will be developed and introduction of a buddy system (which assigns new implemented over the course of the year. employees a partner who will guide them in their first

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Recognition and Reward

Our success and the success of our customers is built on the countless contributions of our employees. In the spring of 2012, Maxxam introduced a new recognition and rewards program called Bravo. Bravo is an internal social platform for employees and managers to recognize and celebrate a coworker’s contributions, to thank a thoughtful colleague or to reward a bright idea. Bravo has quickly become our showcase for the passion and leadership shown by our staff across the country.

Bravo at work “Another client’s rush rework requests were accommodated in record time. You are Maxxam superheroes of the week!” A customer service rep to lab staff

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“Just wanted to thank you for the excellent service you provided today. Our customer appreciated the extra effort you put in by going back to pick up their samples.” A manager to one of her team members

“Thank you for pulling together the statistics for our client. You indeed went the extra mile!” From one colleague to another


Congratulations to Maxxam’s 2012 Values Award winners The Maxxam Values Award is given to a small number of individuals each year who are nominated by their peers for being outstanding role models and embodying Maxxam’s values. Our Values Award winners play a key role in creating a corporate culture that sets Maxxam apart. The 2012 Values Award winners are: Michelle Hill

Anke MacFarlane

Senior Project Manager Bedford, Nova Scotia

Team Lead Mississauga, Ontario

Burton Tsang

Tahir Ahmed

Analyst Burnaby, British Columbia

IT Supervisor Mississauga, Ontario

Jack Li

Martin Westecott

Analyst Burnaby, British Columbia

Laboratory Supervisor Guelph, Ontario

Lesley Lem

Fotini Myconiatis

Customer Service Supervisor Calgary, Alberta

Laboratory Supervisor Montreal, Quebec

Lily Lin

Jennifer Farquharson

Project Manager Calgary, Alberta

Account Manager Ottawa, Ontario

In November 2012, Maxxam was recognized for having one of Canada’s 10 Most Admired Corporate Cultures of 2012™. We are proud of our dedicated employees, who work hard every day to fulfill our mission and to contribute to our customers’ success. We also want to thank our customers who have a significant influence on making us better; whether it is through challenging our scientific specialists to help develop a new technique or holding us to account for meeting aggressive health and safety standards, our employees thrive when our customers demand the best.

Cheri Sinclair

Customer Service Supervisor Calgary, Alberta

In April 2012, Maxxam was named a winner of the Toronto Star’s Award for Excellence in Workplace Integration by the Toronto Region Immigrant Employment Council (TRIEC). The award recognizes employer and individual leadership as well as innovation in recruiting and retaining skilled immigrants. Since the inception of Maxxam’s co-op program for skilled immigrants in 2001, more than 400 people have participated and approximately 50% have been hired into full time positions at Maxxam.

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MAXXAM 2012 SNAPSHOT

Maxxam is the market leader in analytical services and solutions to the energy, environmental, food and DNA industries. We combine efficiency and customer service with rigorous science and uncompromising quality management. Maxxam is committed to success with responsibility — to its stakeholders, to its communities, and to the environment. in

2012

2,400 40

2,400 employees

2.3M processed 2.3 million samples

at 40 locations in Canada and the United States

ACROSS OUR

4

Petroleum

Environmental

Scientific leaders in oil and gas analysis and oil sands solutions.

Comprehensive environmental analysis for soil, water and air contaminants.

41M generated 41 million results

LINES OF BUSINESS

Food Science & Safety Services Analytical services to verify the quality, safety, reputation and regulatory compliance of food operations.

Forensic/DNA & Product Testing Services The leading private forensic lab in Canada.

OUR CORE VALUES ARE THE FOUNDATION OF EVERYTHING WE DO

Integrity

Collaboration

Innovation

Performance

Do the right thing, always.

Work as a team.

Make it better.

Results matter.

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MAXXAM 2012 SNAPSHOT

Maxxam is the market leader in analytical services and solutions to the energy, environmental, food and DNA industries. We combine efficiency and customer service with rigorous science and uncompromising quality management. Maxxam is committed to success with responsibility — to its stakeholders, to its communities, and to the environment. in

2012

2,400 40

2,400 employees

at 40 locations in Canada and the United States

ACROSS OUR

4

2.3M processed 2.3 million samples

MAXXAM

Total recordable injury rate (TRIR) Work site observation tours Tailgate meetings Department safety meetings

41M generated 41 million results

LINES OF BUSINESS

0.490 231 2,205 347

AND DRIVE US TO DELIVER ACCURATE, RELIABLE AND DEFENSIBLE RESULTS Internal audits External audits

2 Corporate governance and leadership 4 supporting customers’ success 6 Advancing science andEnvironmental industry 16Science & Petroleum Food Forensic/DNA Safety Services & Product Scientific leaders Comprehensive Customer education and training programs 18 in oil and gas analysis environmental analysis Testing Services Analytical services to verify and oil sands solutions. for soil, water and the quality, safety, reputation Health and Safety 20 The leading private air contaminants. and regulatory compliance forensic lab in Canada. of food Quality Assurance 21operations. Caring about our communities 22 OUR CORE VALUES ARE THE FOUNDATION OF EVERYTHING WE DO Commitment to the environment 24 Engaging and inspiring employees Integrity Collaboration 25Innovation Performance Work as a team. Do the right thing, always. Results matter. 2012 Maxxam snapshot 28Make it better. Message from the CEO

THEY GUIDE OUR COMMITMENT TO HEALTH & SAFETY

Trained internal auditors Dedicated QA staff Combined years of QA experience

2,201 72 205 43 332

THEY INSPIRE US TO WORK TOGETHER FOR OUR CUSTOMERS

87%

employee participation in our recognition and rewards program

6,060 3,039

everyday peer-to-peer recognitions

AND WE ARE GRATEFUL FOR THIRD-PARTY RECOGNITIONS RECEIVED THIS YEAR

WE CARE ABOUT OUR COMMUNITIES

2,500 hours

$90,000

of volunteer work

raised for charitable causes

AND RESPECT THE ENVIRONMENT Bike shelters Composting facilities Donation of computer equipment A more sustainable vehicle fleet

Spot awards

OUR

No.1

COMMITMENT

Recycling programs

APPLYING OUR KNOWLEDGE AND EXPERTISE TO HELP OUR CUSTOMERS BE SUCCESSFUL In 2012, we hosted education and training sessions for over 4,300 customers. Shared our latest R&D findings at 7 Maxxam Science Summits and workshops. Created a series of "how-to" training videos for customers.

Delivering on the Maxxam promise. Success Through Science. CORPORATE RESPONSIBILITY REPORT


at Maxxam things are black or white

500 – 1919 Minnesota Court Mississauga, ON L5N 0C9 Tel. 905.288.2150 Toll Free 866.611.1118 Fax 905.288.2169 communications@maxxam.ca maxxam.ca

2012 Corporate Responsibility Report

Maxxam's 2012 Corporate Responsibility Report  

Maxxam's second annual Corporate Responsibility Report provides customers, employees and other stakeholders an accurate and transparent acco...