This fact sheet is supported by:

  • Global Policy

  • Our Operational Framework

  • Role Specific Mandatory Training

Introduction

Environmental sustainability is a critical component of the design, development and use phase of our products. It is part of our Lifecycle Management approach, starting with the initial concept through to the end of life of the product. We have a Climate Response and Environment Policy which is part of our Operational Framework, and a Product Environmental Management Handbook which drives the environmental sustainability of our products from concept through delivery and on to disposal.
 
Defence platforms are designed to be in service for decades while retaining the ability to operate across different geographical regions, with different climatic conditions and infrastructure, and alongside the equipment of our allies. Therefore it is critical for us to work in partnership with our customers to understand their future requirements.

Does BAE Systems have policies and processes in place to drive product environmental sustainability?

We have a number of policies in place that mandate environmental considerations. These include:

 
Our Product Environmental Management Handbook also provides guidance in support of these policies and underpins our Climate Response and Environment Policy. This policy is met by business unit environmental management frameworks, processes and procedures which are tailored for each business unit.

What is BAE Systems approach to product environmental sustainability?

We have a responsibility to use resources efficiently and to minimise the environmental impact associated with our products and activities. We also ensure that we comply with environmental practices and procedures established at our sites and with applicable laws and regulations. Our Operational Framework commits the Company to high standards of environmental management at all levels within BAE Systems. This includes appropriate consideration and management of environmental impacts associated with our products and activities. This is reflected in our Climate Response and Environment Policy which requires that all businesses comply with legislation and other requirements to which the organisation subscribes, implement and maintain an effective Environmental Management System, prevent pollution and incidents, and manage environmental impacts. It also requires continual improvement and engagement with stakeholders.
 
To achieve the above, we conduct through life environmental assessment, identifying aspects and impacts, legislative and other requirements and route to compliance, and consider the resilience of products changes in the environmental condition, such as climate change effects, technology insertion, and availability of materials through life.
 
We launched design for sustainability guidance to help our engineering community ask a series of sustainability questions in support of lifecycle reviews. This guidance provides a framework to look at sustainability holistically and consider the impact of design choices, across the whole product lifecycle. It focuses on four main themes: decarbonising our products; operational resilience i.e. developing Products resilient to changes in the environment in which they operate; energy and material resilience; and minimising the impact our Products have on the environment – air, water, land and biodiversity.

How is this managed and who is responsible for product environmental sustainability?

Product Integrity (PI), as part of Group Engineering, are responsible for raising any risks to the business associated with product environmental sustainability to the Corporate Engineering Council (CEC) as well as supporting the Business Units with product environmental sustainability challenges. 

Who reviews it and how frequently is it reviewed?

Risks / challenges are identified in the Sectors / Business Units (BU) through various BU Product Environmental Working Groups and Communities of Practice and brought to the Corporate Product Environmental Sustainability Working Group (PESWG) who then review and escalate these risks and request support from the Group Product Integrity (PI) Team. However, issues can also be raised, as required, to Group PI through regular meetings with the PI Working Group (WG) chairs.
 
The PESWG is held on a quarterly basis but the various BU WGs meet on a more regular basis (monthly). 

Do you train your employees in Product Environmental Sustainability?

There are a number of different Engineering Developing You (EDY) courses available as well as supporting resources and guidance – although these are largely aimed at engineers that have a role that is product environmental related. Wider training, for example on the Climate Response and Environment Policy, are for all employees. We are currently working on some pan-functional sustainability awareness training and communications that will be developed and deployed in 2024.

Does BAE Systems operate a Product Environmental Management System?

Yes. In order to support the BAE Systems Climate Response and Environment Policy all businesses are required to implement a Product Environmental Management System. Product Environmental Management is the application of environmental, engineering, management principles and techniques to our products and their operations, in order to meet environmental obligations, reduce the impact on the environment, and improve resilience to changes in environmental conditions. 
 
Across the entire product lifecycle the intent is to:

  • Identify environmental aspects;
  • Assess the associated environmental impacts, both planned and unplanned;
  • Capture any associated risks and opportunities;
  • Understand and comply with applicable regulations and other obligations;
  • Identify requirements for a product to build in resilience (operational, energy and material) to changes in environmental conditions; and
  • Manage any organisation or capability risks that arise.

 
Product Environmental Management is an integral part of the management process, and is a vital consideration from the very early stages of concept. Certain responsibilities for the environmental aspects of our products can remain well beyond the formal end of some projects. For example the design of the product will have implications for the through life energy use, maintenance requirements and the environmental impact associated with disposal. The adherence to well thought out Product Environmental Management Systems minimises the environmental risks. 
 
There is a requirement, as part of demonstrating our compliance with ISO14001:2015, to have project legislation registers that capture all of the relevant legislation and regulation for that project. These are reviewed on a regular basis, both as part of Design Reviews but also on an as required basis as a result of ongoing changes in legislation. Legislative changes are reviewed both by the Product Environmental Sustainability Working Group and also business unit working groups, to understand the impact of changing legislation on the projects and wider business.
 
Business Unit Environmental Management Systems are regularly audited (internal and external) and associated documentation reviewed. This can be a one – three year review cycle dependant on the document type. Internally these are reviewed by key stakeholders via our business unit Product Environmental Working Groups and Product Environmental Communities of Practice and the findings are presented by their representatives through the Corporate Product Environmental Sustainability Working Group.

Does BAE Systems systematically consider the environmental impact of products at the design stage?

Yes. Environmental impacts such as energy use, resource use and emissions create risk due to cost, availability, and regulation impacting on operations, and minimising these, the sustainability of product and business is improved. It is important for BAE Systems to take adequate account of the environmental impacts of products whilst still meeting the needs of customers and the business. The robust application of the Product Environmental Management System and management of risk is assured through Design Review at each project stage.

What environmental criteria are considered?

Product lifecycle assessments are embedded within our engineering lifecycle, from concept, through to disposal and is part of our Code of Conduct. 
 
Engineering specialists in all of our businesses ensure that the risks linked to environmental impacts are assessed and appropriately addressed throughout the product’s life. This is managed through our Environmental Management Systems. We choose materials and components to reduce the environmental impact and consider the following environmental criteria:

  • Energy use and materials content – Our products’ most significant environmental impact comes from energy use and materials content. Measures we have taken to reduce our impact include removing certain hazardous substances from our products. We have programmes in place across our businesses to identify hazardous substances / chemicals so that we can remove them where possible or design them out if immediate removal is not a workable option, whilst maintaining Product capability. We are also assessing alternative refrigerant gases and firefighting foams for use in some of our products.
  • Production and manufacturing – We reduce waste and emissions, and use of energy and water in production and manufacturing by carefully selecting the products and components we use, which then impacts on process. For example, we are reducing the quantities and toxicity of the paints that we use on some of our products.
  • Distribution, storage and transportation – This is a less material consideration for many of our products as they are often built to order and delivered within minimal packaging when completed, however, we reduce waste where we can. For some products however, we have designed and implemented returnable packaging, in conjunction with our suppliers, which is reused.
  • Use phase – We have many specific designs and solutions that minimise impact during the use phase of our products. Our carbon reduction target of net zero scope 3 GHG emissions by 2050 is supported by a roadmap that considers product use. We are investigating product design options to minimise carbon, supported by environmental assessments, to ensure that they don’t introduce negative impacts in other areas. In addition to carbon reduction, we design for minimum resource use and emissions, and minimal impact on habitats and biodiversity.
  • Recycling and reuse – Due to the bespoke nature of our products, our approach to design for recycling and reuse is product specific. As many of our products have a long lifespan, they are often upgraded during this period of use to make them more sustainable, easier to recycle, and use less hazardous materials. We are always looking at ways to maximise the potential for reuse and remanufacture of our products. We attempt to provide full hazardous materials disclosure with our products to aid safe and environmentally sound disposal.

 

How do you manage risks associated with your products?

Our Risk Management Framework captures product environmental risks to the business and our business units / projects also have their own risk registers in which non-financial risks are captured and reported. At a product level, identified risks are prioritised for elimination or mitigation through design, or management through operational procedures.

What proportion of BAE Systems products provide resource efficiency benefits during their use-phase to customers?

We endeavour to ensure our products provide efficiency measures in their use-phase. For example, our commercial Hybridrive systems is specifically designed to improve resource efficiency. It is used in more than 14,000 units and saves more than 30 million gallons of fossil fuel a year. In addition, we have introduced hydrogen-based all-electric system on buses in North America and Europe, and 13,000 propulsion systems on transit buses worldwide. Each year, this saves more than 28 million gallons of fuel and reduces emissions by 313,000 tonnes of carbon dioxide. Find out more about our sustainable electric solutions here.

How does BAE systems collaborate across the industry on key sustainability concerns?

Environmental considerations including the use of hazardous substances are sector-agnostic challenges and while we are fully committed to this within our own business, we see it as imperative that we work across the entire industry to achieve these goals. We are therefore active participants in many industry working groups. Shared learning from these external engagements underpin, inform and influence materials management across the Company. Working groups where BAE Systems are represented include:

 

What measures has BAE Systems taken to optimise the material efficiency of its products?

Our Product Environmental Management System and assessment methodology considers the whole life of the product, and use of materials is a key part of this. We consider resource use, and hazardous materials use through life, from initial design and procurement, through maintenance and durability, and through to final disposal. We place requirements on suppliers to also consider energy efficiency, and resource use.

Is longevity and repairability considered in the concept, design and manufacture of your products?

Supportability through life is one of the considerations in design, with some items being specified with a minimum life, to reduce maintenance intervals, and a design life as per contract specification. Our platform products have technology upgrade through life as an important consideration, and are designed so that new technology, particularly in the area of decarbonisation, can be inserted at appropriate intervals.
 
The information contained in this fact sheet is for PLC managed businesses and is accurate as at the date of its publication.
 
Publication date: 09/05/24

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