James Hardie Industries, a leader in providing high-performance, low-maintenance building products and solutions, released its latest annual sustainability report detailing progress across the four primary pillars of the company’s environmental, social and governance (ESG) strategy: Zero Harm, Planet, Innovation and Communities.
“Sustainability is foundational at James Hardie. It is central to how we do business,” said Jill Kolling, chief custainability officer with James Hardie. “We have ambitious goals, and our progress has been possible through collaboration and innovation across the value chain, as together we aim to put sustainability into action – doing right by our planet, our people and the communities we serve.”
The report, entitled “Building a Culture of Sustainability,” features employee-driven initiatives, key industry collaborations and innovations to advance the company’s purpose of Building a Better Future for All. The report includes the following highlights from fiscal year 2024:
Integration into Business Processes
- Sustainability strategies were integrated into the Hardie Manufacturing Operating System (HMOS) with an intent to prioritize the sustainability impact of plant operations while delivering against future targets.
- Internal, near-term regional targets were established to drive local accountability and progress toward James Hardie’s global environmental goals.
Zero Harm
- Significant global investment was made in safety infrastructure projects, including upgrading equipment used when working from heights, installing more than 1,200 machine guards to provide additional protection for employees and promoting risk awareness.
Product Innovation
- In Europe, Hardie Panel high-performance facade cladding achieved the lowest CO₂ emissions of A2 fire-rated facades.
- In the United States, Green Builder Media recognized James Hardie as a green innovation and brand leader, naming Hardie Artisan Lap Siding as a 2024 Sustainable Product of the Year for its lower carbon footprint than traditional heavyweight building products, durability and resilience to harsh weather and natural disasters.
Diversity in Management
- The number of women in management increased from 19% in fiscal year 2023 to 23% in fiscal year 2024, toward the fiscal year 2026 goal of 25%.
Human Rights
- Completed risk mapping of global in-scope tier one suppliers through a modern slavery lens and internationally recognized responsible business frameworks, an important next step to expand the responsible sourcing program.
Stronger Communities
- Contributed $1.66 billion in economic value in the communities in which it operates through capital expenditures at plants and by investing in employees, local ecosystems and across the supplier base.
- Launched a corporate sponsorship of the Habitat Strong initiative to build affordable and climate-resilient homes that can withstand severe weather conditions and natural disasters.
“Every product in and around the home has an impact, and our company strives to lead the building products industry to ensure all homes are future ready,” said Aaron Erter, Chief Executive Officer with James Hardie. “Sustainability is a never-ending journey for James Hardie, and we will continue to actively integrate our goals into business operations, our governance structure and company culture.”
Building a Culture of Sustainability
James Hardie’s sustainability goals align directly with issues that matter most to its stakeholders and overall corporate objectives. The company’s sustainability strategy is driven through collaboration, including research and development, engineering, manufacturing, finance and human resources.
“Ensuring that our sustainability efforts are part of HMOS reinforces to our workforce that this is how we intend to operate our plants and deliver against our targets moving forward,” said, Ryan Kilcullen, Executive Vice President Global Operations with James Hardie. “HMOS encompasses our culture of continuous improvement and LEAN manufacturing and empowers our people to champion improvements to environmental performance.”
Beautiful Products, Exceptional Durability and Resilience
James Hardie is firm in its commitment to develop beautiful products with exceptional durability and resilience to extreme weather as the frequency of climate-driven events increases. In fiscal year 2024, James Hardie fiber cement products were selected by three leading home builders from across the U.S. to highlight carbon neutral construction and show that the average family can afford a sustainable home. The projects, which were featured at the NAHB International Builders’ Show® in February 2024, demonstrate that each element of a sustainable home can have an impactful role in aspiring toward a low carbon future.
Hardie durable products are non-combustible, pest resistant, and U.S. flood-zone rated. They require less maintenance and last longer, which in turn use less resources in the long run, build value for homeowners and meet demand for high-quality products.