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Materiality analysis
We conduct a materiality analysis to identify the social, economic, and environmental challenges, opportunities, and issues of particular concern to our stakeholders. This analysis combines external engagement and internal strategic alignment to help us prioritize the content of our Corporate Citizenship Report and ensures that the report is useful to readers. While this process continues to identify perennial issues such as climate change and energy supply, it also allows us to identify new and emerging issues.
This process promotes internal understanding of corporate citizenship and sustainability issues and shapes our ongoing approach by aligning high-priority issues with our business strategies. In this report, we discuss these material issues within the context of ExxonMobil operations.
Materiality Ranking
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Components of our materiality analysis
Identify issues of concern to ExxonMobil: Internally, material issues are defined as those that may have a significant current or future impact on our company. These are the issues around which we shape our strategy, policies, and operational objectives and which are reflected in our business model.
Identify issues of concern to external stakeholders: Externally, material issues are those of significant concern to groups outside of the company, including the public, customers, NGOs, academia, local and national governments, and the media.
External issues are identified by monitoring stakeholder expectations and concerns, legislation, regulations, and international agreements. External feedback on our Corporate Citizenship Report is a key component of our corporate citizenship strategy. We solicit feedback through a variety of mechanisms, including our corporate Web site, online surveys, business-reply survey cards, and in-depth interviews with opinion leaders from NGOs, academia, and financial institutions.
Cross-reference issues with international reporting standards: International reporting standards that have been developed through a multi-stakeholder engagement process provide a reliable framework for reporting. We follow guidance provided by the International Petroleum Industry Environmental Conservation Association (IPIECA) and the American Petroleum Institute (API) Oil and Gas Industry Guidance on Voluntary Sustainability Reporting (April 2005) to select industry-specific indicators. We also cross-reference the Global Reporting Initiative (GRI) G3 Sustainability Reporting Guidelines, and the United Nations Global Compact and Millennium Development Goals to further evaluate issues of global significance.
Assess priority issues: Priority issues are determined by using a three-tiered review system that rates the frequency an issue was raised by stakeholders, level of engagement with the stakeholder, the extent that an issue is addressed under international standards, the issue's perceived impact on sustainability by stakeholders, the issue's strategic importance to ExxonMobil, the issue's current impact on the company, the issue's potential future impact on the company, and the extent to which ExxonMobil has control over the issue.
Issues are also assessed against their importance to the oil and gas industry in general and reviewed in the context of appearing in media headlines about ExxonMobil specifically.
Review by senior management: The outcome of this review process is evaluated by senior management and used for determining which issues are included in the printed version of our Corporate Citizenship Report or discussed in more detail on our Web site.
Develop Corporate Citizenship Report content: Following final approval, the prioritization of material issues drives the content development process for the Corporate Citizenship Report. In our 2009 Corporate Citizenship Report, we discuss our top or Tier 1 issues in the context of ExxonMobil operations specifically. Where possible, we provide additional information on Tier 1 and Tier 2 issues on our Web site.
